Philippine Transportation Secretary Arthur Tugade has accepted the resignation of Undersecretary for Rails Noel Kintanar.
“Mr. Kintanar said he would like to give Sec. Tugade a free hand in addressing any and all misconceptions or doubts as to the impartiality and independence of the DOTr in addressing the many issues and concerns on transportation,” the Department of Transportation (DOTr) said in a statement.
Kintanar’s resignation will take effect on November 29.
Some lawmakers have called for Kintanar’s dismissal on account of conflict of interest. Prior to his stint in DOTr, Kintanar was assistant vice president (AVP) and executive director of conglomerate Ayala Corporation. From 2001 to 2004 he served as executive director of the Public-Private Partnership Center of the Philippines, the government agency that overlooks the implementation of PPP projects.
The Ayala group is involved in several public-private partnership (PPP) projects, including the operation of the Automated Fare Collection System and the Light Rail Transit Line 1 under the Light Rail Manila Consortium. The group also won the contract to build in front of one of its own malls the common station for Metro Manila’s three rail lines.
Quezon City representative Danilo Suarez, in a recent Lower House hearing on the emergency powers bill, said Kintanar might favor Ayala businesses while in DOTr.
Possible conflict of interest was also cited why some Lower House representatives were wary of granting DOTr emergency powers to address traffic and transportation problems.
House Speaker Pantaleon Alvarez, in a recent radio interview, called for the dismissal of Tugade, Kintanar, and undersecretary for Aviation Roberto Lim, for conflict of interest. Tugade founded Perry’s Group of Companies, involved in transportation and logistics, while Lim was formerly country manager of the International Air Transport Association.
“With all these people at the DOTr, these undersecretaries who have their own vested interests, I am sure they will negotiate these contracts,” Alvarez said. He added that the delay in granting emergency powers is not with Congress but with DOTr because he said the agency has not yet furnished Congress its concrete plans.
“We cannot just grant them emergency powers if we are not sure where they will use these,” he pointed out. Alvarez also accused the three officials, as well as Undersecretary Raoul Creencia, of underperformance after being in office for four months.
