Thursday, October 23, 2014

Peoples Action against the World Bank – Philippines

Manila – This WB safeguard review started almost 3 years ago, but communities and organizations in the Philippines barely understand its process and contents. And to our knowledge, this is the first actual official interaction with Philippine organizations. Yet, there has been too little time and lackluster effort to enable meaningful engagements.

Meanwhile, Southern and Northern organizations expressed their struggles and frustrations with the dismal handling of the Bank of the safeguards review over the past 2 years. The WB meetings last Oct. 8-11, 2014 in Washington DC was a clear reflection of peoples’ deep resentment over the poor consultation and bad safeguards draft. And here is the Bank doing a repeat of the same failures in running effective consultations: you give us too short notice to prepare and incomplete documents to consult. No draft business procedures, no implementation plan, no translations.

The affected communities and their support groups demand that the WB safeguard policies must be strengthened to ensure real protections for people and the planet. The draft does not promise to deliver that.

We are concerned that right now, Filipinos are not overcoming poverty, inequality and hunger are increasing, our natural resources are threatened by industrialization and extractive industries while labor rights are diluted or informalized. Contrary to the Bank’s rosy narratives of Philippine growth linked with its financing, this growth is widening inequality. Bank financing has not helped in preventing the intensified privatization of commons and has contributed to the systematic dismantling of essential public services. It has been muted in dealing with the discrimination against marginalized groups such as PWDs, IPs, children, and sexual minorities who are the most vulnerable sectors. They have been threatened by projects that were partly-funded by the World Bank Group. Remember the Manila Sewerage Project? Remember Chico dam in Cordillera? Remember IFC’s support to a mining project in the ancestral domain of the Mamanwas in CARAGA? In many instances, safeguards were useful in ensuring some basic minimum levels of protection were available. But the Bank is moving to moving to eviscerate these basic human rights protections. You’re dumping people with more debts but you’re removing your environmental and human rights accountability.

We have watched with rising concern that your new “safeguard” proposals betray these expectations and represent the opposite. In this process, we believe that the World Bank is stepping back on its promise to reduce poverty.

Instead of ensuring protection of vulnerable communities and the project affected people, your draft proposes dismantling of even existing protections that have been built over decades of hard work, hard won protections that people have fought and died for here in the Philippines, including social justice laws for indigenous peoples, environment, land reform and people’s participation in governance.

We cannot remain mute spectators of this regressive journey and must convey to you the rising frustration and anger amongst the many communities that are facing these impacts from Bank-supported projects, and also within many people’s movements and supporting civil society groups, networks and alliances from all over the Philippines.

Our colleagues have watched with growing dismay – the increasingly insensitive responses to the passionate appeals by cornered and distressed communities affected by bank supported projects. I personally appealed that this consultation be re-scheduled to give time for communities and organizations to understand better the process and substance of the safeguards, but my appeal was rejected.

We are also alarmed by the rising talk of the Bank venturing into riskier investments, coming from as high positions as the WB President! Hundreds of indigenous peoples and forest dwellers organizations are terribly concerned with the proposed ‘opt out’ clause, and the dilution of protection hitherto given to biodiversity rich and protected areas. You also propose to venture into uncharted territory of biodiversity offsets! These are gambles more suited to a venture capital fund, not fit for a “Development Bank”, and the Filipinos cannot allow this to happen.

We, the dozens of people’s movements and organizations present here from all over the Philippines, and the many thousands we represent back from our communities, are rejecting this current draft of safeguards. The protections you now seek to dismantle, the safeguards that we fought for over decades – do not belong to you, they are not yours to throw away, they belong to the world and its vulnerable people.

We are also aware of a handful of saner voices from within the bank, and urge them to fight inside the system, for protecting the very rights they themselves enjoy – also for the people and communities around the world facing potential threats from this proposed dilution of protections. We strongly believe this protest action that we are compelled to take, will strengthen those voices and create a better environment for creating a really progressive safeguards policy. This will be in the interest of the bank itself, as well as for the entire Philippines, and the rest of the world.

That is why we are forced to take this action now and join our partners in the protest outside. Today we are going out of this consultation, to defend the safeguards and to stand with the World and against the Bank that is trying to destroy it! We sincerely hope that this will help a better tomorrow, within & outside.

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Signatories:
AKBAYAN
Aniban ng Manggagawa sa Agrikultura (AMA)
Alliance of Progressive Labor (APL)
Alyansa Tigil Mina (ATM)
Bank Information Center (BIC)
DANGAL
Freedom from Debt Coalition (FDC)
NAGKAISA
NGO Forum on the ADB
Philippine Movement for Climate Justice (PMCJ)
SANLAKAS

Blackouts could cost economy P23B – Aquino

IF an anticipated drop in power supply is not immediately solved and blackouts will occur next year, the cost to the economy could be as high as P23 billion, President Benigno Aquino 3rd warned on Wednesday.

