The Governance Commission for Government-Owned and -Controlled Corporations (GCG) will conduct a comprehensive review of the mandates and performance of government corporations under its jurisdiction.
The review aims to assess economic viability, responsiveness to the needs of the public, and consistency with national development policies and programs.
The results of the comprehensive review including recommendations will be submitted to Congress for consideration in crafting, revision, and/or modification of the charters of GOCCs.
These may include recommendations on whether certain government corporations will be abolished, merged, or retained.
As some of the charters of the GOCCs are about to expire, the GCG will also make recommendations on whether to extend or not to extend their charters.
Among the functions of the GCG as stated in Section 5 of Republic Act No. 10149 are:
(a) Evaluate the performance and determine the relevance of the GOCC, to ascertain whether such GOCC should be reorganized, merged, streamlined, abolished or privatized, in consultation with the department or agency to which a GOCC is attached. For this purpose, the GCG shall be guided by any of the following standards:
(1) The functions or purposes for which the GOCC was created are no longer relevant to the State or no longer consistent with the national development policy of the State;
(2) The GOCC’s functions or purposes duplicate or unnecessarily overlap with functions, programs, activities or projects already provided by a Government Agency;
(3) The GOCC is not producing the desired outcomes, or no longer achieving the objectives and purposes for which it was originally designed and implemented, and/or not cost efficient and does not generate the level of social, physical and economic returns vis-à-vis the resource inputs;
There are 118 GOCCs under the jurisdiction of the GCG constituting about P10 Trillion worth of assets.
GCG Chairperson, Justice Alex L. Quiroz (retired) stated that “The President’s marching orders to me were very short: ‘Let us help our country.’ Insofar as the GOCCs are concerned, the President wants to have rightsizing and transparency to take care of its more than P10 trillion assets and to avoid the dissipation of public funds.”
The review process will involve consultations with GOCCS and concerned stakeholders, a review of the charters of GOCCs, scorecards, and an assessment of data on their contributions to national development.
The Governance Commission remains steadfast in its mandate as the central advisory, oversight, and monitoring body for GOCCs, to institutionalize transparency, accountability, financial viability, and responsiveness in corporate governance by monitoring and evaluating the performance of GOCCs.
