Sunday, March 28, 2010

‘Gibo’ asks prudence in privatizing over P30 bilion gov’t assets

March 28, 2010, 4:15pm

Original Story:

Lakas-Kampi-CMD standard bearer Gilberto 'Gibo" Teodoro Jr. said Sunday that the government must exercise prudence in privatizing more than P30 billion worth of government assets.

Teodoro was referring to the proposed sale of the Philippine National Oil Corporation (PNOC), Food Terminal Inc. (FTI) and Fujimi property, from which the government is expecting to generate P293 billion in revenues.

He stressed that the sale of the three government properties should be left at the discretion of the next elected administration to avoid controversy.

“I am not familiar with the assets, but for me, prudence is the order of the day, be prudent and exercise utmost conservative judgment,” he stressed.

The government has tried a number of times to auction off all three — the last time at the end of last year — but failed due to poor market conditions and lack of investor interest which contributed to a record P298.5 billion deficit.

While the sale maybe legal and helpful to the country, Teodoro stressed “it does not make it a wise move” due to the expected controversies that could be generated from the transactions.

“The decision (on the sale of government assets) should be left to the next administration, so I counsel prudence, especially in the last remaining months (of this administration),” he said.

Reports said the government also wants to sell the PNOC-EC’s 10-percent interest in the Malampaya natural gas project first before its 60 percent stake in the oil, gas and exploration firm.

Original Story:

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