Citing government estimates, Aquino said the economic cost of the feared power outages could reach a minimum of P9.3 billion to as high as P23.3 billion, excluding foregone revenues in sectors that will be affected by brownouts.

“[It depends] on the duration of the power outage. The lower figure [P9.3 billion] assumes power outage of two hours a day on average for three months. The higher figure [P23.3 billion] assumes a worse scenario of five hours a day also for three months,” the President noted during the Presidential Forum of the Foreign Correspondents Association of the Philippines.

This, he said, will likely dent the annual gross domestic product (GDP).

“The economic cost as estimated here pertains to output foregone, i.e. GDP loss from stoppage of economic activities. The estimate does not include foregone investment and tourist arrivals arising from the negative impact of the power outage on the country’s image as investment and tourist destinations,” Aquino added.

It is for these reasons, the President explained, that he had asked Congress for extra powers under the Electric Power Industry Reform Act (Epira) to address the situation on a “worst-case scenario” perspective.

“If there is no power come our summer months, there will only be one party that will be blamed, and that will be the executive. So we were asking from them various powers, not emergency, but these are really embodied already in Epira—to address the situation if and when El NiƱo is really severe, the forced outages in the trend that they have shown in the past two years also continue, to address also the cannot-be-postponed Malampaya shutdown, among other things,” Aquino said.

Although there are several options that the government can take, renting generators for about two years is no longer being considered because setting these up would take about six months.

The President said the Interruptible Load Program (ILP) is a “plausible substitute” but these standby generators for the most part have never been considered as baseload plants.

“What’s the difference? Standby generator, you run for a few hours. These ILP producers, in effect, will have to produce on a very regular basis, perhaps on a daily basis, if and when the reserve situation is seriously jeopardized,” he also explained.

Aquino said the Energy department balked on running the Malaya plants because they are 30 years old and it would be costly to maintain both plants.

Meanwhile, 49 labor groups and workers’ organizations called on the President to fire Energy Secretary Jericho Petilla for “deceiving the Filipino people” by manufacturing a power-shortage scenario.

The workers’ group Nagkaisa (United) was reacting to revelations during a recent congressional hearing where Energy officials admitted that the projected deficit in supply in 2015 is only about 21 to 31 MW, a far cry from the 1,200 MW shortfall trumpeted by Petilla.

“It is now very clear to us that Secretary Petilla took the country for a ride. He bluffed the President, the Cabinet and everyone with his tall tales of thin power reserves to justify emergency powers that entail possible purchase of multi-billion peso generator sets” Joshua Mata, a group convenor. said.

Another convenor, Louie Corral, executive director of Trade Union Congress of the Philippines-Nagkaisa, said the government should have acted as early as 2011 to avert a power crisis by building new power plants and exercising strong regulatory powers to prevent market fraud.

“The only time we will support emergency powers is when the government finally decides to take over the whole industry with the utmost objective of bringing down the price and securing a sustainable power supply not only for present needs but also for the next generations to come,” Corral added. - by JOEL M. SY EGCO SENIOR REPORTER AND JING VILLAMENTE REPORTER Manila Times

Labor groups demand Petilla’s resignation


DOE Sec. Petilla, pinagbibitiw sa puwesto ng ilang labor group
GMA News Video

Related Article: Labor group wants Petilla’s head for deceiving the Filipino people bigtime over so-called power crisis

Wednesday, October 22, 2014

Labor group wants Petilla’s head for deceiving the Filipino people bigtime over so-called power crisis

A COALITION of 49 labor groups and workers’ organizations called Nagkaisa is demanding President Aquino to immediately fire Energy Secretary Jericho Petilla for deceiving the Filipino people with his manufactured power shortage scenario hitting the entire island of Luzon early 2015.

Officials of the Department of Energy admitted during a congressional hearing that the projected deficit in supply for the coming summer of 2015 is only about 21 to 31 MW, a far cry from the 1,200 MW shortfall trumpeted by Petilla.

“It is now very clear to us that Secretary Petilla took the country for a ride. He bluffed the president, the cabinet, the senators and the congressmen, the business sectors, the labor and consumer groups with his tall tales of thin power reserves to justify emergency powers that entails possible purchase of multi-billion peso generator sets. Mr. Petilla deliberately exposed the country to unnecessary jeopardy that has been discouraging job-creating investments away since he came out with his bogus story in July,” Josua Mata of Sentro-Nagkaisa, one of Nagkaisa convenors said reading Nagkaisa statement.

