A LONG term partner of the Philippines especially when it comes to financial support, the World Bank continues to assist local government agencies and dynamic sectors with hopes in improving the lives of the Filipino citizens and help in bringing fiscal stability to the country, among others.
As a part of their commitment, the World Bank recently extended a $12million grant to the country, and partnered with local sectors for an electrification project called the Electric Cooperative System Loss Reduction Project (ECSLRP) that is seen to benefit 86,000 households in the rural communities in northern Mindanao as well as reduce the emissions of carbon dioxide and other pollutants that damage the environment.
The ECSLRP is financed by the Global Environment Facility (GEF), which is a fund managed by the World Bank. About P136million ($3million) of the program is co-signed by local sectors like the Bank of the Philippine Island (BPI), LGU Guarantee Corp. (LGUGC) and the Bukidnon Second Electric Cooperative Inc. (Buseco).
The LGUGC is a private corporation the manages the fund in the Philippines. It facilitates development financing for projects in local government units, water districts, state universities and colleges, and electric cooperatives like the Buseco.
According to The Star, Buseco, which is an electric cooperative, covers the northern part of Bukidnon province. It will use the fund for the “installation of a substation in Kisolon in Bukidnon, construction of a 25-kilometer transmission line from Lunocan to Kisolon, and replacement and calibration of installed meters.
Edgardo R. Masongsong, Buseco’s general manager and chief executive officer, said in an interview with the same newspaper that a project such as the ECSLRP will be able to “meet the power demand by small and medium agribusiness enterprises, thus contributing to the expansion of economic opportunities and job creation in the country side.”
While economic opportunities on the rural provinces are seen, the metropolis is being alarmed with the release of the study made by the International Energy Consultants that the Philippines have the most expensive electricity in Asia.
According to the study, the high cost was based from the fact that power and distribution taxes are being passed on to consumers. Not to mention, having a privatized power sector in the Philippines.
Meneleo Carlo, chairman of the Federation of Philippine Industries (FPI), said in a statement that the high cost of electricity must be the reason why “foreign investments have been shrinking in the Philippines,” and why business in neighboring countries are flourishing.
Having international organizations help a developing country can be flattering because it means that it recognizes the country’s potential to achieve economic success and be at par with the leading countries in the world one day. But no matter how determined an organization may be in lending a helping hand, if the people being helped lack the effort and will to improve, then progress may still be out of their reach, for change will never come if it is never acted upon.
(www.asianjournal.com)
(NYNJ Feb 11-17, 2011 Sec A pg. 6)
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