MANILA, Philippines – The Naga Metropolis authorities has accomplished the acquisition of a Energy Sector Property and Liabilities Administration Corp. (Psalm) property within the metropolis for P8.761 million.
In a latest assertion, Psalm mentioned Naga Metropolis had remitted the fee for one in every of its land belongings positioned in Barangay Colon. Different wanted documentation had additionally been submitted.
This stems from the memorandum of settlement signed in January by Psalm and the Naga Metropolis authorities involving the 466-square-meter Psalm lot, registered as Lot No. 751.
READ: Psalm saves P510M from Marcos’ tax reduction for energy producers
“Naga Metropolis is planning to develop the bought lot into an entry street to facilitate the development of a seaport, being a part of town’s ongoing reclamation undertaking,” Psalm mentioned.
“All proceeds from the profitable sale of any Psalm asset can be used to enhance the funds wanted for the settlement of the Company’s assumed monetary obligations,” it added.
The state-run agency is remitted by the Electrical Energy Business Reform Act to settle all of the liabilities and obligations it assumed from Napocor by promoting energy and different disposable belongings.
Its monetary obligations stood at P272.14 billion as of end-January, a 78-percent decline from the height stage of P1.24 trillion recorded in 2003.
Earlier, Psalm mentioned it had saved P510 million following President Marcos’ government order that offered tax reduction for some energy producers.
Based on Psalm, its actual property tax (RPT) liabilities beneath its build-operate-transfer contracts final yr have been slashed to P116.52 million from P626.46 million.
Signed in February, Govt Order No. 83 reduces and condones RPT – together with pursuits and/or penalties – assessed on energy era amenities and impartial energy producers beneath BOT contracts.
“The discount and condonation of RPT liabilities beneath EO No. 83 present much-needed monetary reduction to Psalm and our associate IPPs,” PSALM President and CEO Dennis Edward Dela Serna mentioned.
“This enables us to handle our obligations extra successfully whereas guaranteeing the continual and steady provide of electrical energy,” he added.
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IPPs consult with entities engaged in producing electrical energy, that are then offered to energy distributors corresponding to Manila Electrical Co. (Meralco).
