Mr O’Flynn explains Philippines aid cut

Press, 11 February 1986, Page 32

Mr O’Flynn explains Philippines aid cut

PA Wellington New Zealand was curtailing geothermal power development funding to the Philippines because the programme was coming to an end, said the Deputy Minister of Foreign Affairs, Mr O’Flynn.

The “Auckland Star” newspaper reported earlier that New Zealand had withdrawn longstanding aid funding of geothermal power development because of concern about human rights abuses under the Marcos Government. Instead, its $1.7 million annual aid budget for the Philippines would be spent on village-level schemes aimed at helping as many poor Filipinos as possible, the “Star” said.

It quoted one of Mr O’Flynn’s advisers as saying the Minister had ordered the change of direction because he was concerned about alleged human rights violations.

New Zealand had contributed $2O million since 1972 to geothermal development in the Philip-

pines, most of it on exploration and consultancy work for two power stations, the adviser said. The consultancy programme was to have continued until 1987, but after Mr O’Flynn’s directive, financing ceased on December 31.

Mr O’Flynn said the report should not be taken literally.

New Zealand was naturally concerned about human rights abuses in any country. This was especially so in those countries New Zealand aided. The main reason for curtailing the geothermal development funding, however, was that the programme was coming to an end. New Zealand had funded a programme of geothermal scientific work, drilling and training in the Philippines from 1972 to 1980. "Then the assistance was redirected to an energy co-operation programme, designed to reinforce the technological capabilities of Philippines agencies in geothermal exploration and development and environmental

management,” he said. The assistance had meant that the Filipinos were now, in most areas, able to do their own exploration, said Mr O’Flynn. “Accordingly the programme was reviewed in 1984 and last year agreement was reached with the Philippines Government that the aid for geothermal-related programmes could be reduced and other avenues of aid considered,” he said.

In looking for new areas of assistance, officials were directed to observe the principles guiding New Zealand’s bilateral development programme.

The main purpose of New Zealand aid was to promote economic and social development by expanding a country’s ability to raise the living standards of its people.