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25 JULY 2007 .
bulet-arow.gif (856 bytes) Media center for AMM now open to journalists
bulet-arow.gif (856 bytes) AMM media center accredits 937 journalists
bulet-arow.gif (856 bytes) Malacaņang earmarks P50 billion for resettlement of metro squatters
bulet-arow.gif (856 bytes) PGMA underscores importance of disaster preparedness
bulet-arow.gif (856 bytes) PGMA urges all Filipinos to conserve water as dry spells stars to sweep the country
bulet-arow.gif (856 bytes) PGMA lauded for her education agenda
bulet-arow.gif (856 bytes) Gov't tightens monitoring of exploration, utilization of RP's mineral resources
bulet-arow.gif (856 bytes) PGMA approves Rationalization of National Holidays Celebration
bulet-arow.gif (856 bytes) PGMA orders immediate release of hundreds of children in detention
bulet-arow.gif (856 bytes) QC barangay latest beneficiary of PGMA visit
bulet-arow.gif (856 bytes) Gov't assumes operation of two geothermal power plants in Leyte
bulet-arow.gif (856 bytes) PGMA creates Commission to address Bicol flooding
bulet-arow.gif (856 bytes) PGMA fills up more important vacant posts
bulet-arow.gif (856 bytes) Gov't to balance budget in 2008, Teves & Andaya say

Media center for AMM now open to journalists

Some 100 computers complete with Internet connection are now available for local and foreign journalists covering the 40th ASEAN Ministerial Meeting (AMM) and related meetings from July 29 to Aug. 2.

The International Media Center (IMC), located at the PICC Forum, which is beside the Philippine International Convention Center (PICC), is also a Wi-fi Zone to enable those with their own computers or laptops to transmit their stories without using the telephone lines.

Internet access will enable accredited journalists covering the five-day AMM affair to write and transmit their stories to their respective home offices in just a matter of seconds.

More than 1,000 journalists are expected to cover the event starting this Sunday.

Also installed at the IMC are 26 printers, four photo copiers and two fax machines, according to Ms. Hazel Abad of the IMC.

Abad said satellite feed for television networks who wish to broadcast events live from the PICC can be arranged with the Philippine Long Distance Company (PLDT) through the facilities of the International Broadcasting Center (IBC).

The Philippine government, which chairs the ASEAN Standing Committee, is providing all these facilities.

The 40th AMM, the Post Ministerial Conferences (PMCs) and the 14th ASEAN Regional Forum (ARF), will all be held at the PICC.

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AMM media center accredits 937 journalists

A total of 937 journalists from 27 countries have so far been accredited to cover the 40th ASEAN Ministerial Meeting (AMM) to be held at the Philippine International Convention Center (PICC) from July 29 to Aug. 2.

Ms. Lorrie delos Reyes, head of the AMM accreditation office, said the number is expected to rise in the next few days as more foreign journalists arrive for the AMM and related meetings, which will open Sunday.

Of the total number of accredited mediamen, 602 are Filipinos representing the various news organizations in the country.

The second largest media delegation comes from the Republic of Korea with 83 accredited journalists, while China and Japan have the same number of journalists at 51.

Aside from the 40th AMM, the Philippines is also hosting the Post Ministerial Conferences (PMCs) and the 14th ASEAN Regional Forum (ARF).

The three meetings will be attended by the foreign ministers of the 10 ASEAN members and 17 other countries that include some of the world’s big powers like the United States, China, the Russian Federation, Japan, Canada and the European Union.

The ASEAN members are Brunei Darussalam, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam.

Journalists accredited to cover the five-day event are advised to wear their suits or jackets as the temperature inside the Forum, where the International Media Center is located, is 10 degrees Celsius or even lower.

The first batch of media people who went to the Forum today experienced both extremes - hot when one is outside the media center and cold when inside the complex.

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Malacaņang earmarks P50 billion for resettlement of metro squatters

The Arroyo administration has earmarked P50 billion to finance a massive program to resettle squatters in Metro Manila to government housing projects outside the metropolis over the next three years.

