Gov’t subsidies to GOCCs soared to P 36.1B in Q1
Subsidies extended to state-run corporations jumped 288.6 percent to P36.154 billion during the first quarter, although there was no subsidy support released to the Philippine Health Insurance Corp. (PhilHealth) at the start of the year, prior to COVID-19 outbreak.
The latest Bureau of the Treasury data showed that the subsidies received by government-owned and/or -controlled corporations (GOCCs) as of March jumped from P9.304 billion a year ago.
While the national government did not disburse GOCC subsidies in January, it compensated by releasing P10.487 billion in February and P25.667 billion in March.
At end-March, the National Electrification Administration received the biggest chunk amounting P11.015 billion, followed by the Light Rail Transit Authority’s P10.586 billion.
The National Irrigation Administration (NIA) got P8.836 billion, while the National Food Authority (NFA) had P2.979 billion.
In an earlier report, the Department of Budget and Management said the NFA’s February subsidy would be spent on palay procurement under its buffer stocking program, while the NIA’s would be used to build, improve, repair and restore national and communal irrigation systems.
PhilHealth, which usually cornered the largest yearly subsidy among GOCCs since 2014, did not receive any amount during the first three months, Treasury data showed.
But Budget Secretary Wendel E. Avisado told senators last week that PhilHealth would get P71.3 billion in subsidies this year.
Last year, PhilHealth received P72.7 billion or 36 percent of total GOCC subsidies.
Besides subsidy, the national government also extended equity and net lending support to GOCCs.
According to the Governance Commission for Government Owned or Controlled Corporations, up to 90 percent of the subsidies that state-run firms receive were being spent on programs and projects, while the rest covered operational expenses.—BEN O. DE VERA INQ
