MANILA, Dec. 3 -- President Ferdinand R. Marcos Jr. has ordered the reduction of real property taxes (RPT) slapped on independent power producers (IPP) for 2025 to prevent defaults and economic losses that could affect electricity supply and the government's fiscal stability.

Executive Order (EO) 106, inked by Marcos on Nov. 28, reduces and condones RPTs and penalties assessed on power generation facilities of IPPs under a build-operate-transfer (BOT) scheme and similar contracts with government-owned and -controlled corporations (GOCCs).

All liabilities for the IPP's RPTs, including any special levies accruing to the Special Education Fund on property, machinery, and equipment used by IPPs for power production under BOT and similar sch...