Senator Erwin Tulfo introduced a suite of legislative measures on Tuesday aimed at reducing monthly electricity bills by eliminating system loss charges and associated taxes.
The filings—comprising two bills and one Senate resolution—came a day after President Ferdinand Marcos Jr. called on Congress during his fifth State of the Nation Address to remove system loss fees and the value-added tax (VAT) on power.
Tulfo submitted Senate Resolution No. 537, which directs an inquiry into the Electric Power Industry Reform Act (EPIRA) provision that permits distribution utilities to pass system loss charges on to consumers. He also introduced Senate Bill No. 2239 to repeal Batas Pambansa Blg. 36 (the Energy Tax Law) and Senate Bill No. 2340 to exempt system loss charges from the 12 percent VAT.
Speaking with reporters, Tulfo emphasized that these proposals target extra costs tacked onto household bills, including system loss, VAT, and government energy taxes. Although the Energy Regulatory Commission must determine the exact reduction, preliminary discussions with officials indicate potential for significant consumer savings.
”Kasi po, aalisan na po natin ang VAT. Ang VAT po is 12%. Ang systems loss is about 5-10% tas may government tax pa po. Pag inalis po natin itong lahat, malaki yung kabawasan,” Tulfo said.
Expressing optimism that the legislative package can pass during the 20th Congress, Tulfo noted that the President has requested prioritized action on these measures.
”Kakayanin po yan, may instruction na po ang Pangulo. So, aantayin na lang po natin yung counterpart ng bill na yan mula sa Congress,” he said.
Tulfo explained that these filings form part of a broader review of EPIRA. He observed that the 25-year-old law removed government intervention in electricity pricing while failing to deliver on its promise that market deregulation and competition would lower rates for everyday consumers.
The Senate Committee on Energy, which Tulfo chairs, is slated to resume hearings on proposed amendments to EPIRA this Thursday. Power generation firms, distributors, and electric cooperatives have been invited to discuss the proposed removal of system loss fees, VAT, and energy taxes.
Addressing a separate matter, Tulfo clarified that the Senate Blue Ribbon Committee will not intervene in the complaint filed by Senator Panfilo “Ping” Lacson with the Office of the Ombudsman regarding alleged ghost flood control projects in Taguig City. However, he noted that the panel remains open to investigating other suspected infrastructure and agency irregularities if backed by sufficient evidence.
Senator Erwin Tulfo introduced a suite of legislative measures on Tuesday aimed at reducing monthly electricity bills by eliminating system loss charges and associated taxes.
The filings—comprising two bills and one Senate resolution—came a day after President Ferdinand Marcos Jr. called on Congress during his fifth State of the Nation Address to remove system loss fees and the value-added tax (VAT) on power.
Tulfo submitted Senate Resolution No. 537, which directs an inquiry into the Electric Power Industry Reform Act (EPIRA) provision that permits distribution utilities to pass system loss charges on to consumers. He also introduced Senate Bill No. 2239 to repeal Batas Pambansa Blg. 36 (the Energy Tax Law) and Senate Bill No. 2340 to exempt system loss charges from the 12 percent VAT.
Speaking with reporters, Tulfo emphasized that these proposals target extra costs tacked onto household bills, including system loss, VAT, and government energy taxes. Although the Energy Regulatory Commission must determine the exact reduction, preliminary discussions with officials indicate potential for significant consumer savings.
”Kasi po, aalisan na po natin ang VAT. Ang VAT po is 12%. Ang systems loss is about 5-10% tas may government tax pa po. Pag inalis po natin itong lahat, malaki yung kabawasan,” Tulfo said.
Expressing optimism that the legislative package can pass during the 20th Congress, Tulfo noted that the President has requested prioritized action on these measures.
”Kakayanin po yan, may instruction na po ang Pangulo. So, aantayin na lang po natin yung counterpart ng bill na yan mula sa Congress,” he said.
Tulfo explained that these filings form part of a broader review of EPIRA. He observed that the 25-year-old law removed government intervention in electricity pricing while failing to deliver on its promise that market deregulation and competition would lower rates for everyday consumers.
The Senate Committee on Energy, which Tulfo chairs, is slated to resume hearings on proposed amendments to EPIRA this Thursday. Power generation firms, distributors, and electric cooperatives have been invited to discuss the proposed removal of system loss fees, VAT, and energy taxes.
Addressing a separate matter, Tulfo clarified that the Senate Blue Ribbon Committee will not intervene in the complaint filed by Senator Panfilo “Ping” Lacson with the Office of the Ombudsman regarding alleged ghost flood control projects in Taguig City. However, he noted that the panel remains open to investigating other suspected infrastructure and agency irregularities if backed by sufficient evidence.
Senator Erwin Tulfo introduced a suite of legislative measures on Tuesday aimed at reducing monthly electricity bills by eliminating system loss charges and associated taxes.
The filings—comprising two bills and one Senate resolution—came a day after President Ferdinand Marcos Jr. called on Congress during his fifth State of the Nation Address to remove system loss fees and the value-added tax (VAT) on power.
Tulfo submitted Senate Resolution No. 537, which directs an inquiry into the Electric Power Industry Reform Act (EPIRA) provision that permits distribution utilities to pass system loss charges on to consumers.
He also introduced Senate Bill No. 2239 to repeal Batas Pambansa Blg. 36 (the Energy Tax Law) and Senate Bill No. 2340 to exempt system loss charges from the 12 percent VAT.
Speaking with reporters, Tulfo emphasized that these proposals target extra costs tacked onto household bills, including system loss, VAT, and government energy taxes. Although the Energy Regulatory Commission must determine the exact reduction, preliminary discussions with officials indicate potential for significant consumer savings.
”Kasi po, aalisan na po natin ang VAT. Ang VAT po is 12%. Ang systems loss is about 5-10% tas may government tax pa po. Pag inalis po natin itong lahat, malaki yung kabawasan,” Tulfo said.
Expressing optimism that the legislative package can pass during the 20th Congress, Tulfo noted that the President has requested prioritized action on these measures.
”Kakayanin po yan, may instruction na po ang Pangulo. So, aantayin na lang po natin yung counterpart ng bill na yan mula sa Congress,” he said.
Tulfo explained that these filings form part of a broader review of EPIRA. He observed that the 25-year-old law removed government intervention in electricity pricing while failing to deliver on its promise that market deregulation and competition would lower rates for everyday consumers.
The Senate Committee on Energy, which Tulfo chairs, is slated to resume hearings on proposed amendments to EPIRA this Thursday. Power generation firms, distributors, and electric cooperatives have been invited to discuss the proposed removal of system loss fees, VAT, and energy taxes.
Addressing a separate matter, Tulfo clarified that the Senate Blue Ribbon Committee will not intervene in the complaint filed by Senator Panfilo “Ping” Lacson with the Office of the Ombudsman regarding alleged ghost flood control projects in Taguig City. However, he noted that the panel remains open to investigating other suspected infrastructure and agency irregularities if backed by sufficient evidence.
