My Google Page Rank

Speaker says increase in Napocor's budget necessary to ensure power supply


Speaker Feliciano Belmonte Jr. said the increase in the budget of the National Power Corporation (Napocor) is necessary to ensure the country will have continuous power supply.

"The increase in power generation entails higher production cost, covering expenses for fuel, purchase power, rental of generating sets and new power providers (NPP) subsidy and related taxes," he said.

Belmonte said Napocor also needs to address its debt service in the amount of P3.1 billion obtained in FY 2009 and currently programmed for payment next year, and a six months provision for interest expense that were not part of the basis for the 2012 General Appropriations Act (GAA) approved level.

"The additional requirements for Capital Expenditures (CAPEX) in excess of the GAA approved level are all intended for commitments in various stages of procurement and disbursements and primarily classified as priority necessary to address the corresponding input VAT (value added tax) for such," he said.

The House of Representatives earlier passed on third reading House Joint Resolution 27, principally authored by Belmonte, which increases the corporate budget of Napocor.

Under Joint Resolution 27, the firm's corporate operating budget for 2012 will be increased from P7.5 billion to P14.9 billion.

"The additional budget shall be necessary primarily to cover the requirements for fuel, purchase power, rental of generating sets, new power providers’ (NPP) subsidy, related input VAT, debt service and capital expenditures for the entire year," said Belmonte.

He said the additional requirements are a result of the re-assessment of corporate requirements, specific programs/activities, implementation schedule, status of procurement, consideration of recent developments covering updated fuel prices, sales and generation forecast to ensure a normal power supply to the islands being served to cover the entire year.

Batanes Rep. Henedina Abad, co-author of the joint resolution, said the P7.5 billion GAA-approved corporate operating budget of Napocor for next year is just enough to cover six months of the firm's requirements for operations.

The revised requirements for the year, inclusive of the P7.3 billion supplemental requirements being proposed would now amount to P14.9 billion.

Abad said the financing sources by the corporation identified to support the updated requirements of P14.9 billion shall be from the existing approved tariff from the Small Power Utilities Group (SPUG) areas, receipts from the National Government as part of the reimbursement for the Bataan Nuclear Power Plant (BNPP) advances by the corporation, and the expected additional Universal Charge for Missionary Electrification-True Up as a result of the provisional authority recently granted by the Energy Regulatory Commission (ERC).

Other financing sources also include expected proceeds from the Department of Finance (DoF) currently being finalized to address the maturing short term facility for repayment and expected partial reimbursement from Power Sector Asset and Liabilities Management Corporation (PSALM)pertaining to Napocor's advances to the Bureau of Internal Revenue (BIR) for VAT on the sale of some main grid power plants as well as from other receivables, she said.

Co-authors of the joint resolution are Reps. Antonio Lagdameo Jr. (Davao del Norte), Ponciano Payuyo (APEC party-list), Victorino Dennis Socrates (Palawan), Ma. Amelita Calimbas-Villarosa (Occidental Mindoro), Antonio Alvarez (Palawan), Scott Davies Lanete (Masbate), Rene Relampagos (Bohol), Rodolfo Valencia (Oriental Mindoro), Joseph Emilio Abaya (Cavite), Wilfrido Enverga (Quezon), Eleandro Jesus Madrona (Romblon), Mel Senen Sarmiento (Western Samar), and Lord Allan Jay Velasco (Marinduque). (

By ilybeth G. Ison /PIA9-ZBST

Related news items:
Newer news items:
Older news items:

Add comment

Security code

Globe lands SEA-US cable system in Davao City; nears commercial operations

28 Mar 2017 Hits:50 Be the first to comment!

Globe Telecom successfully landed over the weekend the Southeast Asia-United States (SEA-US) submarine cable system, bringing the company one step closer towards the provision of richer and enhanced international connectivity to businesses in Davao and the rest of the country. “We are excited over this development since it won’t take long before we can finally address the rising demand for internet services from businesses in the Philippines,” said Mike Frausing, Globe Business Senior Advisor. “We are very near commercial operations.  Once it commences, the cable system will be able to provide greater route flexibility and better future support for bandwidth-dependent applications and services consistent with the growing trend of companies shifting their business critical operations to digital.” “The primary source of information [...] Read more

Prev Next Page:

Metro Manila residents feel safer; cops step up crime drive

28 Mar 2017 Hits:44 Be the first to comment!

At least 82 percent of Metro Manila residents feel safer in the streets due to the intensified police campaign against illegal drugs, a Pulse Asia survey shows. Pulse Asia randomly selected [...] Read more

SSS eyes mandatory OFW coverage

28 Mar 2017 Hits:43 Be the first to comment!

The state-run Social Security System said it is asking the help of lawmakers to implement the mandatory coverage of Overseas Filipino Workers (OFWs) following its goal to expand its members’ [...] Read more

