Rep. Sergio Dagooc calls for ERC accountability for allowing NGCP to shift franchise tax burden to consumers.
APEC Party-List Rep. Sergio Dagooc has argued that the Energy Regulatory Commission (ERC) should be penalized for allowing the National Grid Corporation of the Philippines (NGCP) to pass on its three percent franchise tax to consumers. A member of the power bloc in the House of Representatives has argued that the ERC should be penalized for allowing the NGCP to pass on its three percent franchise tax to consumers.
Dagooc raised this during a briefing of the House Committee on Ways and Means Tuesday, Jan. 7 on issues involving the power grid operator, particularly its franchise tax. Dagooc said the ERC officials who green-lit NGCP's petition to pass on the three percent franchise tax to consumers ought to be held accountable. 'What is the possible legal accountability on the part of the body that approved the resolution authorizing NGCP to pass on the three percent franchise tax to consumers?' Dagooc asked committee chairman, Albay 2nd district Rep. Joey Salceda. The NGCP had been under fire for the pass on charge stemming for its lawfully mandated payment of franchise tax. But Dagooc absolved the private entity from any responsibility, and stressed that the grid operator merely acted based on an ERC resolution issued in 2011. 'Hindi naman nila ipasa iyon kung wala yung resolusyon na iyon, kung hindi sila pinahintulutan ng regulator,' the lawmaker pointed out.ERC Chairperson Monalisa Dimalanta somewhat strengthened Dagooc's point when she confirmed the subsequent suspension of the assailed 2011 resolution. 'We did discuss that Mr. Chair, the commission, but since there was an ERC resolution that allowed it in 2011, we were unanimous in the fact of suspending it moving forward,' Dimalanta said. NGCP legal department representative Pia Zobel Santiago told the committee,'We have suspended starting August 2023 billing the pass-on of the three percen
ENERGY REGULATORY COMMISSION NATIONAL GRID CORPORATION FRANCHISE TAX CONSUMERS HOUSE OF REPRESENTATIVES
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