No NPO-APO merger; yes to Ro-Ro ports but…

Two sets of visitors called on us last Saturday to explain their side on two items in this column. One was from the Asian Productivity Organization (APO) Production Unit and the other was from the Philippine Ports Authority (PPA).

The APO, which is a fully integrated printing facility that does quality security printing jobs, accountable forms and documents for the government, is the object of noontime protest rallies at the National Printing Office (NPO) because of rumors that the two government printers would be merged, with the NPO being abolished and the APO left as the surviving agency.

The PPA, on the other hand, is in the news because of the controversial Ro-Ro ports (for roll-on, roll-off sea vehicles) that the previous administration had asked a French company to construct in different parts of the archipelago. The present PPA management wants to cancel the contract because many of the Ro-Ro ports identified for construction are unnecessary, are situated in unsheltered areas and are already provided with concrete ports constructed by the PPA. The addition of the French modular steel ports would be a waste of money that can be put to better use elsewhere, the PPA said.

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On rumors of the planned APO-NPO merger, the APO said they were not true. Neither would the NPO be abolished. On the contrary, it would be improved and expanded. The Aquino administration will give it funds to buy more printing presses so that it won’t have to subcontract government printing jobs to private printers. Do you know, for example, that some of our ballots are printed by private printers under subcontracts with the NPO, which cannot handle all the printing requirements of the government? Isn’t that dangerous?

The NPO has only one printing press and 480 employees, while the APO has 14 presses and only 280 employees. The NPO is funded by the national government while the APO is a self-supporting government corporation.

The NPO subcontracts most of the government printing jobs to private printers. The APO bids for some of those printing jobs at lower costs. Which is probably why, the APO officials say, it is now the subject of black propaganda. The private printers do not want the APO competing with them because they are forced to lower their prices to compete with the APO bids. The NPO also does not want APO bidding for government printing jobs because it, the NPO, does not get hefty “commissions” from APO and from the private printers that are forced to lower their prices.

The APO officials also denied that its directors receive P100,000 a month each. Except for the chairman, they get only P30,000 per diem for each meeting once a month. Extra meetings do not entitle them to additional per diems. They have no intelligence fund, no allowances, no car plan, no other benefits. But P30,000 per meeting, which lasts an average of three hours, means the directors get P10,000 per hour which is very generous.

It is also not true that APO has a debt of P3.2 billion, its officials said. Its debt is only P900 million. It started only as a P20-million loan but it ballooned to P900 million because of interest charges.

When I asked them who would pay for the loan, they chorused “We don’t know.”

“You don’t know? That is your debt, you should pay it.”

They explained that the Asset Privatization Trust (APT) has taken over the loan in exchange for other assets. Even so, now that APO is turning a profit, it would pay for the debts little by little once it finishes paying its arrears to the Social Security System and to the retirement fund of its employees.

But it is true that APO employees are members of the SSS and not of the Government Service Insurance System (GSIS) although APO is a government corporation. The explanation was that when APO was created 40 years ago, President Ferdinand Marcos made APO employees SSS members to give SSS, which was just starting, more members.

To the NPO employees, the APO officials said, Don’t believe the black propaganda, we are not going to gobble up the NPO.

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For its part, the PPA said it is not against the French modular steel ports per se. These are small, movable piers with adjustable ramps that can be raised or lowered to match the level of the tides when the Ro-Ro vessels are loading or unloading. They are good for small islands in sheltered coves. In fact, this is one of the conditions of the French company. The steel ports must be in sheltered coves with waves below three meters. More than that, the port won’t last very long.

The steel ports, therefore, are not suitable along the Pacific coastline which faces the open sea where waves exceed three meters. Yet many of the new ports under the Ro-Ro ports project are located not in sheltered areas along the Pacific coastline.

The PPA also said that 44 Ro-Ro port locations already have port facilities but without Ro-Ro ramps. Only a ramp is required for these ports. The other components, i.e. causeway, uni-bridge, platform etc., will be of no use. Furthermore, local ramps made of concrete can be installed at a much cheaper price suitable for each port site.

As for 20 other port locations where there are already complete port facilities but are under-utilized because of low vessel volume: Another set of Ro-Ro port facilities will result in superfluity and a waste of money, the PPA said.

What about the amount already paid to the French company and the port components already made and ready for delivery? The PPA said it will accept these components in exchange for the down payment and the PPA will install them in ports where they are needed.