The Standard - 2016 July 25 - Monday by Manila Standard

Asean execs deadlocked amid China saber-rattling VIENTIANE, Laos―Southeast Asian nations were deadlocked Sunday over how to confront the saber-rattling in the South China Sea as pressure from Beijing again drove a wedge between the countries on the region’s most contentious security issue.

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The gathering in Vientiane is the ﬁrst time the regional players—ncluding China and the United States—have met en masse since a UN-backed tribunal delivered a hammer blow to Beijing’s claim to vast swathes of the strategic sea. Next page

It’s Rody’s show ‘Man-in-a-hurry’ Duterte breaks Sona tradition

Cha-Cha, peace deal, war on drugs top agenda

By Christine F. Herrera and Sandy Araneta

By Macon Ramos-Araneta, Maricel V. Cruz and John Paolo Bencito

PRESIDENT Rodrigo Duterte— always in a hurry to get things done—wants to prove he means business by breaking all traditions and protocols on Monday, from the moment he steps into the Batasang Pambansa to deliver his historic ﬁrst State of the Nation Address at 4 p.m.

A SHIFT to a federal system of government, the search for peace and the war on illegal drugs top the list of Senate priorities in consonance with the legislative agenda of President Rodrigo Duterte, incoming Senate President Aquilino Pimentel III said Sunday. Pimentel said federalism would give greater autonomy to the regions, especially in conflict areas in Muslim Mindanao. He added that the Senate is ready to offer legislative support to the search for peace with Muslim and communist rebels. The war on illegal drugs, which the administration has pursued relentlessly in recent weeks, will be strengthened by a bill that would bring back the death penalty for those who commit heinous crimes such as drug trafficking. “This is not only a deterrent but in the words of President Duterte, retribution for the crimes done against the people,” said Pimentel. Pimentel also vowed to support the empowerment of local government units through legislation, such as his “Bigger Pie, Bigger Slice” bill that would give LGUs a bigger share of national taxes. Other priority measures include an end to labor contractualization, changes to the bank secrecy law; modernization of procurement during calamities; creation of a committee for the prevention of torture; increased penalties for reckless imprudence and negligence in the Revised Penal Code; and strict enforcement and compliance with the national building code. Returning Senator Juan Miguel Zubiri has filed a bill calling for the election of 86 independent delegates to a Constitutional Convention alongside the Oct. 10 barangay polls. Next page

The President wants all eyes fully focused on him for 38 minutes as he issues orders and talks about his plans to steer the country toward progress and development in his first 100 days— an effort that he wants sustained for the next six years. A Palace official said Duterte’s first Sona— expected to last 38 minutes—would inspire love of country in every Filipino. “The address of the President, personally written by the President, will be a very powerful speech that will awaken the patriot in every Filipino,” Communications Secretary Martin Andanar said. “I do not want to exaggerate but the first time I read the speech, it made me cry,” he said. Drama and all other distractions have been removed. There will be no slideshows, videos or honor roll presentations that used to eat up more than an hour in previous presidential speeches. Only four House and Senate officials—a departure from the usual 30-man entourage— have been assigned to meet Duterte at the rear entrance of the Batasan to save time, and to do away with the usual shaking of hands. The escorts will include only the newly elected Senate President, House Speaker and their respective majority leaders, said outgoing House Secretary-General Marilyn Barua-Yap. While this is the first time the President will formally meet the Senate and House members Next page

Duterte’s order to enforce freedom of information By Pearl A. Gajunera DAVAO CITY—President Rodrigo Duterte has signed an executive order to bring greater transparency to the operations of the executive department, Communications Secretary Martin Andanar said Sunday. In a press conference at the Royal Mandaya Hotel, Andanar said the EO will strengthen the rights of the people to know where the budget of the government is going. “We expect the FOI executive order to even strengthen our right to information as written and described in our 1987 Constitution,” Andanar said. “No request for information will be denied.” He added that even the ordinary citizens can gain access to government documents as part of efforts to increase

transparency. “The outcome of this is really to lessen the corruption or even eradicate it,” Andanar said. Andanar said, however, that the Palace would leave it to Congress to legislate FOI, so that other branches of government can also be covered by it. Under the EO, “information” is defined as “any records, documents, papers, reports, letters, contracts, minutes and transcript of official meetings, maps, books, photographs, data, research materials, films, sound and video recording, magnetic or other tapes, electronic data, computer stored data, or any other like or similar data or materials recorded.” The EO will cover all government offices under the executive branch, including all its offices, departments, bureaus,

This time, militants won’t burn effigies LIKE President Rodrigo Duterte, militant groups gathered around the President’s State of the Nation Address are also expected to break with tradition, eschewing the usual efﬁgies of the President in favor of banners of support for his peace and land reform initiatives. This is the ﬁrst time that a contingent of 3,000 leaders from Mindanao, and from the Visayas and Luzon will converge in Manila to rally behind a President.

The Mindanao and Visayas contingents trekked a week-long caravan to reach Manila, according to Bayan secretarygeneral Renato Reyes Jr. The police have also done away with the usual roadblocks and concertina barbed wire barriers to keep protesters from reaching the Batasang Pambansa, where the Sona will be held this afternoon. “As far as we know, based on our latest discussions, we will march to Batasan

Road, just 300 meters away from Congress. That’s the closest we have got during Sona as far as I remember and I have joined the Sona protests since 1992,” Reyes said. In the previous Sonas, the protesters managed to reach only up to the Sandiganbayan, a few steps away from Batasan Road. This will be the ﬁrst time they will be allowed to set foot on Batasan Road going to Congress. Next page

GMA hits political injustice By Rio N. Araja FORMER President and Pampanga Rep. Gloria Arroyo on Sunday expressed her disappointment over the country’s ﬂawed justice system, and said she hoped she would be the last victim of political injustice. “Let me be the last victim of persecution during the justice system,” she told a television interview. “A lot of injustice, to begin with the detention itself, was unjust. What I learned from that, is this whole thing of political power to persecute political enemies, that must stop.” On July 19, the Supreme Court acquitted Arroyo of plunder over her alleged misuse of P366 million in conﬁdential and intelligence funds of the Philippine

Charity Sweepstakes Office for lack of evidence. In March 2015, Arroyo through international human rights lawyer Amal Clooney, filed a case with a United Nations panel to complain about the human rights abuses she suffered under the Aquino administration. The United Nations Working Group on Arbitrary Detention ruled that the government had violated Arroyo’s human rights for her detention under hospital arrest since October 2012. “I must be the last victim, let me be the last victim. I’m not saying that political figures should be immune from prosecution. What I’m saying is that the process should be fair and even handed,” Arroyo said. Next page

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PEACE CAMP. Members of militant groups gather at the Quezon Memorial Circle on the eve of President Rodrigo Duterte’s ﬁrst State of the Nation Address. REVOLI CORTEZ

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face-to-face, Duterte did not want them to delay his march up to the rostrum, so the usual meet and green with lawmakers lining the aisles will come after, not before his speech. The usual red carpet arrivals that have become a fixture of past Sonas have been scrapped, and those attending have been advised to come in business attire, consistent with Duterte’s no-frills style. Everybody must already be seated when he enters the session hall to avoid delays. Award-winning film director Brillante Mendoza devised a way to install a light dimmer in the plenary hall so that all lights are focused only on the President. He said the public will feel like they are talking directly with the President when he delivers his Sona. Some 3,000 guests have been invited to Duterte’s first Sona—including the past presidents. This is the first time former Presidents Fidel Ramos, Joseph Estrada, Gloria Macapagal Arroyo and Benigno Aquino III will be sitting together under the same roof since Arroyo was cleared by the Supreme Court of plunder charges that were filed during the Aquino administration. Yap said all four former presidents would be seated side by side according to seniority or chronology of terms of office at the middle gallery, thus, Ramos, Estrada, Arroyo and Aquino. But Arroyo, as a representative of Pampanga, has the option to join her colleagues on the session floor. Aquino, who put Arroyo in jail for four years, has sent word that he would not be attending Duterte’s Sona. Vice President Leni Robredo will be given a special seat with the senators on the floor but she is given a choice to sit in the VIP middle gallery, alongside the former presidents. Yap said Duterte wanted simple arrangements at the House. “The preparations were not really very difficult...for example, the President’s team wanted simple arrangements for the session hall, the lobbies, the reception areas and the cocktails. It’s all cut and dried,” Yap said. Even for the President’s 30-minute speech, the Palace has not asked for provisions for a slideshow, Yap said. “I expect the President’s Sona to be straightforward and would last for a maximum of 30 minutes unlike previous presidential addresses which usually lasted one hour and 45 minutes. The President will outline his program of government, probably focusing on the same things he has been talking about the last time, like law and order, national security, and the economic agenda. He has a strong economic team and his economic agenda has a good focal point, which is the agriculture sector, and there is also a balance between the agriculture sector and foreign investments,” Yap said. From Friday to Sunday, the final preparations were made in the House. “All security forces will be at the holding areas by that time. Our caterers are coming in Sunday so they are all in place when we open in the morning of Monday,” she added. Yap advised invited guests to come early, bring their pass and invitation, and observe the proper dress code. “Please come early because once the doors are closed, you won’t be able to enter the session hall… You will be escorted to some part of the building and you’ll have to wait until the Sona is over before you can get out of that place,” she said.

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As a Catholic, Arroyo said she does not want to exact vengeance, and that she will face the next chapter of her life without bitterness. She said she does not want to wish her enemies bad luck.

