Jauhn Etienne Villaruel

NGCP linemen show their skills in various exhibitions, such as conductor riding relay, steel pole erection, steel pole dressing and undressing during the Linemen Rodeo in Laguna on April 17, 2024. NGCP said the aim of the activity is to demonstrate the ability of linemen to ensure continuous public service. NGCP handout/File

Article (news)

NGCP

Vivienne Gulla

ABS-CBN News

<div><span class="fr-img-caption fr-fic fr-dib" style="width:960px"><span class="fr-img-wrap"><img src="https://od2-image-api.abs-cbn.com/prod/editorImage/173624638935920240417-ngcp-linemen-HO-499.jpg" style="width:960px" class="fr-fic fr-dib" alt="NGCP linemen show their skills in various exhibitions, such as conductor riding relay, steel pole erection, steel pole dressing and undressing during the Linemen Rodeo in Laguna on April 17, 2024. NGCP said the aim of the activity is to demonstrate the ability of linemen to ensure continuous public service. NGCP handout/File"/><span class="fr-inner" style="text-align:left">NGCP linemen show their skills in various exhibitions, such as conductor riding relay, steel pole erection, steel pole dressing and undressing during the Linemen Rodeo in Laguna on April 17, 2024. NGCP said the aim of the activity is to demonstrate the ability of linemen to ensure continuous public service. NGCP handout/File</span></span></span></div><p>MANILA — A refund to consumers of alleged “unauthorized” excess revenues collected by the National Grid Corporation of the Philippines (NGCP), estimated at P204 billion from 2016 to 2020, was sought by House Committee on Ways and Means chairperson and Albay 2nd District Rep. Joey Salceda. </p><div><a href="https://www.abs-cbn.com/news/business/2024/12/26/solon-wants-gov-t-to-take-over-control-of-ngcp-1807">Solon wants gov&#x27;t to take over control of NGCP</a></div><p>During a briefing before his House panel on Tuesday, Salceda said that based on the Energy Regulatory Commission’s preliminary rate review, only P183.5 billion of NGCP’s P387.8 billion revenue for the period was ERC-approved. </p><p>&quot;Yung P204 (billion), minimum ‘yun, kasi ‘yun ay completed projects. ‘Pag isinama mo ‘yung incomplete projects na hindi ibinilang ng ERC, mas malaki pa sa P204 billion,” Salceda told the media in an interview.</p><div><a href="https://www.abs-cbn.com/news/business/2024/12/26/ph-lawmaker-seeks-return-of-ngcp-to-government-control-0047">PH lawmaker seeks return of NGCP to government control</a></div><p>&quot;If it’s a franchise that deals with the consumers, then the excess revenues belong to the consumers, and there should be a process of disgorgement or repayment,” Salceda said during the hearing.</p><p>At least two congressmen were also pushing for the NGCP to refund the franchise tax it passed on to consumers before the ERC issued a resolution suspending the move. </p><p>Since the ERC resolution was issued, the Bureau of Internal Revenue said the NGCP has been regularly paying its franchise tax, which averaged around P1.3 to 1.5 billion a year since 2018, according to the commission’s records.</p><div><a href="https://www.abs-cbn.com/news/business/2024/12/23/lawmakers-to-probe-ngcp-franchise-floats-possible-revocation-1919">Lawmakers to probe NGCP franchise, floats possible revocation</a></div><p>For APEC Party List Representative Sergio Dagooc, legal accountabilities should be explored for the ERC officials, who approved the 2011 resolution allowing the NGCP to pass on to consumers the 3 percent franchise tax.</p><p>“Hindi naman po nila ipasa iyon kung wala ‘yung resolusyon na ‘yon, kung hindi sila pinahintulutan ng regulator,” he said.</p><div><strong>PROBE INTO NGCP OWNERSHIP</strong></div><p>Salceda also called for a probe into the ownership of NGCP to determine whether it violated the Anti-Dummy Law, which prohibits foreigners from intervening in the management, operation, administration, or control of any nationalized activity. </p><div><a href="https://www.abs-cbn.com/business/07/06/23/erc-asks-ngcp-to-explain-project-delays">ERC asks NGCP to explain project delays</a></div><p>He claimed that two officials of the State Grid Corporation of China report to the Chinese Communist Party.</p><p>“‘Yung dokumento ay galing sa CCP. ‘Yun ay report ng mga nagpapatakbo rito, nag-report sila sa CCP. Hindi dapat nila ginagawa ‘yun,” Salceda said.</p><p>“Definitely national security is an issue here, because they have violated the 60-40 rule. They are 7.8 percent above the maximum 40 percent ownership by foreigners of public utilities, and clearly NGCP is a public utility under both the PSA and the Constitution,” he added.</p><p>“We respectfully acknowledge the Congress’ legislative power to review, refine and revise existing legislation as well as NGCP franchise granted by the Congress and in light of the presentation made by the chairperson, we request that NGCP may be given time to submit a response to address the concerns of the committee and other committees as well,” San Diego told the panel.</p><div><strong>RELATED VIDEO</strong></div><div><span class="fr-video fr-deletable fr-fvc fr-dvb fr-draggable" contenteditable="false" draggable="true"><iframe width="640" height="360" src="https://www.youtube.com/embed/9xvdqBqbV50?&amp;wmode=opaque&amp;rel=0" frameBorder="0" allowfullscreen="" class="fr-draggable"></iframe></span><br/></div>

<p>At least 2 solons are pushing for the NGCP to refund the franchise tax it passed on to consumers before the ERC suspended the move. </p>

At least 2 solons are pushing for the NGCP to refund the franchise tax it passed on to consumers before the ERC suspended the move.

Refund of NGCP's alleged 'excess revenues' worth P204 billion sought

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Refund of NGCP's alleged 'excess revenues' worth P204 billion sought

Vivienne Gulla,

ABS-CBN News

Published January 07, 2025 07:18 PM PHT

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House Committee on Ways and Means

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