Power management firm clears Arroyo in 'questionable perks' issue
THE Power Sector Assets and Liabilities Management Corporation has virtually absolved President Gloria Macapagal-Arroyo of involvement in the questionable release of the P10 million in bonuses to its officials for their alleged successful sale of the Masinloc coal-fired power plant in Zambales.
During a Senate hearing of the Joint Congressional Power Commission last Thursday, Psalm president Nieves Osorio said Arroyo had nothing to do with the approval of the bonuses in response to a query by Senator Sergio Osmeña III.
Osorio clarified during the commission hearing that it was not the Psalm board of trustees that received the bonus but the money went to the corporation's 150 employees as "variable incentives" for their achievement in 2004. She also said the money was not given because of the 600-megawatt Masinloc plant deal.
"The board approved P10 million but only P6.4 million was released," shed added.
Senator Joker Arroyo questioned the incentives saying that Psalm officials and employees had nothing to boast of because they failed to comply with the provisions of Republic Act (RA) 9136 or the Electric Power Industry Reform Act (Epira) of 2001 on the privatization of the National Power Corporation (Napocor).
"Under the Epira, 70 percent of its assets must be sold within three years but Psalm only manages to sell less than one percent of its (Napocor) assets,"
Arroyo noted.
The Masinloc power deal is beset with controversy after the Psalm allowed the winning bidder, YNN Pacific Consortium, which now has Ranhill Berhad of Malaysia as its new partner, ample time to settle the upfront payment of US$227 million, despite its failure to do so as stated in the sale contract.
YNN and Ranhill Berhad have until August 6 to pay the down payment but the firms have not indicated their intention to coming up with the money.
Senator Miriam Defensor-Santiago, chairperson of the Joint Congressional Power Commission, urged Psalm to return the money after the Commission on Audit (COA) declared that the monetary release was illegal.
"It was already disapproved by COA. The committee will simply confirm the decision of the COA that this money should be refunded and should not be given away as bonuses. They are being paid for the discharge of their official functions," Santiago said. (REC)
During a Senate hearing of the Joint Congressional Power Commission last Thursday, Psalm president Nieves Osorio said Arroyo had nothing to do with the approval of the bonuses in response to a query by Senator Sergio Osmeña III.
Osorio clarified during the commission hearing that it was not the Psalm board of trustees that received the bonus but the money went to the corporation's 150 employees as "variable incentives" for their achievement in 2004. She also said the money was not given because of the 600-megawatt Masinloc plant deal.
"The board approved P10 million but only P6.4 million was released," shed added.
Senator Joker Arroyo questioned the incentives saying that Psalm officials and employees had nothing to boast of because they failed to comply with the provisions of Republic Act (RA) 9136 or the Electric Power Industry Reform Act (Epira) of 2001 on the privatization of the National Power Corporation (Napocor).
"Under the Epira, 70 percent of its assets must be sold within three years but Psalm only manages to sell less than one percent of its (Napocor) assets,"
Arroyo noted.
The Masinloc power deal is beset with controversy after the Psalm allowed the winning bidder, YNN Pacific Consortium, which now has Ranhill Berhad of Malaysia as its new partner, ample time to settle the upfront payment of US$227 million, despite its failure to do so as stated in the sale contract.
YNN and Ranhill Berhad have until August 6 to pay the down payment but the firms have not indicated their intention to coming up with the money.
Senator Miriam Defensor-Santiago, chairperson of the Joint Congressional Power Commission, urged Psalm to return the money after the Commission on Audit (COA) declared that the monetary release was illegal.
"It was already disapproved by COA. The committee will simply confirm the decision of the COA that this money should be refunded and should not be given away as bonuses. They are being paid for the discharge of their official functions," Santiago said. (REC)
posted by OlongapoCity Zambales at
8:39 PM
0 Comments:
Post a Comment
<< Home