The three-level galleries at the session hall have a comfortable seating capacity of 1,750 while the plenary floor has a comfortable seating capacity of 350, Yap said. The President is expected to arrive at the House at 4 p.m. Once he arrives, Yap said he will be escorted to the Presidential Legislative Liaison Office by the Senate President and the House Speaker, and the two majority leaders of both houses of Congress. Then the Speaker and Senate President will proceed to the plenary hall. The majority leaders will then escort the President to the main entrance of the session hall. Bayang Barrios will sing the national anthem for the joint session. The President is scheduled to deliver his Sona at 4:30 p.m. Yap said she expects the Sona to also deal with foreign policy like how to deal about the West Philippine Sea, the Enhanced Defense Cooperation Agreement implications, the fate of the Bangsamoro Basic Law, a pitch for a Constitutional Convention and a shift to federalism, and climate change issues. In the morning, the session would open at 10 a.m. There will be a designation for an acting majority floor leader to be followed by a nomination for the position of Speaker. The election and oathtaking of the new Speaker will be followed by his traditional acceptance speech. Lawmakers would also pass a resolution informing the President that the House has convened and organized, and is ready to receive the President and hear the Sona. The morning session will last until 11:30 a.m. In the afternoon, the doors of the plenary hall will open at 2 p.m. and will be closed at 3.30 p.m. For the reception after the Sona, Yap said Via Mare restaurant was tapped to serve a heavy merienda buffet to at least 800 guests, including diplomats. Senator Ralph Recto said Duterte could use his Sona to expand his “kill list” to poverty, joblessness, and poor public services. “It will the best time to unveil his battle plan on how to slay unemployment, exterminate poverty, and end economic want, whose success will be measured in lives improved and not in lives ended,” he also said. “Like any maiden Sona, I expect it to be more of a looking forward than a looking back speech, more of what to do and not on what has been done,” Recto said. The Sona, he added was about setting the national agenda and the nation’s aspirations. Neophyte Senator Risa Hontiveros said she hoped the President will elaborate on his government’s health policy framework. She said Duterte’s decision to send health officials to Cuba to study its health care system is a step in the right direction. Outside the Batasang Pambansa, military personnel will be deployed to support police, who will be deployed along Commonwealth Avenue in Quezon City to maintain order, Col. Vic Tomas, commander of Task Force National Capital Region said Sunday. “The normal distance will be applied per rules of engagement, 50 meters away from the demonstrators. Our personnel are unarmed because they are also there to protect the demonstrators,” Tomas said. Earlier, the militant group Alyansang Makabayan said it will gather some 10,000 people to march along Commonwelth to show support for Duterte. With Macon Ramos-Araneta, Florante S. Solmerin and Rio N. Araja “I don’t wish what happened to me on my worst enemies,” she told the TV interview. “You know, as I said earlier, I’m a devout Catholic, so any rancor I feel is not first hand. The rancor that I feel is precisely what I was saying earlier: the justice system, political persecution using the justice system that must stop.”

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“We also thank the President for allowing Sona rallyists to march as far as Batasan Road tomorrow. This would also be another ﬁrst. The President has shown himself to be more open than his predecessors were. We hope he would continue to engage the people in dialogue and move to address their most urgent issues and concerns. We reiterate that, should he have time, he is more than welcome to attend our rally tomorrow outside Batasan,” he added. The militant groups also lauded Duterte for signing the Freedom of Information Executive Order, less than 30 days into his term. “We hope that this would facilitate greater transparency and accountability in govern-

‘Third force’ to vie for House minority By Christine F. Herrera

A THIRD force in the House has emerged to challenge the leadership and present themselves as the “true and real opposition minority” for Monday’s election of the minority leader in protest against the supposed “game-ﬁxing” to turn Congress into a rubber stamp. Albay Rep. Edcel Lagman of the Liberal Party and Navotas Rep. Toby Tiangco, president of the opposition United Nationalist Alliance, have joined forces and formed the “Independent Caucus” that will serve as the voice of the true opposition in the House. Lagman announced over radio dzBB that he and some members of the LP had refused to join former House Speaker Feliciano Belmonte Jr., who on Saturday dropped his bid to contest the minority leadership and chose instead to back Davao del Norte Rep. Pantaleon Alvarez in the super majority coalition. Belmonte and Alvarez were set to sign a coalition agreement between Belmonte’s LP-majority wing and Alvarez’s ruling Partido Demokratiko Pilipino-Lakas ng Bayan at the Edsa Shangri-La last night.

Quezon City Rep. Winnie Castelo admitted that the “perks and projects” that they had been enjoying for the past six years had been the primary reason that drove him and 30 other members of the LP to join Belmonte in the Alvarez-led majority. The LP members, who won 115 seats in the recent polls, also feared Alvarez would field opponents against them in the 2019 midterm elections should they attempt to grab the minority leadership, said Castelo in a separate interview over dzBB. Castelo said the LP-Belmonte wing did not want the perks halted. “We have to put up a fight as a symbol for what we stand for,” Tiangco said. “We are trying to find a candidate. Of course mahirap humanap, kasi it will take a miracle to win. But we have to try to convince

Asean...

That statement had expressed alarm over Beijing’s activities in the South China Sea. Cambodia and Laos were later ﬁngered as being behind the moves to block the joint statement. Those divisions were on stark display once more in the Laos capital with insiders accusing Cambodia of scuppering moves to include a response to the tribunal ruling in a joint communique, expected at the end of Sunday’s meeting. “We need to put our house in order,” one diplomat involved in discussions told AFP Sunday. “But we still have not agreed on anything.” Another Asean diplomat added: “We remain deadlocked. We’re back to the negotiating table.” A working draft of the current joint communique obtained by AFP

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The 10-member Association of Southeast Asian Nations boasts four countries who have competing claims with Beijing over parts of the strategic sea and is ﬁercely divided on the issue. The rival claimants have accused China of deftly forging alliances with smaller countries like Laos, this year’s host, and Cambodia through aid and loans to divide the once consensus-driven bloc. Chinese pressure was blamed last month for a startling show of Asean discord when countries swiftly disowned a joint statement released by Malaysia after an Asean-China meeting.

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He said this is the answer to the growing public clamor for constitutional reform—a clamor reinforced by Duterte, who ran on a federalism platform. “There shall be an election of delegates to a Con-Con simultaneous with the holding of the October 2016 barangay elections,” Zubiri said. “We are proposing to constitute a Con-Con of exactly 100 delegates—one delegate from every province, or a total of 81 from all provinces, five delegates from the National Capital Region, plus 14 delegates to be appointed by the President,” Zubiri said. The Con-Con is expected to complete the draft of a proposed new Constitution within 36 months. Thereafter, the draft shall be submitted to the people for ratification in a plebiscite within 90 days. Retaining his post as chairperson of the Senate ways and means committee as the 17th Congress convenes today, Senator Juan Edgardo Angara is focusing on bills to ease the burden of Filipino taxpayers. Aside from income tax reform, Angara prioritizes the passage of bills that will promote taxpayer rights, and create an office that will help address

ment. We hope that the exceptions [of the legislative and judiciary] would not neutralize the potency of the FOI EO,” Reyes said. Reyes said Duterte would be the first Mindanawon to deliver the Sona. Bai Ali Indayla, Manilakbayan spokesperson, said the protesters brought with them the People’s Agenda for Change. Instead of streamers and placards that contain anti-government slogans, the agenda will be portrayed through six colorful murals that will be brought to the march, signifying the militant struggle for change, for freedom, democracy, and just and lasting peace, Indayla said. On July 18, some 3,000 Mindanao lumad, farmers, Moros, workers and activists embarked on a Manilakbayan (caravan) to take part in President Duterte’s first Sona on July 25. “This is the first time that a significant

the difficulties faced by Filipinos in paying taxes. “In my first three years as chairman of the Senate ways and means committee, we’ve received a lot of complaints on how difficult and cumbersome it is to register, file and pay taxes in our country. The government should first seek to help our taxpayers comply with our regulations rather than penalize them in the first instance,” Angara said. To help taxpayers especially the self-employed and professionals comply, he has filed a bill that seeks to establish a Taxpayer Assistance Service within the Bureau of Internal Revenue, composed of knowledgeable, competent and professional employees, to answer queries and guide taxpayers on how to efficiently and effectively deal with their tax-related problems and concerns. The Taxpayer Assistance Service bill is among Angara’s top priority measures, which also include bills that would lower individual income tax rates, and update and index the tax brackets to inflation. He has also filed a bill that will put in place a charter on taxpayer rights, and create a National Taxpayer Advocate Office that will promote their rights and protect them against harassment and corrupt practices of some officers and employees of the BIR and the Bureau of Customs.

contingent from Mindanao will be taking part in the Sona event in Manila,” Indayla said. “[Monday] marks the seventh day of our Manilakbayan and we are currently in Manila. With each day, hundreds more are expected to join our caravan. Most have come from the countryside, victims of continuing militarization and human rights violations. They hope that the Duterte government will hear their cries and address their grievances,” Indayla said. “This would also mark the ﬁrst time that a contingent from Mindanao, along with thousands from Bicol, Southern Tagalog, Central Luzon and Northern Luzon will be joining the Sona event,” Reyes said. “With hope in our hearts, we are now traveling across the country to witness the President’s ﬁrst Sona and appeal to him to hear our cry for change,” Indayla said.

someone who is willing to be the symbol of our common stand that “game ﬁxing” has no place in Congress. That there should be true and real minority.” “I don’t believe anyone has the monopoly over public servitude. It pains me to see my colleagues trying to undermine my bid for the minority leadership in tomorrow’s speakership race,” said Quezon Rep. Danilo Suarez of UNA, who is vying for the minority leadership. Lagman accused Alvarez and Suarez of engaging in an “unholy alliance” to control both the majority and the minority. “I have been a minority leader before and I have my track record to back me up,” Suarez said. “The blatant scheme of the “super majority” leaders to establish a servile minority in the House of Representatives is a patent betrayal of President Duterte’s call in his inaugural address for genuine change,” Lagman said. Lagman stressed that Duterte unequivocally articulated that “the erosion of the people’s trust in our country’s leaders” must end, and for change to be “permanent and signiﬁcant, [it] must start with us and in us.” “Perforce, the leadership of the “supermajority” must not

meddle with the formation of the House Minority and the election of the Minority Leader because this interference is a malevolent stratagem which both negates democratic processes and is counterproductive to genuine change,” Lagman said. He said undenied reports showed that the members of the majority coalition would be lent to a favored “minority” faction to install it as the “cooperative” minority. “Considering that those who now constitute the “supermajority” are known, the identities of the “loaned” conspirators will surface during the roll call vote for Speaker in the morning of July 25, 2016 wherein the eventual second placer will become the minority leader,” Lagman warned. After joining the majority coalition, he said, there was neither rhyme nor reason for one not to vote for the super majority’s candidate for Speaker, unless ordered to help orchestrate the election of a majority “minority leader.” “We call on media to expose this travesty and the personalities involved in the conspiracy. I hope no representative worth his salt would agree to be a parliamentary mercenary in establishing a company union in the House,” Lagman said.