Secretary General Romulo Neri, National Economic and Development Authority (NEDA) chief, said Tuesday that the Department of Budget and Management (DBM) has already programmed P15 billion to finance the initial implementation of the relocation project.

The balance of P35 billion will be sourced from the Development Bank of the Philippines (DBP) and the Land Bank of the Philippines (LBP) in the form of loans.

The National Housing Authority (NHA) will also float bonds to raise P2 billion for the resettlement fund.

The P50 billion will cover the projected expenses in the construction of 265,955 housing units, each costing P188,000.

Neri said NEDA has already approved the proposed loan arrangement for the resettlement program, the biggest ever to be undertaken by the government.

The project is expected to be completed by the time President Gloria Macapagal-Arroyo bows out of office in 2010.

The President, who chairs NEDA, convened the NEDA board meeting to discuss key issues included in her 7th State-of-the-Nation Address (SONA).

Among those present during the meeting were Vice President Noli de Castro, the administration’s housing czar, and Budget Secretary Rolando Andaya Jr.

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PGMA underscores importance of disaster preparedness

President Gloria Macapagal-Arroyo underscored today the importance of preparedness in coping with and overcoming disasters, saying "disaster mitigation should be everyone's business."

"All of us have a stake in saving lives and keeping private and public property away from harm's way," the President said in her speech keynoting the National Multi-Stakeholder Dialogue on Disaster Risk Reduction held at the New World Renaissance Hotel in Makati City this morning.

The dialogue is jointly organized by the National Disaster Coordinating Council led by its Executive Director Glenn Rabonza and the United Nations System in the Philippines led by Nileema Noble, United Nations Resident Coordinator and Resident Representative of the United Nations Development Program.

It hopes to raise awareness on the benefits of dealing with hazards and risks by focusing on disaster prevention and mitigation strategies.

The President pointed out that the recent spate of calamities hitting the region and different parts of the world make the holding of this dialogue more important than ever.

She said many of the risks that communities and individuals undergo can really be prevented "if we all get together and decide and plan how we will do disaster mitigation."

"Despite all the tsunamis, mega-earthquakes, SARS (severe acute respiratory syndrome) and the avian influenza (AI) that have been sweeping across the globe, the Philippines, thanks to God and our preparedness, has been spared from that," she added.

The President pointed out that the government’s successful bid to keep the country SARS-and AI-free has shown that "we can do something about our disasters – typhoons, floods, landslides, mudslides, volcanic eruptions and our man-made disasters."

"One, it is important our people remain strong in coping with and overcoming disasters and it is really up to the (concerned government) agencies, national and local, to help them cope," she explained.

It is important, according to the President, that the agencies of government pool resources and manpower and team up with local government units and the private sector to lift the beleaguered communities up to their feet and restore normalcy at the soonest possible time after a disaster strikes.

She also underscored the importance of protecting the environment which, she said, plays an important role in the frequency and strength of disasters that come our way.

"We have to take care of our environment because it is very very much related to how big or how small the disaster will be when it strikes," the President said.

She noted that a national program called the "Berdeng Pilipinas" or the Green Philippines Initiative launched last year hopes to address the worsening global phenomenon of climate change by planting 20 million trees.

"Because at the end of the day, many of these great calamities are coming because of climate change," she said. "So if we are going to talk about disaster mitigation, we have to talk about addressing climate change."

The President said that because of the government’s investment in new technology, the storm-tracking capabilities of the Philippine Atmospheric, Geophysical and Astronomical Services Administration (PAGASA), a branch of the Department of Science and Technology (DOST), has been accurate and has been able to prevent the further loss of lives.

The Department of Environment and Natural Resources map and geo-hazard information gathering system, meanwhile, has been directed to fast-track its work in providing this very valuable information to people who need it, such as engineers, building contractors and realty developers.

"We have a good system of information and we have been able to send out this information very quickly to the local governments," the President said.

