High prices, more poverty

Headlines

By: Ernesto M. Maceda

(The Philippine Star)

Updated: December 9, 2010 12:00 AM

Links: http://www.philstar.com/Article.aspx?articleId=637548&publicationSubCategoryId=64

During the SONA address in late July, President Aquino claimed that prices of prime commodities were stable.

Barely 4 months after, his administration approved the National Food Authority decision to increase the retail price of NFA rice from P25 to P27 a kilo last Tuesday without previous notice or public consultation. The price of galunggong fish has increased from P120 to P160 a kilo. Sardines have gone up from P10 to P12 a can. LPG prices have shot up from P500 to P720 per cylinder.

There is, therefore, no relief for the poor as yet. In fact, life has become harder under P-Noy because of the higher prices.

But why should the NFA lead the way by increasing the price of the poor’s basic staple, rice? When the P-Noy Administration assumed office, the price of NFA rice was only P18/kilo. It has gone up to P27 in less than 6 months. NFA Administrator Angelito Banayo justifies the increase by the need of NFA to reduce losses. But sir, the main cause of NFA losses is the overprice or tongpats on rice imports which ranges from P100-P500 million per total procurement depending on the quantity and the timing. When then Agriculture Secretary Arthur Yap bought about 2 million metric tons of rice at about $1,000 per metric ton, the Binondo rice traders suspected a $200/MT overprice. This is ultimately passed on to the poor consumer.

Stop the tongpats in imports. Stop the corruption in the diversion of NFA rice to favored commercial traders. Stop the overpriced shipping and hauling contracts. Stop the theft and “buriki” of rice sacks at NFA warehouses. Reduce the thousands of political protegees in the bloated NFA workforce. Review the overpriced lease of NFA warehouses. That will result in hundreds of millions of savings, thus removing the necessity to increase NFA rice prices.

In July too, DA Secretary Proceso Alcala promised to achieve self sufficiency in rice in one to three years.  He has now changed his tune and admits the government will import from 1.3-1.5 million metric tons of rice.

Happy days are here again. During GMA’s time, FG controlled the importation of rice. Who will be the Godfather of rice in this administration? Will he be a Kamag-anak or a classmate?

Two acts are in order here. Increase the rice hectarage in every province and two, leave the importation of rice completely to the private sector. That’s the straight path for DA/NFA. Better yet, abolish the NFA and save P25-P50 billion in yearly losses contributing to the big government deficit.

The solution is right under your noses, Sec. Alcala and Administrator Lito Banayo, if you really want to avoid the temptation of an opportunity for instant wealth.

Will there be real reform in DA/NFA or will it be business as usual and happy days are here again?  

* * *

EO # 1 UNCONSTITUTIONAL . . . The Supreme Court has declared Executive Order No. 1 creating the Truth Commission unconstitutional. Malacañang admits it’s a “temporary setback” in the anti corruption campaign.

Once again, the incompetence of Malacañang lawyers have come to the surface. The bottom line: they crafted an Executive Order that is violative of the Constitution, specifically the provision of equal protection of the law and the lack of power to create an office which is vested in Congress.

The lawmakers led by Sen. Joker Arroyo, Rep. Edcel Lagman and Rep. Mitos Magsaysay have been proven right. They also correctly argued that the Truth Commission is a useless duplication of the Ombudsman, the Department of Justice and even the PCGG.

What is also deplorable is you have a retired Chief Justice and 2 retired Supreme Court Justices failing to see that they were accepting appointments to an office of doubtful legality.

The diligence of a good father of the family should have motivated them to wait for the Supreme Court decision before assuming their positions and starting to spend millions of pesos of taxpayer’s money. They should refund all the money they received and spent. Estimated around P50 million.

And the P-Noy lawyers? They have just validated Senator Miriam D. Santiago’s observation that they are lightweights. In fact, she can now call them flyweights. Now will they follow Secretary Lacierda’s advice, do a Romano and submit an irrevocable resignation?

A few years in city government does not a good Executive Secretary make? It’s time to drink . . .

And the gall of submitting to the Senate a list of amnesty beneficiaries to include a sitting Senator of many years. To say the least, that’s gross negligence! No less than President Erap has this advise to P-Noy. Get an Executive Secretary with political savvy.

By the way, it was a 10-5 decision. The majority was led by Chief Justice Renato Corona and Justice Jose Mendoza, the ponente. The Minority are the new Aquino loyalists led by Justice Antonio Carpio and included Justices Conchita Carpio Morales, Eduardo Nachura, Roberto Abad and Maria Lourdes Sereno.

* * *

BILLIONS GIVEN AWAY . . .There are charges in India of gross corruption in the sale of telephone licenses at prices way off market value. At least some amounts were paid to the government.

In this country, 2G, 3G, and 4G licenses were awarded without any price paid to the government. That means a loss of revenue estimated at P5-10 billion. Note that telcos are raking in profits by the billions yearly.

This is one case of plunder that is easy to prove because not only India but USA and UK auctioned off their telephone licenses earning hundreds of millions of dollars or pounds for the government, but here given away for free.

Look at the lifestyle of all, yes all who serve as NTC Commissioners. They are all extremely wealthy.