PANTRANCO vs. Public Service Commission (PSC) G.R. No. 47065 June 26, 1940

 

The theory of the separation of powers is designed by its originators to secure action and at the same time to forestall overaction which necessarily results from undue concentration of powers, and thereby obtain efficiency and prevent despositisn. 

 

Delegation of Powers, Separation of Powers, Certificate of Public Convenience

 

PANTRANCO vs. Public Service Commission (PSC) G.R. No. 47065 June 26, 1940

Ponente: Laurel, J.

FACTS: 

PANTRANCO, a holder of an existing Certificate of Public Convenience is applying to operate additional buses with the Public Service Commission (PSC) has been engaged in transporting passengers using TPU buses plying the route of the Province of Nueva Ecija and Zambales means of public transportation utility. Pantranco applied for authorization to operate 10 additional Brockway trucks. The PSC granted the application but added several conditions for PANTRANCO’s compliance. One is that the service can be acquired by government upon payment of the cost price less depreciation, and that the certificate shall be valid only for a definite period of time. 50 years as stated in the 1935 Constitution Public Utilities.

ISSUE: 

Whether or not PSC can impose said conditions.

If so, wouldn’t this power of the PSC constitute undue delegation of powers?

RULING:  

The Supreme Court held that there was valid delegation of powers.

The theory of the separation of powers is designed by its originators to secure action at the same time forestall overaction which necessarily results from undue concentration of powers and thereby obtain efficiency and prevent despositism. But due to the growing complexity of modern life, the multiplication of subjects of governmental regulation and the increased difficulty of administering laws, there is a constantly growing tendency toward the delegation of greater powers by the legislature, giving rise to the adoption, within certain limits, of the principle of “subordinate legislation.”

All that has been delegated to the Commission is the administrative function, involving the use of discretion to carry out the will of the National Assembly having in view, in addition, the promotion of public interests in a proper and suitable manner.

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