President Gloria Macapagal-Arroyo today asked Congress to pass a law that would enable her to do away with excess personnel and deadwoods in the government service.

"I ask Congress to pass a law on government re-engineering with a silver parachute for redundant offices," the President said in her State of the Nation Address (SONA) delivered this afternoon at the opening of the 13^th Congress at the Batasang Pambansa in Quezon City.

The President’s 35-minute speech was applauded 36 times.

She said that that there is a need to downside government to reduce "layers of inefficiency."

According to the President, she has already abolished 80 offices at the Office of the President, vowing to abolish 30 more.

The Chief Executive said part of the savings generated by the trimming of the government workforce would be used to pay for the salary increase of teachers and other employees of a "lean and mean bureaucracy."

The President said the retooling process also covers a reassessment of the corporate missions of government-owned and/or controlled corporations (GOCCs).

President Gloria Macapagal-Arroyo today bared her vision for the country for the next six years, vowing to create economic opportunity at home and abroad.

In her State of the Nation Address (SONA) that she delivered this afternoon before a joint session of the 13^th Congress at the Batasan Pambansa, the President said that her administration had made a head start during the last three years.

"We must take bolder steps forward in the next six," the President said.

The President’s 35-minute speech was applauded 36 times.

Thanking the people for their "overwhelming support" for her during the May elections, the President said "this is a new day, with a new direction, and a renewed confidence in what we can achieve together."

The President also appealed anew to the political opposition to set aside partisan politics so that the roadmap for progress that she has envisioned for the country can be achieved.

"The season of bitter partisanship is over; the season of service is upon us all -- majority, minority, opposition, administration," the President said.

The President said that during her inaugural address last June 30, she laid down a 10-point agenda for the next six years, "not Utopia but something practical we can achieve and accomplish on time."

"At the end of her term, the question will no longer be whether we can compete but where else in the world shall we take an indisputable competitive advantage," the President said.

She said that the next six years is when we finally get things right.

She then restated the five key areas where her administration could focus so that the national economy could expand, namely: 1) job creation and economic growth package; 2) anti-corruption and good governance package; 3) social justice and basic needs package; 4) education improvement and youth opportunity package; and 5) energy independence and savings package.

According to the President, tough decisions will have to be made. "It’s going to be tough love from here on. It must be tougher on those who’ve had it easy than on those who’ve had it tough already," she added.

"We must bear the pain and share the pain to enjoy the gain together," the President said.

The President said that every year, every President tells Congress that it is the last chance for meaningful change.

The country must achieve sufficient, efficient and cheap energy to spur economic growth, President Gloria Macapagal-Arroyo stressed today.

In her State of the Nation Address (SONA) delivered before a joint session of the 13^th Congress this afternoon at the Batasang Pambansa in Quezon City, the President said that the privatization of the state-run National Power Corporation (NAPOCOR) is crucial in the thrust for energy independence and efficiency.

The President, however, said that Napocor should be sold "but not in a fire sale."

She said that investments in infrastructure and energy would provide multiplier effect for the growth and job creation.

"I ask Congress to pass the Transco (National Transmission Corporation) bill that already passed the House in the 12^th Congress," the President said.

The President said that Napocor’s transmission systems will be sold on terms that recognize the lucrative monopoly of its transmission grid.

The Transco franchise bill, which was passed by the House of Representatives during the last Congress, was not acted upon by the Senate.

House leaders assured the President that they would pass the Transco franchise bill anew during 13^th Congress.

The passage of the Transco franchise bill is expected to speed up the sale of Napocor and spur new investments in the power sector.

Energy independence is one of the five economic reform packages laid down by the President for her program of government in the next six years under a 10-point agenda that she wants to leave as her legacy to the nation.

President Gloria Macapagal-Arroyo today defended her decision to pull out the Philippine humanitarian contingent in Iraq to secure the safe release of Filipino truck driver Angelo de la Cruz who was held hostage and threatened of execution by Islamic militants.

