House to conduct motu proprio inquiry into NGCP franchise

MANILA, Philippines — A panel in the House of Representatives agreed to conduct a motu proprio inquiry into the congressional franchise of the National Grid Corporation of the Philippines (NGCP).

At a House committee hearing on Monday, Deputy Speaker David “Jayjay” Suarez made the motion for the House’s panel on legislative franchises to probe NGCP and its franchise.

“Since we have sufficient numbers of members present with us online, may I call on the members of the committee to vote on conducting a motu proprio inquiry for the review of the congressional franchise of NGCP. I move [that a] referendum be made on this matter,” said Suarez.

His motion was seconded by Rep. Dan Fernandez and was subsequently declared approved by committee chairperson Rep. Gus Tambunting.

Prior to the motion raised by Suarez, Tambunting already noted that the controversy surrounding NGCP all started because of a transmission issue.

“Kaya po nagsasanga sanga itong mga tanong at nanganganak because of the answers raised by NGCP. We have to be very very clear because at the end of the day, it’s public interest, public good ang bottom line nito. That’s why yun po talaga ang titingnan natin,” said Tambunting.

(That’s why these questions branch out because of the answers raised by NGCP. We have to be very very clear because at the end of the day, it’s public interest, the bottom line is public good. That’s what we’re going to look at,” said Tambunting.

Among issues raised during the hearing was NGCP’s “non-payment of tax.”

“The only thing that they are paying for is franchise. Medyo nakakakulo ng dugo, ang laki laki na nga ng kinikita nila, hindi pa sila nagbabayad ng buwis kaso nasa prangkisa nila na hindi sila magbayad ng buwis. Actually, ang mahal mahal ng presyo ng  kuryente dahil nagbabayad tayo sa mga proyektong di pa tapos,” said Suarez.

(The only thing that they are paying for is franchise. It’s a bit blood-curdling, their income is so big [but] they haven’t paid taxes yet. It’s because it says in the franchise [contract] that they will not pay taxes. Actually, the price of electricity is expensive because we are paying for projects that are not yet finished.)

Apart from this, Fernandez — in the same hearing — likewise sounded the alarm over China Grid Corporation’s supposed role in NGCP.

“What I’m trying to say [and] imply here, meron ding implication sa national security ito. Kasi nga, yung binebenta nila non-voting preferred, binili nila sa NGCP ang 20 percent, ang breakdown nyan ay 40 percent owned by China Grid Corporation and 60 percent owned by Filipinos. Binenta mo ngayon ang 20 percent sa Filipinos pero preferred lang siya, hindi siya common share so mawawalan ng voting powers ang Filipinos,” he said.

(What I’m trying to say [and] imply here, this also has implications for national security. Because, what they sold is ‘non-voting preferred.’ They bought 20 percent from NGCP, the breakdown of which is 40 percent is owned by China Grid Corporation and 60 percent owned by Filipinos. You now sold 20 percent to the Filipinos but it is only preferred, it is not a common share so the Filipinos will lose their voting powers.)

According to Fernandez, this “backdoor that they have done may contain national security content,” urging Filipinos to be very wary about it.