PCCI backs removal of system loss charge, power VAT, but…MANILA, Philippines — The country’s largest business organization supports the removal of systems loss charges and value-added tax (VAT) on electricity, noting these would reduce power costs for households and industries. In his latest State of the Nation Address, President Marcos called for the scrapping of systems loss charges being passed on consumers to reduce electricity cost. PCCI director for energy and power David Chua said that businesses and consumers are already burdened with numerous pass-through fees. “Removing systems loss and VAT is a welcome start, but the bigger challenge lies in rationalizing other charges, diversifying our energy mix and unlocking indigenous resources,” he said. “These reforms will ensure that power supply is not only affordable but also resilient against global price shocks,” Chua said.