Practice question
A company both runs an airport and operates an electricity distribution service for public use. It says the airport activity's noninclusion removes the distribution activity from the utility definition. Which is correct?
- A nonlisted activity immunizes every listed operation of the company.
- The qualifying distribution activity must be assessed under its listed category; the separate airport activity does not erase it.
- All mixed businesses are automatically unregulated.
- The company may choose its legal category by dropping the word electricity from its name.
- Only the activity earning the most profit can ever be assessed.
Legal references
- RA 11659, amending CA146, public-utility definition and national-security safeguards: https://elibrary.judiciary.gov.ph/thebookshelf/showdocs/2/94539
- Signed March 20, 2023 implementing rules of RA11659, Sections 5-7 and 32-45: https://elibrary.judiciary.gov.ph/thebookshelf/showdocs/2/97017
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