Removal of perilous facilities

MANILA, Philippines–Barring unexpected hitches, the storage facilities of the country’s major oil companies at Pandacan, Manila, will be dismantled by the end of next year.

The Supreme Court has affirmed with finality its decision in November 2014 declaring as unconstitutional Manila City Ordinance 8187, which allowed the oil firms to continue to operate in the said premises.

The ruling restored Manila City Ordinance 8027 (which the former ordinance sought to modify) that ordered, among others, the Big Three (Chevron, Petron and Pilipinas Shell) to cease operations in the area within a specific time frame.

The latter ordinance aims “to protect the residents of Manila from the catastrophic devastation that will surely occur in case of a terrorist attack on the Pandacan terminals.”

Expressing displeasure over the delay in the removal of the facilities, the tribunal said it would no longer entertain any motion for reconsideration or legal pleadings on the case.

Ahead of this ruling, Petron Corp. announced last year it was relocating its facilities to Rosario in Cavite, Navotas and Limay, Bataan.

There is no word yet from the other companies where they plan to transfer their operations.

Batangas and Cavite are reported to be the preferred places because of their proximity to Metro Manila and the availability of water transport facilities.

Facilities

With their vast financial resources, it will be easy for the Big Three to look for places where they can rebuild their facilities.

There will be no dearth in cities or municipalities that will spread the welcome mat for them with tax incentives and other financial perks.

This early, some local chief executives outside Metro Manila are probably sending feelers to the companies to include their areas in their selection list.

And why not? The construction, operation and maintenance of the storage facilities would open employment and business opportunities to local residents that translate to higher revenue collections.

With the availability of livelihood and increased business activities, expect people to build homes or commercial structures close to or around the new oil storage sites.

This movement often happens when new factories, plants or other means of production are built and operated. People will go where money can be earned.

When there is an assurance of livelihood that can put food on the table, distance and inadequate human facilities are considered minor inconveniences.

After the homes are built, schools, places of worship and other structures that fulfill social needs will invariably follow suit.

Expansion

Fast forward to 10 to 15 years later, chances are the new sites of oil storage facilities would develop into bustling communities.

Unless properly managed, they would have the same peace and order, congestion and pollution problems of the Pandacan area that were cited as justification for the removal of the storage facilities.

Given the same circumstances (and taking a leaf from the actions that led to the tribunal’s favorable ruling on Manila Ordinance 8027), some of their residents may wake up one morning and attribute those problems to the presence of the storage facilities.

A déjà vu of the successful eviction in Pandacan would not be a bad idea. They can rely on some self-righteous NGOs or cause oriented groups to support their action and file suit in court.

Because the campaign has a populist ring, aspirants for elective positions in the community would only be too happy to join in to boost their political stock.

Once appreciated as sources of livelihood in the communities where they relocated from Pandacan, the oil companies could find themselves (the second time around) viewed as threats to the safety and health of the people who live near their premises.

Contribution

This scenario may be likened to the then Manila International Airport (now Ninoy Aquino International Airport) when it moved from the erstwhile grasslands of Makati, Rizal, to sister town Parañaque.

At the time of the transfer in 1948, Parañaque was mostly rice fields and fishponds with very few residents. The livelihood and business opportunities that the airport operations made available drew people to the area.

Not long after, the parcels of land of the distant sleepy suburb of Manila adjacent to the airport were filled with houses, schools, churches and other structures. The population and business growth contributed to the creation of what is now Parañaque City.

What was formerly considered a boom became a bane when some people living near the airport complained of the noise pollution caused by the landing and takeoff of airplanes, and the deadly consequences of airplane crashes.

Every time those mishaps happened, they demanded, citing threats to their health and safety, the transfer of the airport elsewhere.

The irony about the demand is, the airport was built before the complaining residents settled in the area and therefore knew the dangers of living close to it.

It was not as if the airport was thrashed into them and they had no choice but endure its presence.

Impact

The oil companies cannot be faulted for doing everything legally possible to delay, if not prevent, their ejection from Pandacan. The relocation and rebuilding of their facilities is not going to be cheap.

According to Petron, it has so far spent P15 billion for the transfer of their operations to other areas. The figure could go higher as it rushes to meet the 2016 deadline.

For now, the oil companies have kept silent on how they plan to recover the costs of getting out of Pandacan and operating their facilities elsewhere.  We should not delude ourselves into believing that they will shoulder them.

In due time, we will feel the impact of the Pandacan clean up in our fuel bills.

For comments, send your e-mail to “rpalabrica@inquirer.com.ph.”

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