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24 JULY 2003

bulet-arow.gif (856 bytes) Statement of the President: Coup Rumors
bulet-arow.gif (856 bytes) Statement of the President: Peace Process
bulet-arow.gif (856 bytes) Statement of the President: Al-Ghozi
bulet-arow.gif (856 bytes) Statement of the President: GSIS
bulet-arow.gif (856 bytes) Dureza cites positive growth in former conflict areas in Mindanao
bulet-arow.gif (856 bytes) House Oversight Committee satisfied with GMA's performance in fulfilling her SONA pledges
bulet-arow.gif (856 bytes) GMA on the road again dispelling rumors of coup
bulet-arow.gif (856 bytes) Stay calm, don't believe coup rumors, GMA tells public
bulet-arow.gif (856 bytes) More barangays now have electricity, DOE says
bulet-arow.gif (856 bytes) GMA releases P35M for Cagayan Valley

Statement of the President: Coup Rumors

We call on the public to remain calm amid these rumors of destabilization. I acknowledge the existence of legitimate grievances among the young officers in the Armed Forces. I have already talked to their representatives and they assured me of absolute fealty to the chain of command. We are acting on their grievances and I do not blame the young officers for pushing for internal reforms. It is the duty of every commander to look after the welfare of the men and women in uniform, and to contribute to reform in the organization. The expression of their grievances has been proper and lawful. The Chief of Staff is on top of the situation and there is no cause for alarm.

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Statement of the President: Peace Process

I am glad to acknowledge the snowballing international support for the peace process, especially from Indonesia – the largest Muslim nation in the world. It is important that the prospective negotiations are secured by a strong international consensus that will lend the necessary impetus to peace and development programs on the ground. The confluence of favorable global, regional and domestic conditions is elevating the prospects for peace. We must grasp this opportunity and not let go until we succeed.

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Statement of the President: Al-Ghozi

The fact-finding commission will inform the public of developments based on the facts that will be accumulated in the inquiry. The teamwork of the commission and the law enforcement agencies must be seamless so that efficiency and accuracy can be achieved. There is no sense in keeping this issue in the theater of speculation. If there was a conspiracy, the probe must unearth the mastermind and bring the evidence against everyone involved.

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Statement of the President: GSIS

The GSIS must make its position clear before the people, especially if there are vital constraints that have to be hurdled with full public support and understanding. Faith in our institutions of social security is paramount because these stand at the front line of service.

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Dureza cites positive growth in former conflict areas in Mindanao

The peace and development strategy of President Gloria Macapagal-Arroyo in Mindanao has paid off with the former conflict affected areas contributing to the growth rate of the region’s economy.

Presidential Assistant for Mindanao Jesus G. Dureza, chairman of the Mindanao Economic Development Council (MEDCO), said the good news about Mindanao’s economic performance for 2002 was based on the latest data released by the National Statistics Coordination Board (NSCB).

According to Dureza, in 2002, the gross regional domestic product (GRDP) of Mindanao grew by 2.87 percent, which is 0.41 percentage point higher than the growth rate in 2001.

Dureza said Mindanao’s economy is largely driven by the combined agriculture, fishery and forestry sectors, which contributed 37.21 percent followed by services sector at 35.91 percent and industry sector at 26.88 percent.

He said the former conflict affected areas that contributed to the growth rate of the region are Central Mindanao, Western Mindanao and the Autonomous Region in Muslim Mindanao (ARMM).

Dureza noted that Central Mindanao, which is the SOCSARSKGEN (South Cotabato, Sarangani, Sultan Kudarat and General Santos City) area registered the highest growth rate of 5.6 percent, followed by Western Mindanao with 5.4 percent and then by the ARMM with 4.8 percent.

"So the conflict affected areas before had registered and even outpaced the more progressive regions in Mindanao like Northern Mindanao or Southern Mindanao. This shows and reaffirms the peace and development strategy of the President," Dureza said.

These former SZOPAD (Special Zone of Peace and Development) regions, where most of the conflicts happened, outpaced the performance of more progressive regions, such as Northern Mindanao at 1.3 percent and Southern Mindanao at 2.2 percent. The CARAGA (Surigao del Sur, Surigao del Norte, Agusan del Sur and Agusan del Norte) posted negative growth of 0.4 percent.

