NGCP lauds Aquino’s no-tax policy on power lines

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THURSDAY, 11 AUGUST 2011 21:24 PAUL ANTHONY A. ISLA / REPORTER

THE National Grid Corp. of the Philippines (NGCP), the country’s sole power transmission concessionaire, on Thursday welcomed President Aquino’s decision not to impose taxes on transmission lines.

NGCP said some local government units (LGUs) earlier proposed to tax transmission lines passing through their municipalities.

Henry Sy Jr., NGCP president and chief executive officer, thanked President Aquino for recognizing that the proposal of some LGUs to tax transmission lines passing through their municipalities will adversely affect consumers.

President Aquino, according to Sy, in his State of the Nation Address revealed that some municipalities are trying to impose tax on electricity transmission lines traversing their areas.

Sy noted that while the move may augment local funds, President Aquino pointed out that this will only lead to higher electricity rates, which will then be shouldered by the Filipino people.

Sy welcomed President Aquino’s call for LGUs to balance the interests of its constituencies and the nation as a whole.

“This shows that the Philippine government is keen on providing reasonable electricity rates for the country,” Sy said. He added: “We are thankful for the efforts of President Aquino and the Department of Energy to champion the interest of the power consumers.”

As a responsible transmission provider, NGCP said it shall continue to provide fair and reliable transmission services to its power consumers.

Among NGCP’s recently completed projects this year are the installation of power shunt reactors at Kadampat and San Jose Substations, the North Luzon Transmission Line Rehabilitation, the Northern Panay Backbone Transmission Project and the Sangali-Zamboanga (Pitogo) 138-kilovolt Transmission Line.