In her 35-minute State of the Nation Address (SONA) delivered this afternoon during the opening of the 13^th Congress at the Batasang Pambansa in Quezon City, the President said she did not sacrifice the country’s foreign policy, but used it to save the life of an overseas Filipino worker.

Reacting to criticisms that she abruptly changed foreign policy at the height of the hostage drama in Iraq, Mrs. Macapagal-Arroyo said she has no reason to apologize for recalling the humanitarian mission just to ensure the safety and welfare of some eight million OFWs in the Middle East.

Mrs. Macapagal-Arroyo stressed that her administration "holds human life more dearly than international acclaim."

"And you have a President who is your friend," the President told the people.

The President added that she saved De la Cruz "because I stuck to my oath."

"Since I first became President in 2001, my declared foreign policy focus has been to protect the vital interests of the nation, including our eight million overseas Filipinos," Mrs. Macapagal-Arroyo pointed out.

"I cannot apologize for being a protector of my people," she stressed.

The President also said the few weeks difference in the scheduled pullout and the actual recall "could not justify sacrifice of a human life."

"Sacrificing Angelo de la Cruz would have been a pointless provocation; it would have put the lives of a million and a half Filipinos in the Middle East at risk, by making them part of the war," Mrs. Macapagal-Arroyo said.

She explained that war are for combatants, adding that at the moment, communist rebels are holding hostage two soldiers, but the captives could not expect to be released except by the compassion of their captors or by a military operation.

President Gloria Macapagal-Arroyo today said she expects Congress to start considering next year the proposed amendment to the Constitution to pave the way for a change in the country’s system of government.

"Once we have proved to our people that we have done what we can within the present structure of government, we can move on to changing the system to one that enhances our freedom and flexibility to do more," the President said in her State of the Nation Address (SONA) delivered this afternoon during the joint session of the 13^th Congress at the Batasang Pambansa in Quezon City.

It was the most applauded portion of the SONA, and the Chief Executive even got a standing ovation among the legislators for her short remark on the contentious charter change issue.

At the same time, Mrs. Macapagal-Arroyo called on all sectors, including the political opposition and her critics, to join her administration in the overall efforts at nation-building.

"No one has a monopoly on right ideas. I am reaching out to all segments of society and all parties, be they with me or against me, to join me in those things that should be everyone’s concern because they rise above politics to the level of patriotism," the President stressed.

Pressing her advocacy for conciliation, the President brushed aside the traditional "honeymoon period" afforded a newly installed government, saying she does not want such honeymoon after which the national welfare is set aside as bitter political rivalry resumes.

"I want a marriage not of convenience but of conviction, across the spectrum of parties and groups, encompassing the range of intelligent political, religious and economic views. I want a marriage for at least the life of this Congress," the President stressed.

"I do not ask for unprincipled support because it will not hold. I do ask for an end to unprincipled obstructionism because that always succeeds in defeating our best efforts," Mrs. Macapagal-Arroyo added.

The President also warned agitators exploiting the poor and the victims of social injustice that the government would put an end to their practice.

nderscoring her agenda for reforms, the President said change becomes harder to accomplish with each administration failing to accomplish what it sought to do.

Former President Fidel V. Ramos today hailed President Gloria Macapagal-Arroyo’s call for unity in her State of the Nation Address (SONA), saying it is the only way to succeed in the intense global competition.

"As an ex-president, I support what President Macapagal-Arroyo has done in the case of Angelo de la Cruz. Tama yung policy na yon (That policy is right). National interest should come first, including her call for unity and sacrifice. Let’s do it. Kaya natin ito (We can do it)," he said.

Newly elected Senator Manuel Roxas II and Surigao Congressman Prospero Pichay echoed Ramos’ observation.

Roxas, who topped the recent senatorial race with the biggest mandate in history, described the President’s SONA as "an outstanding performance."

The President’s 35-minute speech was applauded 36 times.

