Power cutoff to Davao Norte co-op to affect Samal resorts

DAVAO CITY , Philippines   â€“ Nearly 100 beach resorts in the Island Garden City of Samal will be among the most affected should the Power Sector Assets and Liabilities Management (PSALM) disconnect power supply to the Davao del Norte Electric Cooperative (Daneco) over its P350-million unpaid electric bills.

Daneco services the provinces of Davao del Norte and Compostela Valley, and Samal Island which incidentally is part of Davao del Norte although it is just less than five minutes by motorboat from Davao City.

Earlier attempts by the Aboitiz-owned Davao Light Power and Co. to take over Daneco’s operations in Samal proved futile as officials of the electric cooperative held on to managing the power supply on the island.

Tourism is the main industry in Samal, which is dotted with beach resorts, including the world-renowned Pearl Farm Beach Resort, that draw tourists, mostly foreign visitors.

Daneco has at least 160,601 consumers who have lately been confused as to where they should pay their electric bills because of an ongoing dispute between the Daneco-National Electrification Administration (Daneco-NEA) and the Daneco-Cooperative Development Authority (Daneco-CDA).

Daneco-NEA and Daneco-CDA have been at odds on who should manage the electric cooperative, resulting in the failure to properly collect and remit payments to PSALM.

Energy Secretary Carlos Jericho Petilla vowed to find ways on how to resolve the conflict, especially that each group has its own board of directors.

Petilla reportedly urged the managers of both groups to first work together in collecting payments from Daneco consumers to be able to pay PSALM.