CITY OF SAN FERNANDO -- Poor business policies and services among local government units (LGU), coupled with red tape and bad politics, have been impeding business development in Pampanga, including Angeles City.

This was the overwhelming statement of business sector representatives during the 2009 Investment Priorities Planning Seminar held at the Max’s Restaurant here Tuesday.

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The event, which was intended to settle priority issues on business and other possible areas of concern, was attended by representatives from the Department of Trade and Industry (DTI), Pampanga Chamber of Commerce and Industry (PamCham), Metro Angeles Chamber of Commerce and Industry (MACCI) and other groups.

During the event, representatives have lashed out at corrupt government officials who continue to practice “grease money system” in processing applications for business permits and related documents.

PamCham president Renato Romero claimed that even barangay leaders have now joined the bandwagon in asking for grease money among businessmen who are planning to invest in their areas.

“Barangay leaders have shown little respect for the possible benefits of businesses in their areas. Red tape from the municipality down to the barangay level has been impeding business development in Pampanga, particularly in prospective frontier towns near the City of San Fernando and Angeles City,” Romero said.

Mario Lazatin, who represented MACCI, also alleged that some barangay leaders are even charging grease money per square meter of lots that would be developed by investors. He also said that aside from red tape, lack of stronger laws and government initiative to curtail illegal squatters along industrial areas and towns here.

“Illegal settling have been a constant headache of the business sector and have been pestering property owners ever since. Unless there would be vigilance on this aspect squatting would impede land use plans and business development,” Lazatin said.

DTI officials said that there is also lukewarm participation among LGUs and officials in cleansing their way of doing business.

Leonila Baluyut, DTI provincial caretaker for Pampanga, said there are only a few LGUs that have actually complied with speeding up their business permit issuances.

“To eliminate red tape, we are promoting the streamlining of business process of critical government frontline services on the issuance of mayor's permit. However, only Mexico town and the cities of San Fernando and Angeles have complied with the creation and establishment of Business-One-Stop Shop (Boss),” Baluyut said.

Romero said that LGUs have not fully enacted their systems of incentives for businesses and would be investors in their areas.

“Enactment of investment incentives code for the province and key municipalities specifically those with high potentials for growth and development will propel more business investments,” he said.

He also lashed out at bad politics, saying that bickering politicians are mostly the cause of the slow delivery of services and enactment of sound laws to help local businesses.

“Look, for example in Candaba, politicians there are bickering on a sisterhood pact. What they should do is to look into the general welfare of the people and how this would help them,” Romero said.

To minimize red tape, the DTI is calling on businessmen to form groups and lobby for better service from their respective municipalities.

Romero also urged businessmen to come out in the open and expose government officials who practice red tape.

“Vigilance and the participation of the local sector is the best defense against red tape,” he said. (Ian Ocampo Flora)