Senator presses House for swift passage of measure on franchise expiration
A SENATOR on Thursday called for the House of Representatives’ swift passage of a measure that prevents the automatic expiration of franchises with pending renewal applications to ensure continuity of utility services.
The upper chamber’s version, Senate Bill 1530, was approved on final reading last December, with the revised administrative code providing the non-expiration of a license “where the licensee has filed a timely and sufficient application for renewal, until a final determination on the application has been made.”
“I call on our counterparts in the House to pass this measure, as it remains crucial to the operation of existing franchises that are awaiting renewal by Congress,” Senator Leila M. De Lima said in a statement.
“As stated in the objective of the proposed law, the measure only seeks to address a gap in the continuity of operation of public utilities pending the renewal of their franchises — again, a benefit that is, in the first place, already granted to, and being enjoyed by, holders of executive licensees,” she added.
House Bill 7923, which seeks to amend Section 18 of the Administrative Code of the Philippines, is currently pending with the committee on legislative franchises.
Parañaque Rep. Joy Myra S. Tambunting, primary author of the House version, did not immediately respond to a Viber message seeking comment.
The Justice department previously expressed support and claimed that there was “nothing legally objectionable” in the measure, but Solicitor General Jose C. Calida noted his opposition to the bill in a letter to the National Telecommunications Commission.
Ms. De Lima countered that there is nothing unconstitutional in the proposed bill as Congress still has the authority to deny or approve the franchise renewal.
“It only provides that pending the decision of Congress, the franchise continues to subsist so as to avoid losses both in income and in the service provided to the public during the period between its expiration and eventual renewal,” she said. — Alyssa Nicole O. Tan