“This is a grave crime to the Filipino people. The only way for Secretary Petilla to redeem himself, after having been rebuffed by congressmen for his exaggerated numbers on the alleged looming power crisis, is to apologize to the people and submit an irrevocable resignation. If he doesn’t have the delicadeza to do so, we are demanding his head from the president. Either way, the Filipino people does not deserve a reprehensible nincompoop in government,” he added.

“Instead of asking congress to hastily grant him emergency powers, President Aquino should first kick his energy man out for his failure to lead a critical department of the executive,” Wilson Fortaleza, spokesperson of Partido Manggagawa-Nagkaisa.

Fortaleza said Petilla’s main blunder is the absence of policy intervention and the heap of unsound options in addressing the looming power crisis.

Petilla has proposed costly lease agreements from independent power producers to fill up the capacity gap in two years. Another option was to top existing capacities from industries’ embedded generator sets under the Interruptible Load Program (ILP).

“Petilla must go not because power emergency is none existent but also because policy intervention is absent. The president must fire him for deceiving the entire nation including himself as the chief executive and his fellow members of the cabinet,” added Fortaleza.

Another convenor, Louie Corral, executive director of Trade Union Congress of the Philippines-Nagakisa, explained that had the government acted as early as 2011, we could have started building new capacities by building new power plants; forced private power to rationalize their scheduled maintenance shutdowns; optimize the use of every plant especially hydro; and exercised strong regulatory powers to prevent market fraud.

Yet these options, Fortaleza said, can still be utilized right now as these powers are present under DOE’s mandate, the Energy Regulatory Commission (ERC), the Office of the President, and Congress under the Joint Congresional Power Commission (JCPC).

“The only time we will support emergency powers is when the government finally decides to take over the whole industry with the utmost objectives of bringing down the price and securing a sustainable power supply not only for present needs but also for the next generations to come,” concluded Corral.

The Nagkaisa is a coalition of labor unions and workers’ organizations who band together three years ago to advance security of tenure, reduce the price of electricity, empower public sector workers and improve workers living wage. The members of the coalition are the Alliance of Free Workers (AFW) All Filipino Workers Confederation (AFWC), Automobile Industry Workers Alliance (AIWA), Alab Katipunan, Association of Genuine Labor Organizations (AGLO), Associated Labor Unions (ALU), Associated Labor Unions- Association of Professional Supervisory Officers Technical Employees Union (ALU-APSOTEU), ALU-Metal, Associated Labor Unions-Philippine Seafarers’Union (ALU-PSU), ALU-Textile, ALU-Transport, Associated Labor Unions-Visayas Mindanao Confederation of Trade Unions (ALU-VIMCOMTU), Alliance of Progressive Labor (APL), Association of Trade Unions (ATU), Bukluran ng Manggagawang Pilipino (BMP), Confederation of Independent Unions (CIU), Confederation of Labor and Allied Social Services (CLASS), Construction Workers Solidarity (CWS), Federation of Coca-Cola Unions (FCCU), Federation of Free Workers (FFW), Kapisanan ng Maralitang Obrero (KAMAO), Katipunan, Pambansang Kilusan ng Paggawa (KILUSAN), Kapisanan ng mga Kawani sa Koreo sa Pilipinas (KKKP), Labor education and Research Network (LEARN), League of Independent Bank Organizations (LIBO), Manggagawa para sa Kalayaan ng Bayan (MAKABAYAN), MARINO, National Association of Broadcast Unions (NABU), National Federation of Labor Unions (NAFLU), National Mines and Allied Workers Union (NAMAWU), National Association of Trade Unions (NATU), National Confederation of Labor (NCL), National Confederation of Transport Union (NCTU), National Union of Portworkers in the Philippines (NUPP), National Union of Workers in Hotel, Restaurant and Allied Industries (NUWHRAIN), Philippine Airlines Employees Association (PALEA), Pepsi Cola Employees Union of the Philippines (PEUP), Philippine Government Employees Association (PGEA), Pinag-isang Tinig at Lakas ng Anakpawis (PIGLAS), Philippine Integrated Industries Labor Union (PILLU), Philippine Independent Public Sector Employees Association (PIPSEA), Partido Manggagawa (PM), Philippine Metalworkers Alliance (PMA), Public Services Labor Independent Confederation (PSLINK), Philippine Transport and General Workers Organization (PTGWO), SALIGAN, Trade Union Congress of the Philippines (TUCP), Workers Solidarity Network (WSN)