Report: Militants disrupt Aquino's program launch

Militants staged a picket near the hotel where the launching of the government's Public Private Partnership (PPP) program was being held, a radio report said. According to Radio dzBB, some 30 members of the militant group Bayan Muna staged a picket near the Marriott Hotel in Pasay City where President Benigno Simeon Aquino III attended the launch. Tuesday Niu of radio dzBB said Pasay City police prevented the militants from getting near the actual venue of the launch, attended by representatives of the business sector. The report said the militants branded the PPP program as "Private Public Plunder." Bloating the country's debt burden Critics of the PPP claimed the program would allegedly bloat the country's debt burden and facilitate increased corporate takeover of government roles at the expense of public interest. The militant think tank IBON Foundation said no capitalist will invest in big-ticket projects in a relatively small market like the Philippines, "without certain guarantees that will ensure the protection and profitability of his investment." "Consequently, PPP contracts are loaded with favorable terms for investors like guaranteed return on investment, guaranteed market and sales, fiscal incentives, full cost recovery including on inflation and currency fluctuation, and even unheard of sweeteners such as subsidies for production input (the fuel cost subsidy of Napocor’s independent power producers comes to mind) – all of which are borne by the people as consumers and as taxpayers," IBON said in a statement issued on Thursday. IBON also questioned “pertinent incentives" to stimulate private resources for PPP projects. "Ultimately, however, it will still be the taxpayers who will foot the bill of the risk insurance through debt payments – interest and principal – to the multilateral creditors. Likely sources include the Asian Development Bank (ADB) and the World Bank, two of the most aggressive lenders and active promoters of PPP projects," IBON said. The World Bank has already indicated a willingness to provide funds for the PPP projects of the Aquino administration, it said. – VVP, GMANews.TV