Remulla says Rep. Leandro Leviste being investigated over alleged unauthorized sale of mega-franchise

Ombudsman Jesus Crispin Remulla disclosed that a government probe is underway involving Batangas 1st District Representative Leandro Leviste, following allegations that his mega-franchise was sold without first obtaining approval from Congress.

Remulla said the case involves a possible breach of franchise regulations, emphasizing that franchises are not meant to be commercialized or treated as business commodities.

“Marami siyang ibang problema. Iyong prangkisa niya, iniimbestigahan na ngayon, iyong violation of franchise. Kasi dapat iyan iyong franchise ay hindi mo ninenegosyo. Batang-bata ka, ninenegosyo mo iyong franchise,” Remulla said.

The Ombudsman was referring to Solar Philippines (SP), the renewable energy firm founded by Leviste in 2013. The company was launched with the goal of widening access to solar energy and making it more affordable for consumers across the country.

In 2019, Solar Philippines was granted a 25-year mega-franchise by the Duterte administration to establish and operate solar-powered microgrids and distribute energy resources in unserved and underserved areas across numerous provinces.

In 2023, Leviste made headlines when he sold 14.6 billion shares of SP New Energy Corporation (SPNEC) to Meralco PowerGen Corporation (MGen) for about P18.26 billion.

“Wala ka bang kahihiyan? Anong klaseng tao iyan? Anong klaseng Pilipino yan? National franchise. Renewable energy is critical to the national life. Tapos ganun lang. Nabenta mo? Ipi-flip mo lang? Nanay mo pa senador,” Remulla stressed.

The Ombudsman said the sale should have been approved first by Congress since the franchise is non-transferable without the go-signal from legislators.

Remulla further revealed that as many as 84 related contracts have been cancelled, raising alarm over the potential impact on the country’s energy supply.

“Imagine, the effect on the national energy situation. Sasabihin mo ito ang forecast natin sa energy. Andiyan ang DOE naniniwala sa iyo, iyon pala drawing lang. Hindi nangyari,” he added.

The Ombudsman also pointed out that Leviste is attempting to divert attention away from the franchise controversy by raising other issues, such as the flood control scandal.

“Gusto niyang ibahin ang usapan. Hindi puwede iyon. Ito muna ang pag-usapan natin bago ang lahat,” Remulla said.