State-run Power Sector Assets and Liabilities Management Corp. expects to realize savings of P822 million from the issuance of Executive Order No. 157 by President Rodrigo Duterte, a top executive said over the weekend.
EO 157 authorizes the reduction of the 2021 real property tax due on property, machinery and equipment used for production of electricity by independent power producers covered by build-operate-transfer contracts with government-owned or controlled corporations.
PSALM said its 2021 RPT obligations amounting to about P1.019 billion at 80-percent tax assessment rate would be reduced to about P200 million at 15-percent.
“We are very thankful that President Duterte signed EO No. 157. With the issuance of this EO No. 157, PSALM’s 2021 RPT obligations amounting to about P1.019 billion at 80 percent assessment rate, would be reduced to about P200 million at 15 percent assessment rate,” PSALM president and chief executive Irene Besido0-Garcia said.