The American Chamber of Commerce (AmCham) here is urging the government to look at the possibility of allowing full foreign ownership in public utilities without necessarily amending the Constitution.
John Forbes, AmCham senior adviser, said the positive effects will come in ripples as aside from opening the country’s doors to more foreign direct investments (FDI), the stronger competition in public utilities will also give Filipino consumers access to better services at lower prices.
The Foreign Investment Negative List (FINL) only allows up to 40 percent foreign equity in public utilities. The list, however, is being revised every two years as mandated by the Foreign Investments Act of 1991, as amended by Republic Act 8179.
Forbes said as part of the ongoing review of the FINL, the government should consider public utilities as one of the investment areas where 100-percent foreign equity should be allowed.
“If your objective is to improve competition and increase investments in public utilities without changing the Constitution, this is one way to do it,” Forbes told the BusinessMirror.
He said the Constitution, anyway, does not clearly define what a public utility is.
The 1936 Public Service Act, he said, is probably the only law that details what public utilities are.
This outdated law, Forbes said, should be included in the FINL review and determine if there is a way to fully liberalize the public utilities sector without tinkering with the Constitution.
“That is the objective of the FINL, to see if there is anything there in the list that can be removed,” Forbes said.
He noted that although revising a law could be troublesome, it is a lot easier than amending the Constitution.
The public utilities sector, because of the nature of its business, is one of the areas that can easily attract foreign investments, Forbes said.
Like in the United States, he said, there are many European players in the telecommunications sector, and there are also several American telecommunication firms in Europe.
The public utilities sector, he said, is one major reason why the US and Europe have the biggest exchange of FDI. –Max V. de Leon | Reporter, Businessmirror
July 2025
Nutrition Month
“Give us much more than P50 increase
for proper nutrition!”
Invoke Article 33 of the ILO Constitution
against the military junta in Myanmar
to carry out the 2021 ILO Commission of Inquiry recommendations
against serious violations of
Forced Labour and Freedom of Association protocols.
Accept National Unity Government (NUG)
of Myanmar. Reject Military!
#WearMask #WashHands #Distancing #TakePicturesVideosturesVideos
July
3 July – International Day of Cooperatives
3 July – International Plastic Bag Free Day
5 July – World Youth Skills Day
7 July – Global Forgiveness Day
11 July – World Population Day
17 July – World Day for International Justice
28 July – World Nature Conservation Day
30 July – World Day against Trafficking in Persons
Monthly Observances:
Schools Safety Month
Nutrition Month
National Disaster Consciousness Month
Weekly Observances:
Week 2: Cultural Communities Week
Micro, Small, and Medium Enterprise
Development Week
Week 3: National Science and
Technology Week
National Disability Prevention and
Rehabilitation Week
July 1-7:
National Culture Consciousness Week
July 13-19:
Philippines Business Week
Week ending last Saturday of July:
Arbor Week
Daily Observances:
First Saturday of July:
International Cooperative Day
in the Philippines
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