More than one-third of Mindanao’s GRDP comes from Southern Mindanao followed by Northern Mindanao with 21.6 percent, Western Mindanao with 15.4 percent, Central Mindanao with 15 percent, CARAGA with 7.9 percent and ARMM with 5.4 percent.

Dureza added that the "Mindanao Natin Program" and positive developments like the resumption of the peace talks with the Moro Islamic Liberation Front (MILF) could further accelerate the socio-economic growth of Mindanao.

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House Oversight Committee satisfied with GMA's performance in fulfilling her SONA pledges

The House of Representatives Committee on Oversight is satisfied with the performance of President Gloria Macapagal-Arroyo in meeting her commitments spelled out in her 2002 State of the Nation Address (SONA).

In a press briefing in Malacaņang this morning, Albay 3rd District Representative Joey Sarte Salceda, chairman of the House Oversight Committee, said that based on his committee’s findings, the President had 21 favorable accomplishments and 11 "underperformances."

"More importantly, the Macapagal-Arroyo administration gained more ground on the more politically sensitive indices of performance in 2002 than in 2001 with remarkable achievements in land redistribution, barangay electrification, farm jobs generation, microfinance lending, housing takeouts, easing traffic congestion and garbage collection in Metro Manila," Salceda said.

The independent lawmaker from Bicol said that the "O-Ilaw" project or energization of the rural areas stands out as the 2002 SONA best performer, at 89 percent (as of June 2003) and by end of 2003, the energization rate would likely hit 91 percent.

Salceda said that before the end of her term, the 3,600 energized barangays would already exceed the performance of the past three presidents (Aquino with 2,844 barangays; Ramos with 3,335; and Estrada with 2,075).

"This achievement can only be the result of the single-minded focus and a strong coordination of DOE, NEA and other agencies like Philippine National Oil Corporation-Energy Development Council (PNOC-EDC) and National Power Corporation," Salceda said.

Salceda said that agriculture is second place with 1.8 million jobs generated in the farming sector over the past two years since SONA 2001, exceeding the target of 1 million and way ahead of the four-year deadline.

The Oversight Committee also found that the biggest accomplishment of the Macapagal-Arroyo administration was in land redistribution with significant achievements in all three categories: agricultural lands (Department of Agrarian Reform); public lands (Department of Environment and Natural Resources) and ancestral domain (handled by the National Commission on Indigenous Peoples).

"These were realized mainly through bureaucratic innovation, mainly devolution of signing authorities and effective lobbying for budgetary priority. This should further gain ground with the recovery of $658 million Marcos deposits," Salceda said.

Salceda also explained that although there were shortfalls posted in the "A School in Every Barangay" program, out of the 2002 SONA commitment of 517 classrooms, 44 were completed while 200 are under construction as of July 22, 2003.

"Nevertheless, shortfalls are being aggressively addressed with the launching of P4 billion lending window by the National Development Corporation for local government units (LGUs) to build schools," he added.

On the urban sector, some major positive strides were made in easing traffic congestion and garbage collection in Metro Manila. Average speed in Metro Manila improved from 16.5 kph (January to October 2002) to 17.37 kph in January 2003. The capability of Metro Manila Development Authority (MMDA) to handle garbage also improved, the committee said

On the issue of peace and order, the Oversight Committee admitted that the strong visibility of the President in the handling of police matters enabled dramatic advances in the war against drugs with 10,360 operations that led to the arrest of 14,585 individuals.

Kidnapping incidents declined by 32 percent, from 99 in 2001 to 67 in 2002. Out of the 37 cases in January to June 2003, 28 cases have been solved.

The committee also said that the efforts of the President in the war against terrorism resulted in a 52 percent reduction in the strength of Abu Sayyaf group, while the strength of insurgents has also been reduced by 22 percent, from 11,930 in 2001 to 9,257 in 2002.

Salceda noted that on the issue of graft and corruption, public perception remains skeptical despite the spirited efforts of the Macapagal-Arroyo administration on this matter.

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GMA on the road again dispelling rumors of coup

Malacaņang today dismissed coup rumors as mere speculations, stressing that everything is normal, otherwise President Gloria Macapagal-Arroyo would not have left this morning for an unscheduled visit to Bulacan and to the typhoon-ravaged province of Isabela.

In his regular press briefing this afternoon in Malacaņang, Presidential Spokesman Ignacio Bunye also said that there was nothing unusual about the meeting at the palace Wednesday evening with some 35 young officers of the Armed Forces of the Philippines (AFP).

