THE consumer group People Opposed to Warrantless Electricity Rates (Power), urged the government to scrap the 12-percent value-added tax (VAT) on electricity if it is really serious in lowering power rates.

Engineer Ramon Ramirez, Power convenor, said a family consuming 200 kilowatt-hours (kWh) a month can easily cut their electricity bills by around 10 percent.

Ramirez said customers consuming 200 kWh a month will be saving at least P206 from their monthly bills that reach more than P2,000 when VAT is included.   

“This reduction is significant and will provide consumers with more purchasing power for other needs such as rice and food,” he said.

Ramirez pointed out that the removal of the VAT on power, a charge that was not included in electricity bills before 2006, will be the fastest and most direct form of relief from higher electricity rates that the administration can do.

“We wonder why the government has not seen this before?” Ramirez said.

He noted that there are pending bills before the House of Representatives and the Senate calling for the abolition of the VAT on power and petroleum products. There have been no significant movements regarding these bills because the administration has gone on record opposing the removal of the VAT on power and petroleum.

Meanwhile, the Bagong Alyansang Makabayan also questioned the government’s sincerity in bringing down power rates

Renato Reyes Jr., Bayan secretary-general, assailed the government for not focusing on the anomalies involving the National Power Corp. (Napocor), Power Sector Assets and Liabilities Management Corp. (PSALM)  and  the Wholesale Electricity Spot Market (WESM) so that rates could be lowered significantly.

“The government wants to pin the blame on Meralco but conveniently disregards the alleged anomalies and questionable practices of Napocor, PSALM and the WESM which also drive up power rates. This double standards put serious doubts on the government’s purported drive to lower power rates,” Reyes said.

“While it is true that we have long questioned Meralco’s practice of buying power at the WESM during peak hours, as well as Meralco’s practice of charging consumers with their systems losses, the government cannot just turn a blind eye to the alleged anomalies in Napocor, PSALM and WESM,” Reyes added.

“The government shouldn’t just focus on Meralco to get populist pogi points. The bigger problem here is the whole power sector structure, and the policies of deregulation and privatization brought about by the Electric Power Industry Reform Act under the Arroyo regime,” Reyes said.

DOMESTIC manufacturers see their hurting businesses getting a new lease on life with the order of President Arroyo requiring government instrumentalities to prioritize locally made products in their procurement.

MADRID, Spain—More than 500 liters of coffee, 3,000 kilograms of biscuits and bite-size cakes, and 4,500 bottles of water are expected to be consumed at the Asian Development Bank’s (ADB) 41st Annual Governors’ Meeting (AGM), still making it an event of huge proportions.

WITH the release of the new joint-venture guidelines, the National Economic and Development Authority (Neda) said it is “hopeful” that the private sector would respond by increasing their participation in public infrastructure projects.

THE consumer group People Opposed to Warrantless Electricity Rates (Power), urged the government to scrap the 12-percent value-added tax (VAT) on electricity if it is really serious in lowering power rates.

HOPING to shed light on the latest P1 per liter increase in fuel prices implemented over the weekend, oil companies have assured they will heed the call of Energy Secretary Angelo Reyes to explain to the public the latest price adjustment in fuel prices.

CONSIDERING the huge potential in harnessing wind energy in the country, several companies have expressed interest and commitment to put up wind farms in the country, particularly in the Ilocos, Palawan and Mindoro areas.

MUNICIPAL fishermen based in Cebu are now gearing up for court battle against the Japan Petroleum Exploration Ltd. (Japex) over the controversial oil-and-gas exploration project at the Tañon Strait, a protected seascape.