Official Gazette for January 12, 1971: President Marcos went on a nationwide radio and television hookup in the evening, and appealed to both the oil industry and the striking drivers to end the impasse.
“I am aware that the protagonists in this unfortunate confrontation are deeply persuaded by their own reasons for making an intractable stand But I am also aware that other sectors, the employees and hard-pressed common workers, our students, and our people in general have been deprived of their right of movement because of the strike, and they are subject to tensions and threat of injury and even death,” the President said. The President assured the people that the government would take all the steps necessary to immediately end the strike.
In a meeting with leaders of the oil industry and members of the Price Control Council earlier in the day, the President told the oil executives that they must accept a temporary cutback on gasoline prices as a first step toward settling the jeepney strike. The oil men agreed to cut the two-centavo increase by one centavo, until such time that the commission has completed its task and made its recommendations.
During the conference, the President announced the creation of a Presidential Oil Commission and charged it with the task of looking into the books of the oil companies. With the oil executives in seeing the President were Secretary of Finance Cesar E. A. Virata and Secretary of Commerce and Industry Ernesto Maceda.
In another major conference, the President ordered a study on the, feasibility of adopting a policy whereby the government will have a 50 percent participation in the profits of every corporation engaged in the exploitation of the country’s natural resources. He issued the order to Undersecretary Tanco and Secretary Virata during his meeting with the Presidential Budget Development Committee and with Armand Fabella, chairman of the Reorganization Commission. The meeting was called by the President to review the reorganization plan submitted by the Reorganization Commission to promote efficiency in the government while at the same time effecting a savings of ₱30 million. The President pointed out that the natural resources of the country belong to everyone and that these resources should be the principal source of revenue of the government, which proceeds will be channelled to social services and economic development.
Going over the recommendation of the Reorganization Commission, the President also:
1. Ordered a further study aimed at increasing expected savings from ₱30 million to at least ₱100 million without undermining-service efficiency. 2. Ordered a restudy of the powers of the President to see if there may be other powers which can either be transferred or delegated to lower level officials. 3. Told the secretary of national defense and the chief of staff of the armed forces to submit a position paper on the proposed merger of the Philippine Constabulary with other army units to form the National Police Command.
Present at the morning conference were Chairman Fabella, Executive Director Abelardo Belmonte, Secretary Virata, Executive Secretary Alejandro Melchor, Jr., National Economic Council Chairman Gerardo Sicat, Office of the Economic Coordination Administrator Eduardo Rodriguez, Presidential Economic Staff Director-General Apolinario Orosa, Budget Commissioner Faustino Sy-Changco and Central Bank Governor Gregorio S. Licaros.
The President started conferring with the government officials after clearing” his” desk of urgent state papers. First to see him was Secretary of Justice Vicente Abad Santos, which was followed by his meeting with Secretaries Virata and Maceda on the oil prices. Other callers included Rep. Cornelio T. Villareal, Gov. Virgilio Lacaya of Zamboanga del Norte and Mayor Habibon Pia of Sibuco, who took up with him local problems.
In the evening the President and the First Lady, Mrs. Imelda R. Marcos, honored Dr. S. D. Savkar, director of Asian Affairs of the IMF, at dinner. Also present were Central Bank Gov. Gregorio S. Licaros, Executive Secretary Alejandro Melchor, Jr., and other officials.
We have been delayed by the blackout at about 9:00 PM which blanketed not only Metropolitan Manila but all provinces up to Tarlac in the north and up to Laguna in the south.
I was then at dinner with Dr. Zahvkar who is here on the IMF [International Monetary Fund] consultations as we ask for more liberal credit and concessional loans. He is very sympathetic but cautious because of the effect of too much credit on the rate of exchange.
And Atty. Lupiño Lazaro was having dinner at the State Dining Room waiting for me. I convinced him that since I had earlier directed the oil refineries to lower the Villegas rate of standard gasoline from the increase of two centavos to one centavo and organized the Presidential Oil Commission to look into the profits of the oil refineries and the bus and jeepney operators as well as the drivers, he should not allow the drivers to participate in the rally and demonstrators which is [sic] being led by the Kabataang Makabayan and the NPA [New People’s Army]. But he would or could not call off the strike. He feels that the people is [sic] on their side. But after the lowering of the gasoline rates, he will lose the people’s support gradually.
But Nering [Nereo] Andolong reports that the blackout or power failure was deliberately done to test strength and cause confusion. We are still investigating. The Meralco [Manila Electric Company] explanation that a truck struck an electric post was not plausible because even the substation in Pampanga exploded.
Nering Andolong also reports that Renato Constantino, I.P. [Indalencio] Soliongco and Angel Baking organized the more than seventy student leaders that saw Mr. Eugenio Lopez, the “evil genius” of the Lopez group—apparently for financing for the rally tomorrow.
Freddie Elizalde showed me a copy of an editorial which Chino [Joaquin] Roces wanted to be pooled by all the newspapers castigating me and asking for my resignation and that of the cabinet. For good measure the editorial included the Vice President. It was opposed by Freddie and [Sebastian] Ugarte. And Teddy [Teodoro] Locsin opposed the demand for resignation.
What a ridiculous spectacle Chino Roces is making of himself. He is supposed to have said that I engineered the drivers’ strike and am leading to a declaration of martial law as there will be violence tomorrow, and in the days to come. And he predicted that at least ten men would be killed tomorrow. He (Chino Roces) and the rest of them (IP Soliongco, Renato Constantino and Angel Baking) probably know or feel that they will be arrested in the event I proclaim martial law.
My suspicion is that Ambassador [Henry] Byroade may have leaked my statement that in the event of massive sabotage or terrorism I would use my extraordinary powers. His wife whom he did not bring with him to the U.S. told me she is going to Subic Naval Base instead of Baguio her favorite vacation place allegedly because it is too cold.
The timetable is being pushed too fast by the leftists. It may be earlier than we think.
Gen. [Manuel] Yan, Sec. [Juan Ponce] Enrile and the others recommended that relief of Gen. [Zosimo] Paredes of the IInd PC [Philippine Constabulary] Zone and to assign Col. [Fabian] Ver there. But he is loyal and a good combat officer. He can be depended upon to use his initiative.
So I am retaining him. But I will elevate Col. Ver to Senior Aide de Camp.
I am creating the Intelligence Command and putting Gen. Fidel Ramos in command. His deputy, Col. Sibayan, takes over the III Inf. Brigade.