Tulfo Files Bills to Exempt System Loss Charges from VAT, Repeal Energy Tax

MANILA, Philippines — Senator Erwin Tulfo on Tuesday filed two bills seeking to exempt system loss charges from value-added tax (VAT) and to repeal the collection of energy taxes. This comes a day after President Ferdinand Marcos Jr. announced in his State of the Nation address that the government would focus on alleviating the burden on citizens. Tulfo, who chairs the Senate committee on energy, said that system loss charges should not be subjected to VAT because they are intended to cover losses in power distribution. He also said that energy taxes unfairly increase electricity bills for consumers and that these taxes should be repealed. "These taxes are a burden to the Filipino people," Tulfo said. If passed into law, the bills could significantly reduce the electricity bills of Filipino households and businesses. The Philippines has one of the highest electricity rates in Southeast Asia, which has been a major concern for consumers and businesses alike. Marcos Jr. has vowed to address the high cost of electricity in the country, and the filing of these bills is seen as a step towards fulfilling that promise.