BusinessMirror

SC sides with MORE in Iloilo power rift

- By Joel R. San Juan @jrsanjuan1­573

THE Supreme Court (SC), voting 8-6, has finally affirmed the control of More Electric and Power Corp. (MORE Power) over the power distributi­on business in Iloilo City.

SC Spokesman Brian Keith Hosaka said the Court en banc reached the decision during its regular en banc session held on Tuesday.

He said the Court ruled to reverse and set aside the order issued by the Regional Trial Court (RTC) of Mandaluyon­g City and declared Sections 10 and 17 of Republic Act (RA) 11212 (MORE Power’s franchise) as constituti­onal.

The said provisions give MORE Power the powers of eminent domain and to expropriat­e any asset, including existing distributi­on assets in the city.

Panay Electric Co. Inc. (PECO) and MORE Power have been engaged in a legal tussle over the control of the Iloilo City power distributi­on.

MORE Power started the process of taking over PECO’S electricit­y distributi­on facilities after securing the 15-year franchise from Congress in 2019 following the expiration of PECO’S franchise on January 19, 2019.

MORE Power filed the expropriat­ion case against PECO’S distributi­on assets after securing its congressio­nal franchise.

Last December 2019, the SC issued a temporary restrainin­g order (TRO) enjoining the Mandaluyon­g RTC from implementi­ng its decision against MORE Power.

The TRO paved the way for the expropriat­ion of PECO’S assets by MORE Power.

“In granting the petition, the Supreme Court reversed the judgment of the Regional Trial Court of Mandaluyon­g City Branch 209…and declared Sections 10 and 17 of RA 11212 constituti­onal,” the SC said.

PECO’S camp has expressed disappoint­ment over the Court’s decision favoring MORE Power, but it also noted the magistrate­s’ close vote on the issue.

The company said the ruling would have “reverberat­ing consequenc­es that open the power of expropriat­ion to abuse.”

“The tight vote lends support to our position that the takeover of PECO’S properties is not the exercise of eminent domain contemplat­ed by our laws, but a violation of constituti­onal rights,” PECO lawyer Estrella Elamparo said.

Elamparo also questioned the timing of the release of the decision, saying it was done 4 days before Associate Justice Jose Reyes Jr., who was the justice-in-charge of the case, retired from the Court.

“Curiously, the ponente proceeded with the decision just 4 days before his retirement from the judiciary. Although this is a massive hurdle, we will not give up on our fight and we will continue to pursue the available legal remedies to defend PECO’S constituti­onal rights,” Elamparo said.

“Despite this temporary setback, we remain optimistic that we will ultimately be vindicated not just for PECO, but for the people of Iloilo,” she added.

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