First of a series on presidential candidates’ economic platforms

MANILA, Philippines – Presidential candidate Gilberto Teodoro Jr. will prioritize education, infrastructure and making the country business-friendly if he gets elected in 2010.

In a forum for business leaders launched by the Philippine Chamber of Commerce and Industry (PCCI) on Tuesday, Teodoro outlined what he thought was the “proper governmental response” to economic problems.

These include investing in basic and tertiary education to make workers more competitive, providing an integrated and logical infrastructure network to facilitate the movement of goods, and reducing the cost of business through good governance.

Here is a summary of Teodoro’s answers to 12 particular issues that they were raised at the forum:

Plans for sustainable job creation, retention and decent employment. The government should generate confidence and long-term sustainability of investments. There should be more stakeholder participation and a long-term multi-sectoral plan that requires participation from political and private sides.

How to reduce hunger and alleviate poverty. Food security is important, particular in light of what happened after storm Ondoy and the threats of El Niño (extreme heat with little rainfall). There should be a shift from subsistence farming to agricultural entrepreneurship. Programs should be enhanced to help the poorest of the poor.

Stand on taxes. Will not raise taxes as much as possible. But should there be a need to raise taxes it will realistically be on consumption taxes, specific taxes and excise taxes. We have one of the highest income and corporate taxes in the region, so there is no room to raise that. Teodoro is not close to expanding the base of EVAT and raising a few excise taxes on some products.

Stand on redundant agencies (like National Food Authority, Sugar Regulatory Administration and Laguna Lake Development Authority). You need NFA and SRA-type agencies like these to regulate price stability for consumer and price support for producer. LLDA-type organizations are important for disaster risk reduction for a particular area.

How to balance low-power costs for consumers and profit for energy producers. Good staffing and efficiency is needed at the Energy Regulatory Commission. Review the provision of the EPIRA law that penalizes self-generation of energy and provide extended life lines to consumers (like subsidies to consumers). Finally, alternative energy might be too expensive at this stage.

Stand on CARP. All the beneficiaries owe P42-billion pesos to the government and various financial institutions without a chance of that being collected. We must make the program work but we must have a paradigm shift from mere peasantry alleviation to agricultural entrepreneurship. Teodoro said there is no chance that the P42-billion debt will be paid and the farmers should not be asked to pay because it will surely start a revolution.

On slapping back taxes (in the case of Pilipinas Shell). In the wake of a deficit, the more we must be more predictable in collecting taxes. We must not reverse with a snap of a finger what has been business practice. A suggestion is, this is a ripe area for clarificatory legislation to prevent the occurrence of the same situation again.

How to promote mining and other industries that are “impeded by too many regulations.” Sustainable mining is a major growth area. However, the acceptance of a local community should be secured before a mining project is implemented.

How to help exporters who have been hit by the global economic crisis. We should take advantage of the gradual economic recovery of other countries. Re-institutionalize the independence of the Bangko Sentral ng Pilipinas with price stability and exchange rate stability, strengthen the Department of Trade and Industry through trade attaches and take advantage of international trade agreements. If there is no prohibition on reappointing BSP Governor Amando Tetangco Jr., he will.

How to address smuggling. Even assuming the Bureau of Customs is 100% efficient, there will still be rampant smuggling because the country has 34,000 kilometers of unprotected coastline. To stop smuggling and other crimes, you have to keep up your detection systems to cover that coastline. There should be no tolerance of corruption and there should be total reforms in tariff and customs systems.

Stand on foreign ownership of land, media, education, practice of professions and services. Teodoro is in favor of commercial, residential (segregate where foreigners can live) and industrial forms of land ownership; but agricultural, mineral and forest land. Anyone who wants to invest in education and practice of profession is welcome as long as there is adequate protection.

How to address the gap between savings and dollar investments vis-à-vis our dependence on OFW remittances. Relevant banking and financial institutions can craft special purpose financial instruments to make them attractive investment vehicles for OFWs to redeploy credit available to other credit leaders. Also, institute universal participative healthcare for residents and expand Philhealth to increase reimbursements to medical practitioners and institutions. Report by Kristine Servando, Newsbreak.