ENHANCING GOOD GOVERNMENT

THROUGH PUBLIC ENTERPRISE and

SPATIAL INFORMATION
MANAGEMENT

by: April Rose H. Hernandez

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 PRIVATIZATION

“The transfer of public assets, operations or

activities to private enterprise”
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WHAT IS
PRIVATIZATION?
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“The d ivestm ent, d isposition and
liq uid ation of
non- relevant and non- perform ing assets
and corporations”
- (M end oz a,
2007)

Privatiz ation in its m ost basic sense is a transfer of

ow nership from the state to a g roup of
ind ivid uals eng ag ed in business w hich has
im plicit and ex plicit socio- econom ic
im plications.
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Privatiz ation is the process of transferring

ow nership of a business, enterprise, ag ency ,
public service or public property from the
public sector to the private sector.
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THE PRIVATE SECTOR

» the part of the national economy that is not under direct
government control.
» part of a country's economic system that is run by
individuals and companies
» It is a profit – oriented organizations that sells competitive
goods and services for the consumers/beneficiaries.
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THE PRIVATE SECTOR

» It is a management organization known for efficiency
(least cost with great returns) and effectiveness
(attainment of the desired outputs).

» One acceptable and viable way in dealing with the

private sector is through privatization of public goods,
utilities, and services.
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E X AM PL E S OF PRIVATE
S E C TOR
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WHY PRIVATIZE?

A privately The private

contracted Privatization
Rising costs of sector has better
company may Improves the Use
doing business human resource
deliver a service of Public
management
more efficiently Resources
approach
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MODES OF PRIVATIZATION
1. Contracting Out Services
» while the government is still responsible for the
service it has someone else (contractor) who
provides the actual service.

2. Public-Private Collaboration
» a cooperative agreement between a government
and a private organization may be formed in which
both parties assume some degree of mutual
responsibility in operating a program or a service.
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MODES OF PRIVATIZATION
3. Franchising
» the right of the government sector to grant a program or service on
an exclusive basis to private individuals or groups in the locality

4. Load or Asset Shedding

» when a government sells out a facility or equipment or simply
discontinues the provision of a public service

5. Volunteerism
» hand down the provision of a service to volunteers to operate a
particular public service
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REGULATORY FUNCTIONS
» When services are contracted out, they do not set aside or diminished
the government’s supervisory functions, the more they should stay on
guard and the more the government should set performance standards
and monitoring evaluation only to guarantee that the contracted
services are made available, and people behind the service provision
are held accountable.

» The reduction of State’s control and involvement in somekey sectors of

the economy makes a government a regulatory one in theory and in
practice.
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ROLES OF PUBLIC ADMINISTRATION

 creating an enabling environment for privatisation

 Compete, collaborate and serve as a support structure for the
private administration to undertake social welfare consistent with
reasonable profits.
 promoting public- private partnerships

 address sustained economic growth

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ADVANTAGES of
PRIVATIZATION

To Government:
» Reduces the operating costs of government
» Raises proceeds to reduce the debt
» Reduces future calls on government expenditure
» Turns losses into tax revenues
» Reduces lobbying pressures on politicians
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ADVANTAGES of
PRIVATIZATION

To the Private Sector:

» Stimulates development of private enterprises
» Helps create a competitive environment which in
turn increases efficiencies and reduces costs
» Could provide a basis for an export industry
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PRIVATIZATION IN THE
PHILIPPINES

» privatization was implemented for political instead of

economic reasons.

» The administration of former president Corazon “Cory”

Aquino decided to purge the bureaucracy from the alleged
corruption and cronyism of the previous Marcos regime by
selling state-owned enterprises (SOEs).
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PRIVATIZATION IN THE
PHILIPPINES
» The Asset Privatization Trust was created to manage all
the privatization programs of the government in Cory
Aquino’s term.

» EO 289 provided other modes of privatization such as

joint venture, Built-Operate-Transfer (BOT) schemes,
management contracts, lease-purchase and
securitization. (Ramos)
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PRIVATIZATION IN THE
PHILIPPINES
Energy Power Industry Reform Act (EPIRA)
» former Pres. Gloria Macapagal Arroyo.

» aimed to make the energy sector more efficient by

dismantling monopolies but it only did so in the aspect of
power generation.
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PRIVATIZATION IN THE
PHILIPPINES
Public-Private Partnership
» former Pres. Benigno Aquino III
» agreement between the Government and a private firm
targeted towards financing, designing, implementing and
operating infrastructure facilities and services that were
traditionally provided by the public sector.
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GOVERNMENT and
CONTROLLED
CORPORATIONS
 Is a stock or non-stock corporation whether
performing governmental or proprietary
functions, which is directly chartered by
special law

 owned and controlled by government directly

or indirectly through a parent corporation or
subsidiary corporation, to the extent of at least
a majority of its outstanding capital stock or of
its outstanding voting capital stock.
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PUBLIC-PRIVATE
ENTERPRISE

 Public-Private Partnership Program (PPP)

» intends to provide the public with
adequate, safe, efficient, reliable, and
reasonably-priced infrastructure and
development facilities while affording the
private sector a level playing field,
reasonable returns and appropriate
sharing of risks.
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Spatial information is the digital connection

between location, people and activities.
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TOWARDS e-government
 Lives can be made easier
 Convenient
 Very efficient

“E-Government in the Philippines is envisioned to create “a digitally empowered and integrated

government that provides responsive and transparent online citizen-centered services for a
globally competitive Filipino nation.”
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The Emergence of e-
Government

1. Internal Phases – refers to the operations of

government itself
2. External Phases – refers to the online services
offered to citizens and businesses
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REFERENCES

-(Enhancing Good Governance through Public Enterprise

(Privatization) LEILANI MARIANA G. CASTELO)
-https://prezi.com/-huv7ijngxkr/chapter-7-enhancing-good-
government-through-public-enterpri/
-https://www.coursehero.com/file/14299564/Spatial-Info-
Management/ (Pascual)
-Issues on the Privatization Policy in the Philippines (Briones)
-
https://www.academia.edu/23566780/Privatization_in_the_Philipp
ines
(Mae Valdez)
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REFERENCES

-http://ogcc.gov.ph/gocc/
-https://www.gmanetwork.com/news/news/nation/198228/a-list-of-
goccs-based-on-coa-records/story/
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THANK YOU!!