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Key points in Duterte’s SONA 2018: Rice, taxes and war on drugs

by UNTV News and Rescue   |   Posted on Tuesday, July 24th, 2018


President Rodrigo Roa Duterte in his third State of the Nation Address on July 23, 2018. Image courtesy of PCOO/ROBINSON NIÑAL JR.

QUEZON CITY, Philippines – President Rodrigo Duterte did not veer away from his script during his 48-minute-long State of the Nation Address on Monday (July 23) at the Batasang Pambansa in Quezon City, contrary to earlier expectations that the President might opt for an extemporaneous speech.

His moment was almost snatched after more than an hour delay because of a sudden “leadership row” at the House of Representatives between House Speaker Pantaleon Alvarez and Pampanga Representative Gloria Arroyo.

But as the saying goes, “the show must go on” for the President and here are the main points of his third SONA.


War on Drugs

The President began his speech emphasizing on his government’s top campaign – the war on illegal drugs. He said “the illegal drugs war will not be sidelined. Instead, it will be as relentless and chilling…as on the day it began.”

He also slammed critics of his anti-drug policy stressing on the “terrible harm that they cause to the people and communities” and the future, especially to the youth. He said human rights advocates and church leaders criticizing the government on war on drugs are “misdirected.”

“Your concern is human rights, mine is human lives,” the President said.

“You worry about the present; I am concerned [about] both the present and the future. I worry about the future because I know what crimes can do to the youth of this country. If not stopped, crimes can make human cesspools of succeeding generations. I will not allow it to happen. Not during my term,” he added.


Lower price of rice

The President vowed to provide a long-term solution to the country’s rice problems such as rice shortage and high prices. He said that lowering the price of rice is a top agenda.

As he certified it as urgent, the President asked Congress to prioritize the passage of a rice tariff system.

“We need to switch from the current quota system in importing rice to a tariff system where rice can be imported more freely. This will give us additional resources for our farmers, reduce the price of rice by up to 7 pesos per kilo, and lower inflation significantly,” he said.

He warned “rice hoarders, cartels and their protectors” to stop their illegal practices as he directed “all intelligence agencies to unmask the perpetrators of this economic sabotage.”

Likewise, the President urged Congress to “pass at the soonest possible time the bill establishing the Coconut Farmers’ Trust Fund” that would help the coconut farmers.


TRAIN will not stop

In his speech, the President stressed that the government will not allow the suspension of the implementation of TRAIN or the Tax Reform for Acceleration and Inclusion Law as it is needed for the country’s sustainable growth and has helped improve infrastructure.

“TRAIN is already helping poor families and senior citizens cope up with rising prices…We cannot and should not. We need this for sustainable growth that leaves no Filipino left behind,” he said.

Thus, he urged Congress to pass all five packages of the administration’s Comprehensive Tax Reform Program (CTRP). These packages will include additional taxes on alcohol, tobacco, and reform in property valuation, reform in capital income and financial taxes, and an amnesty program


End “Endo”

President Duterte was pleased to announce that the government’s campaign against contractualization and the end-of-contract scheme or Endo “has resulted in the regularization of more than 300,000 workers as of early this month.” He added that through Executive Order 51, workers will somehow get the protection of their rights to security of tenure.

The President, however, said that though he understands that the E.O. does not satisfy all sectors, he does not have the power under the Constitution to end the said labor scheme.

“That is why I add mine to their voices in asking Congress to pass legislation ending the practice of contractualization once and for all,” he said.


On Mining and the Environment

The President emphasized in his SONA that “the protection of the environment must be the top priority and extracted resources must be used for the benefit of the Filipino people, not just a selected few.”

Thus, he warned the mining industry of “restrictive policies” not just taxes, if mining operators continue to compromise the country’s resources and destroy the environment.

“I warn irresponsible miners, along with their patrons, to stop destroying our watersheds, recharge areas, forests, and aquatic resources,” he said.

He ordered the mining operators to “repair what they have mismanaged.” The President warned them of “radical reforms” and among them is the prohibition of open-pit mining.

“For as long as I am here I said: you will just have to contend with me. I expect you to do your part in ensuring our nation’s sustainable development, starting now,” the President stressed.

The President also urged the Senate to urgently pass the National Land Use Act “to put in place a national land use policy that will address our competing land requirements for food, housing, businesses, and environmental conservation.”

He stressed that what happened to Boracay is an indication of the decade-long mismanagement of the country’s land that resulted to abuse and destruction.


Disaster Resiliency

The President said his Cabinet already approved “for immediate endorsement to Congress the passage of a law creating the Department of Disaster Management.”

“We need a truly empowered department characterized by a unity of command, science-based approach and full-time focus on natural hazards and disasters, and the wherewithal to take charge of the disaster risk reduction; preparedness and response; with better recovery and faster rehabilitation,” he said.


On Friendship and Corruption

President Duterte said that though he values his friends, he is willing to let go of them if they go against his anti-corruption policies.

“I value friendship. Make no mistake about it. But it has its limit…Do not make it lonelier by forcing me to end our friendship because you gave me a reason to end it,” he said.

Duterte has fired several high ranking officials, who were close to him because of corruption allegations. However, he remained under fire after some officials accused of irregularities remained close to the President such as Agriculture Undersecretary Pompee La Viña, former Customs Commissioner-turned Civil Defense administrator Nicanor Faeldon, and Pampanga Representative Gloria Arroyo.

The President also issued a stern warning against government agencies particularly under the executive branch which was reported to have the most number of red tape complaints.

“I particularly call the attention of the agencies with the [most] number of red tape-related reports from the public, make your services truly customer-friendly. Our people deserve efficient, effective, and responsive government services. They deserve nothing less,” he said.

