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Enrile joins ‘infomercial’ list

By Christine Avendaño
Philippine Daily Inquirer
First Posted 07:22:00 07/04/2009

Filed Under: Advertising, Legislation, Electricity Production & Distribution, Politics

MANILA, Philippines — Add Senate President Juan Ponce Enrile to the growing list of politicians starring in their own “infomercials.”

Enrile gave reporters in the Senate Friday a preview of two infomercials (information commercials) he said were aimed at generating support for his “advocacy”—reducing electricity costs in the country.

The infomercials, each with a 30-second run and which will be shown for a month, will make their debut on Sunday on Channel 2’s ASAP noontime program and Sharon Cuneta’s evening show.

Enrile said he paid for the infomercials but did not say how much it cost him.

According to the senator, the infomercials will be about two bills he sponsored—Senate Bill 3147 (Uniform Franchise Tax) and SB 3148 (Electricity Rate Reduction Act)—that proposes a reduction in power rates.

Enrile said businessmen and chambers of commerce in the country were backing his bills. But since objections had been raised by the departments of finance and energy over his power rate bill, he said he decided to bring the issue to the people in the form of infomercials.

“Politics is people. We have to go to the people to pass anything and to do anything in this country,” the Senate president said.

The measures intend to cut down government shares in terms of billions in pesos of taxes it gets from power utility as well as power generation firms.

Under Senate Bill 3147, government would charge a uniform three-percent franchise tax on the distribution income of distribution utilities, in lieu of taxes.

At present, the government imposes a 12-percent value-added tax on top of a 32-percent corporate income tax and a local franchise tax on their gross receipts.

Enrile said the bill, if passed, will bring down power costs by nine centavos per kilowatt-hour.

Senate Bill 3148, on the other hand, aims to reduce royalties collected by the government from indigenous energy sources like natural gas from Malampaya, from 60 percent to three percent of net proceeds from the sale of such energy sources.

If both measures are passed, electricity rates could be lowered by at least P1 per kilowatt for residential users, and between P1.32 to P2 for industrial users, the senator said.

There have been a number of government officials and politicians who have or are still running infomercials on television and radio, among them, Vice President Noli De Castro, Defense Secretary Gilberto Teodoro, Health Secretary Francisco Duque and Technical Education and Skills Development Authority head Augusto Syjuco.

Two senators believed to be eyeing the presidency in next year’s elections, like Manuel Villar and Mar Roxas, also have their own informercials.

Asked about his own plans, including the possibility of seeking reelection, the 85-year-old senator replied: “Erap has already included me in the list of the candidates of his party,” referring to former President Estrada. “So I will probably run again.”



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