Senator Paolo “Bam” Aquino IV urged the Bureau of Internal Revenue to remove the 12 percent value-added tax on entire electricity bills instead of limiting the exemption to system loss charges.
Aquino said removing VAT from the full bill could cut electricity costs by an estimated 8 to 10 percent, saving households using 200 kilowatt-hours about P237 to P296 monthly.
He said exempting only system loss charges would reduce bills by just 0.5 to 0.8 percent.
Aquino renewed his call for Senate Bill No. 266, which seeks to make electricity sales and electric utility franchise services VAT-exempt.
He said the measure would ease the burden on households, reduce costs for micro, small, and medium enterprises, create jobs, and support economic growth.
Source: PhilNews24 | September 5, 2026
