FIRING LINE: Power consumers catch a break

FIRING LINE: Power consumers catch a break

By Robert B. Roque Jr. | September 17, 2026

It’s happening. The Bureau of Internal Revenue (BIR) has turned on its good side and scrapped value-added tax (VAT) on the system loss charge stacked into every Filipino’s electricity bill.

Either by political will or survival, the promise President BBM had given during his last State of the Nation Address (SONA) has been fulfilled. For that, well, credit goes to the oft-bashed Chief Executive.

Under Revenue Memorandum Circular No. 97-2026, issued last September 14, the BIR now recognizes the allowable system loss, within the ERC-approved cap, as a government-mandated pass-through cost.

What that means, according to Commissioner Charlito Mendoza, is that the BIR ceases to consider it part of gross sales, and therefore it should no longer be taxable under VAT. 

The good news should make consumers feel it, even if only slightly, once distribution utilities adjust their billing. This should be soon!

Now, we should remember that this little win only treats a symptom and not the disease that burdens us, consumers. We are still paying for power lost in transmission, or electricity we never used.

So here’s a fresh challenge to Marcos Junior: If your government is serious about saying that “every peso counts,” the next move should be to interrogate why system loss exists at this scale in the first place, and whether other pass-through charges deserve the same scrutiny. You owe us more, Mr. President.

A problem like Romualdez

How do you solve a problem like former Speaker Martin Romualdez? 

Is the Palace really feeding him to the public to take the fall for all the scamming of the national budget?

While we ordinary mortals caught a small break on our electricity bills, it seems BBM’s cousin and First Lady Liza Araneta-Marcos’s reported favorite in-law won’t be getting any comfort.

Martin is now at the New Quezon City Jail in Payatas, transferred there Monday night, after doctors at the Philippine General Hospital cleared him for detention.

If we are to believe DILG Secretary Jonvic Remulla, the sick congressman is in the infirmary ward with three regular inmates — no air-conditioning, just an exhaust fan pushing air in and out. His arraignment on the P7.44-billion plunder case is set for September 16.

Let’s be clear where I stand. Romualdez is entitled to proper medical care — non-negotiable, for him or anyone behind bars. But medical care isn’t a backdoor to special treatment. He hasn’t been convicted.

But in the court of public opinion, this case reads like exactly what it is: the People of the Philippines versus Romualdez — because the money allegedly plundered came straight out of every Filipino’s pocket.

Here’s my read, plainly stated: the Marcoses won’t fall on their sword for him. I think the family has had enough of cleaning up after the Romualdezes.

And even with reports of Romualdez being close to FLLAM, I’d bet on her instincts over sentiment, which are too sharp, too strategic, to let loyalty to one man threaten BBM’s presidency. If it comes to it, she cuts him loose. Not cruelty. Survival.

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