"So let us put this all together in a comprehensive framework on disaster risk reduction that will bring together the necessary institutions and players to bear upon the task," she added.

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PGMA urges all Filipinos to conserve water as dry spells stars to sweep the country

President Gloria Macapagal-Arroyo urged all Filipinos today to conserve water as the possibility of a critical water shortage looms in the wake of a "dry spell" sweeping the country.

The President made the call during a press briefing by the National Disaster Coordinating Council (NDCC) and the Philippine Atmospheric, Geophysical and Astronomical Services Administration (PAGASA) at the New World Renaissance Hotel in Makati City this morning.

The President had earlier keynoted the joint NDCC and the United Nations System in the Philippines' National Multi-Stakeholder Dialogue on Risk Reduction held also at the same venue where she underscored the importance of being prepared in overcoming and coping with natural disasters.

"We need everybody to conserve water to mitigate this disturbance," President Arroyo said.

She directed the NDCC to prepare information kits and to launch an information campaign to increase awareness among the people on the need to conserve water.

The President also instructed the Department of Agriculture to plant "water-resistant" crops or plants that do not need much water to sustain growth.

This way, the President said, agricultural output would not be affected too much.

During the briefing, Science and Technology Undersecretary Graciano Yumul informed the President that the country, particularly Luzon island was experiencing an "extended" dry spell for the past two months, when the rainy season should have been around already.

He said that if no rains come by next month, the possibility of drought might be declared in the regions.

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PGMA lauded for her education agenda

As President Gloria Macapagal-Arroyo was delivering her nationally- televised and much-applauded seventh State-of-the-Nation Address (SONA) on Monday, among her millions of anxious listeners and viewers across the country was a public school teacher from Metro Manila’s southernmost City of Muntinlupa.

Fatima A. Ruiz was particularly impressed with the President’s vision of raising the Philippines to a First World status in 20 years.

Another portion of the 59-minute SONA that caught her interest was President’s Arroyo’s announcement of increased investments in a stronger and wider social safety net such as "quality education, quality teachers, quality books, more scholarships and English proficiency training" as well as the 10 percent salary increase for teachers and all other national government employees starting July 2007.

This morning, Ruiz joined the increasing number of people who have given favorable reaction to the President’s speech at the joint opening session of the 14th Congress at the Batasang Pambansa in Quezon City Monday.

In a letter to Malacanang, she asked Executive Secretary Eduardo Ermita "to extend to President Arroyo our thanks for the 10 percent additional salary."

In her speech, the President said her administration has created over 50,000 teaching positions and is taking steps to improve their training as well as their benefits.

The Chief Executive said that as part of the education enhancement program, her administration, through the Department of Education, has regionalized starting in 2004 the payroll system which cuts processing to 30 days.

Under the regionalized payroll system, teachers in the different regions, including those retired or retiring, no longer have to go to Manila to follow up the processing of their salaries or pensions.

Press Secretary Ignacio R. Bunye had earlier said that the President’s seventh SONA was well-received by the public, including some of her critics.

"We are gratified with the warm and positive response to President Arroyo’s SONA, as exemplified in the deluge of congratulatory and supportive messages we have received and monitored in public fora," Bunye said in a press statement on Tuesday.

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Gov't tightens monitoring of exploration, utilization of RP's mineral resources

To ensure close monitoring by the government of the development and utilization of the country’s mineral resources, President Gloria Macapagal-Arroyo has ordered the transfer of the supervision of the mining industry from the Department of Environment and Natural Resources (DENR) to the Office of the President.

The President’s directive was contained in Executive Order (EO) 636 dated July 18.

"In order to closely monitor and oversee the efficient and effective implementation of the country’s utilization and development of its mineral resources, there is a need to transfer the Philippine Mining Development Corporation from the Department of Environment and Natural Resources to the Office of the President," EO 636 said.

The order also stated: "All issuances, rules and regulations or parts thereof which are inconsistent with this EO are hereby revoked, amended, or modified accordingly."

