Ferdinand Marcos

“ These problems, in a world that has shrunk, come from without and not from within, Developing nations such as ours do not control the drift of international events. Even developed countries themselves are shaken by these events; they have not learned from these events, and when they are thus shaken, the whole world reels to the reverberations. We have one such phenomenon today.
So it is that we are now again faced with an energy crisis brought about by events beyond our control. ”

“ A lesson that we can learn from our past experience is simple: The impru­dence of being overly dependent on one key product or fuel. The petroleum story of the 70s appears no different from the past, so that it almost seemed natural that the world economy, functioning under the virtual monopoly of petroleum, had to stumble upon the crisis.
We have learned a lesson well, and our efforts are only limited by time as well as resources. To date, the government supplies 145,000 barrels per day or 64 percent of the country’s total oil requirements. ”

“ The economic record, therefore, for the last seven years, will clearly show that for all the political, social and economic threats to the Republic, both internal and external, our government, our Republic, our people, one and in concert, succeeded in building a new society consonant with our historical aspirations. ”

“ Because I presume this assembly to be enlightened about the very real threat of the energy problem to our national security, I request all of you to support this proposal to increase the specific tax on gasoline by a modest three centavos per liter—a greatly reduced figure from the five-centavo tax this R&D program will require. I have ordered that the tax figure be reduced because I feel that the people cannot afford the high tax. The reduced tax will involve the least dislocation in the economy. Three centavos per liter cannot be too high a price to pay for stability, security and survival. ”

“ The problems have become more complex and critical; it was just possibly a stroke of good fortune, the generosity of Divine Providence, that we have meanwhile established a government strong enough to apply political reason and political resolution to cope with the crisis that has visited not only our nation but the world. ”

“ In this decade of energy scarcity, energy has become a common, although not a unifying, interest among developed as well as developing nations, of producers and consumers, of brilliant and common, ordinary men. To be sure, the oil crisis as we know it today is not mankind’s first recorded encounter with something we can call an energy crisis. And it may well not be its last. Man has experienced the energy crisis in many forms in the past ”

“ The stand of our people is historical. We do not intend to get enmeshed in the internal problems of other nations, nor do we want any interference in ours. But we pray that the world may solve its problems in the spirit of brotherhood—the spirit to which as a nation we address ourselves. ”

“ One cannot have political power without political obe­dience. One cannot have a strong government without a sense of national iden­tity. And one cannot conquer the problems of man without identification with the future.
The leadership that the human predicament calls for requires the capacity to learn the resiliency to take advantage of the forces of change, the sophistication to innovate, and the wisdom to distinguish between what needs to be done and what needs to be delayed.
Leadership is not just one man but an aggrupation. ”

“ Prices of such commodities as oil are beyond the control of small nations like the Philippines. Considering our limited domestic oil resources and the need to keep the oil industry viable, it will be necessary for the government and the private sector, the consumers and the producers, to now move together in unison to attain solutions to each and every aspect and dimension of the problem. ”

“ There are no easy and soft choices whenever we are confronted with crisis. It is one of the most difficult obligations of leadership to impose a lax at a time when people are already suffering from high prices. However, there are no alternatives. Our options are closed. It will be necessary, however, for the Batasang Pambansa to help in the study to improve the tax collection machinery of government. ”

“ We will continue to provide the kind of planning to our energy program with the kind of foresight that has thus far minimized the effects of this year’s crisis on the lives of most of our people.
I have often paid tribute to the ability of the Filipino to weather any crisis that threatens to disrupt me tranquility of his daily pattern of living. We have faced many crises in the past and we have always come out a better and stronger breed of people. ”

“ We cannot, by any means, say that we have established an ideal social order, for to live in this world is fundamentally to struggle at every turn, but we have defused the forces of dismemberment, disunity and destruction. ”

“ It is unfortunate that the world has developed such a strong dependence on oil to the extent that the weaning process is proving to be traumatic for many nations in the world. And the Philippines is not an exception.
We have to realize however that the decades of me 80s and perhaps well into the turn of the century do not offer us any relief from the energy crisis as we know it today, unless we carefully plan to live with what is turning out to be the realities of our times. ”

“ I must say, however, that the times may be bleak, but the worst thing that could happen to mankind is for its leaders to listen to the voice of despair and pessimism. While it is true that the problems of mankind are now gigantic and crucial, it is not the first time that man himself has faced seemingly insurmountable problems. ”

“ The strategy of the government in its dual approach to the energy problem is to accelerate the development of alternative energy resources including coal, geothermal and non-conventional energy. I need not go into how coal production has jumped by almost 100 percent over the last year or two. And we are now moving from oil-fired generators to coal-fired generators. We have changed the leases of coal land into service contracts under the same theory that we adopted with respect to the service contracts in oil prospecting. ”

“ It is a small comfort of course for our people to know that we are experiencing the same difficulties as the rest of humanity. In fact, the im­pact of today’s energy crisis, from alt indications, appears to be the hardest on people living in developed countries of the world because it has abruptly caused a change in their accustomed life style. The reaction, in fact, of many of these people is a feeling that somebody, somewhere has deprived them of their per­ceived right to use energy as they please. ”

“ The industrial sector will continue to set the pace for the economy’s expan­sion, but steps must be taken to alleviate the undesirable effects of inflation, Foreign investment will continue to be tapped and encouraged; the incentives will be maintained, if not increased. The capabilities of Filipino managers and entrepreneurs will not be overlooked, of course, in our reception of foreign in­vestment. They are a source of capital and a medium for the transfer of technology. ”

