Double billing due to Daneco feud

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Tuesday, July 8, 2014

THE conflict between the two factions of the Davao del Norte Electric Cooperative Inc. (Daneco) -- the Daneco-Cooperative Development Authority (CDA) and Daneco-National Electrification Administration (NEA) –- has resulted to double billing and confusion among its consumers.

Even the officials of Davao del Norte and Compostela Valley were baffled on which faction officially takes control of the payment and other operations of the Daneco.

“Libog gyud kaayo ang mga tawo. Kami nga mga opisyales ang pirmi mapangutan-an asa ba gyud mobayad (People are confused. Even us local government officials are asking, where should we pay)?” Tagum City Councilor Atty. Eva Lorraine Estabillo said.


The Daneco is an electric cooperative that serves thousands of consumers in the provinces of Davao del Norte and Compostela Valley.

Both the Daneco-NEA and the Daneco-CDA collect monthly payments and cut power supply of consumers who fail to comply with the monthly collection, thus the double billing.

The conflict between the two factions started since 2012 which forced the Power Supplies Assets and Liabilities Management (PSALM) to issue a “Notice of Final Demand” since its balance reached as huge as P601 million.

During regular session of the Provincial Board in Comval, Vice Governor Manuel “Way Kurat” Zamora confirmed that the letter sent by the Daneco-NEA to the provincial officials informing them of the notice from the PSALM is “valid and not bluff.”

No less than Zamora referred the question on the status of Daneco to Psalm.

Meanwhile, Davao del Norte Governor Rodolfo P. del Rosario and Davao del Norte District I Board Member Tete So confirmed that the Davao del Norte and Comval officials are discussing how to solve the conflict between the two factions.

Pending the decision from PSALM, the two groups still proceed with the collection and insist that they are both legitimate.

The Daneco has approximately 137,000 consumers in Comval and DavNor.

According to Daneco-NEA, 70 percent of the consumers pay to them. However, it was not yet verified on whether the remaining 30 percent of the consumers pay to the Daneco-CDA and how many of them are delinquents.
The Daneco-NEA allegedly obtained a business permit from the City Government of Tagum and Authority to Print original receipts from the Bureau of Internal Revenue (BIR).

Meanwhile, the Daneco-CDA also insisted they are the legitimate group according to a referendum in 2012.

Even Compostela Valley Governor Arturo Uy said the two groups refused to heed his advice to settle their differences for the good of the province.

In a press conferece last week, the Daneco-NEA announced that the Court of Appeal in Cagayan de Oro City upheld that the NEA group is the only “legal and legitimate group” to supervise Daneco.

In its 10-page decision, the Court also junked the motion for reconsideration filed by the CDA saying its registration is “misplaced.”

The decision was rleased on June 24 and signed by Associate Justices Edgardo A. Camello, Oscar V. Badeles, and Henri Jean Paul B. Intig. But, Daneco-CDA OIC-General Manager Gerald Osorio, in a report published by Davao Today, said the “decision denying the motion for reconsideration is not final and executory. Our legal team is now preparing for a motion for certiorari to be submitted to the Supreme Court within the reglementary period.”

“We are not worried and the said decision is a welcome development in our fight for justice as the matter could now be elevated to the Supreme Court,” Osorio said.

The conflict between the two factions continues. (with reports from Domilyn R. Pico of Sun.Star SuperBalita Davao)

Published in the Sun.Star Davao newspaper on July 08, 2014.

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