Lim to allow oil depots to stay in Pandacan?

MANILA, Philippines - Manila Mayor Alfredo Lim appears set to sign a controversial ordinance allowing the oil depots to remain in Pandacan following an unprecedented meeting at the Petron Corp. complex, attended by Palace and Cabinet officials as well as representatives from the business community.

The meeting, held at the ground floor of the Petron Pandacan Terminal, was conducted while President Arroyo was presiding over a Cabinet meeting two floors above.

Officials said Mrs. Arroyo was supposed to attend the dialogue after the Cabinet meeting but the latter took so long so she sent Executive Secretary Eduardo Ermita to represent her, along with Trade and Industry Secretary Peter Favila, Defense Secretary Gilbert Teodoro, Environment Secretary Lito Atienza, Energy Secretary Angelo Reyes, Labor Secretary Marianito Roque, and Transportation Secretary Leandro Mendoza.

The dialogue was also attended by representatives of the American, Canadian, European and Japanese chambers of commerce.

The move to hold the Cabinet meeting in the Petron complex was seen by many as showing that Malacañang was in favor of the new ordinance allowing the oil depot to remain.

Lim told a news briefing at the meeting that he sought the assistance of the Cabinet members to “shed light” and “to share with their opinions and insights.”

 “This issue (relocation of oil depots) is not solely and exclusively the interest of Manila,” Lim said.

He also told the Cabinet secretaries that the President’s move to hold a meeting at the oil depots “speaks for itself.”

“The place must be safe… I guess the President will not put the lives of her Cabinet members at risk. Ako siguro pupuwede pa, kasi nasa oposisyon ako (Maybe she’d risk my life, I’m with the opposition),” Lim said, making the Cabinet members laugh.

He said he has until Thursday to decide whether to sign or veto the new ordinance.

“There is no consensus… we’re still nowhere,” Lim said, but added that he was seriously considering the warnings of the Cabinet, the oil firms and the business groups on the ill-effects of relocating the oil depots at this time.

He said he would be willing to veto any provision in the ordinance if they are found to be disadvantageous to residents.

He said Reyes warned that relocating the depots could increase pump prices by P2 to P3 per liter on top of the usual price fluctuations in the market.

Roque said transferring the depots could result in displacement of thousands of workers in the area while Favila warned that such a move would have “international implications,” he said.

 “We would be sending the wrong message to the international investment community and they would not invest here,” Lim said, quoting statements of the business representatives.

Lim said the oil firms also bared plans to transfer the depots by stages in the future so that they “would not be caught flat-footed.”

He said the oil firms however were worried that nothing would prevent local governments that have jurisdiction over where they would be transferring to ask them to leave.

All up to Lim

Justice Secretary Raul Gonzalez, however, said the issues hounding the Pandacan oil depot should be resolved by the local government.

“Our position in the Cabinet is that this is a local matter and there is a Local Government Code that should be followed. We will not interfere,” he said, adding that it was Lim who sought their advice on the issue before he decides on whether to sign or veto Ordinance 7177, which reclassifies Pandacan as industrial zone.

Ordinance 7177 would supercede Ordinance 8027, which reclassified Pandacan into a residential zone and banned heavy industries from the area. The Supreme Court upheld Ordinance 8027 with finality earlier this year.

But when asked for his legal opinion on the matter, Gonzalez said he believes the Pandacan oil depots must go.

“Everything here will depend on the welfare of the people. And for the welfare of the people, it should go. If they (oil firms) can’t do it instantly, they can at least start in a few years,” he said.

Atienza earlier warned that he will question Ordinance 7177 before the Supreme Court if Lim signs the measure. Ordinance 8027 took effect during Atienza’s term as Manila mayor. – With Elisa Osorio, Sandy Araneta, Edu Punay