Vizcaya’s poorest town now P100 M richer

ALFONSO CASTAÑEDA, Nueva Vizcaya — This landlocked province’s farthest and one of the region’s poorest municipalities is now richer by more than P100 million.

This, after California Energy (Cal-Energy), which owns and operates the Casecnan multi-purpose irrigation and power project in this southern mountain town, finally settled its P250-million real property tax this week.

By virtue of tax-sharing, this municipality, also inhabited by the Bugkalot tribe, will get at least 50 percent of the real property tax, it being the major host of the Casecnan project.

The intake tanks, a portion of the 36-kilometer diversion tunnel and other vital facilities of the Casecnan project are within this town’s territorial jurisdiction.

For its part, the provincial government will get at least 40 percent of the tax payment, while the rest will be shared by the five barangays located within the Casecnan project’s impact zone.

Dominated by the Bugkalots, these barangays are Pelaway, Abuyo and Lipuga here as well as Talbec and Abaca in Dupax del Norte town.

Alfonso Castañeda Mayor Alfredo Castillo Jr. confirmed that at least P100 million has been earmarked for his sixth-class municipality.

He said the Bugkalots, who were neglected after the Casecnan project was completed in 2001, will be the main beneficiaries of the tax payment.

"The communities of Alfonso Castañeda are very thankful for this. At least we will now be reaping the benefits due us," he said.

Last Monday, Cal-Energy finally settled its P250-million real property tax obligation, averting the provincial government-sanctioned public bidding of the Casecnan project’s facilities and properties on July 26.

Cal-Energy earlier refused to pay the real property tax, arguing that it should be the National Irrigation Administration which should shoulder the obligation based on their supplemental memorandum of agreement in 2003.

The provincial government, however, still held the US company liable for the payment, it being the owner and operator of the Casecnan project.