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Power rate hike hearing on Thurs
By:
KIT BAGAIPO
Power consumers of Bohol Light Company Inc. may
have to shoulder additional charges on their electric bills.
The
power utility firm which holds exclusive power distribution here in the city has
applied with the Energy Regulatory Commission (ERC) for authority to recover national
franchise taxes paid from 2001 to 2006 and local franchise taxes paid to the city
government of Tagbilaran from 2002 to 2008.
The
ERC will conduct a public hearing here on Thursday 9 a.m. at the Governor's Mansion
regarding Bohol Light's power hike application.
City
Mayor Dan Lim yesterday dared the public and Boholano leaders to reveal their
stand on Bohol Light's move by participating in the public hearing.
The
mayor said that due to time constraints, he was forced to file his opposition
to Bohol Light's petition in his personal and official capacity as mayor of the
city whose constituents will be burdened if the ERC grants an increased power
rate.
The
mayor explained that his opposition to Bohol Light's petition is based on the
ground that the utility firm does not have the right to collect the franchise
taxes from its consumers because it does not have the franchise to operate the
power utility. |
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Lim said that under
the Electric Power Industry Reform Act (EPIRA) Law of 2001, only Congress has
the authority to grant franchises to power distributors and dealers.
"Without
a franchise from Congress, no one has the right to engage in the said business,"
he stressed.
It
may be recalled that on December 2007, third district Rep. Adam Relson Jala filed
House Bill 3355 seeking the revocation of the franchise issued to Bohol Light
by the National Electrification Commission (NEC). | The
Bill is still pending at the House Committee on Legislative Franchises since January
28, 2008.
Lim
said Bohol Light's only basis in seeking to collect franchise taxes is the franchise
granted to it by the NEC on Oct. 20, 2000.
"Granting
that there was a basis for this, the said franchise was deemed repealed when the
EPIRA Law was enacted in 2001," the mayor added.
In
addition to this, Lim said he is opposed to Bohol Light's motion because under
the law it has no authority to collect national and local franchise tax.
"Bohol
Light has no right to ask for the authority to pass the burden of paying the costs
for franchise taxes to its consumers," he stressed.
The
mayor likewise dared Gov. Erico Aumentado, one of those who initially opposed
the sale of the Provincial Public Utilities Department (PPUD) to Salcon, Vice
Gov. Julius Caesar Herrera and the Sangguniang Panlalawigan (SP) to air their
stand on the issue.
"There
is also a need for Cong. Edgar Chatto to reveal his stand [on Bohol Light's motion],"
he added.
PRESIDENTIABLE?
Metro Manila Development Authority (MMDA) Chair Bayani
Fernando (l) takes a break in Bohol, not denying reports that he might run for
President in 2010 under administration party Lakas. His night cap was rendering
some of his favorite songs at Le Pensionne de San Jose piano bar with Chronicle
editor Bingo Dejaresco (r). | | The
mayor recalled that when Chatto was still vice governor, he presided over the
SP which approved the sale and authorized then Gov. Rene Relampagos to sell the
PPUD to Salcon.
As
a congressman, Lim said Chatto should also feel insulted when Bohol Light did
not recognize the exclusive authority of Congress to grant franchises to power
distributors as provided for by the EPIRA Law.
Power
distribution utilities are assessed a 2-percent franchise tax on gross revenues
for the national government while it will also pay a range of .05-percent up to
.75-percent of its gross revenues to local government units as a local franchise
tax. |
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