“ We will spend about $1.5 billion for oil this year. In 1972, we spent $150 million.
Our life style, as with other countries, will necessarily have to change. Energy conservation is now a value that must be cultivated in our children and among our people almost as intensely as patriotism and dedication to the mother country. For today, many of us must learn to live without some of the con­veniences or luxuries that are now part of the life styles of those in the upper socio-economic level. ”

“ I realize the many sacrifices of many of the members of the Cabinet who have had to give up their positions in the private sector which were more remunerative, many times more remunerative than membership in the Cabinet. ”

“ It is later than people realize that the world cannot afford greed and power hunger. These are the twin vices of an abundant world. But the world is no longer as abundant as it used to be. The world’s resources are getting scarcer while the population is getting bigger and bigger. By the year 2000, the world’s total population is conservatively estimated to be six billion, four-fifths of which will be in the Third World—Asia, Africa and Latin Ame­rica. Eighty percent of Asia’s population will be below 40 years of age, the majority of which will be minors or non-adults. ”

“ We may say that the great problems of the world are passing storms. But while fear may be fatal, complacency will certainly be disastrous. Our ability thus far to weather all storms, external and internal, should not delude us into thinking that the quality and nature of present approaches are enough to weather present and coming crises. ”

“ Economists speak of a time discount in which people would prefer present indulgence to future rewards. For the future is so distant. But anyone familiar with future shock will know that the future is not distant at all. ”

“ I said then, as I say it now, we should not delude our­selves into complacency and false security. Real security depends on our continuing efforts. Sacrifices do not end, alertness does not lag when old problems are solved, for there are always new problems that confront us. ”

“ The government has invested funds and lime as well as talent and organiza­tion in scientific research such as the National Science and Development Board, the Philippine Council for Agricultural Research and Resources, the Plant Breeding Institute, the International Rice Research Institute, the Bureau of Plant Industry researches, the Bureau of Forest Products researches and many other projects of government that have come up with breakthroughs in many fields and should have been utilized a long time ago in either industry or agriculture and other areas of the economy. ”

“ We cannot move too fast. We dare not move too slowly. We must pace our actions according to the heartbeat of our people and the times.
For these reasons, since world and national conditions require certain qual­ities of leadership, today I am announcing the reorganization of the Cabinet.
Under the continuing reorganization program, which the Batasang Pambansa authorized the President to undertake, there has been created by Exec­utive Order a new ministry, the Ministry of Transportation and Communica­tions. ”

“ The powerful nations such as the Soviet Union, the United States and the People’s Republic of China have expressed their desire to maintain peace in the world. Talks regarding arms limitations have gained in the past few years. The powerful nations have also been concerned and have been very helpful in the economic development of the developing countries. ”

“ No matter how grim it may appear, let us look it straight in the eye. For fear will weaken us. Let us not lose confidence in our­selves. As we said earlier, resiliency is our greatest asset as a people. ”

“ The critical gap is in the pre-investment and project development stage applying improved technology. Technology users, particularly firms of small capital base, cannot invest in these high-risk front-end costs. And these are not acceptable financing risks in the banking world. Furthermore, there is no sys­tem linking users to technology information and expertise suitable to both government and private sectors here and abroad.
There is a sufficient number of Filipino scientists in the Philippines as well as abroad. ”

“ At present, you are well aware that there are three fields being developed: these are Tiwi, Makban or the Makiling-Banahaw complex which is barely 40 kms from Manila and therefore may become the principal source of electric energy in the capital area soon, and the Leyte geothermal project. At least, we still have another source of energy in the Batasang Pambansa.
In the field of non-conventional energy, a large degree of research and development work is now being carried out to adapt promising technologies to Philippine conditions. ”

“ It will be necessary for the Batasang Pambansa and the executive depart­ment to now move on to the plan to restructure tariffs as an affirmation of our commitment to fight protectionism and to work for free trade among countries. The country’s export drive must not be compromised by the increased cost of petroleum products. Solid export performance will spur the growth of the Phil­ippine economy and alleviate the balance of payments (deficit) posed by the energy crisis. ”

“ The bromide that it is later than you think is truer in the present age than any time in the past.
Time and again we have emphasized the wisdom of political scientists and philosophers. The world, the nations need to exercise their political will for the good of all mankind. ”

“ We have friendly neigh­bors who have expressed their desire to cooperate with us. There are powerful nations who are concerned about our security and at the same time, very res­pectful of our independence and integrity. ”

“ The general assumption has been that once a technology is developed to commercial stage, the market machinery will automatically lead firms to adapt and invest in the technology. But this is not happening. ”

“ Translated into domestic prices, this would mean an average increase of 20.4 percent in the prices of petroleum products. Because of this and related developments, we will exceed our original inflation assump­tion of seven percent, as I have already stated. Nonetheless, it is the intention of government to exert, intensify and increase all existing efforts to hold it down to around 15 percent.
The times are difficult and we have to call for sacrifice on the part of every­one. We are doing all we can to cushion the inflationary effects of oil price increases ”

“ In addition to this, the government may have to use taxation as a regulatory tool to curb the wasteful consumption of energy. In this connection, we are con­sidering an upward revision of the specific tax rate on certain fuel items and the imposition of an energy tax on electric power consumption in excess of a certain minimum.
Export and premium taxes will be reviewed with the view to supporting our thrusts in export expansion and diversification. ”