Lawmaker allays monopoly concerns over proposed solar power franchise

MANILA, Philippines — The proposed mega franchise of a solar power company owned by a son of Sen. Loren Legarda would not create a monopoly, the measure’s principal author, Bohol Rep. Arthur Yap, said yesterday.

He said the committee on legislative franchises included in the franchise bill several safeguards, including non-exclusivity of the proposed privilege and prohibition on its sale, lease or transfer.

“In fact, the bill clears the way for other new players to apply for their own non-exclusive franchises. It is a measure specifically designed to break the existing monopolies of traditional utilities that have otherwise fallen behind in improving the quality of their service,” he said.

He added that the proposed franchise grant “does not violate the existing franchises of distribution utilities and electric cooperatives because those are not exclusive.”

Yap stressed that the congressional privilege, if granted to Solar Para sa Bayan Corp. (SPSBC), would provide “cheap and clean electricity to communities across the country that have been longing for better electric service.”

The corporation is a subsidiary of Solar Philippines, owned by Legarda’s son Leandro Leviste.

The proposed franchise would allow the Leviste firm “to construct, install, establish, operate, and maintain distributable power technologies and mini-grid systems throughout the Philippines to improve access to sustainable energy.”

Congressmen opposed to the proposal, including Michael Romero of 1-Pacman and Lito Atienza of Buhay, have filed Resolution No. 2182, which urges the committee on rules to return the bill to the committee on franchises “for further deliberations.”

“There were members of the House who intended to participate in the (franchises committee) deliberations but were not able to do so due to the apparent haste in passing the bill,” they said.

They urged the House to further study the measure, since “some of its provisions are patently unconstitutional and/or contrary to Republic Act 9136 or the Electric Power Industry Reform Act (Epira) of 2001.”

Yap said he was willing to accommodate the concerns aired by his colleagues and stakeholders.