"In basketball parlance, she hit a three-point shot. It was specific and fully explained. The President was successful in encouraging everyone to move the country forward. Ayaw niya ng plastikan. Gusto niya magtrabaho ang lahat ng sama sama (She doesn’t want pretensions. She wants everybody to work together)," he said.

By opening her speech with the successful resolution of the Angelo de la Cruz hostage crisis, Pichay said the President was successful in imparting that hers is a government that cares and the President is everybody’s friend.

"She was able to convey that her administration is ready to protect the interest of our overseas Filipino workers. The case of Angelo on the other hand united our nation. Once she was able to convey this, she appealed for self-sacrifice and sense of patriotism. With that achieved, people would be willing to pay their taxes. With that single appeal, I think there would be no need for tax measures," Pichay said.

Presidential Spokesman Ignacio Bunye said that despite the decision of some opposition members to boycott the SONA held at the joint session of the 13^th Congress at the Batasang Pambansa, the President would continue to extend her hand of unity and reconciliation.

He also said that after the SONA, the President would continue explaining her package of reforms for the next six years during the scheduled pulong bayans, or small town hall meetings in various parts of the country.

"It is important that our countrymen know what their government intends to do in the next six years," Bunye said.

Businessman Raul Concepcion hailed the standing ovation the President got on two occasions during her speech – the first when she said that destabilization by those who urge the poor to rebel against the government must stop and the second when she asked Congress to work for a change in government. The President also got a standing ovation when she closed her speech by saying, "We can do it."

President Gloria Macapagal-Arroyo today asked Congress to pass a law making the Ombudsman’s function as effective as Hong Kong’s Independent Commission Against Corruption (ICAC).

In her State of the Nation Address (SONA) before the joint session of the 13^th Congress at the Batasang Pambansa this afternoon, the President stressed the need for such a measure, saying government incompetence like bureaucratic corruption, with its numerous leakages, is bad.

Unlike in the private sector, where the free market punishes mistakes, government incompetence punishes only the public," the President said.

She stressed the need to tear away layers of inefficiency piled on by decades of political accommodation.

These, according to her, include redundancy in the national service, waste in local governments, and pointless procedures for getting done what isn’t needed to secure the public welfare.

"Just how does paying off the health inspector banish bacteria from a dirty kitchen?" the President asked rhetorically to emphasize public corruption.

President Gloria Macapagal-Arroyo today identified budget deficit as the government’s "most urgent problem."

In her State of the Nation Address (SONA) delivered at the joint session of the 13^th Congress at the Batasang Pambansa in Quezon City, the President said solving the budget deficit could be tricky.

"Sometimes stamping out deficits too vigorously can slow down growth, but ignoring them can kill the economy. It sends the wrong signal that we don’t understand our fiscal predicament and will not help ourselves. This will drive away investments, exacerbate the deficit and hurt job growth," the Chief Executive explained.

In her SONA, Mrs. Macapagal-Arroyo also cited a litany of the adverse effects of fiscal shortfalls. She said the problem drastically reduces government’s ability to undertake infrastructure investments needed to promote business growth and create jobs, as well as hamper the delivery of social services.

"This is a sure-fire formula for national failure," the President stressed.

To address budget deficits, President Macapagal-Arroyo said the government must strengthen its revenue collection, expand government services and, at the same time, indulge in cost cutting. "It boils down to right priorities," she added.

"The beauty of the fiscal problem is that all the solutions are known, though applying the right ones is tricky," the President noted.

She pointed out that all the solutions require toughness on the part of the government, cooperation on the part of business, patience on the part of the people and active support on the part of Congress.

The President earlier disclosed a set of proposed tax measures designed to raise government revenues by at least P80 billion and generate savings by more than P100 billion.

Addressing a gathering of business leaders in Makati City last week, Mrs. Macapagal-Arroyo said the proposed tax measures were designed to maximize efficient utilization of resources, reduce costs, increase specific fees, charges and duty on petroleum products, as well as enhancing revenue-generation capabilities of government-owned or controlled corporations.

The proposed tax measures are: