PHILIPPINE LAWS, STATUTES AND CODES - CHAN ROBLES VIRTUAL LAW LIBRARY
REPUBLIC ACT NO. 6459 - AN ACT GRANTING CAUAYAN ELECTRIC CORPORATION A FRANCHISE FOR AN ELECTRIC LIGHT, HEAT AND POWER SYSTEM IN THE MUNICIPALITY OF CAUAYAN, PROVINCE OF ISABELA
Subject to the provisions of the Constitution and to the terms and
conditions established in Act Numbered Thirty-six hundred thirty-six,
as amended by Commonwealth Act Numbered One hundred thirty-two, there
is granted to Cauayan Electric Corporation, for a period of twenty-five
years from the approval of this Act, the right, privilege, and
authority to install, operate and maintain an electric light, heat and
power system for the purpose of generating and distributing electric
light, heat and power for sale in the Municipality of Cauayan, Province
Sec. 2. In the event that the grantee shall purchase and secure from the National Power corporation electric heat and power, the National Power Corporation is hereby authorized to negotiate and transact for the benefit and in behalf of the public consumers with reference to rates.
Sec. 3. It is expressly provided that in the event the Government should desire to maintain and operate for itself the system and enterprise herein authorized, the grantee shall surrender its franchise and will turn over to the Government all serviceable equipment therein, at fair market value, less reasonable depreciation.
Sec. 4. In consideration of the franchise and rights hereby granted, the grantee shall pay a franchise tax equal to five per centum of the gross earnings under this franchise, three per centum of which shall accrue to the National Government and two per centum to the municipality where the franchise is being operated.
Sec. 5. This Act shall take effect upon its approval.
Approved: June 17, 1972