Before the issuance of EO 636, the Philippine Mining Development Corporation (PMDC), formerly the Natural Resources Mining Development Corporation (NRMDC), under the DENR, exercised supervision over the mining sector.

The Arroyo administration has stressed that environmental laws would not be compromised in the development of the country’s mineral resources.

The PMDC is a government-owned and controlled corporation (GOCC) with the primarily task of exploring, developing, mining, smelting and producing, transporting, storing, distributing, exchanging, selling, disposing, importing, exporting, trading and the promotion of gold, silver, copper, iron and all kinds of mineral deposits and substances.

Mining activities, already on the uptrend, are expected to further increase next year with more foreign direct investments flowing into the country.

This year alone, some of the world’s biggest mining players have invested a total of $500 million in the Philippines mining sector.

These mining firms include the Atlas Consolidated Mining and Development Corp., $100 million; the joint venture of Oceana Gold Ltd of New Zealand and Climax Arino Mining Co. of Australia, $100 million, and the Coral Bay Nickel Corp., $100 million to expand its Rio Tuba operations in Palawan.

Responsible mining has been touted by the Arroyo administration as the key to sustainable economic growth. The Philippines is the world’s fifth most minerals- endowed nation.

The local mining industry suffered a slump in the 1970s when metal prices in the world market dived. But with the new surge in the price of metals, the Philippines mining industry is well-positioned to cash in on the price hikes.

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PGMA approves Rationalization of National Holidays Celebration
To give the Filipinos ample time for family bonding, President Gloria Macapagal-Arroyo approved today Republic Act No. 9492 or "An Act Rationalizing the Celebration of National Holidays."

Executive Secretary Eduardo Ermita said that R.A. No. 9492 will take effect 15 days following its publication in at least two newspapers.

Ermita said during his weekly press briefing this afternoon that R.A. No. 9492 has amended Section 26, Chapter 7, Book I of Executive Order No. 292, also known as the Administrative Code.

The new law also provides that in the event the holiday falls on a Wednesday, the holiday will be observed on the Monday of that week and if the holiday falls on a Sunday, the holiday will be observed on the Monday that follows.

The law further provides that for movable holidays, the President shall issue a proclamation, at least six months prior to the holiday concerned, the specific date that shall be declared as a non-working day.

For the Eidul Adha, it shall be celebrated as a regional holiday in the Autonomous Region in Muslim Mindanao (ARMM).

The amended regular holidays and nationwide special holidays shall be observed in the country as follows:

Regular Holidays:

New year's Day                                  -     January 1
Maundy Thursday                               -     Movable date
Good Friday                                       -     Movable date
Eidul Fitr                                            -     Movable date
Araw ng Kagitingan                             -     Monday nearest April 9
(Bataaan and Corregidor Day)
Labor Day                                          -     Monday nearest May 1
Independence Day                              -     Monday nearest June 12
National Heroes Day                           -     Last Monday of August
Bonifacio Day                                     -     Monday nearest November 30
Christmas Day                                   -     December 25
Rizal Day                                           -    Monday nearest December 30

Nationwide Special Holidays:

Ninoy Aquino Day                              -     Monday nearest August 21
All Saints Day                                   -     November 1
Last Day of the Year                          -     December 31

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PGMA orders immediate release of hundreds of children in detention

President Gloria Macapagal-Arroyo has ordered the immediate release of hundreds of minors detained in various prisons around the country.

President Arroyo signed last week Executive Order No. 633 ordering their release as their detention runs counter with the law as declared under Republic Act No. 9344, or the Juvenile Justice and Welfare Act of 2006.

The President signed the Executive Order after the Juvenile Justice and Welfare Council reported that there are still children in detention despite the passage of R.A. 9344 in April last year.

Covered under the Order are children who are 15 years old and below at the time of the commission of the crime who are still imprisoned at the facilities of the Bureau of Jail Management and Penology (BJMP) and the Bureau of Corrections (BuCor).

