PNoy to get authority over defense purchases

From the Philippine Star posted to ABS-CBN (Jun 4): PNoy to get authority over defense purchases

The Senate is giving the President the authority to decide on the purchase of military aircraft, vessels and materiel from countries with which the Philippines maintains defense cooperation.

Once the amendments to Section 53 on negotiated contract of the Government Procurement Reform Act are approved, this will likely limit the defense department to procuring armored vehicles, high-tech communications equipment, radar systems, sophisticated weapons, among others, from the US and Australia.

The signing of Senate committee report no. 35 came amid questions raised on the legality of the Enhanced Development Cooperation Agreement (EDCA) signed with the US.

Senate finance committee chairman Sen. Francis Escudero and Sen. Antonio Trillanes IV sponsored the measure that also allows the President to approve the major procurement of equipment or materiel of the Armed Forces of the Philippines (AFP).

Once approved by the majority, the provision will likely provide advantage to US and Australia, with which the Philippines has established defense agreements via the Visiting Forces Agreement (VFA) and the RP-Australia Status of Visiting Forces Agreement (SOVFA), respectively.

Escudero pointed to Australia as another country with which the Philippines has a defense pact.

Trillanes was quick to explain the amendments were made not to benefit the US, adding his initial proposals were more generic in terms of amendments.
“For now, it’s only with the US but we could have similar agreements with other countries in the future,” he said.

Trillanes, chairman of the Senate committee on national defense and security, filed Senate bill 1657. Under his version, there was no mention that the procurement should only be done with countries where the Philippines has defense cooperation agreement.

Under the committee report, the proposed amendments to Section 53 on negotiated procurement under the Republic Act 9184, otherwise known as the Government Procurement Reform Act, retains the provision that exempts the AFP from public bidding.

“The interests of the country shall be protected by exempting the AFP from public bidding and allowing it to negotiate directly with an agency or instrumentality of another country with which the Philippines has entered into a defense cooperation agreement or otherwise maintains diplomatic relations,” read the amendments to Section 53.

The phrase replaces: “And/or the existence defense partnerships, the procurement by the AFP of the abovementioned equipment should be exempted from the requirement of public bidding under this Act: Provided, that, said determination is supported by the approval by the President, and concurred in by both chairmen of the National Defense and Security committees of the Senate and the House of Representatives.”

The authority covers major procurement of aircraft, vessels, tanks, armored vehicles, high-tech communications equipment, radar systems, sophisticated weapon systems and high-powered firearms and/or defense-related consultancy services,” which are not locally available.

Meanwhile, South Korea has donated a transport ship and 16 rubber boats to the Philippine Navy, Defense Secretary Voltaire Gazmin said yesterday.
Gazmin added the South Korean government would also provide computers to the AFP to further enhance its Humanitarian and Disaster Response (HADR) program.

Gazmin made the announcement after his arrival from South Korea where he attended a three-day bilateral meeting with his counterparts.

http://www.abs-cbnnews.com/nation/06/04/14/pnoy-get-authority-over-defense-purchases