Armed Forces united & published a manifesto AGAINST BBL Bangsamoro - Shocks President Aquino!

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$1Billion USD - Upgrading 23 important Military Assets DELAYED again for Corruption?

The Philippines relies on aging helicopters such as this UH-1 Huey seen on a recent mission in Mindanao. PHOTO: TREFOR MOSS/THE WALL STREET JOURNAL

Philippine Military Upgrade Stalls

Delay for $1 billion in defense deals leaves planned overhaul years from completion

MANILA—A push by the Philippines to overhaul its obsolete military has ground to a halt just as the U.S. ally is striving to deter China in the disputed waters between them.

A string of programs collectively valued at $1 billion stalled early last year, said military officials and executives involved in Philippine defense deals. The delay underscores how the government’s efforts to transform the country’s derelict navy and air force have become mired in red tape, funding problems and corruption allegations.

The delays leave long-held plans to build a “minimum credible deterrent”—comprising small but capable air and naval fleets—at least a decade from completion, said Jose Antonio Custodio, a Manila-based defense consultant. Even with a basic deterrent in place today, Manila would likely still lack the means to check Beijing’s assertiveness.

“We’re still at square one,” said Mr. Custodio. “With China building all these new bases [in the South China Sea], I’d say it’s already too late.”

Securing secondhand equipment from allies such as Japan and the U.S. may now be the Philippines’ only chance of quickly upgrading its forces, people familiar with the country’s procurement process said. The approach of presidential elections in May make it unlikely that any big contracts will be signed before then.

President Benigno Aquino III has promised to rejuvenate the military, which has been degraded by decades of underinvestment.

A pledge to spend $1.7 billion on new equipment initially bore fruit, as the administration signed a flurry of defense contracts valued at $834 million in late 2013 and early 2014, including deals for 12 Korean fighter jets, three Airbus transport planes and a new fleet of combat helicopters from Canada and the U.K.

“The record will show that the Aquino administration has stepped up the pace of [military modernization] considerably, surpassing the procurement program undertaken by three previous administrations combined,” said presidential spokesman Herminio Coloma.

However, Mr. Coloma said Mr. Aquino still hasn’t signed a law passed by the Philippines Congress in February 2013 earmarking $2 billion for defense procurement. Mr. Coloma didn’t explain the delay.

Government finances have been stretched thin after the government spent billions on reconstruction following Supertyphoon Haiyan (Yolanda) in 2013. Spending has also slowed after a recent scandal in which prosecutors charged three senators with corruption for their alleged involvement in the use of dummy NGOs to steal around $220 million in public money. All three senators denied the charges. Strict government procurement rules have been further tightened since then, putting the brakes on a range of spending programs.

The Philippine vessel Ramon Alcaraz participated in bilateral maritime exercise with the U.S. in June last year.PHOTO: AFP/GETTY IMAGES

Contracts for two naval frigates valued at $398 million and for two long-range patrol planes valued at $132 million—capabilities that would help the Philippines monitor its maritime territory, where it has overlapping claims with China—are among those that were scheduled to have been bid out last year but haven’t moved ahead. “It’s a bureaucratic logjam,” said Mr. Custodio.

Foreign defense companies seeking to supply these and other systems can only wait for the logjam to clear.

“It seems that all programs are paralyzed,” said a Western defense executive whose company is involved in one stalled project.

Another Western executive said the Philippines was hardly unique in experiencing lengthy holdups for military equipment, but recalled how the country’s defense leadership had built momentum in 2013, only to hit the buffers in early 2014.

“Defense officials just don’t have the authority to make things happen now,” he said.

The Philippine Department of National Defense and the Armed Forces of the Philippines didn’t respond to requests to comment.

With China accelerating its island-building program in the South China Sea, Philippine military chief Gen. Gregorio Pio Catapang recently urged Manila to spend more on defense as the country’s economy enjoys healthy growth. Last year’s defense budget was just $3.3 billion—far less than neighboring Singapore’s $9.5 billion.

A Philippines senate inquiry into the country’s military modernization efforts has meanwhile questioned the effectiveness of the funds spent so far, with one senator arguing there was practically nothing to show for the $1.4 billion spent on new weaponry in the decade to 2013.

Senators also looked into a deal for 21 secondhand helicopters, which the defense department canceled in April after only seven deliveries amid concerns about the quality of the technology, and with a Philippine tax official claiming that the aircraft had been ordered in exchange for kickbacks.

The defense department has denied the allegations.

The breakdown of the helicopter program has made defense officials even more reluctant to place new orders and expose themselves to further scrutiny, said Mr. Custodio.

Mr. Aquino has turned to allies for help. On a recent state visit to Japan, he requested secondhand P-3C Orion maritime patrol aircraft, having already received a $183 million loan from Tokyo to fund the construction of 10 new patrol boats. Tokyo has said it is considering the requests, though it hasn’t committed to anything specific. Australia, South Korea and the U.S. have all donated used military kit to Manila in recent years and have signaled a willingness to do more.

But hand-me-downs won’t deliver a deterrent capable of influencing decision makers in Beijing, Mr. Custodio says. “The Chinese are building islands on our doorstep.”  - THE WALL STREET JOURNAL: Write to Trefor Moss at trefor.moss@wsj.com

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Philippines preparing Billion Dollars fund for Acquisition of NEW Submarine, Missiles, Ships, radars for AFP Upgrade

Kilo Class Diesel Submarine. Del Rosario said that between 2018 and 2023 the Philippines would buy electric-diesel submarines ($200 - $500 Million USD per unit)and advanced missile systems.