Bunye said that the meeting was requested by the officers and as their Commander in Chief, the President has acceded to the request.

"The President has said that every commander has the duty to know the situation of the men and the women serving under the Commander in Chief," Bunye said.

Bunye emphasized that during the meeting, the young officers pledged their continued loyalty to the chain of command even if they have aired their grievances.

He said that the President feels that expression of grievances by representatives of the young AFP officers are legitimate and should be looked into by the AFP hierarchy.

The President, Bunye said, is confident that the AFP, under Chief of Staff, Gen. Narciso Abaya, is on top of the situation and rumors about restiveness in the military are unfounded.

"There is no cause for alarm on any possible coup, whether today or the following day," Bunye said.

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Stay calm, don't believe coup rumors, GMA tells public

SAN MIGUEL, Bulacan—President Gloria Macapagal-Arroyo today called on the public to remain calm amid rumors of a coup d’etat even as she bared the existence of legitimate grievances among the young officers of the Armed Forces of the Philippines (AFP).

"We call on the public to remain calm amid rumors of destabilization. I uphold the existence of legitimate grievances among the young officers of the Armed Forces. I already talked to many of their representatives and they assured me of absolute loyalty to the chain of command," the President said during the turnover of command of the First Scout Rangers Regiment (FSRR) at Camp Tecson here.

She said it is the inherent duty of every commander-in-chief to look after the welfare of the men and women in uniform.

"I do not blame the young officers for pushing for internal reforms. The expression of their grievances, so far, I assume, has been proper and lawful," she said.

She said Armed Forces Chief of Staff, Gen. Narciso Abaya, is on top of the situation and there is no cause for alarm.

The turnover of command at Camp Tecson was presided by major General Alan Cabalquinto, commanding General of the Special Operations Command (SOCOM).

Brig. General Gabriel Ledesma, the outgoing FSRR commander, relinquished his post to his deputy, Col. Danilo Lim. Ledesma was assigned as the new commander of the 2nd Infantry Division of the Philippine Army.

Among the accomplishment of the FSRR under Ledesma’s three-year term were the successful combat operations against the Moro Islamic Liberation Front (MILF) Misuari Breakaway group, the local communist movement, the Abu Sayyaf and other kidnap-for-ransom groups.

During his remarks, Lim said that as long as he is the regiment commander of the FSRR, the most elite unit of the Armed Forces, his unit "will not be involved in or be utilized for selfish, political and partisan ends."

"In the event that a destabilization move materializes, no matter how remote the possibility, this unit, the FSRR, will be the first to oppose and block such move," Lim said.

After the turnover ceremonies, the President joined a "boodle fight" with Lim, Ledesma and the men and officers of the First Scout Ranges at the mess hall.

Among those who joined the President were Region 3 CORD Secretary Renato Diaz, Press Secretary Milton Alingod, Gen. Abaya, Philippine Army Commanding General Gregorio Camiling, Mayor Santi Sevilla and Police Regional Office (PRO) 3 Superintendent Vidal Querol.

The President then shook hands and chatted with the men and company commanders of the FSRR before taking the presidential chopper at around 12:30 p.m. to Cauayan, Isabela to inspect the typhoon-ravaged province.

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More barangays now have electricity, DOE says

A year after President Gloria Macapagal-Arroyo unveiled the government’s agenda of building a Strong Republic by delivering basic services to everyone, whether rich or poor, some 1,525 barangays nationwide are now enjoying for the first time the benefits and comforts of electricity.

Energy Secretary Vicente S. Perez, Jr. today reported that the country’s barangay electrification level has already reached 88.7 percent with the energization of 1,525 barangays as of June 30, 2003. This leaves only 4,753 barangays out of the 41,999 barangays nationwide that are still without electricity.

The energization of 1,525 has surpassed the President’s SONA commitment of four barangays per day or a total of 1460 barangays in one year.

"Given the geographical and funding constraints, rural electrification has only made snail-paced progress in the previous years. But the President’s strong commitment to deliver basic services to everyone has made it clear that we can no longer take this for granted. Electricity is a key component in improving the lives of our people especially our less privileged rural countrymen," Secretary Perez said.

Through the accelerated Enhanced Rural Electrification program some 512 barangays were given electricity in Luzon while another 488 barangays were lighted in the Visayas.