The Department of Justice (DOJ), through the Public Attorney’s Office (PAO), was also directed to immediately file petitions in courts for the release of minors who are already convicted, and those who are in detention pending trial.

Upon the court issuance of a release order, the head/warden of the detention facility shall release the child within 48 hours to his/her parents in the presence of the Local Social Welfare Development Officer (LSWDO).

In turn, the LSWDO shall prepare and implement the necessary after-care services to ensure the normal growth and development of the child as productive members of the society.

As part of penal reforms and with the support of the legislative branch, the President signed R.A. 9344 last year to address the plight of children languishing in jail with adult criminals and protect them from possible abuse and exploitation.

Among its salient points, the law provides for the creation of the Juvenile Justice and Welfare Council under the administrative supervision of the DOJ, but headed by an undersecretary of the Department of Social Welfare and Development (DSWD).

It also provides that children aged 15 years and below will be criminally exempt, while youth offenders aged 15 to 18 shall be criminally charged only if they are found to have committed the crime with discernment.

R.A. 9344 also states that upon their apprehension, children-in-conflict-with-the-law should be turned over immediately to social workers.

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QC barangay latest beneficiary of PGMA visit

Barangay Doņa Imelda in Quezon City became the latest beneficiary today of President Gloria Macapagal-Arroyo's barangay visit program that aims to bring government service closer to the people.

The President motored to this barangay's village hall located at the corner of Bayani and Guirayan Streets to personally and informally interact with residents and officials who came out in droves to meet the Chief Executive.

After awarding a certificate to operate a Tindahan Natin convenience store to the barangay's Citizen president Ely Ubaldo, the Chief Executive turned over 100 Technical Education and Skills Development Authority (TESDA) Scholarship vouchers to Barangay Captain Vicente Uy.

The Tindahan Natin program, a project of President Arroyo through the Department of Social Welfare and Development, provides poor people with access to cheaper than market prices basic food items such as coffee, rice, noodles and sugar.

The vouchers, on the other hand, will provide 100 of the barangay's residents a chance to be call center agents, highly skilled welders and butchers.

After the awarding ceremonies, the President met with the barangay officials to discuss two problems that have been bothering them for some time: flooding and informal settlers.

Metropolitan Manila Development Authority General Manager Robert Nacianceno said the source of the flooding – the San Juan river at the back of the barangay which overflows during a strong downpour-- will have to be regularly dredged.

The President instructed the National Housing Authority to expedite the transfer of the informal settlers to the NHA housing site in Rodriguez, Rizal.

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Gov't assumes operation of two geothermal power plants in Leyte

The government assumed today the operation of the 232.5-megawatt Malitbog power plant, the biggest geothermal plant in the world, from the California Energy International Ltd. (CalEnergy) following the expiration of the 10-year Build-Operate-Transfer (BOT) agreement between CalEnergy and the Philippine National Oil Corp.-Energy Development Corp. (PNOC-EDC).

President Gloria Macapagal-Arroyo witnessed the turnover of the Malitbog and the 180-MW Mahanagdong A&B power plants to PNOC-EDC in ceremonies held in Malacanang this afternoon.

PNOC-EDC President/Chief Operating Officer (CEO) Paul Aquino and CalEnergy President Joseph Sullivan signed the Deed of Transfer as President Arroyo looked on.

Also present during the turnover ceremonies were outgoing Energy Secretary Raphael Lotilla and Justice Secretary Raul Gonzalez.

In his speech accepting the operation of the plant from CalEnergy, Aquino said: "Madame President, our vision in the next 5-10 years is to be a major producer of clean energy on a global basis."

The two power plants straddle the boundary between Ormoc City and the Municipality of Kananga in Leyte.

CalEnergy’s Sullivan paid tribute to the power plant employees who, he said, "worked so hard" to ensure that the two power facilities adhere to stringent safety and environmental standards.

