Press Release
September 20, 2009

ANGARA EYES ESTABLISHMENT OF A NATIONAL RAILWAY SYSTEM
Sees economic progress and social uplift

Senator Edgardo J. Angara today mulls the establishment of a national railway system in the country in order to boost economic progress and national development considering the wide-ranging economic and social benefits of investing in a nationally-linked rail system.

"Enacting a comprehensive policy for the establishment of a national railway system has long been over-due, considering the food and fuel crisis that many countries of the whole world now suffer. Having a definitive government policy on this matter will ensure an efficient and effective mass transport system nationwide that will facilitate the movement of people, goods and services around the country," said Angara who chairs the Senate Committee on Finance.

He added, "In order for the entire Filipino people to reap the benefits of a national railway system that they have been denied of, and in order to promote the railway industry in the Philippines, which will accelerate national progress and prosperity and ensure, our country's global competitiveness, we must act now. There is a need more than ever to vigorously pursue and as immediately as possible the establishment of a nationwide railway system that should be constructed simultaneously in Luzon, Visayas and Mindanao."

Angara asserted, without fear of contradiction, that railways have triggered the economic prosperity and stability of Europe, United States of America, Russia, China, India, Australia, Japan, and just recently, South Korea, Malaysia and Singapore.

He added the establishment of a national railway system is the solution to the congestion and pollution of the metropolitan areas and the traffic problem in the major urban centers all over the country. It will provide cheaper, faster, safer and reliable mass transport system and facilitate the movement of people, goods and services. In the end, this will help decongest the metropolis and depollute the metropolitan areas.

Rural communities are also seen to benefit from a national railway system as this will enhance agricultural productivity and encourage investments and accelerate industrialization in this side of the country. For those province endowed with natural parks and cultural heritages, the system will also enhance tourism in the countryside and promote inter-regional trade and commerce. This initiative is seen to decentralize development to the rural areas.

Other benefits include the reduction of national dependence on oil imports, reduction in the importation of vehicles, reduced cost of road maintenance and generate job opportunities.

Angara who filed the Philippine National Railway bill seeks, among others, the creation of a Railway Authority that will unify and standardize the development and operations of railways in the Philippines. The bill also establishes various railway agencies and mechanisms that will form the backbone of the government's railway arm:

  • Railway Regulatory Board that will set fare, safety and security standards;

  • Railway Academy, Railway Training Center, Railway Refurbishing Shop and the Railway Equipment Manufacturing Plant that will ensure the transfer of Railway Technology and,

Under this SB 2579, a Railway Trust Fund will also be established which will be dedicated to finance railway projects. In order to maximize minimal resources, exemption from taxation of railway properties is also proposed.

"As the Filipino people as a nation, aspire for economic power and self-sufficiency in all fields of human endeavors, the establishment of a National Railway System has therefore becomes absolutely necessary," added Angara.

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