on Saturday showed the section titled “South China Sea” as blank. The impasse in Vientiane has led to fears of a repeat of a 2012 summit in Cambodia where the bloc failed to issue a joint statement for the ﬁrst time in its history because of disagreements over the South China Sea. A failure by Asean to respond to the tribunal will do little to counter criticism that the bloc risks veering into obscurity as a talking shop with little real diplomatic clout. The UN tribunal ruling earlier this month infuriated Beijing but was a victory for the Philippines, which brought the case, and fellow Asean members Vietnam, Brunei and Malaysia who also claim parts of the South China Sea. The bloc’s paralysis on how to

respond comes as China ratchets up its rhetoric and military maneuvers in the sea whilst hitting out at the US which has backed rival claimants and argued for free passage through what it considers international waters. US Secretary of State John Kerry arrives in Laos on Monday morning. It is not yet clear whether he will meet his Chinese counterpart Wang Yi who is also attending. A State Department official over the weekend said the US would push for Asean to ease tensions over the South China Sea and find common ground. But Chinese Vice Foreign Minister Liu Zhenmin warned Asean against being influence by outside powers, a clear rebuke to Washington. AFP

Duterte’s...

ecutive branch holds from 60 to 70 percent of the government’s information. In an interview over radio dzBB on Sunday, Pimentel said this means one can get all the information hands on even without a law. Despite the EO, he said, Congress will push an FOI law to cover other branches of government. Senator Grace Poe, who actively pushed for the passage of the FOI in the Senate, considered the EO a milestone. She said she would await pronouncements on what exceptions there might be to the FOI measure. Also on Sunday, the College Editors Guild of the Philippines, represented by its national deputy secretary-general Jose Mari Callueng, welcomed the issuance of the FOI EO to ensure that public funds from the taxpayers’ money will be used properly. “The EO will be useful for antigraft advocates and journalists to scrutinize state transactions and look into deals cut by the executive branch,” Callueng said. The students are now allowed to open the books of accounts of state universities and colleges to monitor the collection of tuition and other school fees as well as other sources of income, he said. With Sandy Araneta and Rio N. Araja

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offices, and instrumentalities, government-owned or-controlled corporations, and state universities and colleges. All office will have an FOI manual to follow. The EO is immediately effective, Andanar said. FOI was a campaign promise of Duterte, who wants to make public documents and records more available to citizens to promote transparency in government. An FOI bill failed to muster enough support in the 16th Congress. Under Duterte’s EO, any person who requests access to information shall submit a written request to the government office concerned. The request shall state the name and contact information of the requesting party, provide valid proof of his identification or authorization, reasonably describe the information requested, and even the reason for or purpose of the request for information. The public official receiving the request will provide reasonable assistance, free of charge. Incoming Senate President Aquilino Pimentel III said the EO was good news because the ex-

“As people from Mindanao, we have lived through generations of being marginalized and oppressed, our lands plundered and our kin lost because of past governments that waged war against us,” she pointed out. The protesters even invited Duterte to attend the rally before the Sona. “We extend a warm invitation to President Duterte to be with the people who will march during the historic Sona rally. He is very much welcome to appear at and join the activities of Bayan, to listen to the plight of the people gathered outside Batasan, before he delivers his historic address,” Reyes said. Indayla said for the millions of oppressed Filipinos, the Sona is an occasion to highlight the true state of the nation—poverty and hunger, unemployment, landlessness, migration, human rights violations—and the desire for real and signiﬁcant social change.

“We will take to the streets to deliver the People’s Sona,” she said. She said while there is an alliance between the progressive movement and the Duterte administration, they would continue the struggle against anti-people policies and programs, most especially the continuing neoliberal economic policies detrimental to the people, rampant militarization in the countryside, human rights violations, the ﬁling of trumped-up charges against activists and progressives, the K-to-12 program, and the privatization of public hospitals. “We support the Duterte administration’s call for the resumption of peace talks between the government of the Republic of the Philippines and the National Democratic Front of the Philippines, respecting the previous signed agreements, and the promise to free political prisoners,” she said. Christine F. Herrera and Sandy Araneta

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Health care for 20m eyed T

HE Duterte administration will continue to give priority to Universal Health Care to cover the 20 million “poorest among the poor” and attain the sustainable development goal targets, Health Secretary Jean Paulyn Rosell-Ubial said Sunday.

Ubial said they had already built the country’s health sector reform agenda or the “Duterte Reform Health Agenda” around what had already been accomplished by the previous administration. “We’re focused on giving in-

surance coverage to the poorest Filipinos,” said Ubial who was assistant health secretary for health regulations since 2008 before she was appointed to head the Department of Health. She said Duterte had ordered her to improve the access to

public health by the 20 million poorest of the poor. She had committed to impart her knowledge and experience to realize the Duterte administration’s mission “All for Health towards Health for all,” and the national health objectives of financial risk protection, better health outcomes, responsiveness, access, efficiency and quality. Duterte has promised that Filipinos will be protected from health-related impoverishment, that they will attain the best possible health outcomes, and feel respected and

valued in all of their interaction with the health systems. The intermediate outcomes that are hoped to be achieved are the following: Filipinos are able to access services with the least financial, cultural and geographical barriers; they receive quality and compassionate services at par with global clinical and nonclinical standards, and they are able to get the most health from the investment resources. To achieve universal health insurance, Ubial said, her department’s Service Delivery Network should be boosted

source crisis now. We are the number one exporter of nurses and the number 2 exporter of doctors in the world next to India,” said Leachon as he stressed the number of Filipinos who died without seeing a health care worker (doctor, nurse, dentist, midwife) had surged to 66 percent from 45 percent. Leachon, also president of the Philippine College of Physicians Foundation Inc., cited the shortage of doctors particularly in the Visayas and Mindanao or in the poorest areas in the Philippines. Macon Ramos-Araneta

Audit urged to look into Lina’s intel fund ‘misuse’

Asean meet. Foreign Affairs Secretary Perfecto Yasay arrives in Vientiane to attend the plenary session of the Association of Southeast Asian Nations’ 49th annual ministerial meeting in Vientiane on July 24, 2016. Asean foreign ministers were to hold crunch talks in Laos on July 24 at a summit already overshadowed by infighting over Beijing’s sabre-rattling in the South China Sea. AFP

Piñol sets P11-b project in motion AGRICULTURE Secretary Emmanuel Piñol has approved the implementation of the P11.2-billion Jalaur River Multi-Purpose Project or JRMP that will play a crucial role in President Rodrigo Duterte’s promise to provide “free, sufficient and efficient” irrigation system to farmers. Outgoing Senate President Franklin Drilon said the project will provide uninterrupted irrigation to 32,000 hectares of farm land for free and benefit more than 25,000 farmers.

and the Triple Disease Burden Case addressed. By strengthening the delivery networks for those living in the far-flung areas, Ubial said, health care workers will reach out to the communities instead of the other way around. Anthony Leachon, independent director of PhilHealth, raised concern over the compensation of health care professionals that he claimed remained “pathetically low,” leading to the massive migration of doctors and nurses to greener pastures abroad. “We have human health re-

“This project, which will be the first large-scale reservoir dam outside of Luzon, will increase the irrigated lands in the region by around 10 percent and the annual regional rice production by around five percent,” Drilon said. “It will likewise expand the production areas of sugarcane and other crops.” Drilon said the project will augment agricultural production, stimulate agri-industrial activities, spur the local economy and the eco-tour-

ism industry, increase employment and contribute to the development of Iloilo and Western Visayas. The implementation of the JRMP was mandated under Republic Act No. 2651, which was enacted by Congress in 1960. Phase one of the project, which consisted of rehabilitating the irrigation systems with an area of 22,340 hectares, was completed in 1983. But Phase 2 was never implemented since 1988 due to lack of funds. Macon Ramos-Araneta

THE Commission on Audit has been urged to investigate how the Bureau of Customs spent its P17-million intelligence funds during the stewardship of former Commissioner Alberto Lina following concerns that the money might have been misused. “Where did he [Lina] bring the funds?” said a former Customs official whose term in Customs also expired when President Benigno Aquino III stepped down on June 30. The source, who requested anonymity, said that from 2015 to 2016 the agency was allocated P17 million in confidential funds, but Customs’ Intelligence Group only received P750,000 from Lina. The source said Lina should account for the funds because his failure to do so might indicate their misuse. In particular, the source called on the Commission on Audit to look into how the funds were disbursed for possible violation of laws and regulations. He asked how Lina’s office secured clearance from CoA for the programs using the intelligence funds. Despite the meager budget given to the intelligence group, the source said, the group achieved more than Lina’s office and their predecessors using the intelligence funds.

During his term, Lina faced conflict-ofinterest issues for releasing a shipment with false import permits that were handled by 2100 Customs Brokerage or 2100 CB, one of his companies. Lina also found himself in hot water when he transferred Customs’ Investigation Division chief, lawyer Leonardo Peralta, who was investigating the alleged Customs taxes and duties-related irregularities involving U-Freight, one of his firms, to the so-called “freezer” in the Finance department. For the past five months before Lina stepped down as Customs commissioner, Customs failed to meet its revenue collection target, translating into a shortfall of P43.25 billion. Records showed that in May alone, Customs recorded a deficit of P8.85 billion or about P295 million in losses per day. The bureau collected P154.86 billion in revenues in the five months of 2016, way below its target of P198.11 billion. Corruption in the bureau is being blamed for the poor revenue collection. Customs has always been perceived as one of the most corrupt government agencies. Rey E. Requejo

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Opinion

MONDAY, JULY 25, 2016

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Adelle Chua, Editor

EDITORIAL

Still vindictive after all these years

HEN Benigno Aquino III stepped down last month as the most vindictive president in recent memory, we were hopeful that the culture of political persecution that he engendered would ﬁnally come to a welldeserved end. But Aquino’s faithful attack dog, Ombudsman Conchita Carpio-Morales, seems hell-bent on keeping that culture alive, even into a new administration. Shortly after the Supreme Court voted 11-4 to throw out her plunder case against

former President Gloria Macapagal Arroyo, Morales publicly disagreed with the justices who found that she had been unable to furnish enough evidence of Mrs. Arroyo’s guilt. In that case, filed in 2012, the Ombudsman alleged that Mrs. Arroyo and other officials of the Philippine Charity Sweepstakes Office had conspired to acquire illgotten wealth worth P366 million by misappropriating intelligence funds from the agency. But the majority decision of the Supreme Court observed that the state failed

to establish a clear conspiracy among the coaccused, and could not show by any evidence that Mrs. Arroyo or her coaccused had personally beneﬁted from the alleged misappropriated funds. In brief, over almost four years while Mrs. Arroyo was stripped of her liberty and languished under hospital detention, the Ombudsman failed to produce a shred of evidence to show that the former president received a single centavo from the P366 million she was supposed to have stolen.

