Friday, May 25, 2007 Private sector pushes for measures to solve infra problems
THE business sector and foreign donor organizations called for faster resolution of infrastructure problems to facilitate various priority projects geared towards the country's increased global competitiveness.
This was expressed during the second National Government Infrastructure Forum held recently at the Dusit Hotel in Makati City.
Mission Director Jon D. Lindborg of the United States Agency for International Development (Usaid) observed that the foreign donor community has started to turn deaf over repeated appeals by the government for funds to support its various infrastructure projects.
Lindborg said the mere submission of a "wish list" for funding is not likely to be received with enthusiasm by prospective donors. If the Philippine government intends to acquire assistance from international funding agencies, it must first address certain challenges such as allocating more funds to infrastructure.
He pointed out that the budget provided by the Philippine Government for infrastructure is inadequate, equivalent to a mere five percent of the gross national product (GNP).
Other challenges that the government must resolve are the inefficient prioritization of existing infrastructure projects; lack of public sector coordination and planning; the so-called "regulatory capture"; bureaucracy in business and the sanctity of contracts, he noted.
Lindborg also cited the Ninoy Aquino International Airport Terminal (Naia) 3 as the "poster child" of the Philippines' infrastructure problem and a symbol "of what could go wrong here.
Meanwhile, Philippine Chamber of Commerce and Industry (PCCI) chairman Donald Dee expressed support for the government's infrastructure programs. He suggested that the government should come up with effective monitoring to enhance the implementing capabilities of the International Monitoring Task Force (IMTF).
The IMTF, created by virtue of Executive Order No. 553, is an interagency task force chaired by the Presidential Management Staff (PMS) with members composed of the National Economic and Development Authority (Neda), the Department of Transportation and Communications (DOTC), the Department of Energy (DOE) and the Export Development Council (EDC). The PCCI has been invited to represent the private sector in the task force.
Recognized business leader Washington Sycip, founder of the consulting firm SGV and Company and chairman of the Asian Institute of Management (AIM), concurred with Dee's statement.
"Rapid development of infrastructure is key to poverty alleviation and fast economic development", Sycip said. "We have to make projects fully transparent. I suggest that an independent technocrat, to be agreed upon by the business community, should be put in place, free to monitor projects", he added.
The reactions followed the presentations made during the forum by government sector representatives led by Secretary Cerge Remonde of the PMS and IMTF head. He introduced the champions of the following so-called super regions who reported updates on the priority infrastructure projects presented during the 1st Government Infrastructure Forum and other new projects for implementation:
* The North Luzon Agribusiness Quadrangle champion Agriculture Secretary Arthur Yap presented the major irrigation projects and the key components of the "cold chain," especially post-harvest facilities, and the road networks to connect production centers and markets in this area;
* The Luzon Urban Beltway champion Secretary Edgardo D. Pamintuan, Chairman of the Subic-Clark Area Development Corporation (SCADC), discussed about projects ranging from the rehabilitation of the railway backbone of Luzon island; the major expressway to traverse three major supply and logistics centers - Subic, Clark and Tarlac - in the SCTEX; the interconnection of Metro Manila's mass transit system; and the bulk water supply (Laiban Dam) for Metro Manila;
* Central Philippines super region champion Tourism Secretary Joseph Ace H. Durano presented the "ready-to-go" projects to support tourism in the region; and
* Mindanao super region champion Secretary Jesus G. Dureza, Presidential Adviser on the Peace Process, presented the agribusiness opportunities in the area. (Dave Sardea/Philexport News and Features/Sunnex)
