Politics must be put aside to let the China-funded Chico River Pump Irrigation Project finally benefit farmers in Northern Luzon, Malacañang said the other day, in the wake of criticisms raised by some quarters.
Presidential spokesman Salvador Panelo said criticisms on the government’s loan pact with China were “trivial, circuitous, and pointless,” as he assured the public that the government was capable of meeting the financial obligation.
Ample safeguards in the arbitration proceedings have also been placed in case of a dispute on the loan agreement, Panelo added.
“The Chico River Pump Irrigation Project has been stalled for over 10 years. The expected 4,350 families of farmers tilling 7,530 hectares of agricultural land in Tuao and Piat in Cagayan and 1,170 hectares of agricultural land in Pinukpuk, Kalinga, who would benefit from this flagship infrastructure project, cannot wait till kingdom come,” he said.
“Let us set aside politics and give our farmers in Northern Luzon a better life which they truly deserve. Perhaps our critics should have instead done their part to contribute when they had every opportunity to do so, especially when they were holding the reins of the government,” he said.
Supreme Court Senior Associate Justice Antonio Carpio recently warned that China could seize the oil and gas deposits in Reed Bank or Recto Bank if the country is unable to pay $62-million loan for the irrigation project. Carpio claimed that the loan pact allows China to seize “patrimonial assets and assets dedicated to commercial use” of the Philippine government in case of a loan default.
Former Bayan Muna Rep. Neri Colmenares earlier slammed the alleged onerous loan agreement for the Chico River project that supposedly highly favors China.
Panelo acknowledged that the oil deposits in the Reed Bank were patrimonial assets but he clarified that China could not seize all resources in case the government can’t pay off the loan.
“Only in case of a default of payment, which is improbable, if not impossible, our country having maintained a good credit standing, that China may satisfy any outstanding balance of the loan from the gas and oil in Reed Bank. What that means is that there will be an extraction of gas and oil, a sale of the same and then a portion of the profit therefrom, which will be in the form of money, will be used to pay and satisfy the balance,” he said.
Meanwhile, there is apparently no animosity between Panelo and Carpio despite their conflicting views on the project.
The two officials were all smiles when they bumped into each other while attending the Integrated Bar of the Philippines National Convention in Iloilo City yesterday.
Panelo, also chief presidential legal counsel, said he exchanged pleasantries with Carpio during their encounter at the convention. The two officials are members of the Sigma Rho fraternity at the University of the Philippines College of Law.
“Just now here in Marriott Hotel Iloilo. We are both here for the IBP National Convention,” he said. Panelo shared a photo with the SC justice with reporters.
Asked if they discussed the China-funded Chico River irrigation project, Panelo said: “Hahaha exchanged pleasantries. We are fraternity brods in the Sigma Rho in UP Law. He is Junior brod. I was one of the senior brods who initiated him but not physical.” (Genalyn Kabiling)
