Groups launch movement against privatization

ILOILO CITY—Various groups including lawyers, market and small vendors and government employees in Iloilo and Guimaras have launched a movement against the privatization of basic social services and infrastructure.

The People’s Alliance Against Privatization (PAAP) is also calling for greater transparency on public-private partnership (PPP) projects and transactions.

“Privatization enriches private partners without necessarily improving social services or lowering the cost for the people,” the PAAP said in a manifesto after it was formed by 21 groups on Friday at the Sta. Teresita Parish Church.

Among the projects they are opposing are the planned joint public-private operation of Iloilo City’s central market and the P135-million Guimaras-Iloilo Ferry Terminal (GIFT) project.

They are also campaigning against plans to privatize the supply and distribution of the Metro Iloilo Water District and operations of the Iloilo International Airport.

Among the groups that are part of the movement are the Association of Stall Owners and Transient Vendors of Iloilo City Public Market Inc. (Astraven-ICPMI), Confederation for Unity, Recognition and Advancement of Government Employees (Courage-Panay), Bagong Alyansang Makabayan, Fort San Pedro Vendors Association and Parola Vendors Association.

Members of Astraven fear that a joint venture project to rehabilitate the central market would dislocate small vendors or raise rental fees. They are pushing for the government to maintain its ownership and control of the market and rehabilitate the building using public funds.

The groups said joint venture and PPP projects come with a price detrimental to consumers because private partners need not only to recover their investments but earn maximum profits.

Rex Donasco, Astraven president, said small vendors and poor families would suffer from higher fees.

“We should learn from experiences of privatized water firms and other utilities where consumers are at the mercy of private operators,” Donasco told the Inquirer.

“If the government can spend for the (P747-million) Iloilo Convention Center, why can it not allot for markets and passenger terminals which are more basic necessities?” he added.

“It is not that the government has not enough funds. It’s a question of priority and allowing big business corporations to grab hold of basic services and infrastructure and compromising the basic right of the public to affordable, if not free, services,” said Irma Espinosa, Courage regional coordinator.

The GIFT project, a joint venture project of the city government and giant developer DoubleDragon Properties Corp., is being opposed by a group of lawyers and consumers, especially the provisions on the charging of P11 per passenger terminal fee and P30 per boat berthing fee.

DoubleDragon and its subsidiary CityMall Commercial Centers Inc. is building the terminal complex on a 1.3-hectare government land near the port of Iloilo under a 25-year joint venture agreement with the city government. The agreement is open for extension for another 25 years.

The joint venture agreement grants exclusive rights to the developer to collect terminal, berthing and cargo fees. The developer can also sublease or rent out commercial spaces within the terminal complex.