CEBU, Philippines - Regional Trial Court Branch 16 Judge Sylva Paderanga issued an order stopping the Cebu province from conducting an auction of the properties of National Grid Corporation of the Philippines (NGCP).
Provincial attorney Marino Martinquilla told reporters that the order, which takes effect within 20 days, was issued by Paderanga during a hearing yesterday.
Martinquilla said there will be no auction of NGCP’s transmission lines, submarine cables and other machinery. The auction was supposed to be scheduled for July 2.
“No auction within 20 days,” he said.
Martinquilla added that Paderanga directed both parties to submit within seven days their position, which will be the basis of whether or not a writ of preliminary injunction will be issued.
Earlier, the NGCP filed a petition for declaratory relief against the Capitol, provincial treasurer Roy Salubre; former provincial assessor Anthony Sususco and National Transmission Corporation (Transco) questioning the provincial government’s P192 million tax assessment.
In its petition, the NGCP stated “there is an extreme urgency for the issuance of a TRO and a writ of preliminary injunction considering that the sale at public auction is already underway and could happen anytime.”
The NGCP also asked the court to cancel the tax declarations, claiming that the properties are owned by Transco, a government owned and controlled corporation.
It stated that, under the law, the government corporation is exempted from paying taxes.
“The properties involved are exempted from real property tax by virtue of Section 9 of RA 9511 and Section 234 (c) of the LGC since the properties are owned by Transco and are actually, directly and exclusively used for the transmission of electric power,” petition reads.
NGCP said that there will be blackouts in the province if the Capitol pushes through with the auction.
The transmission lines that are subject for auction are those located in Daanbantayan and Samboan. — LPM (FREEMAN)