NGCP ordered to stop charging customers for franchise tax

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The ERC ordered the NGCP to stop passing on to consumers the 3-percent franchise tax—amounting to around 1 centavo per kilowatt-hour—it pays to the government a month after lawmakers pressed the regulator to review the policy. | MegINQ /PDI

For a household consuming 200 kWh a month, the franchise tax translates to more or less P2.

While the regulator has yet to issue a directive effectively suspending the 2011 resolution, ERC Chair Monalisa Dimalanta explained that their decision was based on previous Supreme Court rulings.

 

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