GOCC funds eyed for rehab of typhoon-hit areas in Mindanao

A huge part of the P27.8 billion that 38 government-owned and controlled corporations (GOCC) remitted to the national treasury will be used for the rehabilitation of typhoon-devastated areas in Mindanao,a key cabinet official said yesterday.

“The high turnout of remittances will help support urgent public expenditures, including those for the rehabilitation of typhoon-hit areas across the country,” Budget Secretary Florencio Abad said.

Abad said the funds would also be used for infrastructure projects and social programs under the unprogrammed fund of the 2013 national budget.He said the P27.8 billion in dividends is significantly higher that their projected P10 billion remittances.

The budget chief said the GOCC earnings are vital in supporting many urgent needs, including rehabilitating areas struck by Typhoon Pablo.

He said the funds would widen space to accommodate the growing budget requirements, especially for priority programs that would advance the administration’s growth agenda.”

Abad noted the impact of accountability and transparency measures on the performance of the country’s GOCCs since the passage of Republic Act 10149, or the GOCC Governance Act, in 2011.

Last Monday, President Aquino said the P77 billion dividends remitted by the GOCCs in the first three years of the administration exceeded the P96 billion that the Arroyo government recorded within nine years.

Also last Monday, Aquino received the nearly P28 billion representing the dividend of GOCCs for this year alone, a significant improvement from the P19 billion remittances in 2012.