Worse, during this time, Mrs. Arroyo’s co-accused were able to post bail, while the anti-graft court refused to grant the former president the same right. This triggered accusations that her detention was politically motivated, and even drew condemnation from the United Nations Working Group on Arbitrary Detention, which described Mrs. Arroyo’s incarceration as arbitrary, illegal and violative of international law. Notwithstanding this, the Ombudsman would probably agree with dissenting Chief Justice Maria Lourdes Sereno that

personal beneﬁt need not be proven, and that all the state needed to show was that Mrs. Arroyo had P50 million in her assets—the minimum amount required to be considered plunder. The notion seems illogical, however, for failing to acknowledge that the P50 million could have come from any number of other, legitimate sources, and assumes guilt rather than proves it. Now, Morales says she will ﬁle a motion for reconsideration and investigate Mrs. Arroyo for the same offense—but for

years earlier than 2008. In so doing, the Ombudsman is clearly showing her weak hand, reaching further into the past after her ﬁrst case collapsed, in a vain effort to throw Mrs. Arroyo back into a detention that has been condemned as illegal. The move reeks of political vendetta. Certainly, the Ofﬁce of the Ombudsman has better things to do with the people’s money than to mount yet another futile chase of a former president’s political nemesis. BACK CHANNEL ALEJANDRO DEL ROSARIO

A tough role for FVR

PENSEES FR. RANHILIO CALLANGAN AQUINO AFTER over four years in hospital detention, former President Gloria Macapagal Arroyo walked away, a free woman, after the Supreme Court had sustained her demurrer to evidence that the Sandiganbayan had earlier rejected. For the purposes of the law, she has been acquitted of the charges. And under the guarantee of the Constitution against double-jeopardy she cannot be charged with the same offense, arising out of the same facts. Many lauded the decision. Others rued the fact that PGMA was now a free woman. I personally think Justice Luc Bersamin wrote a good ponencia—and that is exactly my lament. National attention has been riveted on the personalities—PGMA, the Ombudsman, the dissenters—that we have not given the ponencia the serious, studious attention that it deserves. Gloria Macapagal Arroyo was charged with having commit-

did that come from—the conclusion that PGMA was the mastermind? From the fact that she was President at the time—and that, immediately after the Sandiganbayan itself found that it was Chairman Uriarte who had “accumulated the CIF funds?” Plunder is committed when a public officer amasses, acquires or accumulates ill-gotten wealth. And the problem with both the Ombudsman and the Sandiganbayan was that they did not identify—in fact, could not identify—who the supposed “main plunderer” was. Nowhere was it alleged that GMA amassed, acquired or accumulated ill-gotten wealth. Others can conspire only with the main plunderer, and where no main plunderer is identified, with whom did all the others conspire? It is likewise not true that when the CIFs were requested, Uriarte submitted nothing more for the President’s “ok” than a bare request for fund release.

AFTER so much hemming and hawing, former President Fidel V. Ramos has accepted the job of special envoy to China. The question is, will he be able to convince China to stop harassing our fishermen from earning their livelihood and putting food on their table? China, after losing the arbitration case filed by Manila in The Hague, is behaving more like the bully that it is instead of being conciliatory, mending fences with smaller neighbors. Employing gunboat diplomacy, Chinese navy patrol boats drove away Filipino fishermen from sailing into the Bajo de Masinloc waters near the Scarborough Shoal, known as Panatag to the locals. With a rubber boat dispatched from a bigger coast guard vessel, the Chinese used a shrill siren and megaphone ordering the Filipino fishermen to stay away. The fishermen, fearing a violent altercation had no recourse but to sail away. We thought The Hague court ruling made clear that China has no right to impose its ninedash line, claiming nearly the entire South China Sea and the West Philippine Sea which is well within the country’s 200mile exclusive economic zone under the United Nations Convention on the Law of the Sea. This show of strength by the Chinese does not bode well for bilateral talks even if a former Philippine president is involved in the back-channel efforts. China appears willing to court international condemnation by claiming 90 percent of the resource-rich South China Sea. The Chinese claim is based on ancient historical maps which no doubt were drawn by the Chinese themselves. The Filipino fishermen brought along a local TV reporter to record the Chinese patrol boats harassment. This is not enough. To gain wider international exposure, the local fishermen should include a CNN cameraman so the film footage of Chinese bullying can be shown in major capitals. This would embarrass China and show the whole world its brazen defiance of an international court’s ruling rejecting their outrageous territorial claim. What made Ramos change

Turn to A5

Macapagal Arroyo v Sandiganbayan ted plunder by having conspired with the former chairman and members of the Philippine Charity Sweepstakes Office board in “raiding the public treasury” through the payment of “excessive” Confidential-Intelligence Funds. Chairman Rosario Uriarte formally requested the President for authority to draw CIFs, and PGMA at that time affixed a marginal note: “Ok.” That, charged the Ombudsman, is where the culpability of PGMA lay—and for that, she languished in hospital detention for almost the entire duration of the PNoy presidency! On conspiracy, the perspicacious Justice Luc taught that mere “agreement to cooperate is not enough to constitute one a party to a conspiracy, absent any active participation in the commission of the crime with a view to the furtherance of the common design and purpose.” No matter that one nods in approval, slaps his knees in glee at a das-

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tardly plan or is present at all planning meetings, he cannot be a conspirator until he performs at least one overt act in furtherance of the conspiracy. So what then was the overt act that made PGMA, to the mind of the Ombudsman, a conspirator? It was the marginal note: “Ok”—only that, and nothing more (quoth the Raven?). But why should approving a request for CIF be

Benjamin Philip G. Romualdez Former Chief Justice Renato S. Puno Anita F. Grefal Maan Ilustre Edgar M. Valmorida

an overt act in pursuance of the crime of plunder? It is exactly the job of the President to approve such requests. And that is where the 11 justices found the Sandiganbayan’s grave abuse of discretion. In fact, the unjustified, abusive and capricious “leap of reason” is evident from the Sandiganbayan’s resolution: “What accused Arroyo forgets is that although she did not actually cause any ‘overt act’ of illegally amassing CIF funds, her act of approving not only the additional CIF funds but also their releases, aided and abetted accused Uriarte’s successful raids on the public treasury. Accused Arroyo is therefore rightly charged as a co-conspirator of Uriarte who accumulated the CIF funds. Moreover, the performance of an over act is not indispensable when the conspirator is a mastermind.” And no one who has forsaken logic cannot but be taken aback by that glaring sophistry. Where

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Opinion The war on drugs

OUT OF THE BOX RITA LINDA V. JIMENO NO STONES are left unturned in the war against illegal drugs. This statement aptly describes the recent move of the Philippine National Police and the Department of Justice to deploy 320 trained Special Action Force Police Commandos to take over the security of the New Bilibid Prison. In the latest raid of the National Penitentiary, cash and methamphetamine (shabu), as well as internet facilities, cellphones, and pieces of evidence proving that illegal drugs are being manufactured in the Bilibid Prison, were seized. According to Justice Secretary Vitaliano Aguirre II, 75 percent of drug transactions in the country are happening in the NBP. This means that illegal drugs are manufactured in the NBP and somehow get out of its walls for trading outside while the rest of drugs sold are sourced mostly from China. It also means that the illegal trade is largely controlled by drug lords serving terms at the NBP. This latest move by the Justice Department and the PNP is a major game changer. The general concern that the pushers or the middlemen in the illegal trade are getting killed only to shield the top honchos from being pointed and identi-

fied is addressed. After all, it is becoming clear that President Duterte’s administration will take the war on drugs to as high as the links may reach. In recent days, a Chinese drug lord who reportedly owned laboratories producing illegal drugs was killed as he tried to escape and allegedly exchanged fire with police. It is expected, too, that an in-depth probe in the Bilibid drug cartel would yield names of government officials who have given protection to the drug lords in the national penitentiary. This brings to mind some nagging questions. How come the past administration—although uncovering drugs each time a raid was done in Bilibid under Oplan Galugad—did nothing to probe any deeper? We have read about bloodcurdling heinous crimes committed by alleged drug-crazed offenders. And yet, no investigation was ever made to establish any correlation between the rise in criminality and the prevalence of illegal drugs. *** While there is yet no official study linking drug use or the drug trade to crime, it is good to consider these figures. The number of reported index crimes—particularly murder,

In the past, no investigation was made to establish any correlation between the rise in criminality and the prevalence of illegal drugs.

homicide, robbery, theft, rape and carnapping—rose steadily from 2012, reaching a 300-percent increase until 2014. In the first six months of 2016, the crime rate in the Philippines was reported to have increased by 46 percent compared to the same period last year. In contrast, three days ago, the Philippine National Police reported a decrease in the rate of crimes, attributing it to the PNP’s intense anti-drug campaign. From 52,950 reported crimes in January, the number went down to 46,060 in June this year, the Director for Operations, Chief Supt. Camilo Cascolan, said. With the number of drug offenders who are arrested or killed or who surrender, people

should start feeling more safe as they walk the streets. The masseuse who regularly comes to our house, for instance, used to sleep over until daybreak for fear of commuting at night. Now, she goes home even late at night, feeling more secure in the thought that thousands of drug users and pushers have surrendered and are no longer plying their trade in the place where she lives. *** In President Rodrigo Roa Duterte’s first State of the Nation Address today, he has earned the right to be happy with a record 91-percent trust rating given him by the Filipino people in the last Social Weather Stations survey, as well as the significant changes he has put in place in less than a month since his inauguration as President. His war on drugs alone— especially if he can bring into the bar of justice all the big fish in the trade, regardless of their rank or position—guarantees him a place in the annals of Philippine history. Still, he must know that a great leader owes it to the people to stay safe so he can carry on the changes he promised and his visions for the country. Email: ritalindaj@gmail.com Visit: www.jimenolaw.com.ph

Trump’s opponents are helping him win By Clive Crook LISTENING to Donald Trump’s speech at the Republican convention, and scanning the reaction to it, I have the sinking feeling that he might win in November. He’s extremely effective at what he does. His critics, on the other hand, are not. The speech was purest populism: ninetenths grievances and empty promises, onetenth stupid policy ideas. Yet the formula is working—partly because the grievances are skillfully marshalled, and partly because his opponents in politics and the media (meaning almost everybody in those incestuously connected industries) are deeply confused in their response. Trump’s populism is potent because it unites the grievances of left and right. This was explicit in the speech when he called on Bernie Sanders’ supporters to back his campaign. With luck, they won’t, but the idea isn’t absurd. The left is fixated on the evils of trade and global capitalism, and Trump (unlike Hillary Clinton) taps those grievances as powerfully as Sanders. At the same time, Trump is as anti-Washington as you could wish, which thrills voters on the right. Importantly, Trump’s merging of grievances is more coherent than standard-issue liberalism or conservatism. The liberal position is that Washington has been cor-

Macapagal... From A4

rupted by crony capitalism, that the system is grinding the faces of ordinary working Americans … and that the answer is more Washington. The conservative position is that Washington has been corrupted by crony capitalism, that the system is grinding the faces of ordinary working Americans … and that the answer is to squeeze Social Security and cut taxes for the rich. Trump’s critics complain about his relentless invoking of crisis—despite agreeing with him that the system is collapsing. Conservatives keep telling us that the American project is in mortal danger, that liberty itself is at stake. Liberals keep telling us that global capitalism is wrecking everything that’s decent in society, that the US is institutionally racist, and America’s traditional values are so much hypocrisy. I think back to the rapturous reception accorded by the left in 2014 to Thomas Piketty’s “Capital,” which argued, you may recall, that capitalism is an engine of injustice, headed for self-destruction; progressives everywhere nodded wisely in agreement. Here’s what puzzles many of them today: Why does Trump have to be so negative? If the system is indeed broken, there’s something to be said for simply smashing it to pieces. Trump would appear to be the man for smashing things to pieces. The only sure antidote to Trump is

cannot say that it was amassed, accumulated or acquired! The logic is that straightforward. The predicate act of plunder— the manner that plunder was committed by PGMA—according to the Ombudsman, was “raid on the public treasury.” But for such a raid to take place, it is not the usual meaning of “raid” that controls, but what the hermeneutics of the term suggests, reading it in the context of other terms within the same plunder statute: It is required that the raider personally benefit from the raid—and of that, there was absolutely no proof. I am convinced that the most pernicious threat to the rule of law is the bigotry and prejudice of citizens. Immediately after the public received news of the Supreme Court’s decision, there were posts on social media decrying a failure of justice. But all that whining is really a failure of reason. They came even before serious heed was given the learned ponencia of Justice Luc. And as important as the fact that one who has been unjustly and vengefully deprived of her liberties for the past years is now free are the lessons on the law of plunder that the high court has taught the nation, as well as the illustration of just how complex reasoning in jurisprudence can be— and that it definitely is not for the “intellectually challenged!”

There were specific purposes stated: to determine whether donated medicines ended up in drug stores illegally; to look into the unwarranted or unofficial use of ambulances donated by the PCSO to beneficiaries; to investigate the unauthorized expenditures of endowment funds for charity patients and organizations and other irregularities. Without a doubt, what won a convincing majority of the Supreme Court to vote in favor of PGMA’s liberty was the fact that there was absolutely no evidence that either GMA or Benigno Aguas (another petitioner in the consolidated cases) or even Uriarte had amassed, accumulated or acquired ill-gotten wealth. And, quite clearly, that belongs to the essence of plunder. It is, in the words of Justice Luc, “the defining and definitive aspect of the criminal prosecution.” There is no more eloquent proof of this than the testimony of the Prosecution’s key witness, lawyer Aleta Tolentino who was asked by one of the justices of the Sandiganbayan: “Of course you do not know where is this ill-gotten wealth now?” and who candidly answered: “Yes, Your Honors. We do not know whether they saved it, squandered it, or what. We rannie_aquino@sanbeda.edu.ph do not know, Your Honor.” And rannie_aquino@csu.edu.ph if you do not know, then you rannie_aquino@yahoo.com

straightforward, competent centrism. This doesn’t seem like much to ask, and it’s presumably how Clinton will fight the campaign after next week’s convention. Even so, consider the weaknesses that Trump can exploit: Her wavering on trade policy, the reckless incompetence (to put it most kindly) of the e-mail scandal, her financial entanglements with Wall Street, her lifelong dedication to the profession of politics, her sense of entitlement to power. In so many ways, she stands for the very things that populists of left and right most detest about the US system of government. I shuddered when Trump said, “I am your voice.” Can Clinton say that with any credibility? Trump is a truly frightening prospect, but he’s demonstrated a capacity to channel people who feel ignored, let down and disrespected. This trait doesn’t come easily to his critics. Even now, on the left and on the right, Trump’s critics would rather celebrate the evils of Trumpism among themselves— ever more certain that Trump supporters can’t be worth talking to. That would be fine if Trump was standing at 20 percent in the polls. A poll conducted during the first few days of the convention showed him tied with Clinton in Ohio, a crucial swing state. If he moves up because of this speech, I’ll be dismayed—but no longer surprised. Bloomberg

A tough... From A4 his mind to accept the special envoy job? Duterte had already tapped former Interior Secretary Rafael Alunan when FVR seemed ambivalent about the offer. Alunan would have been just as good, if not better, than Ramos who is in his 80s. The former President himself said he might be a bit too old for the job. Alunan, on the other hand, has consistently spoken out against the Chinese encroachment into the West Philippine Sea. He has cited the loss of livelihood of Filipino fishermen. Alunan is articulate and would know how to negotiate with the Chinese. What must be laid at the negotiating table with the Chinese are certain conditions, or frame of reference if you will, that Beijing must be willing to concede. First, they must stop harassing Filipino fishermen and stopping them from sailing into traditional fishing grounds which used to be shared with the Chinese. Second, Beijing must be willing to dismantle the military installations on the artificial islands it built on the Spratlys when the Chinese reclaimed land and converted the rocks, reefs and shoals scattered in the South China Sea into garrisons complete with air strips and

berthing docks for their warships. The matter of joint exploration of the rich seabed can be discussed once China agrees to withdraw their military installations. These have escalated tension in the region and brought in the United States warships to ensure freedom of navigation in international sea lanes for commercial cargo. A fourth point is for China to accede to the Joint Declaration on the Conduct of Parties for the Peaceful Settlement in the South China Sea formulated by the Association of Southeast Asian Nations. The 10-nation Asean was about to issue a strong statement on China’s aggression in the SCS but had to withdraw it when it could not muster a consensus. Known Chinese allies Cambodia, Laos and Myanmar refused to go along with the majority. With the Philippine victory at The Hague, Vietnam, Malaysia and Brunei could file their own separate challenges to China’s sweeping maritime claim. It would be to the further isolation of China if these countries, including Taiwan, also win their cases at the Permanent Court of Arbitration in The Hague. Ignoring the UN court’s ruling would make China an international outcast, if not an outlaw which does not honor international laws, particularly Unclos to which it is a signatory.

MONDAY, JULY 25, 2016

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SO I SEE LITO BANAYO

Farewell to pomp TODAY’S State of the Nation Address by President Rodrigo Roa Duterte will be a departure from similar events past. There will be an absence of pomp. No more hundred-thousand-peso long gowns and a parade of “beauties” being asked inanities by otherwise intelligent media persons about their fashion designer. No more fifty-thousandpeso barongs made of the finest silk cocoon or whatever fabric the fashionistas label these. No more jockeying for who among the senators and congressmen would fetch the president from the Presidential Legislative Liaison Office room at the south wing and escort him to the cavernous plenary hall. So very simple. So very refreshing. So very Duterte. In one of the light moments during the pre-campaign, I recall a discussion about protocol, where I wondered why government officials, from the highest to the lowest, are so in love with pomp and circumstance (even if no one recognizes Elgar, the British composer), and why even barangay kagawads prefix their names with “honorable” and emblazon these in the walls of their barangay halls. Shouldn’t there be a book on protocol, I wondered? The present executive secretary, Bingbong Medialdea, remarked, “Oo nga, ano? Ang yayabang kasi natin, lahat na lang honorable.” On Wednesday evening, we were seated together at the birthday dinner of a common friend from Cebu, along with Cabinet secretaries Vit Aguirre and Art Tugade and Pagcor president Fred Lim. Secretary Medialdea showed me from his cellphone a memorandum order just issued by the Palace, which forbade from hereon, addressing the President as “His Excellency,” and other government officials as “Honorable.” Wow! Change has indeed come. I remember when I was the general manager of the Philippine Tourism Authority. As head of a GOCC, the proper title for the office-holder was a simple “Mr.” But everyone who wrote me would address with an “honorable” prefix. In one of our meetings, a career official said that is why she preferred to be Usec instead of PTA GM. At least she is addressed “Honorable,” she claimed. A week or so later, President Joseph Estrada appointed me to a concurrent position, which was Presidential Adviser on Political Affairs with rank of Cabinet. The female official and I shared an elevator ride shortly after, and then she said, so primly, “O, ‘honorable’ na rin pala ang address sa inyo, sir!” What the f--k, I thought. Being “honorable” was also expensive. When we were sworn in June 30, 1998 at the ceremonial hall of Malacañang, each of us were allotted a circular table for eight or 10, so our families could witness our being sworn to office. A sumptuous lunch was served. But we had to be properly attired. This meant formal dresses for the ladies. And us husbands/fathers had to pay. In stark contrast, the inauguration of Rodrigo Duterte was theatersitting in the same hall, but with no frills. These days, you can enter Malacañang without being in a barong or business suit. A friend of mine was asked recently to meet the ES in his office. He came in a long-sleeved barong to face the executive secretary, who was just wearing a checkered polo shirt. As he left the office and sashayed into the still-unfurnished ground floor lobby, he saw the President himself in the upper floor, wearing a simple corduroy shirt, sleeves rolled, over denim trousers. Recounting what he thought was rather surreal (having been in government before as well) my friend exclaimed, “wala nang negosyo si Paul Cabral and Liz Uy sa gobyerno ni Digong!” We have a President who wants to identify with the ordinary folks in every way possible, from speech to demeanor to apparel. “I am just a government employee,” he keeps reminding us, “because the Filipino people are our employers.” *** While Singapore is not exactly in my list of favorite cities in the world, I always admire the sleek efficiency and the antiseptic cleanliness of this city state which is just about the size of Quezon City and Marikina put together. Apart from an efficient mass transport system which allows citizens to live in neighboring Johore Bahru, Malaysia and commute daily to and from Singapore, they have a vehicle ownership system that puts a limit to the number of cars residents could own. There is a “certificate of entitlement” or COE which one has to have (and it costs thousands of Singapore dollars to have one) before one could own a car. It is like a “torrens title” that you could sell or transfer as you please. This makes owning a car more expensive. Parking is a problem, and since chauffeurs are a premium, even the well-heeled have to take a taxi or ride public conveyances to eat in a restaurant in central Singapore. Almost every building has ample parking spaces, but the cost of parking is quite prohibitive, charged to one’s RFID-installed billing system. More so the fines for illegal parking. In Metro Manila, thanks to low-cost motor vehicle financing, almost every family scrimps to have a car, no thanks to a decrepit public transportation system. And where do they park? Why, in front of their houses or apartments on narrow streets, taking up a good part of the road such that if a fire should occur, fire trucks could not pass. While Art Tugade moves heaven and earth to install the muchneeded trains and other public transport systems, maybe it is time to consider Singapore’s certificates of entitlement, and ban parking in narrow streets, giving business to owners of vacant lots who just might invest even in multi-level steel parking contraptions. I live in a Manila neighborhood once genteel, but having eschewed moving to the suburbs or living in a high-rise, I now sometimes regret the decision. Our once-nice community has become the locus of several high-rise condominiums populated by students of three “exclusive” because expensive schools, as well as their transient visiting families. And our streets have become huge parking lots for these students who come to school in cars their doting parents bought for them. Even narrow streets have been “occupied” by barangay tanods who make a living out of being parking attendants, while city hall makes a hefty sum out of parking tickets. If I had an empty lot, I could make a tidy fortune out of a two or three-level parking enterprise, provided street parking is disallowed. Ugh. So many cars with streets so narrow that the metropolis has burst over several times its carrying capacity. Add to this that god-damned number-coding scheme that has only increased the number of motor vehicles in our cities. It’s a tough job for the hardy Art Tugade and whoever will be named Metro Manila Development Authority chairperson as well as the mayors who have to pander to their voters. This is a chicken-and-egg riddle between providing cost-efficient public transport systems and prescribing difficult disciplinary measures.