Students under SPES to help direct traffic flow - Jawo

28 Mar 2017 Hits:48 Be the first to comment!

The city government will use the services of students under the Special Program for Employment of Students (SPES) to help in the implementation of the experimental traffic rerouting scheme. Traffic coordinator [...] Read more

(For effective traffic scheme:) Illegal parking not tolerated

28 Mar 2017 Hits:52 Be the first to comment!

Authorities warned motorists anew against illegal parking, particularly in light of the experimental traffic scheme currently being implemented. Executive Assistant Jawo Jimenez said owners of illegally parked vehicles will immediately receive [...] Read more

(TFZ change of command set today:) Beng cites Uy for efforts vs terrorism

28 Mar 2017 Hits:51 Be the first to comment!

Mayor Beng Climaco has cited Col. Juvymax Uy, outgoing commander of Task Force Zamboanga for his hardwork and efforts in maintaining peace and security in the city that resulted to [...] Read more

LIAC on transportation tackles traffic scheme, truck ban

25 Mar 2017 Hits:152 Be the first to comment!

The City Administrator’s Office on Thursday afternoon convened the Local Inter-Agency Committee (LIAC) on the Enforcement of Land Transportation Regulations to tackle pressing issues affecting traffic in the city’s main [...] Read more

Visually-impaired Dapilin graduates cum laude

25 Mar 2017 Hits:89 Be the first to comment!

A visually-impaired student from Basilan Province is graduating cum laude with a degree of Bachelor of Science in Education at the Western Mindanao State University (WMSU) on Wednesday, March 29. Abdulazis [...] Read more

Chides Magdalo men for being ‘cowards’

24 Mar 2017 Hits:118 Be the first to comment!

President Rodrigo Duterte on Monday branded Vice President Leni Robredo as an enemy who was in a hurry to claim the presidency and described Senator Antonio Trillanes IV as “a [...] Read more

Globe equips Manila Science HS with 21st Century classroom

24 Mar 2017 Hits:91 Be the first to comment!

Globe Telecom and Habitat for Humanity officially turned over to Manila Science High School (MaSci) over the weekend a multifunctional Information and Communications Technology (ICT) laboratory with a collaborative working [...] Read more

WestMinCom troops honor fallen marine soldier

24 Mar 2017 Hits:96 Be the first to comment!

A fallen soldier from the Marine Battalion Landing Team (MBLT)-2, who was killed during a clash with communist rebels, was honored in a send-off ceremony before he was brought to [...] Read more

Six alleged drug pushers arrested

24 Mar 2017 Hits:94 Be the first to comment!

Six persons, including a minor, were arrested in a series of buy-bust operations conducted by the different police stations of the Zamboanga City Police Office (ZCPO), Wednesday. The Drug Enforcement Team [...] Read more

MGB-9 orders stoppage of illegal gold mining in Baliguian town

23 Mar 2017 Hits:90 Be the first to comment!

Local small-scale miners looking for gold ores were ordered to stop illegal mining activities in Pigbogololan area in the rural town of Baliguian, Zamboanga del Norte early this month after [...] Read more

Globe myBusiness gives tips to working in the comfort of your own home

23 Mar 2017 Hits:91 Be the first to comment!

Many business owners enjoy working from home, but there’s a challenge that automatically comes with it.  There are certainly many perks, like being in charge of your own time, dressing [...] Read more

Cocolisap funds await PCA, City Hall coordination gab

22 Mar 2017 Hits:84 Be the first to comment!

Funds to rehabilitate the coconut industry following the cocolisap devastation cannot be released as of yet until after the Philippine Coconut Authority (PCA) regional office 9 and the city government [...] Read more

Koko sees okay of free internet access, six key bills this year

22 Mar 2017 Hits:128 Be the first to comment!

Senate President Aquilino “Koko” Pimentel III said Congress is expected to approve this year the bill on free internet access in all public places and six other key priority measures [...] Read more

Ateneo shines anew in Physician Licensure Exam

22 Mar 2017 Hits:132 Be the first to comment!

The Ateneo de Zamboanga University School of Medicine (ADZU-SOM) once again came up with an impressive performance during the recent Physician Licensure Examination (PLE) given by the Board of Medicine [...] Read more

Globe At Home Customers Meet the Cast of Wicked

21 Mar 2017 Hits:93 Be the first to comment!

The year is just beginning, but one of the highlights of 2017 is the staging of the Wicked, the West End musical, which transformed the Theatre at Solaire into the [...] Read more

Zambo harvests 80 gold medals in ZPRAA

21 Mar 2017 Hits:114 Be the first to comment!

The Zamboanga delegation ranked second in the secondary level and third in the elementary level in the recently concluded Zamboanga Peninsula Regional Athletic Association (ZPRAA) meet held in Dipolog City [...] Read more