Tomas: No ‘midnight deal’ in waste project

In a statement signed by Osmeña, the mayor said there was no deal reached because the negotiation will continue with the new administration headed by incoming mayor Edgardo Labella.
File

CEBU, Philippines — There was no “midnight deal” when outgoing Mayor Tomas Osmeña issued a certificate of acceptance to Metro Pacific Investments Corporation last month for a solid waste management contract with the city government.

In a statement signed by Osmeña, the mayor said there was no deal reached because the negotiation will continue with the new administration headed by incoming mayor Edgardo Labella.

“It should be stressed that this acceptance does not bind the City Government to enter into the Joint Venture,” the statement reads.

The certificate of acceptance enables the city and MPIC to proceed with detailed negotiations on these areas: purpose, terms and conditions, scope, as well as the legal, technical, and financial aspects.

Osmeña made the clarification after a paid advertisement on Sunstar Cebu on June 18 cited a purported “midnight deal” the mayor made with one of his election donors.

In his Statement of Contributions and Expenditures (SOCE), Osmeña reported no contribution, in cash or in kind, from anyone.

Osmeña said the issuance of a certificate of acceptance was part of the early portion of the first stage of an unsolicited proposal under City Ordinance No. 2154 or the Joint Venture Ordinance.

“There is no deal because negotiations have not been completed,” Osmeña said.

He said the city, under Labella, still has the discretion to approve or reject the proposal.

“If the incoming administration has full discretion and accountability, how can there be a midnight deal?” he contended.

The Joint Venture Selection Committee (JVSC) that recommended for the issuance of a certificate of acceptance extended the period of negotiations until July 24.

Labella himself said he will review all the contracts, projects, and programs during Osmeña’s term once he assumes office midday of June 30.  City Administrator Nigel Paul Villarete, chairman of the JVSC, said he cannot disclose the details of MPIC’s unsolicited proposal because doing so would be premature.

The project includes the establishment of a waste-to-energy facility in Cebu City as studied by the Asian Development Bank (ADB).

“It’s a complex project, which is also why it can’t be finished in a short time. The next admin should have more time in trying to get better terms for the city or they can reject and accept another proponent,” Villarete added.

ADB was the agency that reviewed all the proposals of different companies that wish to implement innovations in the modernized collection and final disposal of the city’s wastes. 

The city authorized ADB to scrutinize the proposals and to recommend which company complied with all requisites, including requirements under environmental laws.

Ma. Nida Cabrera, head of the Cebu City Environment and Natural Resources Office, said the winning company can be assured of up to 800 tons of garbage every day to process.

She said once the technology is in place, only 10 percent of the 800 tons of garbage that will be processed by the WTE facility will be dumped at a smaller landfill, which means lesser garbage will be stored thereat. —  JMO (FREEMAN)

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