Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City
NINETEENTH CONGRESS
First Regular Session
8191
HOUSE BILL NO.
Introduced by REPRESENTATIVE CHEEN0 MIGUEL D. ALMARIO
EXPLANATORY NOTE
Public utility providers - power, water, internet, cable televisions, telecoms -
normally   charge   their   subscribers   a   fixed   overhead   monthly   fee   to   ensure
uninterrupted quality service.
In most areas of the country, however, interruptions in the services of utility
companies occur too often for comfort. These disruptions adversely impact people
and the economy resulting in actual and opportunity losses.
This  bill  seeks  to  address  the  losses  incurred  by  the  subscribers  through
minute-based  forfeiture  on  fixed  and  overhead  cost  charges  of  utility  service
companies when unannounced or unintended service interruptions, not attributable
to natural calamities, occur. It mandates public utility providers to create mechanisms
to refund or adjust the billings of users and consumers, including subscribers under
prepaid plans, who suffered losses due to unscheduled disruptions.
The measure also aims to encourage and challenge companies to improve their
services while adopting the best business practices by giving their customers advance
notifications of reasonable service interruptions.
A similar version of this bill was filed in the 18th Congress by the Honorable Joel
Mayo Z. Almario. Support for the approval of this bill is earnestly sought.
2nd District, Davao Oriental


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City
NINETEENTH CONGRESS
First Regular Session
HOUSE BILL No.  8191
Introduced by REPRESENTATIVE CHEENO MIGUEL D. ALMARIO
AN ACT
IMPOSING FORFEITURES ON THE OVERHEAD CHARGES DUE TO
UNINTENDED OR UNANNOUNCED UTILITY SERVICE INTERRUPTION
AND FOR OTHER PURPOSES
Be it enacted by the Senate and House of Representatives Of the Philippines in
Congress assembled:
1                     SECTION  1.  This  Act  shall  be  known  as  the  ``Ufi./i.ty  Scrvi.ce  /nferrupfrorz
2       ForfeitureActof 2023".
3                    SEC. 2. It is hereby declared the policy of the state to ensure that all citizens
4      have access to water, electricity, and telecommunications services.
5                    SEC. 3. There shall be a minute-based forfeiture on the overhead and other
6      fixed  fees  charged  by  utility  service  providers  to  every  subscriber  or  consumer
7      whenever unintended or unannounced utility service outages or interruptions arise.
8                   Utility service entities shall apply the minute-based forfeiture, on a pro-rated
9      basis,  as a refund  credit or bill adjustment to  a customer or subscriber who  has
10      experienced a service outage or interruption for an aggregate period of twenty-four
11       (24)  hours  or  more  covering a billing  cycle  of one  (1)  month.  The  utility service
12       entities shall not require the subscriber or customer to take any action to receive a
13       refund creditorbill adjustment,
14                   The  refund  credit  granted  under  this  Act  shall  likewise  be  granted  to
15       customers subscribing to a service on a prepaid basis. The utility service entities shall
16      provide the necessary mechanisms that prepaid subscribers may use to avail of the
17       refund credit.
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18                   SEC. 4. The minute-based forfeiture granted to subscribers and consumers on
19      the overhead and other fixed fees, within the ambit of this Act, shall apply only to
20      unintended or unannounced utility service outages or interruptions; Provl.did, That
21       said   minute-based   forfeiture   shall   not   apply   to   a   utility   service   outages   or
22       interruptions  due  to  scheduled  maintenance  breaks  as  announced  by the  utility
23       service providers; Provz.did, flrfrier, That the utility service providers shall notify all
24      its  consumers  or  subscribers  through  print,  radio,  television,  or  social  medial
25      platforms, at least forty-eight (48) hours prior to the scheduled maintenance break.
26                   SEC. 5. The minute-based forfeitures shall apply from the time the unintended
27      and unannounced  electricity, water, and telecommunications  service interruption
28      starts until the service is fullyrestored.
29                    SEC.  6.  The  minute-based  forfeiture  rates  and  overhead  and  other  fixed
30       charges  shall  be  determined  by the  Energy  Regulatory  Commission  (ERC),  Local
31       Water     Utility    Administration     (LWUA),     and     National     Telecommunications
32       Commission  (NTC), as the case may be, in  coordination with the other concerned
33       governmentagencies.
34                    SEC. 7. Utility services interruptions due to, but not limited to, force majeure,
35       acts of gods, insurrection, rebellion, or negligence by the consumer or subscriber,
36      shall be excluded from the minute-based forfeitures provided for in this Act.
37                    SEC. 8. Any utility service provider found in violation of the provisions of this
38      Act shall be punished with a fine of not less than Fifty Thousand pesos (P50,000.00)
39       foreach day ofnon-compliance commencingfromthe datetheviolation is committed.
40                    SEC. 9. The Department of Energy (DOE) and Department of Information and
41       Communications Technology (DICT), in coordination with the ERC, LWUA, NTC, and
42       other concerned agencies, shall formulate the implementing rules and regulations
43       (IRR) within sixty (60) days from the enactmentofthisAct.
44                    SEC.10. If any part, section, or provision of this Act shall be held invalid or
45      unconstitutional, the rest of the provisions shall not be affected thereby.
46                    SEC.11. All  laws,  executive  orders,  rules  and  regulations,  or parts  thereof
47      which are inconsistent with this Act are hereby repealed or modified accordingly.
48                    SEC.12. This Act shall take effect fifteen (15) days after its publication in the
49       0j7I.cz.aJ Gazcttg or in a newspaper of general circulation.
50                    Approved,
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