Sports

MONDAY, JULY 25, 2016 sports@thestandard.com.ph

Local imports to boost Foton squad FOUR veteran players from different Philippine Super Liga teams have been added to the FotonPilipinas team that will represent the country in the coming Asian Women’s Club Championship. They are Aby Marano, Jovelyn Gonzaga, Rachel Ann Daquis and Jen Reyes, who are expected to be steadying influences on the team as it faces tough competition in the tournament featuring top women’s club volleyball teams. “We are taking our participation here very seriously and we believe that the addition of these four veterans will be a big help for our players, considering all four have played in previous editions of the tournament,” said team manager Alvin Lu, who is confident that the entry of last year’s Grand Prix MVP Lyndsay Stalzer and Ariel Usher to the team will bolster further the chances of the Tornadoes to make it to the Top 4. “I am 70% sure that we will achieve our objective.” Foton-Pilipinas head coach Vilet Ponce de Leon said: “Their international playing experience will certainly help our young players in coping with the pressure of playing against strong foreign teams. For me, that would be the biggest contribution of Marano, Daquis, Gonzaga, and Reyes.” She added that the four reinforcements also strengthened the team in their respective playing positions. “I think this is a competitive team and the fact that our imports are already familiar practically with all of us will be a big factor. We had no problems adjusting to our Foton teammates. We were all instantly comfortable playing with one another. It is more on adjusting to the plays but not that difficult too,” said Marano. Gonzaga, meanwhile, believes the biggest challenge for the team is the height factor, plus the fact that “they have a more solid foundation for their volleyball program because of the long time that the other countries have been developing the sport.” Daquis was very clear on her role. “I will be the “ate” to the other players inside and outside the court and because we have played a lot before with the foreign players, we will share with our teammates what we know of the opponents.” Reyes, the smallest player on the line-up, will be playing a big role on defense. “I am a defense specialist and that is where I will contribute.” Jaja Santiago summed up her and the rest of her Foton teammates’ response to the entry of the four. “Madali silang makisama at pakisamahan, at alam naming lahat na malaki maitutulong nila sa team.” From Sept. 3 to 11, all roads for local volleyball fabs will lead to the Alonte gym in Binan, Laguna, where the tournament will be held.

Star winless no more By Jeric Lopez Games Today (Smart Araneta Coliseum) 4:15 p.m. - Mahindra vs. San Miguel 7 p.m. - Barangay Ginebra vs. NLEX

IT was RR Garcia’s turn, this time. The rising spitﬁre didn’t shy away from the spotlight, scoring a team-high 26 points to lead Star to a hard-fought 105-102 squeaker over GlobalPort as the Hotshots ﬁnally tasted a win in the 2016 Philippine Basketball Association Governors’ Cup at the Smart Araneta Coliseum Sunday.

Republic of the Philippines ENERGY REGULATORY COMMISSION San Miguel Avenue, Pasig City IN THE MATTER OF THE APPLICATION FOR APPROVAL OF THE POWER PURCHASE AND SALE AGREEMENT (PPSA), AS AMENDED, BETWEEN TARLAC II ELECTRIC COOPERATIVE, INC. AND GNPOWER LTD. CO. WITH PRAYER FOR CONFIDENTIAL TREATMENT OF INFORMATION ERCCASENO.2016-024RC AND THE ISSUANCE OF PROVISIONAL AUTHORITY,

11.

TARLAC II ELECTRIC COOPERATIVE, INC (TARELCO II AND GNPOWER LTD. CO. (GNPOWER)

On 16 March 2016, Tarlac II Electric Cooperative, Inc. (TARELCO II) and GNPower Ltd. Co. (GNPower) filed their joint Application for approval of their Power Purchase and Sale Agreement (PPSA), with prayer for confidential treatment of information and issuance of provisional authority. In support of said Application, TARELCO II and GNPower alleged, among others, the following:

Applicant GNPOWER is a duly registered limited partnership existing under Philippine laws. It is engaged in the business of developing, constructing, operating, and owning power generation facilities. Its principal office is at 28th Floor, Orient Square Building, Don Francisco Ortigas Jr. Road, Ortigas Center, Pasig City. Copies of its Certification of Registration issued by the Securities and Exchange Commission (SEC) and Amended Articles of Partnership are attached as Annexes “B” and “B1”, respectively, of the Application;

Applicants may be served with orders, notices, and other legal processes of the Commission through its counsels of record;

Pursuant to Sections 25, 43 (u) and 45 (b) of Republic Act No. 9136, otherwise known as the Electric Power Industry Reform Act of 2001 (EPIRA) and its Implementing Rules and Regulations, this Application is submitted to the Commission for its due consideration and approval of the Power Purchase and Sale Agreement (PPSA), as amended, executed by and between Applicants TARELCO II and GNPOWER;

12.

On 10 March 2014, CLECAFLAG declared GNPOWER as the winning proponent, evidenced by the attached copy of CLECAFLAG’s letter of the same date as Annex “E” of the Application. GNPOWER shall, then, execute individual power supply agreements with the twelve member-ECs;

13.

Copies of relevant documents used in the competitive selection process conducted by CLECAFLAG to bid out the forward power needs of its member-ECs, particularly, for the supply of 300 MW of aggregated base load power, are attached to the Application as follows:

ANNEX “F” “F-1” “F-2” “F-3” “F-4”

TARELCO II, along with eleven other electric cooperatives1 in the Central Luzon region, created Central Luzon Electric Cooperative Association — First Luzon Aggregation Group, Inc. (CLECAFLAG), a corporation duly registered with the SEC, as evidenced by the attached copy of its Certificate of Registration, as Annex “C” of the Application;

CLECAFLAG, owned and controlled by twelve (12) member-Electric Cooperatives (“ECs”), was formed to coordinate and manage the administration of power supply process including joint planning and selection process, contracting of power of the member-ECs to ensure sustainable power supply and reduced electricity rates in the region;

Accordingly, in 2013, CLECAFLAG conducted a competitive selection process to bid out the forward power needs of its member-ECs, particularly, for the supply of 300 MW of aggregated base load power from new generating capacity/ies for twenty (20) years starting late 2018, subject to the Commission’s approval process and the signing by all the member-ECs of the PPSA, as per the award notice and a Memorandum of Agreement (MOA), to meet the growing demand of the member-ECs;

During the negotiations conducted between GNPOWER and each of the twelve (12) member-ECs for the finalization of a PPSA and the final review of the latter's projected base load electricity demand, it had come to their attention that the twelve (12) member-ECs would not be able to procure 300 MW of aggregated base load power in the first Contract Year, as committed in the transaction;

15.

As a result, GNPOWER and the member-ECs negotiated to have an interim supply period, which is estimated to commence on December 2018 subject to the ERC's approval process;

16.

On 10 June 2014, .GNPOWER executed with each of TARELCO II and nine (9) other member-ECs. The PPSA between GNPOWER and TARELCO II is attached as Annex "G"2 of the Application; GNPOWER agreed to extend the negotiations ,with CLECAFLAG and its two member-ECs that have not yet signed their respective PPSAs to allow CLECAFLAG to significantly fulfill its obligation under the MOA;

17.

18.

GNPOWER offered to assist CLECAFLAG and its member-ECs in fulfilling their obligation to cause the signing of an aggregated 300MW PPSA as a requirement for GNPOWER's project milestones, and on 18 September 2015, GNPOWER, in its appreciation to TARELCO II and other member-ECs for being early supporters of the GNPOWER project, executed an amendment3 to the PPSA reducing the rate indicated in the PPSA in favor of TARELCO II. ABSTRACT OF THE PPSA, AS AMENDED, AND OTHER RELATED INFORMATION 19. The following are the salient features of the subject PPSA, as amended: A.

In the selection of a new power provider, CLECAFLAG employed extensive evaluation parameters and procedures, and with all twelve member-ECs further represented through their own Technical Working Groups. The selection process was conducted in two stages, including a Swiss Challenge, as follows: a.

