Political patronage is defined as the dispensation of favors or rewards such as public office, jobs, contracts, subsidies, prestige or other valued benefits by a patron (who controls their dispensation) to a client.
The revelation made by Duterte recently is a classic example that robs the people of the limited resources that could have been used in improving the lives of ordinary folks.
Speaking to Air Force men and women in Pasay City, President Duterte revealed that a past president waived P7 billion in government receivables from a power plant for still undetermined reasons.
We have a receivable from an energy plant of P7 billion. It was waived. For what reason? I really do not know.
President Duterte assured his audience though that this is a thing of the past because he made a promise to the Filipinos that this will be a clean government.
I’m telling everybody: Do not do it in my time because I promised the Filipino a clean government. It will be a clean government. There will be no corruption. Even the exemption of taxes and waiver of billions. The game here involves billions, believe me.
President Duterte though kept mum on the identity of the President who condoned the power plant company.
Meanwhile, according to the sleuthing of the Philippine Star, all fingers point to the Aquino admin as the culprit. Here’s why!
In 2011, President Aquino issued Executive Order No. 27, s. 2011 which instructs the reduction and condonation of real property taxes and interest/penalties assessed on the power generation facilities of independent power producers under build-operate-transfer contracts with government-owned or controlled corporations in the province of Quezon.
The power plant owed the government a staggering amount to the tune of six billion pesos! Yes, you heard it right, six billion pesos!
Why? Paying the back taxes “will trigger massive direct liabilities on the part of [National Power Corp./Power Sector Assets and Liabilities Management Corporation], increase the cost of electricity, and may trigger further cross-defaults, and colossal economic losses across all sectors.”
In 2014, President Aquino issued another EO, similar to the 2011 condonation. But this time involving an IPP located within Metro Manila, in the guise of protecting the interest of the consumers.
Do you think the Philippine Star is correct on this?
Source: Philippine Star