Kalinga town demands Chevron to pay P7.5 M for geothermal projects

By Gina Dizon

PASIL, KALINGA-   The local government unit here in a resolution passed by the  Sangguniang Bayan ordered multinational Chevron  Inc.  to pay P500  per hectare in its applied area of geothermal explorations  for this year.

           

Author of the  2012 Revised Tax Code and  chairman of the energy committee  Emilio Kitongan said   the ordinance demands  a  500 peso per hectare rental fee to any investor who operates or uses  any parcel of land of the territorial jurisdiction of the  municipality.

           

Administrative Officer Teddy Gullay  said Chevron  through  the Guidance  Management  Company- Aragorn Power  and Energy Corporation applied to the Department of  Energy for 14,000 hectares covering portions  of  the  municipality’s 10 barangays for  their  geothermal  exploration activities. 

           

The town’s 14 barangays cover 32,000 hectares. 

           

A  demand letter  addressed to  President  Antonio Yee of  Chevron followed  the resolution, Gullay said.

           

Earlier, the LGU also  forwarded a  demand letter last year  to  Chevron to pay  an occupational fee  of  40 pesos per hectare for year covering 2011 based on a Department of Environment and Natural Resources  administrative order charging  occupational fees on mining and related activities.

           

Both occupational and rental fees were not paid by Chevron despite repeated reminders, Gullay said.