Monday, September 24, 2007 ‘Cancel broadband deal’ By Linette C. Ramos Sun.Star Staff Reporter
SENATE President Manuel Villar Jr. yesterday called for the cancellation and not the mere suspension of the national broadband deal, saying the government does not need it.
Discussions during the Senate inquiry that started last week also tend to show that the US$330-million broadband contract is overpriced, Villar said.
In a press conference in Cebu yesterday morning, the senator said it will be more beneficial to everyone if the National Government uses the funds to build schools and hospitals instead.
“It might be better to cancel it, because the suspension is only temporary. What happens if other allegations surface after the investigation?” he told reporters at the Waterfront Cebu City Hotel and Casino.
Education Secretary Jesli Lapus also welcomed the suspension of the US$400-million Cyber Education Project (CEP) but stressed he felt sorry that it would further delay efforts to raise educational standards.
The project, Lapus said, was expected not only to save the department around 30 percent on teachers’ training, textbooks and communication, but also to contribute in improving the quality of education.
He bewailed the fact that critics lumped the project with the controversial US$329-million National Broadband Network (NBN) deal entered into by the Department of Transportation and Communication (DOTC) with Chinese firm Zhong Xing Telecommunications (ZTE) Corp.
“Contrary to reports, there is still no contract for this project. There is no supply contract. In fact there is not even a contract to suspend,” said Lapus.
Villar is happy, though, that Malacañang is listening to the critics of the contract with ZTE.
‘Overpriced’
Sa mga hearings maliwanag na hindi pa naman kailangan ng gobyerno natin ito. Maliwanag din na may malaking overpricing (It’s clear from the hearings that the government does not need this yet. It’s also clear the deal was overpriced),” Villar further said.
Even after President Arroyo ordered last Saturday the suspension of the deal, following allegations of bribery and overpricing, the Senate inquiry on the transaction will continue.
Villar said the Senate hopes to establish with basis two things: Whether or not there is really a need for the broadband project and whether or not the contract is overpriced.
He assured the public that despite the long hours spent on inquiries and investigations, the Senate will still focus on their legislative functions.
The Senate, he said, will continue to prioritize the pending approval of the Joint Japan Philippine Economic Partnership agreement and pass at least 14 priority measures before it adjourns on Oct. 13, including social justice measures like the Cheaper Medicines Act, the veterans’ bill, the human rights indemnity for prisoners and amendments to the Child Pornography Law.
Fraternities
Among the measures he said the Senate should pass is one that will regulate fraternities, especially in universities funded by the government.
The suspension of the deal followed allegations of bribery and overpricing in the project to establish a national broadband network for the government.
Jose “Joey” de Venecia III, son of House Speaker Jose de Venecia Jr., has accused Commission on Elections Chairman Benjamin Abalos Sr. of offering him a US$10-million bribe if his company, Amsterdam Holdings Inc. (AHI), stops pursuing the project.
The younger de Venecia also said that the President’s husband, Jose Miguel “Mike” Arroyo, asked him to “back off” from the deal.
The NBN and CyberEd projects were two of the five deals signed in Boao, China last April between the Philippines and China. (LCR/Sunnex)