An Act Granting the Gapan Electric Corporation a Franchise for an Electric Light, Heat and Power System in the Municipalities of Gapan and San Isidro, Province of Nueva Ecija

REPUBLIC ACT No. 3013

An Act Granting the Gapan Electric Corporation a Franchise for an Electric Light, Heat and Power System in the Municipalities of Gapan and San Isidro, Province of Nueva Ecija

Be it enacted by the Senate and House of Representatives of the Philippine Congress Assembled:

Section 1. Subject to the terms and conditions established in Act Numbered Thirty-six hundred and thirty-six, as amended by Commonwealth Act Numbered One hundred and thirty-two, and to the provisions of the Constitution, there is granted to the Gapan Electric Corporation, for a period of fifty years from the approval of this Act, the right privilege, and authority to contsruct, maintain and operate and electric light, heat and power system for the purpose of generating and distributing electric light, heat and/or power for sale within the municipalities of Gapan and San Isidro, Province of Nueva Ecija.

Section 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.

Section 3. This franchise is granted on the express condition that the grantee will comply, upon approval thereof, with his commitment to reduce the rates according to the schedule hereinbelow stated, and that the said rates shall be maintained unless for well founded reasons. After two years, a change may be authorized by the Public Service Commission: Provided, However, That the Commission may approve any change, at any time, if the purpose is to further reduce said rates.

Section 4. 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 cost, less reasonable depreciation.

Section 5. This Act shall take effect upon its approval.

Approved: June 19, 1960.