Republic Act No. 4556

Explanation: This section grants Louber Enterprises, Inc. the authority to install, maintain, and operate an electric light, heat, and power system within specified municipalities.
Key Definitions:
- Franchise: A special privilege granted to operate a utility service.
- Grantee: Louber Enterprises, Inc.
Requirements:
- The grantee must adhere to the terms of this Act, Act No. 3636, and Commonwealth Acts No. 132 and No. 146.
Timeframe:
- The franchise is granted for a period of twenty-five years from the approval date of June 19, 1965.
Consequences:
- The franchise is subject to regulation by the Public Service Commission regarding rates charged.

Explanation: If the grantee sources power from the National Power Corporation (NPC), NPC is authorized to negotiate rates on behalf of the public consumers.
Key Definitions:
- National Power Corporation: The entity from which Louber Enterprises may purchase electricity.
Important Requirements:
- NPC must negotiate and transact with regard to rates for the benefit of public consumers.

Explanation: In exchange for the granted franchise, Louber Enterprises must pay a franchise tax based on gross earnings.
Key Definitions:
- Franchise Tax: A tax imposed for the privilege of conducting business under a franchise.
Requirements:
- A tax of five percent of gross earnings.
Distribution:
- 3% to the National Government.
- 2% to the municipality where the franchise is operated.

Explanation: This Act will come into effect upon its approval.
Key Definitions:
- Effectivity: The date from which the provisions of the Act are enforceable.

Louber Enterprises, Inc. is granted a 25-year franchise to operate an electric system in specific municipalities in Camarines Sur.
The company must comply with existing laws and regulations pertaining to its operations.
The grantee is required to pay a franchise tax, with specified allocations to the National Government and local municipalities.
The Act becomes effective immediately upon its approval.