PH ramps up military spending in face of China threat

MANILA - The Philippines plans to ramp up military spending over the next 13 years, earmarking more than $20 billion to modernize its forces in the face of Beijing's maritime ambitions in the disputed West Philippine Sea (South China Sea), a top Air Force official told Reuters.

Major-General Raul del Rosario, military chief of plans, said the blueprint includes installing radars and sensors, and buying equipment such as submarines, frigates, fighters, surveillance planes and missile systems.

"By the time, we complete this plan, we will have complete coverage of the South China Sea," said del Rosario, a former fighter pilot, showing the military's detailed plan that was approved on Friday.

"We will have 24/7 awareness of what is happening in the disputed area and we'll be able to respond quicker to any contingency in our own exclusive economic zone."

He said the ambitious plan was initiated in 2013, but top brass had only approved overall spending of 998 billion pesos ($22.11 billion) last week.

Del Rosario said 83 billion pesos had been earmarked for the first five years, ₱444 billion pesos for the second five years and ₱471 billion pesos for the last five years.

In 1995, Congress had earmarked ₱364 billion pesos for a similar 15-year plan. Less than one-tenth of that sum was actually spent by 2010.

The modernization program is designed to strengthen Manila's claims in the South China Sea, believed to be rich in energy deposits.

China has become increasingly assertive in the South China Sea, building artificial islands in areas over which the Philippines and other countries have rival claims. The moves have sparked alarm regionally and in Washington.

SUBMARINES, MISSILES AND SURVEILLANCE PLANES

President Benigno Aquino has promised the military about ₱34 billion pesos this year, which will fund the purchase of two frigates and a twin-engine long range maritime aircraft.

So far, the government has given the military ₱9.4 billion pesos in 2014. This has been used to purchase eight combat utility helicopters and as a downpayment for 12 FA-50 fighter-trainers from South Korea. Two of the aircraft are expected in 2016.

Del Rosario said that between 2018 and 2023 the Philippines would buy electric-diesel submarines and advanced missile systems.

Three aerial surveillance radars with a range of 350 nautical miles will also be installed in Ilocos Norte, Lubang island and Mount Salacot in Palawan, all facing the South China Sea to detect movements in the disputed area.

These will complement the navy's two surface sensors capable of detecting ship activities 200 miles away. Three surveillance planes will also be on constant patrol in the area.

"We do not aim to defeat China," del Rosario said. "But our goal is make any state think twice before attacking. We will make sure anybody attacking us would end up with a bloodied nose." -  ABS-CBN News

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Lt. Gen. Iriberri is new Armed Forces of the Philippines chief; Facing Graft charges for ₱97.7 million Php Contract

In his speech during the change of command ceremony at Camp Aguinaldo, Lt. Gen. Hernando Iriberri said he will pursue a "straight and true" path. - image:CNN Philippines

Lt. Gen. Iriberri is new AFP chief

Metro Manila (CNN Philippines) — Lt. Gen. Hernando Iriberri is the new chief of the Armed Forces. He is the 46th to assume the position.

On Friday morning (July 10), Iriberri gave a speech at the change of command ceremony at Camp Aguinaldo where he vowed to follow "the path that is straight and true" — a reference to the Aquino administration's "Tuwid na Daan" campaign against corruption.

In his speech, he also expressed his acceptance of the responsibilities as chief of the Armed Forces of the Philippines (AFP).

"Mga mahal kong kababayan, buong pagpapakumbaba ko pong tinatanggap ang hamon at buong puso ko pong gagampanan ang aking katungkulan."

[Translation: My beloved countrymen, I humbly accept the challenges and will wholeheartedly perform my tasks as the AFP chief.]

He also vowed to win and secure peace in the country with his own brand of leadership.

"I only have one principle of leadership. To be a good leader, one must know how to understand people and the situation. To our countrymen, I am all yours to serve."

During the ceremony, President Benigno Aquino III ordered the newly appointed AFP chief to continue the reforms implemented by former AFP chief Gen. Gregorio Catapang Jr.

He also ordered Iriberri to ensure a peaceful and clean elections in 2016.

Gazmin aide

A Surigao del Sur​ native, Iriberri was the former Army chief, and before that, was the chief of the 7th Infantry Division, based in Nueva Ecija.

He was commissioned in the Armed Forces of the Philippines (AFP) after graduating from the Philippine Military Academy (PMA). He was part of the PMA Matikas Class of 1983.

Iriberri served as the Army spokesman in 2000 when Defense Secretary Voltaire Gazmin was its commanding general. When Gazmin was appointed as the Defense secretary, he served as the cabinet secretary's most senior aide.

Gazmin is believed to be highly influential in military appointments in the Aquino administration.

Graft charges

The new AFP chief, however, is facing graft charges before the Ombudsman for the alleged failure to issue documents involving three contracts worth ₱97.7 million Php. This resulted in the shelving of contracts won by Joavi Philippines.

The contracts were for ammunition delivery in 2010 and 2012. But Iriberri said he is ready to answer the charges. - CNN Philippines' David Santos  and Anjo Alimario contributed to this report.

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