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Thursday, July 27, 2006
Sona projects to cost P207 billion: budget chief
MANILA -- The infrastructure projects that President Gloria Macapagal-Arroyo listed in her State of the Nation Address (Sona) have a total price tag of P207.425 billion, said Budget Secretary Rolando Andaya Jr.
Andaya, in a press briefing in Malacañang, said that of the amount, P96.5 billion (46.5 percent) would be shouldered by government corporations, P74.1 billion (35.7 percent) by the National Government and Official Development Assistance (ODA), P36.8 billion (17.7 percent) by the private sector, and P25 million (.01 percent) by local government units (LGUs).
The government agencies that would spend for the projects are the transportation department, Light Rail Transit Authority (LRTA), Manila International Airport Authority (Miaa), Air Transportation Office (ATO), public works department, Bases Conversion and Development Authority (BCDA), and Philippine Ports Authority (PPA).
Andaya said government would only need P11.6 billion to start the projects next year and the money is already factored in the proposed 2007 budget.
He said there is actually an excess of funds because the allocated amount for expenditure items next year is P38 billion. He said this is expected to even grow to around P100 billion by 2009 because of the projected increase in revenues.
He said government is confident that the projects will not be snagged in the bidding because the process has been shortened from 154 days to 45 days for projects costing P50 million and below and 90 days for those costing more than P50 million.
He said he does not expect revenues to fall and the projects to be discontinued because of the steady growth in tax collections.
Press Secretary Ignacio Bunye said Arroyo's growth plan is "ambitious yet doable." He said revenue measures that Congress has passed are now reaping rewards. "The momentum of the economy is strong and the plan unveiled by President Arroyo in the Sona makes it irreversible," Bunye said.
Bunye, who is also Presidential spokesman, called on the country's leaders to "set aside politics and focus on the challenges at hand."
"We are hopeful that with the new leadership in the Senate, both chambers of Congress would be able to get their act together for the sake of the people. We need to put flesh in our plans and Congress is a vital key to this goal," he said.
Presidential chief of staff Michael Defensor said the opposition is "committing a grave mistake" by putting down a Sona that is based on development programs for the provinces and regions.
Defensor said the opposition should not be debating whether the details in the Sona are correct but whether the programs can be implemented.
"It's a futile attempt to discredit the administration and "they are not saying anything new and they have not done their homework in trying to show what kind of situation we have," he said.
"The problem with the opposition is they bank on emotions. They do not do their homework and they don't make the proper studies. Kung makikinig ako sa kanila
sa plenary, alam ko na ang sasabihin nila paulit-ulit na lang (If I listen to them in the plenary, I already know that they will say and they will repeat it again and again)," he said.
At the House of Representatives, Majority Leader Prospero Nograles assured that no new taxes would be approved to fund the Sona projects.
Nograles said he talked to Albay Representative Joey Salceda, chairman of the House appropriations committee, who told him that no new tax measures is needed to fund the projects.
He also said the projects are already in the pipeline and are just waiting for the counterpart fund, since those are foreign-funded.
"I believe that the President has consulted a number of people before making an input to her Sona. I was just surprised that (Finance) Secretary (Margarito) Teves does not know where to get the fund when he was asked by media," said Nograles in a press statement.
Earlier, Salceda said the government would need an accumulated P1.021 trillion from 2006 to 2010 to fund the projects mentioned by the President. Salceda, an economic adviser of President Arroyo, said the Bureau of Internal Revenue (BIR) and the Bureau of Customs (BOC) should intensify their collection to generate more funds for the government.
Two Catholic Church prelates, who are known critics of the Arroyo government, on Wednesday said they doubted the vow made by President Arroyo in her Sona on Monday of a "brighter economic future" for the country.
Bishops Antonio Tobias of Novaliches and Deogracias Iniguez of Caloocan City said Arroyo's promises of economic development, particularly in rural areas, are really appealing but it remains to be seen if these would be implemented.
"I hope and let us hope it's (Arroyo's promises) going to be realized," said Tobias, one of the six bishops linked to the February coup plot against President Arroyo.
Tobias doubted the President's claim that poverty was reduced significantly because two million people who were indigent before are still poor.
He said the Philippines for the past 400 years never had a leader who was able to guide Filipinos to the right path of progress and development. He said elected or appointed government leaders "only focus on how they would protect their own political interests."
"We are like a sheep without a shepherd. We have a leader (President Arroyo) but the people doubt her legitimacy. I pity her and that is why she should clear her name of all allegations against her first for her to govern the country properly," he said.
Tobias said the only way for President Arroyo to regain the people's trust is to prove that the allegation of massive electoral fraud being hurled against her is not true.
He also advised the Chief Executive that one way of eradicating corruption in the government is to do away with the Priority Development Assistance Fund (Pdaf) or "pork barrel" fund being given to the lawmakers and instead use it to pay the country's foreign debts and for programs that would help the poor.
For his part, Iniguez said President Arroyo's promises and hopes could be proven by feedbacks from different sectors.
Iniguez advised the public to be more vigilant of the current situation of the country. (JMR/DBP/MSN/Sunnex)
(July 27, 2006 issue)
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