MANILA - The National Economic and Development Authority said on Monday it has released the implementing rules and regulations (IRR) of the amendments to the Public Service Act.
The IRR, approved by all 21 agencies, was released following an extensive review and consultations with the public, legislators, administrative agencies and stakeholders, NEDA said in a statement.
Republic Act. No. 11659 or the Amendments to the Public Service Act enables full foreign ownership in select sectors.
“With the IRR already in place, we see this as a landmark reform that will further improve the country’s position as an ideal investment hub, which will help enhance employment opportunities and allow more Filipinos to benefit from more improved goods and services,” NEDA Secretary Arsenio M. Balisacan said.
Upon effectivity on April 4, NEDA said the PSA would enable the liberalization of key public services allowing full foreign ownership in select industries such as airports, railways, expressways and telecommunications.
Prior to the amendment to the PSA, foreign ownership to the above-mentioned sectors is capped at 40 percent.
The PSA also provides safeguard provisions to protect the country against national security concerns that may arise from any proposed merger or acquisitions or in any investment in public service, NEDA said.
“The PSA amendments form a critical part of our endeavor to attract foreign investments to the country to boost market competitiveness, foster innovation, and create high-quality jobs,” Balisacan said.
Other relevant administrative agencies may issue guidelines and circulars for the effective implementation of the law and its IRR, the agency said.
Meanwhile, public service utilities such as electricity transmission and distribution, water and wastewater pipeline distribution system including sewerage, petroleum and petroleum products pipeline transmission systems, seaports and public utility vehicles remain subject to the 60-40 foreign equity limit, NEDA said.
Full IRR can be downloaded from NEDA's website.
- with a report from Warren De Guzman, ABS-CBN News