The first stage is the selection of a Generation Company (“GenCo”) that will submit a Firm Proposal (the “Firm Proponent”) for the aggregated base load to be contracted by the member-ECs. The GenCo shall be selected based on the committed price cap, among other key contract terms. CLECAFLAG’s proposed price cap was PhP4.09/kWh or PhP4.5808/kWh, inclusive of VAT. Nonetheless, the evaluation of the price cap shall be based on expected levelized price for the duration of the contract; and The second stage is the announcement of the Firm Proposal, or that offer of the GenCo which submitted the lowest proposed committed price cap. The Firm Proposal shall then be subjected to “Swiss Challenge” by other GenCos who were declared qualified during the first stage. The Original Firm Proponent has the right to match the proposal of the Challenger;

On the first stage of the selection process, three GenCos participated by submitting their respective bids, namely: GNPOWER, AES Philippines (AES), and San Miguel Energy Corporation (SMEC);

10.

Based on the ranking determined through CLECAFLAG’s evaluation using a specified set

DOCUMENT Invitation to participate in the power supply aggregation and contracting of CLECAFLAG Notice of Eligibility to participate in the bidding sent to GNPOWER Transaction Information Memorandum Supplemental Transaction Information Memorandum detailing the Evaluation Framework (i.e., terms of reference) Evaluation Result

14.

STATEMENT OF FACTS 5.

of bid parameters and references in the transaction documents, GNPOWER was declared as the Firm Proponent, while AES, submitting a bid that was PhP0.23/kWh greater than that of GNPOWER, was the Challenger who had an opportunity to counter GNPOWER’s proposal through Swiss Challenge. Meanwhile, SMEC was disqualified for submitting a price offer that is higher than CLECAFLAG’s proposed price cap of PhP4.09/kWh; On 8 November 2013, CLECAFLAG and GNPOWER entered into a Memorandum of Agreement (MOA), Annex “D” of the Application, with the individual member-ECs as witnesses, to define each of CLECAFLAG and GNPOWER’s (as the Firm Proponent) rights and obligations under transaction, such as the following, among others:

Year 1 2 3 4 5 6 7 8 9 10

Term of Agreement. The PPSA, as amended, shall be effective at the date of its execution, and shall terminate after 240 months from the date specified in the Commencement Notice4 defined as the written notice that indicates the commencement of the first delivery of electric capacity at full commercial operation of the first unit of GNPOWER's facility5. Source of Supply. GNPOWER shall make available, sell, and deliver or cause to be delivered to TARELCO II the Product6 at the Delivery Point, whether sourced from GNPOWER's facility or from other electricity generators, including the Wholesale Electricity Spot Market (WESM). GNPOWER's facility shall be constructed and operated in Mariveles, Bataan. The Technical Details of the Project is attached to the Application as Annex "I"; Contracted Capacity. TARELCO II is contractually entitled to receive from GNPOWER, at any hour, subject to GNPOWER's Available Capacity (as defined in the PPSA, as amended) for such hour, the Contracted Capacity (as defined in the PPSA, as amended), as follows: Contracted Capacity 19,000 21,000 22,000 22,000 22,000 22,000 23,000 24,000 25,000 38,000

outside, lightning struck the Big Dome’s electrical facility, causing a temporary shutdown of the lightings on the court. It was 71-all when the game was interrupted and it was resumed after around 20 minutes of stop time. The scores: STAR 105 - Garcia 26, Blakely 24, Simon 15, Barroca 11, Pingris 8, Maliksi 7, Sangalang 6, Mallari 4, Pascual 2, Reavis 2, Yap 0. GLOBALPORT 102 - Glover 27, Romeo 27, Pringle 20, Yeo 11, Taha 10, Semerad 3, Dehesa 2, Kramer 2, Mamaril 0. Quarters: 19-22, 42-44, 71-71, 92-92, 105-102

11 12 13 14 15 16 17 18 19 20

38,000 38,000 38,000 38,000 38,000 38,000 38,000 38,000 38,000 38,000 C.1. Option to Increase Contracted Capacity. Section 2.7 of the PPSA, as Capacity amended, provides that upon written notice to GNPOWER, TARELCO II may, upon approval by GNPOWER, increase its Contracted Capacity which increase shall be subjected to the same terms and conditions contained in the PPSA, as amended. In considering whether or not to approve the request for increase in Contracted Capacity, GNPOWER may take into consideration the capacity available for such increase from its facility in its sole opinion, and/or the willingness of any other buyer to assign its Contracted Capacity. Such increase in Contracted Capacity shall be effective on the date GNPOWER gives its written approval. D. Contract Price. The Contract Price shall be composed of Capacity Price and Energy Price. D.1 The Capacity Fee is the component of the Contract Price allocated to pay for the cost, as well as the operations and maintenance of the power plant and is designated as the Capacity Fee in Schedule 1 of the PPSA, as amended, as such may be adjusted from time to time based on GNPOWER's Capacity Factor. The corresponding Capacity Fee for a given Capacity Utilization Factor is set forth in the table below:

CLECAFLAG shall allow only AES to participate in the Swiss Challenge of GNPOWER’s Firm Proposal (Section 4.6); b. CLECAFLAG shall immediately award the PPSA with finality to GNPOWER in any of the following circumstances xxx (a) AES’ failure to submit Letter of Intent to Challenge (Section 4.7); and c. After awarding the PPSA with finality to GNPOWER, CLECAFLAG shall enter into a PPSA with GNPOWER and/or cause its member-ECs to enter into a PPSA. AES failed to submit a counter-proposal to match GNPOWER’s Firm Proposal.

NOTICE OF PUBLIC HEARING TO ALL INTERESTED PARTIES:

Applicant TARELCO II is a non-stock, non-profit electric cooperative organized under Philippine laws, with principal office address at San Nicolas, Concepcion, Tarlac. It is authorized to distribute and provide electricity services to its member consumers in the Municipalities of Bamban, Capas, Concepcion, and La Paz, all in the Province of Tarlac, and the Municipality of Zaragoza in the Province of Nueva Ecija (hereinafter, “Franchise Area”). A copy of TARELCO II’s Certificate of Franchise is attached to the Application as Annex “A” and forms an integral part thereof;

Phoenix. It was also Garcia, who sent the seesaw game into overtime with his game-tying ﬂoater with 3.7 seconds left to make it 92-all. Terrence Romeo then fumbled the ball in the ensuing play and wasn’t even able to put up a shot, enabling ﬁve more minutes of action. Romeo and Garcia, former teammates at FEU, went toe-to-toe in a shootout all game long. Romero had the game-high of 27 points, but it was Garcia who had the last laugh as he and the Hotshots came away with the much needed victory. Due to the strong thunderstorm

Applicants. x---------------------------------------------x

contested game that saw 20 lead changes and 17 deadlocks. “Mas masarap itong panalo kesa sa talo,” said Star coach Jason Webb, who expressed a huge sigh of relief. “He (Garcia) got his conﬁdence going. He really looked good.” “Binigay ko yung best ko talaga para dito sa unang panalo namin na ‘to,” said Garcia, who shot an incredible 11-of-13 from the ﬁeld. Star improved to 1-2 and is in the running in the middle of the pack. On the other hand, GlobalPort remained without a win and fell further down to 0-3, now tied at the cellar with

Garcia, after ﬁshing a crucial and game-turning deliberate foul from Stanley Pringle, calmly sank the two game-winning free throws with 8.4 seconds left in extension to give Star a vital 104102 edge. Still with ball possession, Star went to Mark Barroca and he was fouled, splitting his charities to make it 105-102 with seven seconds left, leaving GlobalPort one last shot to try and force another overtime. However, the Batang Pier’s last possession went astray with Joseph Yeo shooting a triple that hit all air, allowing Star to escape with a win in the highly

Capacity Utilization Factor (%) 100% 99% 98% 97% 96% 95% 94% 93% 92% 91% 90% 89% 88% 87% 86% 85% 84% 83% 82% 81% 80% 79% 78% 77% 76% 75% 74% 73% 72% 71% 70% 69% 68% 67% 66% 65%

Capacity Fee ($/kWh) 0.0466 0.0470 0.0474 0.0477 0.0481 0.0485 0.0489 0.0493 0.0497 0.0502 0.0506 0.0510 0.0515 0.0519 0.0524 0.0529 0.0534 0.0539 0.0544 0.0549 0.0555 0.0561 0.0567 0.0573 0.0579 0.0585 0.0592 0.0599 0.0606 0.0613 0.0621 0.0629 0.0637 0.0645 0.0653 0.0662

In case the Capacity Utilization Factor is not a whole number, the Capacity Fee shall be computed using the formula below: Capacity Fee = - 0.10773 x (CUF)3 + 0.33975 x (CUF)2 0.3932 x (CUF) + 0.2078 Where: Capacity Fee = is the Capacity Fee in /kWh CUF

= is the Capacity Utilization Factor between 65% and 100%, provided that if the actual CUF is below 65% (the "Minimum Capacity Utilization Factor"), the Capacity Price shall be calculated based on the Capacity Fee and quantity associated with the Minimum Capacity Utilization Factor. The Capacity Utilization Factor (CUF) shall be computed as follows: Capacity Utilization = Q Factor (CF) CC x (HT – EHTO) Where: Q CC HT EHTO D.2

= Quantity of kWh = Contracted Capacity, in kW, as set forth in Schedule 1 = Total number of hours in such Billing Period = The sum of the duration, in Equivalent Hours, of Scheduled Outages and Unscheduled Outages in such Billing Period The Energy Fee is the component of the Contract Price allocated to pay for the coal, including Government Charges, designated as the Energy Fee in Schedule 1 of the PPSA, as amended, as adjusted from time to time due to changes in the delivered price of coal. The Energy Fee shall be computed in accordance

Sports

MONDAY, JULY 25, 2016 sports@thestandard.com.ph

Arellano U jrs try to stay at the top A

NAVY WINS. Pao Soriano of Standard Insurance Navy scores against Amy’s Lourdes Clemente and Necelle Gual Sunday in the 2016 Philippine Superliga All-Filipino Conference women’s volleyball tournament.The Corvettes won 25-17, 25-9, 25-14. Roman Prospero with the following formula: Energy Fee = IEF x Where: IEF CIFn CIFo

CIFn CIF0

= Initial Energy Fee equal to $0.0370/kWh = CIF Cost of Fuel for Billing Period n