He added that he hoped the employees would find a new home in PNOC-EDC.

Last year, CalEnergy also turned over to PNOC-EDC the operation of the Upper Mahiao geothermal plant, also in Leyte.

CalEnergy has completed its 10-year cooperation agreement with PNOC-EDC under the Energy Conversion Agreement (ECA) on the operation of the Leyte Geothermal Power Project. ECAs were established under the BOT Law.

An affiliate of CalEnergy, the Visayas Geothermal Power Company constructed and operated the Malitbog power plant which consists of three turbine generator units, each producing 77.5MW or a total installed capacity of 232.5MW, making it the world’s largest- capacity geothermal power plant under one roof.

Unit I of the project provides power to the National Power Corporation (NPC) for distribution to Cebu through the Leyte-Cebu transmission interconnection project.

On the other hand, Units II and III provide power to the NPC for distribution to Luzon through the Leyte-Luzon transmission interconnection project.

The Mahanagdong A&B plants were constructed and operated by another CalEnergy affiliate, the CE Luzon Geothermal Power Plant Company. Their electricity output is transmitted to Luzon via a submarine cable from Samar.

PNOC-EDC said it is poised to become a global company with its successful Initial Public Offering (IPO) last December and a follow-on offering earlier this month.

PNOC-EDC has been supplying steam to the three CalEnergy power plants via its Leyte Geothermal Production Field (LGPF) and the 112.5MW Tongonan I and the Leyte Optimization plants, all in Leyte.

Aside from its LGPF, PNOC-EDC also operates geothermal production fields in Southern Negros, Northern Negros, Bicol and North Cotabato.

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PGMA creates Commission to address Bicol flooding
President Gloria Macapagal-Arroyo has issued Executive Order No. 634 creating the Bicol Calamity Assistance and Rehabilitation Effort Commission (B CARE C) that would address and resolve the decades-long problem of massive flooding in the Bicol region during tropical depressions.

Executive Secretary Eduardo Ermita made the announcement during his regular weekly press briefing this afternoon.

The mandate of B CARE C, according to Ermita, is to integrate relief, rehabilitation, and resettlement, recovery, livelihoods and development efforts in the different areas of the Bicol region particularly affected by typhoons Caloy, Milenyo and Reming.

The President tasked all departments, agencies, bureaus, offices and instrumentalities to extend full assistance and cooperation and provide information and data to the B CARE C.

She also directed the Commission to submit quarterly report to the Congressional oversight committee on the funds allocated for the aid, relief, resettlement, rehabilitation and livelihood services, construction or repair and reconstruction of infrastructure projects being financed, and its accomplishments for the expanded appropriations.

The funding for the administrative and operational expenses of the Commission will be sourced from the Calamity Fund.

EO 634, signed by the President last July 3, will take effect immediately.

The B CARE C was ordered by the Chief Executive to exercise its powers and functions for a period of two years.

It will replace the National Disaster Coordinating Council (NDCC) as the clearing house for all claims/requests to ensure that public funds allocated for victims of calamities/disasters would be spent judiciously and effectively through efficient prioritization of programs and consistent monitoring of projects.

Among the salient powers of the B CARE C are the following:

a. To generate proposals from the implementing agencies for relief, rehabilitation, resettlement, recovery, livelihood and development efforts as well as infrastructure support;

b. To work with the Department of Environment and Natural Resources (DENR) on hazard mapping for the Bicol region;

c. To work with the Bicol River Basin and Watershed Management Project Management Office on common or overlapping project activities;

d. To regularly monitor the status of programs, projects and activities in the areas devastated by typhoons Caloy, Milenyo, Reming and Senyang in the region to ensure their prompt and efficient execution;

e. To recommend courses of action to ensure cohesiveness in objectives and coordinated action to improve implementation of rehabilitation, repair and reconstruction works and activities in the said areas;

f. To coordinate and consult with concerned national and local officials, both elective and appointive, as well as accredited non-government organizations (NGO) in the prosecution of programs and projects;

g. To mobilize the assistance and support of any government agency or instrumentality as well as civil society and donor community to address identified gaps and requirements in rehabilitation efforts; and,

h. To formulate policies, plans and programs for relief, rehabilitation, resettlement, recovery, livelihood and development efforts and infrastructure support with regard to CARE funds unallocated to date or funds for a similar purpose that may be allocated in the future.

