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    Albano V Reyes

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    André Jan Lee Cardeño
    1) The Philippine Ports Authority conducted a public bidding for the development and operation of the Manila International Container Terminal and awarded the contract to International Container Terminal Services, Inc. 2) Congressman Albano claimed a legislative franchise was needed before operating the terminal as a public utility. However, the Supreme Court said administrative agencies can grant licenses or authorize public utility operations under certain laws like EO 30 and PD 857, which empower the PPA. 3) The Court dismissed the petition and upheld the PPA's authority to award the contract without a legislative franchise, as the laws grant administrative agencies power over public utility licenses and operations.

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    Albano V Reyes

    Uploaded by

    André Jan Lee Cardeño
    327 views1 page
    1) The Philippine Ports Authority conducted a public bidding for the development and operation of the Manila International Container Terminal and awarded the contract to International Container Terminal Services, Inc. 2) Congressman Albano claimed a legislative franchise was needed before operating the terminal as a public utility. However, the Supreme Court said administrative agencies can grant licenses or authorize public utility operations under certain laws like EO 30 and PD 857, which empower the PPA. 3) The Court dismissed the petition and upheld the PPA's authority to award the contract without a legislative franchise, as the laws grant administrative agencies power over public utility licenses and operations.

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    Digest case

    Original Title

    Albano v Reyes

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    1) The Philippine Ports Authority conducted a public bidding for the development and operation of the Manila International Container Terminal and awarded the contract to International Container Terminal Services, Inc. 2) Congressman Albano claimed a legislative franchise was needed before operating the terminal as a public utility. However, the Supreme Court said administrative agencies can grant licenses or authorize public utility operations under certain laws like EO 30 and PD 857, which empower the PPA. 3) The Court dismissed the petition and upheld the PPA's authority to award the contract without a legislative franchise, as the laws grant administrative agencies power over public utility licenses and operations.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    327 views1 page

    Albano V Reyes

    Uploaded by

    André Jan Lee Cardeño
    1) The Philippine Ports Authority conducted a public bidding for the development and operation of the Manila International Container Terminal and awarded the contract to International Container Terminal Services, Inc. 2) Congressman Albano claimed a legislative franchise was needed before operating the terminal as a public utility. However, the Supreme Court said administrative agencies can grant licenses or authorize public utility operations under certain laws like EO 30 and PD 857, which empower the PPA. 3) The Court dismissed the petition and upheld the PPA's authority to award the contract without a legislative franchise, as the laws grant administrative agencies power over public utility licenses and operations.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 1

    ALBANO v.

    REYES

    capital dredging of the port, as well as the determination of how the


    revenues of the port system shall be allocated for future works; and
    the contractor shall not collect taxes and duties except that in the case
    of wharfage or tonnage dues.

    G.R. No. 83551 / JUL 11, 1989 / PARAS, J./Where does Power to Regulate Public
    Utilities Reside/AJLCarde0

    NATURE
    PETITIONERS
    RESPONDENTS

    Petition to review decision of DOTC Secretary


    Rodolfo Albano
    Hon. Rainero Reyes, et al.

    SUMMARY. Philippine Ports Authority (PPA) conducted a public bidding for


    the development and operation of Manila International Container Terminal
    (MICT) at the Port of Manila, and awarded such contract to International
    Container Terminal Services, Inc. (ICTSI). Congressman Albano claimed that
    since the MICT is a public utility, it needs a legislative franchise before it
    can legally operate as a public utility. SC said that even if the MICT is
    considered a public utility, its operation would not necessarily need a
    legislative franchise because the law has granted certain administrative
    agencies the power to grant licenses for or to authorize the operation of
    public utilities. In this case, EO 30 and PD 857 empowers the PPA to
    provide services within Port Districts whether on its own, BY CONTRACT, or
    otherwise"
    DOCTRINE. The law granted certain administrative agencies the power to
    grant licenses for the operation of public utilities.
    FACTS.

    The PPA board directed the PPA management to prepare for the public
    bidding of the development, management and operation of the MICT
    (Manila Port).

    The DOTC formed a committee for the public bidding.

    The Bidding Committee then evaluated several bids and recommended


    the award of the contract to ICTSI (Respondent in this case).

    ICTSI was then declared as the winning bidder by the DOTC.

    The President of the Philippines subsequently approved the same with


    directives that PPA shall still have the responsibility for planning,
    detailed engineering, construction, expansion, rehabilitation and

    Congressman Albano assailed the legality of the awarding and claimed


    that since the MICT is a public utility, it needs a legislative franchise
    before it can legally operate as a public utility.

    ISSUES & RATIO.


    1. WON a franchise is needed for the operation of the MICT. - NO

    The PPA has been tasked under Executive Order No. 30 (July 16,
    1986) with the management and operation of the MICT and to
    undertake the provision of cargo handling and port related
    services thereat, the law provides that such shall be in
    accordance with P.D. 857 and other applicable laws and
    regulations.

    Presidential Decree No. 857 (Revised Charter of the PPA)


    expressly empowers the PPA to provide services within Port
    Districts whether on its own, by contract (meaning, to
    authorize other parties), or otherwise.

    Even if the MICT is considered a public utility, its operation would


    not necessarily need a legislative franchise because the law has
    granted certain administrative agencies the power to grant
    licenses for or to authorize the operation of public utilities.
    Harmonizing EO 30 and PD 857, the PPA is clearly empowered to
    undertake by itself the operation and management of the MICP
    or to authorize its operation and management by another
    by contract or other means, at its option.

    The theory that MICT is a wharf or a dock, as contemplated


    under the Public Service Act, would not necessarily call for a
    franchise from the Legislative Branch.

    DECISION.
    Petition is DISMISSED.

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