ROMEO P. GEROCHI, KATULONG NG BAYAN (KB) and ENVIRONMENTALIST CONSUMERS NETWORK, INC. (ECN), Petitioners vs.

DEPARTMENT O ENERGY (DOE), ENERGY REGULATORY COMMISSION (ERC), NATIONAL POWER CORPORATION (NPC), POWER SECTOR ASSETS AND LIABILITIES MANAGEMENT GROUP (PSALM C!"#.), STRATEGIC POWER UTILITIES GROUP (SPUG), and PANAY ELECTRIC COMPANY INC. (PECO), Respondents G.R. N!. $%&'&(, )*+, $', -..' Facts: RA 9136, otherwise known as the Electric Power Industry Reform Act of 2 1 !EPIRA", which sou#ht to impose a uni$ersal char#e on all end%users of electricity for the purpose of fundin# &AP'('R)s pro*ects, was enacted and took effect in 2 1+ Petitioners contest the constitutionality of the EPIRA, statin# that the imposition of the uni$ersal char#e on all end%users is oppressi$e and confiscatory and amounts to ta,ation without representation for not #i$in# the consumers a chance to -e heard and -e represented+ Issue: ./& the uni$ersal char#e is a ta, Ruling: &'+ 0he assailed uni$ersal char#e is not a ta,, -ut an e,action in the e,ercise of the 1tate)s police power+ 0hat pu-lic welfare is promoted may -e #leaned from 1ec+ 2 of the EPIRA, which enumerates the policies of the 1tate re#ardin# electrification+ 2oreo$er, the 1pecial 0rust 3und feature of the uni$ersal char#e reasona-ly ser$es and assures the attainment and perpetuity of the purposes for which the uni$ersal char#e is imposed !e+#+ to ensure the $ia-ility of the country)s electric power industry", further -oostin# the position that the same is an e,action primarily in pursuit of the 1tate)s police o-*ecti$es+ If #eneration of re$enue is the primary purpose and re#ulation is merely incidental, the imposition is a ta,4 -ut if re#ulation is the primary purpose, the fact that re$enue is incidentally raised does not make the imposition a ta,+ 0he ta,in# power may -e used as an implement of police power+ 0he theory -ehind the e,ercise of the power to ta, emanates from necessity4 without ta,es, #o$ernment cannot fulfill its mandate of promotin# the #eneral welfare and well%-ein# of the people+