GENERAL SANTOS CITY, Philippines – A high-stakes battle over power distribution is heating up in Mindanao as a proposal by the Manila Electric Co. (Meralco) to enter the service area of the South Cotabato II Electric Cooperative (SOCOTECO II) faces a wave of opposition from local stakeholders and cooperative advocates.
The tension stems from a move to introduce a private sector giant into a territory long managed by a consumer-owned cooperative. While proponents of the shift argue that Meralco’s entry could bring more stable electricity and technical expertise, critics warn that it could undermine the spirit of the cooperative movement and lead to higher long-term costs for residents.
SOCOTECO II, which serves General Santos City, Sarangani Province, and parts of South Cotabato, is one of the largest and most consistently top-performing electric cooperatives in the country. For many local leaders and member-consumers, the entry of a private utility is seen as an unnecessary intrusion into a “Category AAA” cooperative that has successfully powered the region’s tuna industry and growing commercial sectors.
Local advocacy groups and employees of the cooperative have voiced concerns that the move is less about improving service and more about “corporate takeover.” They argue that cooperatives are built on the principle of service over profit, whereas private corporations are beholden to shareholders.
The proposal has reached the halls of Congress, where discussions regarding the franchise area are ongoing. Opponents highlight that under the National Electrification Administration (NEA) guidelines, electric cooperatives are protected as long as they remain efficient and compliant.
“We are not just a business; we are a community-owned entity,” one local representative stated during a recent consultative meeting. “Allowing a private entity to carve out our franchise area sets a dangerous precedent for other cooperatives across the Philippines.”
On the other side of the fence, some business groups in General Santos City have expressed openness to the proposal. These sectors cite the need for massive infrastructure upgrades and a “world-class” power grid to support the region’s ambition of becoming a major international logistics hub. They point to Meralco’s track record in Luzon as a benchmark for reliability and modern technology.
As the debate intensifies, the Energy Regulatory Commission (ERC) and the Department of Energy (DOE) are expected to weigh in on whether a “mixed” distribution model—where a private firm and a cooperative co-exist—is even viable for the Mindanao grid.
For now, the people of SOCOTECO II find themselves at a crossroads: sticking with the cooperative model that has defined their growth for decades or embracing a private-sector giant in hopes of a more modernized power future.
