Agriculture Secretary Emmanuel Piñol said yesterday P100 million worth of agriculture equipment is “rusting” in the compound of the DA in Tupi, South Cotabato.
Piñol said some of the equipment were bought four years ago, while the rice and corn harvesters and tractors were about a year old.
He said he already directed Internal Audit Service chief Danny Luna to come up with a report on this misuse of government funds and assets.
“In the meantime, I have directed that the equipment be immediately rehabilitated, repaired and repainted and distributed to the farmers or local government units,” the secretary said.
“I will also ask lawyers of the department to study this case and determine the administrative and criminal liability of the officials behind the procurement and non-distribution of these machineries,” Piñol concluded.
“The OIC Director Carlene Collado, who is manning the regional post until the appointment papers of the incoming Regional Director Milagros Casis are signed by President Rody Duterte, said the machinery were not distributed because the farmers could not come up with a 15-percent cash equity which the DA required from them as their counterpart,” he said.
Piñol, quoting Collado, said the cash equity will go to the dealer of the equipment.
“Collado said that in the guidelines issued by former Agriculture secretary Proceso Alcala, the farmers or farmer group were supposed to shoulder 15 percent of the cost of the equipment with the DA paying for 85 percent,” he said.
Piñol earlier said he wanted to scrap the farmers’ 15 percent equity on farm machinery.
“We will scrap the 15 percent equity [on farm machines and equipment] because farmers cannot afford it. Instead, it will be 50:50 and will be payable in four years,” he said.
“They will pay half of the equipment’s cost because we will roll it over. But that will be spread over four years. The farmers agreed to this,” Piñol added.
He said that currently, the government does not procure on installment or partial payment process.
“Honestly, I do not understand why farmers have to be asked to make the complete payment for machinery procured by the government,” Piñol said.