Monday, November 03, 2008 Firm gives LGU P79M for plants
SN Aboitiz Power Benguet, Inc. (Snap-Benguet) has remitted to the Province of Benguet P79.5 million as payment of the local transfer tax for its acquisition of the 75-MW Ambuklao and the 100-MW Binga hydroelectric power plants located in the province.
Snap-Benguet chief executive officer Emmanuel V. Rubio and Beverly B. Tolentino, finance and administration head, handed the check to Benguet Gov. Nestor B. Fongwan and Provincial Treasurer Imelda I. Macanes in a simple ceremony held on Oct. 28 at the Provincial Capitol. Vice Gov. Cresensio Pacalso and Provincial Board members witnessed the ceremony.
“The amount of P79.5 million paid by SN Aboitiz Power Benguet is the single highest tax payment to the Province of Benguet, to date,” said Macanes.
Snap-Benguet paid the local transfer tax after the execution of the deed of absolute sale for the Ambuklao and Binga facilities on Sept. 25, 2008.
The tax is one-half of one percent of the total purchase price of $325 million for both plants. Snap-Benguet acquired the two facilities from the Power Sector Assets and Liabilities Management Corporation (Psalm) after emerging as the highest bidder in the public bidding held by Psalm.
“Our payment of the local transfer tax for the Ambuklao and Binga hydroelectric facilities is a milestone in our operations in Benguet. This payment signifies the start of our continuing and long partnership with the Province of Benguet and its people.
As a responsible corporate citizen, SN Aboitiz Power Benguet will diligently and promptly abide by its tax obligations to the province and in this way, do our share to support its growth and development,” said Rubio during the ceremony.
Governor Fongwan said he was pleased with Snap-Benguet’s prompt tax payment.
“The tax paid by SN Aboitiz Power will go a long way to fund the development of the province and help ensure financial resources to realize our vision for our people,” he said. (PR)
