By Kit Bagaipo
The Bohol ChronicleThe Energy Regulatory Commission will have to decide on the legality of the franchise held by Bohol Light Company Inc. before ruling on the application by the utility firm to pass-on charges of franchise taxes paid since 2001.
Some P36.5-million have been paid by Bohol Light to the national and city government in franchise tax and this will be charged on the monthly billings of electric consumers within a period of three years if the ERC grants their petition.
During the public hearing last Thursday, a pre-judicial question was raised by City Mayor Dan Lim questioning the legality of the power company's franchise which was issued by the National Electrification Commission (NEC).
Citing the provisions of the Electric Power Industry Reform Act (EPIRA) that gave exclusive authority to the House of Representatives in issuing franchises in the transmission and distribution of electricity, Lim asked the ERC, through Commissioner Rauf Tan, to rule first on the franchise issue before giving due course to Bohol Light's petition.
Bohol Light was issued a certificate of franchise by the NEC on July 10, 2003 while the EPIRA took effect on June 26, 2001.
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