In the Mindanao region, about 525 barangays were energized after the President promised to bring the government’s war against poverty to rural Mindanao especially in the areas most affected by the past conflicts.

Perez added that the economic policies and structural reforms being implemented by the administration further strengthen efforts towards attaining complete electrification of all barangays in the country.

Specifically, the Electric Power Industry Reform Act (EPIRA) mandates that the DoE consolidate all efforts by government agencies, and the private sector in rural electrification.

Recently, the DOE together with other government agencies created an expanded rural electrification team to manage the implementation of rural electrification program through enhance public and private partnership.

With the creation of the new electrification administration management team, the government aims to increase barangay electrification level to 91 percent by the end of this year and hopefully attain 100 percent barangay electrification by 2006.

In addition, a major part of the government’s focus on building a Strong Republic is to implement a long-term structural reform that would bring down the cost of electricity. And the only way to reduce the cost of power is to fully implement the benefits brought about by the Power Sector Reform Law.

Perez said that preparations on the establishment of the wholesale electricity spot market (WESM) are underway and near completion. The demo market, which is expected to commence operations by September this year, is seen to result in clear and understood rules for the WESM and at the same time prepare and educate all the industry participants for the operations of the final WESM.

With WESM in place consumers will be empowered to choose their supplier of electricity with the main goal of purchasing the least cost of power.

The Energy Regulatory Commission (ERC) has also fast-tracked the approval of the electric cooperatives (ECs) application for loan condonation as mandated unders Sec. 60 of the EPIRA, condoning all outstanding financial obligations of electric cooperatives to the National Electrification Administration (NEA) and other government agencies which were incurred for purposes of financing rural electrification program upon the effectivity of the law.

Perez said as of June 20, 2003 the ERC has granted provisional authority to 100 ECs to reduce rates as a result of loan condonation. In Luzon, 49 ECs have been given provisional authority, 25 in Visayas and 26 in Mindanao.

"Some five million electricity consumers nationwide are expected to enjoy lower electricity rates of debt condonation," Perez said.

Perez also said that the resolution of 25 out of 35 IPP (Independent Power Producers) contracts has generated savings of about $832 million in net present value (NPV) to the government without undermining the viability of the firms to earn fair and reasonable returns.

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GMA releases P35M for Cagayan Valley

ILAGAN, Isabela – President Gloria Macapagal Arroyo today authorized the release of P35 million for the rehabilitation of typhoon-ravaged Cagayan Valley, hardest hit by super typhoon Harurot which pummeled the country for two days.

The President made the announcement after making an aerial inspection of the region to personally see for herself the extent of the damage caused by Harurot.

"Sa ganitong mga pagkakataon nakikita ang pagdadamayan ng mga Pilipino. Tulung-tulungan tayong lahat," she told the leaders and officials of the provinces of Cagayan, Isabela, Nueva Vizcaya and Quirino.

In a briefing for the President at the Isabela provincial capitol here, Vice Gov. Santiago Respicio estimated the damage to agriculture and infrastructure in Isabela at more than P1 billion.

In Cagayan, Gov. Edgar Lara reported that 85 percent of corn in their flowering stages in some 7,000 hectares of fields was affected. Although electricity has been restored in most areas of the province, he said telecommunication firms have yet to fully resume their services.

Most roads, he said, are already passable and no major bridge has been damaged although the level of water in the Cagayan River is only a meter away from critical.

Regional officials, including Gov. Pedro Bacani of Quirino province and Congressman Rodolfo Albano of the first district of Isabela, called on the National Disaster Coordinating Council and other relief agencies of the government to speed up the rehabilitation work.

The President assured that as she spoke, trucks and helicopters of the Department of Energy carrying equipment for the repair of the transmission lines felled by Harurot are already on the way.

She said telecommunication firms like Smart, Globe, Sun Cellular and Digitel are already working round the clock and vowed to resume operations in the region today.

The President thanked local officials for their speedy reaction to the disaster, saying it is only through the cooperation of both the local and national governments that the country can surmount various odds.

"I’m grateful for the support of the people of Cagayan," she said. "Salamat din at handa kayong gumastos ng inyong sariling kakayahan at suporta na lamang ang ibinibigay ng pamahalaan (Thank you also that you are ready to spend on your own and the government will support you)."

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