He also directed all local government units to implement the law on ease of doing business and make the process simpler.


On Federalism

President Duterte expressed confidence that the Filipino people will support him in achieving his campaign promise of shifting to a federal form of government.

“I am confident that the Filipino people will stand behind us as we introduce this new fundamental law that will not only strengthen democratic institutions but will also create an environment where every Filipino… will have an equal opportunity to grow and create a future,” he said.

The Consultative Committee formed by the President has submitted a draft federal charter to Congress.


Bangsamoro Organic Law

The President promised to sign the Bangsamoro Organic law within two days in his commitment that his administration “will never deny our Muslim brothers and sisters the basic legal tools to chart their own destiny within the Constitutional framework of our country.”

Duterte said “the law has been passed actually,” but he asked for the next 48 hours to read, sign and ratify the law to make sure that nothing unconstitutional has been inserted therein.

The President was supposed to make history by signing the BOL during his SONA. However, the signing was delayed after the Lower House failed to ratify it due to the “power struggle” on House Speakership hours before the SONA. The Senate ratified the BOL without objection even earlier on Monday. — UNTV News & Rescue


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Duterte approves suspension of additional fuel excise tax in 2019

by UNTV News   |   Posted on Wednesday, November 14th, 2018

MANILA, Philippines — The Office of President Rodrigo Duterte has already issued a memorandum on the suspension of the second tranche of additional excise taxes on oil for the first months of 2019.

But according to Budget Secretary Benjamin Diokno, the president has green-lighted the proposal of his economic team.

In particular, the collection of the additional P2.00 excise tax for every liter of fuel will be suspended beginning January next year.

This is despite the downward trend of oil prices in the world market.

A provision of Tax Reform for Acceleration and Inclusion or TRAIN law states that the next tranche of additional excise tax will be automatically suspended if the price of Dubai crude oil will reach $80 per barrel or more for three consecutive months.

“I just got a communication from the executive secretary that our proposal to suspend the two-peso additional excise tax on oil next year has been approved. And we have no intention to recommend again, second policy is kinda difficult, and we cannot do it at the whim in response to,” said Diokno.

The budget official noted that the move will result in revenue losses of around P26 billion.

It will also affect the government’s fuel subsidy program for jeepney operators. Instead of P20,000, recipients will only be receiving P10,000.

There is no definite period yet until when the suspension will be in effect but Secretary Diokno reiterated that the government will review it on a quarterly basis.

Diokno also insists that the government has the privilege to suspend the excise tax and will not violate the law.

“The administration has the prerogative to suspend if it wants to in the light of recent developments, we cannot violate the law, it’s the Department of Finance who is implementing the law,” said the budget secretary.

Meanwhile, Diokno denied a report that the government has failed to reach its target revenue collection under the TRAIN law.

“Number one, it’s false that it’s not yielding much more than one we have anticipated so, in other words, we have the program revenue collection as a result of TRAIN I, we have actually exceeded the collection,” said Diokno. — Rosalie Coz | UNTV News & Rescue

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Locsin: PH, China to discuss ‘Belt and Road Initiative’ during Xi’s visit

by UNTV News   |   Posted on Thursday, November 8th, 2018

FILE PHOTO: (L-R) President Rodrigo Duterte and Chinese President Xi Jinping | PCOO

MANILA, Philippines — President Rodrigo Duterte is set to meet with his Chinese counterpart, Xi Jinping when the latter visits the country this month.

According to Foreign Affairs Secretary Teddy Locsin, the two leaders will discuss the Philippines’ participation in China’s Belt and Road Initiative and a memorandum of understanding will be signed during Xi’s visit.

Locsin added in a message that this is Xi’s priority because the Philippines is the only ASEAN country that has yet to join the initiative aimed at linking Southeast Asia and South Pacific through massive infrastructure projects with multi-billion dollar fund earmarked by the Asian power.

The Chinese president is expected to visit the country this month after the Asia Pacific Economic Cooperation (APEC) leaders’ meeting in Papua New Guinea.

The DFA secretary, meanwhile, denied earlier reports that a deal on joint oil and energy exploration in disputed territories in the West Philippine Sea will be signed between the Philippines and China during Xi’s visit.

This is because the proposed deal is still being studied according to Energy Secretary Alfonso Cusi, and the president has yet to approve the bid to explore the Service Contract No. 57 situated west of Calamian Islands in northwest Palawan.

Cusi also clarified that the said area is not included in the hotly contested parts of the West Philippine Sea.

“Service Contract No. 57 and this is an issue of farming-in for a company to be because that service contract is owned by PNOC-EC and then needed the partner to pursue further exploration and exploitation if when the time comes. So they have been looking for partners and one partner that they have shown that interest is the CNOOC. So, for them to farm-in because it has been farming-in is not allowed,” said Department of Energy Secretary Alfonso Cusi.

Both Cusi and Locsin admit they have no idea whether Duterte and Xi will discuss the proposed joint oil exploration deal in the West Philippine Sea during their meeting. — Rosalie Coz | UNTV News & Rescue

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Duterte to invite China’s Xi to his Davao home

by UNTV News   |   Posted on Thursday, November 8th, 2018


FILE PHOTO: (L-R) President Rodrigo Duterte and Chinese President Xi Jinping | PCOO

MANILA, Philippines — Presidential Spokesperson Salvador Panelo confirmed that President Rodrigo Duterte will invite Chinese President Xi Jinping to his home in Davao City.

The top Chinese official is set to visit the country this month after the APEC Summit in Papua New Guinea.

Duterte has previously brought Japanese Prime Minister Shinzo Abe to his home when the official visited the country in January 2017.

This will be the first visit of the Chinese president to the country under the term of President Duterte. — UNTV News & Rescue

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