MANILA, Philippines—Electricity consumers nationwide may expect lower electricity rates once the twin power bills authored by Senate President Juan Ponce Enrile are enacted.

Senate Bill No. 3147, or the Uniform Franchise Tax Act, and Senate Bill No. 3282, or the Electricity Rate Reduction, share the same goal of lowering power costs in the country, by reducing government taxes and royalties on distribution utilities and power generation companies, respectively.

According to Enrile, some 4.09 million lifeline customers are expected to get discounts ranging from 15 centavos per kilowatt-hour (kWh) to as much as 67 centavos per kWh.

In particular, those consuming 100 kWh monthly may save up to P67 from the current monthly bill estimate of P676, while those consuming 21 to 50 kWh are expected to save P21 from a monthly bill of P214.

Depending on their usage, other residential, industrial and commercial customers can expect lower monthly electricity bills, ranging from 11 centavos per kWh to 13 centavos per kwh. This would translate to about P15 to P80 savings in their monthly bills.

Also, the so-called “high load factor” customers, such as hospitals, semi-conductor industries, cement factories and the like, can expect a decrease of as much as P1.50 per kWh.

According to Enrile, the twin power bills will provide the stimulus that the local economy needs to survive the onslaught of the prevailing global crisis.

“Lower power rates will make local industries more competitive and give the consuming public more disposable income to pump-prime the economy,” Enrile said.

SB 3147 proposes that government adopt a franchise tax regime where electric utilities are levied 3 percent tax on their gross distribution income in lieu of all national and local taxes.

SB 3282 meanwhile proposes that the government share or royalties collected in the exploration, development and production of indigenous energy sources, like natural gas, shall be reduced to 3 percent of net proceeds levied on generation companies.