Aquino approves abolition of more GOCCs-A A +A
Monday, March 3, 2014
PRESIDENT Benigno Aquino III has approved the abolition of six more government-owned and controlled corporations (GOCCs) and 14 others were already rendered non-operational, the Governance Commission for GOCCs (GCG) said Monday.
Those to be abolished were on top of the five GOCCs that the President earlier gave his go signal to terminate operation.
The six GOCCs to be abolished include Southern Philippines Development Authority (SPDA), Philippine Fruits and Vegetables Corporation (PFVC), San Carlos Fruits Corporation (SCFC), Philippine Agricultural Development and Commercial Corporation (PADCC), Bataan Technology Park, Inc. (BTPI), and PNOC Shipping and Transport Corporation (PNOC-STC).
The six were not included in the list of 19 GOCCs that Representatives Rufus Rodriguez and Maximo Rodriguez want abolished under House Bill 3807.
The five GOCCs earlier approved to be abolished and part of the bill were National Agribusiness Corp. (NABCOR), Zamboanga del Norte Rubber Estate Corp. (ZREC), Human Settlements Development Corp. (HSDC), Philippine Forest Corp. (PFC), and Cottage Industry Technology Center (CITC).
GCG said the 14 GOCCs that were actually dissolved-by-expiration-of-corporate-term/ rendered non-operational/liquidated under its direction were Manila Gas Corp. (MGC), PNOC Malampaya Corp. (PNOC-MC), Aviation Services and Training Institute (ASTI), Calauag Quezon Province Integrated Coconut Processing Plant (CQPICPP), Clark Polytechnic Development Corp. (CPDF), First Centennial Clark Corporation (FCCC), GSIS Properties, Inc., LBP Financial Services SpA, LBP Remittance Company, LBP Singapore Representative Office, Paskuhan Development, Inc., Phil. Centennial Expo ’98 Corp., PhilPost Leasing and Financing Corp. (PLFC), and Metro Transit, Inc. (MTI).
The Governance Commission also recommended the abolition/privatization of another seven out of the 19 GOCCs cited in the Rodriguez bill: Marawi Resort Hotel Inc. (MRHI), Philippine Aerospace Development Corp. (PADC), NDC-Philippine Infrastructure Corporation, Batangas Land Co., Kamayan Realty Corp., GY Real Estate, Inc., Pinagkaisa Realty Corp., together with Technology Resources Center (TRC) which is covered by the Bayan Muna recommendation.
The other six GOCCs covered in the Rodriguez bill (Banaue Hotel and Youth Hostel, BCDA Management and Holdings, Inc., Masaganang Sakahan, Inc., Northern Foods Corp., Tourism Promotions Board [referred to as Philippine Convention and Visitors Corp.], and Trade and Investment Development Corp. [now PhilEXIM]) are part of the GCG’s regular sector-wide evaluation of GOCCs based on financial viability and relevance to current national development plans, together with National Livelihood Dev’t Corp. (NLDC) which was also covered by the Bayan Muna recommendation.
Freeport Services Corp., a subsidiary of the Subic Bay Metropolitan Authority (SBMA), is outside the jurisdiction of the Governance Commission.
The Governance Commission has also recommended for abolition/privatization the following five GOCCs: Alabang Sto. Tomas Development, Inc. (ASDI), Tierra Factors Corp. (TFC), Traffic Control Products Corp. (TCPC), DISC Contractors, and CDCP Farms Corporation.
GCG said there are currently 116 GOCCs actively being monitored, which it aims to reduce to less than 100 by the end of 2014 through abolition, privatization or merger.
The streamlining of non-performing and/or unnecessary GOCCs is a key objective in GCG’s strategic roadmap to improving efficiency and transforming the GOCC Sector into a significant tool for economic growth and development.
Affected employees are given separation pay amounting to around one month’s salary for every year of service, unless an administrative or criminal case is failed against them, GCG said. (SDR/Sunnex)