Opposition Senator Leila de Lima on Thursday called on the House of Representatives to pass the proposed bill that seeks to prevent the expiration of franchises with pending renewal applications.
De Lima noted that the Senate has already approved its version of the bill that would amend the law that extends the validity of the existing franchise of a public utility that is pending renewal by Congress, but the House’s version of the measure is still pending.
“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,” 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,” added De Lima, a former justice secretary.
House Bill No. 7923, authored by Parañaque City Rep. Joy Myra Tambunting, and Senate Bill No. 1530 which was filed by Senate Minority Leader Franklin Drilon, propose to amend Section 18, Book VII, Chapter 3 of the Administrative Code of the Philippines.
Both measures seek the non-expiration of a license until a final determination by the granting agency is made, given that an application for renewal has already been filed in a timely manner. The Senate has since passed Drilon's measure while the House bill remains unresolved.
“In principle, the proposal only expands a benefit that is already granted to licensees of permits granted by the executive branch, where the licensee has made timely and sufficient application for renewal, as provided for under Section 18, Book VII, Chapter 3 of the Revised Administrative Code. Presently, only the House of Representatives version of the bill remains pending for approval,” the detained senator explained.
De Lima, who is seeking a fresh Senate term in the upcoming May 2022 elections, also said that contrary to the position of the Solicitor General, there is nothing unconstitutional in the bill, noting that Congress can still decide wether to deny or approve the renewal of a franchise.
The Department of Justice (DOJ) has also expressed support and claimed “nothing legally objectionable” in the measure, the senator noted.
“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 pointed out.
“An authorization that, itself, would be emanating from Congress through this proposed bill. The purpose is just as clearly constitutionally valid, i.e., to avoid unnecessary losses that would be incurred both by the franchise holder and the public that it services during the renewal period, whether or not said franchise is eventually renewed anyway,” she further explained.
“For these reasons, there should exist no valid objection to the proposed bills on the matter, and the pendency of the House version of the bill should not be prolonged any further,” De Lima reiterated.