Manila, July 9 -- The Government Service Insurance System (GSIS) on Tuesday signed a landmark agreement with the Power Sector Assets and Liabilities Management Corporation (PSALM) and the National Power Corporation (NPC) to settle over PHP1 billion in unpaid premium contributions stemming from NPC's restructuring in 2003.

The tripartite memorandum of agreement, signed at the PSALM office in Quezon City, follows the ceremonial turnover of the payment held last June 17 at the GSIS head office in Pasay City.

The settlement clears the full restructured obligation for qualified former NPC employees whose service periods have been validated by the Commission on Audit. GSIS granted a 60 percent condonation on accrued interest, in line with boa...