Senate rushing extension of PNR charter

The Senate is rushing the passage of a measure that will extend the charter of the 50- year- old Philippine National Railway (PNR), whose franchise will expire in June.

Sen. Cynthia illar, chairman of the Senate committee on government corporations and public enterprises, said the Senate is rushing the passage of the measure so that PN s charter is extended before Congress adjourns sine die by June.

“We are filing the bill on May 5. If not, we cannot hope to finish this by the end of the month because that is the deadline,” illar said.

Congress will resume session on Monday, until June . It goes on sine die adjournment from June 4 to July 7 in preparation for the President s State of the Nation Address.

Upon instructions from Senate President Franklin Drilon, illar hopes to sponsor the measure on May .

The Senate committee had a public hearing last Tuesday in a bid to speed up the extension of the charter of the PN , which has in its pipeline two pending public- private partnership PPP projects under the Aquino administration.

efore coming out with the committee report, illar directed the ureau of Treasury to provide the Senate panel as soon as possible the review of the PN s expenses.

During the hearing, illar lashed out at the officers of the Department of Transportation and Communications DOTC for not initiating efforts to work for the expansion of the PN charter.

“I am also surprised why the DOTC seemed disinterested in renewing the franchise of the PN ,” she added.

Sen. alph ecto also lamented why the DOTC has not been pro-active about the need to extend the PN s charter now that its 50-year-old franchise is about to expire.

“We started 0 kilometers from a Union to egaspi, now you are only operating from Tutuban to Sta. osa. What happened It would appear that PN is a failure, 50 years since 4,” ecto said.

Huge debts, shelved projects

Citing records, ecto noted that the PN has an outstanding liability of P billion. The PN gets P500-million subsidy per year from the ureau of Treasury. “Otherwise, even their operations are double their revenues.”

ecords show the PN s total asset at P5 . billion, with P billion liability for 0 .