SC denies favoring firm in Iloilo power distribution tussle
By Joel R. San Juan – March 3, 2020
from Business Mirror
The Supreme Court on Monday denied insinuations that it is being biased against Panay Electric Co. (PECO)’s legal battle with More Electric and Power Corp. (MORE) over the power distribution business in Iloilo City.
“The Supreme Court is composed of 15 justices, and its actions are based on the majority vote of the members en banc or of a division. As I said before in previous interviews, decisions of the Supreme Court are always founded on facts, applicable laws, and current jurisprudence,” said SC spokesman Brian Keith Hosaka.
“That is how the Supreme Court acts as mandated by our Constitution, and that is why it will always be objective and independent. In the meantime, let us wait for the final resolution of the pending cases,” Hosaka added.
Hosaka’s statement came after Abang Partylist Rep. Joseph Paduano called on President Duterte to intervene in the MORE Power versus PECO case citing the supposed bias of the SC toward the former on the issue.
The Court recently denied the plea of PECO to transfer the venue of the expropriation case filed by the new distribution utility against it before the Regional Trial Court (RTC) of Iloilo City.
PECO also sought as an alternative to consolidate the expropriation case then pending with the RTC of Mandaluyong City questioning the constitutionality of the expropriation powers given to the new utility by Congress, but this too was denied by the Court in its recently issued resolution.
The SC did not give credence to PECO’s argument that public scrutiny could affect the judge who handled the expropriation proceedings.
It held that the premise was not valid as “the mere possibility of prejudice is not sufficient to justify a transfer of venue, as aptly argued by respondent MORE.”
Paduano cited the “unusual” inhibitions by four RTC judges in the franchise-related expropriation case.
The Razon-led MORE earlier announced that it has completely taken over the distribution assets of PECO following the issuance of a writ of possession by Iloilo City RTC Judge Emerald Requina-Contreras.
The judge granted the writ to MORE under the expropriation case it filed against PECO on March 11, 2019.
MORE said it is ready to submit to the Iloilo City RTC its program for the complete takeover of the distribution facilities in the city, including the timelines on the transition period, accounting, turnover of records like the list of consumers, and documents relevant to the operation of the distribution system such as the inventory of personal properties under and inventory of real properties already under its possession.
MORE started the process of taking over PECO’s electricity distribution facilities after securing the 15-year franchise from Congress in 2019. PECO’s franchise expired on January 19, 2019 after failing to secure an extension from Congress.
Under Republic Act 11212 signed on February 14, 2019 by President Duterte, MORE was authorized to take over all distribution assets and other properties whether private or government-owned so it can distribute electricity in Iloilo City.
MORE filed the expropriation case after securing its congressional franchise to distribute power in Iloilo City via RA 11212. Sections 10 and 17 of the law granted MORE as the new distribution utility in Iloilo City the powers of eminent domain and to expropriate any asset, including existing distribution assets in the city.
MORE had secured the franchise after both chambers of Congress ignored PECO’s application to renew its franchise.
