Franchise of Panay power firm affirmed | Inquirer News
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Franchise of Panay power firm affirmed

/ 05:08 AM May 27, 2021

The Supreme Court has affirmed an earlier ruling and paved the way for tycoon Enrique Razon’s More Power Electric Corp. to run Iloilo City’s power distribution system. In an 18-page resolution promulgated in March but released to the public on Tuesday, the court, voting 9-6, denied the motion for reconsideration filed by Iloilo’s former longtime power distributor, Panay Electric Co. (Peco), which had questioned the court’s Sept. 15, 2020, ruling in favor of the expropriation provisions in More Power’s franchise. The court, in its decision, upheld the constitutionality of Sections 10 and 17 of Republic Act No. 11212, which granted a 25-year franchise to More Power to distribute electricity in Iloilo City and the power to expropriate Peco’s distribution assets. The high court said it was beyond its power “to question the wisdom of Congress in granting the franchise to More” because of the principle of separation of powers. —TINA G. SANTOS

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TAGS: MORE Power, Panay power firm, Peco
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