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Globe-PLDT tussle’s side issue

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There is an interesting sidelight to the ongoing tussle between Philippine Long Distance Telephone Co. (PLDT) and Globe Telecom arising out of the buy-in of the former into Digital Telecommunications Philippines Inc. This is the issue of ethical behavior, now a byword in corporate boardrooms around the world.

PLDT drew first blood by insinuating that Globe is using former Ayala executives who are now holding key government positions to win its case. Well, Globe has countered by saying that it has always been a socially responsible corporation upholding the highest possible standards for good governance and ethical behavior. “It has never been a practice of the company to engage in bribery, payment of payola or revolutionary taxes, coercion or influence peddling to gain ground in its business,” the Ayala-controlled firm said.

The question of the payment of revolutionary taxes usually crops up during discussions among mediamen in various forums whenever there are reports of bombings of cell sites or transmission towers owned by Globe. And the talk usually turns to why Globe cell sites are the only ones being bombed; the telco’s bombed facilities include those in Iloilo, Surigao del Norte, Compostela Valley, Legaspi City and Sorsogon.

A Google search has confirmed that only Globe cell sites are being singled out by the New People’s Army (NPA). The same search that showed that only one Smart cell site has so far been harassed by outlaws—the one in Sulu—and by Abu Sayyaf bandits, not the NPA. It is difficult to say categorically whether the raids on the Globe cell sites are random or targeted but it would satisfy the curiosity of many if this question will be answered in the battle royale that has started between the two telco giants; so far, the exchange of barbs has been limited to accusations of monopoly, sour grapes.

One eye-opener, though, is that the two telcos count as partners companies from two of our Southeast Asian neighhbors. Globe’s partner is Singapore Telecom, while PLDT is backed by the Salims of Indonesia.

The Palawan mining controversy

Another battle line playing out involves an environmental group headed by Ms. Gina Lopez of ABS-CBN Foundation and that of the mining companies in Palawan. It would seem that Ms. Lopez wants to ban mining in the province, as it would hurt the biodiversity of the area. Mining firms have protested the environmental tone, since they said they have been ensuring that environmental safeguards are put in place before, during and after their mining activities.

The issue has degenerated into a signature-gathering campaign, with the foundation aiming for 10 million signatures to force mining companies out of Palawan. We have seen such a booth in a church in Blumentritt during the Holy Week. The booth is located just outside the church with photos of supposed environmental degradation in Palawan. Ms. Lopez claimed that the Palawan Council for Sustainable Development (PCSD) has reported the loss of 16 percent of its forest cover compared with other provinces. PCSD was supposed to protect Palawan because of its biodiversity, and yet, she said, among the provinces in the country, Palawan appears to be the most ravaged. What is worse, she added, is that the 16-percent decline was recorded before the Mining Act was passed.

But PCSD has disputed this assertion. In 1992 Palawan’s forest was recorded at 738,886 hectares, representing about 52 percent of Palawan’s total land area. In 2005 forest cover went down to 46 percent appearing to have declined by about 6 percent, or 5,500 hectares per year for the last 13 years from 1992 to 2005. The decrease in forest cover is not due to mining but mostly to conversion of public lands into alienable and disposable lots to support the government’s land-titling and agrarian land-reform programs. Thus, the reported forest loss is comparatively very low as deforestation rate was a record high at 19,000 hectares a year in the early 1980s before the Strategic Environment Plan Law was passed, according to Romeo Dorado, officer in charge of PCSD staff.

But the most telling argument delivered against the environmental group’s signature campaign is that one coming from Jerry Brimo of Nickel Asia, who pointed out that when groups such as Save Palawan Movement do their advocacy, they should do their work responsibly and refrain from using “half-truths, negative spins and outright deception.” Brimo said he is particularly aghast that the Lopez-backed movement has been using school children in their signature campaign. “It is inappropriate to do so, and is, in fact, disgraceful,” he said.

The ARMM poser

There is an ARMM province-wide difference between what former senator Aquilino “Nene” Pimentel Jr. and Malacañang are saying on the issue of the postponing the Autonomous Region in Muslim Mindanao (ARMM) elections. For Pimentel, the Palace game plan seems to be to put in place its own trusted people as ARMM governor, vice governor and members of the Regional Legislative Assembly to prepare for future political battles, namely, the 2013 and 2016 elections.

For Malacañang, the poll postponement would allow the government to institute badly needed reforms in the troubled region. Interior Secretary Jesse Robredo and other administration officials are saying the postponement is needed because the ARMM is a “failed experiment.” Robredo cited the unstable peace-and-order situation, the billions in the ARMM budget lost to corruption, and the region’s reputation as the election cheating capital of the country.

Even the issue of a peace deal has been cited for the postponement scheme. Secretary Ging Deles, presidential adviser on the Peace Process, said postponement would give the government enough time to forge a peace deal with Muslim rebels. But the reasons she ticked off are not compelling enough to warrant postponement.

The majority of those we talked to believe peace could best be achieved by the new officials who would be elected in the scheduled ARMM elections. There is no need for the ARMM to wait for another two years; postponing the polls goes against the principles of democracy.

Sen. Ferdinand Marcos Jr., in fact, found this out when he held consultations in the area with his committee going to the ARMM to feel the pulse of the people. Even Sen. Joker Arroyo said Malacañang should not meddle in the ARMM polls because the region enjoys autonomy. Sen. Chiz Escudero also wants the ARMM polls to be held as scheduled, as they are crucial to peace and development in Mindanao. Based on these compelling messages, the administration must dump its postponement agenda.

 

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