By Ronquillo C. Tolentino
Impediments To Poverty Reduction
A World Bank country economist for the Philippines, Karl Kendrick Chua, enumerates high power rates and lack of financing for small countries as leading impediments to poverty reduction. Others in Chua’s list are: “unpredictable regulations, uneven field for business in terms of taxation, high cost and tedious process in starting a business and limited access to education and skills training.”
While the World Bank quarterly report in the Philippines have positive achievements such as the country’s low inflation rate, praise worth economic growth, a noted decline on debt banker, a round and strong banking system as well as a stable level of foreign exchange revenues. The World Bank emphasizes that reducing poverty rate should occupy vital importance.
The World Bank lauded the Philippines for its macroeconomic stability resulting into prosperity spread to majority of the Filipinos.
Filipinos should brace themselves for another round of power rate spiral this month of May 2012.
It is elementary that in attracting investments , investors would go for scrutinizing rates of power, water and communications, inclusive of peace and order.
The Electric Power
Industry Act of 2001 or Republic Act No. 2001 has dismally failed the promise lower power rates. While the objective of the law was indeed noble to deregulate and privatize the country’s power and energy sector, rightly had it been criticized to be a law more honored in breach than observance. Add to this the onerous terms imposed by independent power producers which practically sprung out-of-nowhere during the Ramos administration with its onerous take-or-pay conditions making protests to its cumbersome conditions falling into the deaf ears of past administrations. A Happy Easter! /MP
No comments:
Post a Comment