The Commission will be composed of the chairman of the NDCC, as chairman. Its members are the Secretaries of the Department of Agriculture (DA), Department of Agrarian Reform (DAR), Department of Budget and Management (DBM), Department of Social Welfare and Development (DSWD), Department of Education (DepEd), Department of Health (DOH), Department of Public Works and Highways (DPWH), the chairman of the Commission on Higher Education (CHED), the administrator of the National Electrification Administration (NEA), the general manager of the National Housing Authority (NHA), and the chairman of the Region V Development Council.

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PGMA fills up more important vacant posts

Malacanang announced today the appointment of six highly qualified individuals to fill up vacant government posts.

Executive Secretary Eduardo Ermita said in his weekly press briefing this afternoon that President Arroyo had signed their appointment papers on separate dates.

The newly appointed officials are as follows:

Natividad G. Dizon as Deputy Chief Presidential Legal Counsel and Teresita S. Castillo as Presidential Assistant with the rank of Undersecretary, both under the Office of the President;

Jose P. Capadocia, Undersecretary of the Office of the Press Secretary;

Austere A. Panadero, Undersecretary of the Department of Interior and Local Government (DILG);

Pastor J. Benavidez, Assistant Chief State Counsel of the Department of Justice (DOJ); and

Ma. Anthonette Velasco-Allones, Executive Director, Career Executive Service Board under the Civil Service Commission (CSC).

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Gov't to balance budget in 2008, Teves & Andaya say

The government will raise enough revenues next year to fund the entire P1.227- trillion proposed national budget, which appropriated P11.5 billion for the projects enumerated by President Gloria Macapagal-Arroyo in her State of the Nation Address (SONA) last Monday.

Finance Secretary Gary Teves said the government will raise a total of P1.236 trillion in revenues next year, more than enough to fund the proposed 2008 budget. "This means that we will have a zero budget deficit or a balanced budget by the end of next year."

The Bureau of Internal Revenue (BIR) will raise P844.95 billion in revenues while the Bureau of Customs (BOC) will collect P254.5 billion. The improving tax revenues will be complemented by non-tax revenues, including proceeds from privatization and higher dividends from Government-Owned and Controlled Corporations (GOCCs), Government Financial Institutions (GFIs), and Social Security Institutions (SSIs).

"With these revenues, we will be able to fully fund the P1.227 trillion budget for next year, including the infrastructure projects mentioned by the President in her SONA," according to Budget Secretary Rolando Andaya.

Secretary Teves said the government remains on track with its goal of balancing the budget, despite recent slippages in tax collection.

The national government breached the deficit ceiling by P9.7 billion in the first half of the year as revenues fell short of target by P47.7 billion. "But The BIR already outlined action plans to recover P20 billion of its shortfall in the succeeding months while the BOC committed to wipe out its P13 billion collection shortfall," Secretary Teves pointed out.

"They are intensifying tax administration programs, including the adoption of technology-based measures and governance initiatives to strengthen collection efficiency. These are not one-time efforts but are being implemented on a sustained and progressive basis with the help of our development partners," he added.

He also said that proceeds from privatization could reach P100 billion this year with the sale of the government’s shares in the Philippine National Oil Co.-Energy Development Corp. (PNOC-EDC) amounting to P50 billion and San Miguel Corporation which is also worth P50 billion. These could more than offset the tax collection shortfall in the first half of the year.

"The combined revenues from both tax and non-tax sources will allow us to be on track with our fiscal consolidation program without sacrificing on spending particularly for infrastructure development to enhance competitiveness and provide better social services for our people," Teves said.

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