Saturday, May 21, 2005
A Ray of Hope from Congress
In my article dated May 17, 2005 , I lamented a rarity of sorts from our Congress and Senate, news of any measures that our great lawmakers themselves have initiated to kill corruption or improve the economy. Well, one of our Congressmen, this time it is Negros Oriental Representative Herminio Teves, has raised a very interesting proposal. According to him, Congress, being the 'master of the purse', should hold periodic audits of 14 GOCC's or Government Owned and Controlled Corporations to see if it they are still profitable business entities. Please read on.
I would say this is a good start. But we should hope for a more aggressive, hands-on approach by Congress and the Senate in dealing with this challenge. These GOCC's have been perennial financial losers draining Billions of Pesos yearly from the government in the form of subsidies. Our leaders should take an extremely active part in making these institutions profitable. These institutions just like any other business entity should be re structured and streamlined with nothing but PROFIT as their objective. If Napocor for instance start becoming profitable , it could start passing down its profit to the public by lowering energy rates. As it is, we have very high rates because Napocor is trying to recover its loses by digging deeper in the comsumers pockets. No business prospers this way.
Periodic audits? It looks like we need to have our eyes , ears and hands on these institutions until they are profitable.
I would say this is a good start. But we should hope for a more aggressive, hands-on approach by Congress and the Senate in dealing with this challenge. These GOCC's have been perennial financial losers draining Billions of Pesos yearly from the government in the form of subsidies. Our leaders should take an extremely active part in making these institutions profitable. These institutions just like any other business entity should be re structured and streamlined with nothing but PROFIT as their objective. If Napocor for instance start becoming profitable , it could start passing down its profit to the public by lowering energy rates. As it is, we have very high rates because Napocor is trying to recover its loses by digging deeper in the comsumers pockets. No business prospers this way.
Periodic audits? It looks like we need to have our eyes , ears and hands on these institutions until they are profitable.