= Base CIF Cost of Fuel equal to $11.5573/ million kCal E. Prompt Payment Discount. Section 4.3 (c) of the PPSA, as amended, provides that if TARELCO II pays the invoice in full within ten (10) days of receipt from GNPOWER, TARELCO II shall receive a credit on the next subsequent bill equal to $ 0.0 012/kWh multiplied by the actual quantity of the Product actually delivered set forth in such invoice for the Billing Period for which the credit was earned. F. Capacity Utilization Discount. Section 4.3 (d) of the PPSA, as amended, provides that if TARELCO II pays the invoice amount in full in accordance with GNPOWER's invoice instruction on or before the twenty-fifth (25th) day of the succeeding calendar month from the relevant Billing Period and TARELCO II's CUF is greater than or equal to 65%, aside from the Prompt Payment Discount, TARELCO II shall receive a credit on the next subsequent bill equal to 2.8% of the Energy Fee multiplied by the actual quantity of the Product actually delivered set forth in such invoice for the Billing Period for which the credit was earned. G. Scheduled and Unscheduled Outage. Pursuant to Section 2.2, GNPOWER is allowed Scheduled Outage not to exceed five hundred forty (540) Equivalent Hours for each Contract Year, during which times reduced or no deliveries will be available to TARELCO II. Likewise, GNPOWER is allowed Unscheduled Outage of five hundred forty (540) Equivalent Hours for each Contract Year during which times reduced or no deliveries will be available to the Buyer; COMMERCIAL ADVANTAGES OF THE PROPOSED CONTRACT PRICE AND IMPACT ON TARELCO II'S OVERALL RATES 20. The PPSA, as amended, was executed between TARELCO II and GNPOWER to respond to the growing power demand of TARELCO II's member consumers, which its current providers may not be able to meet and supply; 21. Currently, TARELCO II receives a total of 37 MW from its existing suppliers, out of its requirement of 45 MW. With an annual average growth of 5%, TARELCO II's peak demand is forecasted to increase to 54 MW by 2020. Copies of TARELCO II's Supply-Demand from 2013 to 2022, Historical and Forecasted Data, and Average Daily Load Curve, are attached to the Application and made an integral parts thereof as Annexes "J" to "J-2"; 22. The additional supply from GNPOWER assures the member-consumers of TARELCO II of adequate and reliable power service, thus, less likelihood of power outages and brownouts; 23. TARELCO II conducted a rate impact analysis which resulted in a lower effective rate of PhP4.0836/kWh with supply coming from GNPOWER, compared to a rate of PhP7.1227/kWh without GNPOWER, as follows: Allocation of energy requirements and the combined generation rate from TARELCO II's current power suppliers: LOAD BCQ/WESM FACTOR, PURCHASED, % KWH

NAME OF SUPPLIER

GMCP

22,000

100%

16,060,000

ANNEX

ENERGY COST, Php

EFFECTIVE RATE, Php/ KWH

65,910,240.00

4.1040

SCPC

15,000

100%

10,950,000

50,314,155.00

4.5949

WESM

19,000

100%

13,870,000

174,949,870.85

12.6135

TOTAL

56,000

100%

40,880,000

291,174,265.85

7.1227

Allocation of energy requirements and the combined generation rate from TARELCO ifs current power suppliers with GNPOWER:

NAME OF SUPPLIER

GMCP SCPC GNPOWER TOTAL

22,000 15,000 19,000 56,000

24.

25.

ANNEX “K” “L”

“M” “N” “O” “P” “Q” “R” “S” “T” “U”

LOAD BCQ/WESM FACTOR, PURCHASED, % KWH 100% 100% 100% 100%

ENERGY COST, Php

16,060,000 65,910,240.00 10,950,000 50,314,155.00 13,870,000 50,711,494.00 40,880,000 166,935,889.00

EFFECTIVE RATE, Php/ KWH 4.1040 4.5949 3.6562 4.0836

Aside from the lower generation cost of the power supply from GNPOWER, TARELCO II is also entitled to Prompt Payment Discount and Capacity Utilization Discount, if conditions are met, which makes even more competitive the proposed rate contained in the subject PPSA, as amended; In support of the instant Application for the approval of the PPSA, as amended, Applicants further attach the following documents to form integral parts hereof, to wit: DOCUMENTS Details of the PPSA, as amended GNPOWER’s Financial Assumptions including Project Cost, Sources of Financing, Debt-Equity Ratio, WACC computation, and Projected Equity IRR Breakdown of Costs including Engineering, Procurement and Construction (EPC) Costs, Operations and Maintenance (O&M) Costs, and Projected Fuel Costs Projected Balance Sheet, Income Statement, Revenue and Cash Flow Details of Fuel Procurement Rate Impact Analysis GNPOWER’s 2014 Audited Financial Statement GNPOWER’s Transmission Plan for the Dinginin Project Certificate of Endorsement from DOE that the Project is included in the DOE’s Power Development Plan TARELCO II’s Distribution Development Plan TARELCO II’s Contracted Demand for 25 years

RELLANO University seeks to keep its grip on the solo lead, while San Beda tries to keep stay close as the two tackle Lyceum of the Philippines University and San Sebastian, respectively, today in the 92nd NCAA juniors’ basketball tournament at The Arena in San Juan City.

DOCUMENTS

GNPOWER’s General Partners’ Certificate on, among others, the authority to execute, ratify, “V” accede, perform and deliver the PPSA with TARELCO II, and the designation of duly authorized representatives for said purpose TARELCO II’s Board Resolution with Secretary’s Certificate authorizing the approval and signing of “W” the PPSA, designating representatives thereto and authorizing the filing of an Application with the ERC 26. Applicants TARELCO II and GNPOWER reserve the right to submit other documents, either in the course of the hearing or as may be required by the Commission. COMPLIANCE WITH PRE-FILING REQUIREMENTS Applicants manifest compliance with the pre-filing requirements mandated under the Implementing Rules and Regulations of the EPIRA and Rule 6 of the ERC Rules of Practice and Procedure, to be established by the following: a. Certifications acknowledging receipt of the Application with annexes issued by the Legislative Bodies of the Province of Tarlac, the Municipality of Concepcion, and the City of Pasig, to be appended as Annexes "X", "Y", and "Z", respectively, of the Application; b. Affidavit of Publication stating that the Application was published in a newspaper of general circulation within Applicants' Franchise Area and/ or area of its principal operation, to be appended as Annex "AA" of the Application; and c. Complete newspaper issue where the Application was published, to be appended to the Application as Annex "AA-1", and the relevant page thereof where the Application appeared, as Annex "AA- 2"; MOTION FOR CONFIDENTIAL TREATMENT OF ANNEXES "F-4", "M", "N", and "O" 28. Under Rule 4 of the ERC Rules of Practice and Procedure, a party to any proceeding before the Commission may request that certain information not be disclosed and be treated as confidential, by describing with particularity the information to be treated as confidential, specifying the ground for the claim of confidential treatment of the information and, if applicable, specifying the period during which the information must not be disclosed; 29. TARELCO II requests for the confidential treatment of Annex "F-4" of the Application, consisting of the Evaluation Result. This annex shows the individual offers of the bidders which participated in the competitive selection process (CSP). The members of CLECAFLAG, TARELCO II included, are bound by their undertaking to secure and keep in confidence the offers and the proposed terms of supply, so as not to prejudice or pre-empt any future CSPs in which these bidders will participate. Otherwise, TARELCO II and the rest of the members of CLECAFLAG may be held liable for damages for breach of confidentiality, and eventually, risk their good relations with the suppliers concerned; 30. GNPOWER moves for the confidential treatment of Annexes "L"7, "M"8, "N"9, and "O"10 of the Application. These annexes, exclusively owned by GNPOWER, contain documents which are considered part of its business and trade secrets. As such, GNPOWER has the sole proprietary interest and will be unduly prejudiced should they be disclosed to the public; 31. These annexes contain numbers, data, formula, methodology, and calculations involving valuable and sensitive commercial, financial and technological information reflecting GNPOWER's business operations and financial trade secrets. Therefore, the disclosure of GNPOWER's confidential, proprietary, and private information included in the aforesaid annexes should be protected from public dissemination. Otherwise, such information can be illegally and unfairly utilized by business competitors who may use the same for their own private gain and to the irreparable prejudice of GNPOWER. Negotiations with prospective customers may also be affected; 32. The information contained in Annexes "L", "M", "N", and "O", constitute "trade secrets", for which GNPOWER has actual and valuable proprietary interest. As explained by the Supreme Court, a trade secret may consist of any formula, pattern, device, or compilation of information that is used in one's business and gives the employer an opportunity to obtain an advantage over competitors who do not possess the information11. It is indubitable that trade secrets constitute proprietary rights and jurisprudence has consistently acknowledged the private character of trade secrets12. Further, as ruled in Garcia vs. Board of Investments13 , trade secrets and confidential, commercial and financial information are exempt from public scrutiny; 33. It submits that the aforementioned Annexes must be accorded confidential treatment. As such, they are to be used exclusively by the Commission and for the sole purpose of evaluating this Application, thereby protecting these data from unnecessary public disclosure; 34. In accordance with Section i(b), Rule 4 of the ERC Rules of Practice and Procedure, Applicants hereby submit one (1) copy each of Annexes "F-4, "L", "M", "N", and "O" in a sealed envelope, with the envelope and each page of the documents stamped with the word "Confidential". ISSUANCE OF PROVISIONAL AUTHORITY 35. All the foregoing allegations are re-pleaded by reference in support of the instant Prayer for provisional authority;

38.

39.

26.

The basis of TARELCO II and GNPOWER for prayer for the issuance of a Provisional Authority or interim relief prior to final decision is Rule 14 of the ERC Rules of Practice and Procedure: "Section 3. Action on the Motion. — Motions for provisional authority or interim relief may be acted upon with or without hearing. The Commission shall act on the motion on the basis of the allegations of the application or petition and supporting documents and other evidences that applicant or petitioner has submitted and the comments or opposition filed by any interested person, if there be any." [Emphasis Ours]

40.

Based on the Department of Energy's (DOE) 20152030 Luzon and Visayas Grids Supply-Demand Outlook, Luzon's peak demand in 2015 is 8,974MW with an Annual Average Growth Rate (AAGR) of 4.25%

(The Arena, San Juan) 9 a.m.- Letran vs Perpetual (jrs) 10:45 a.m.- San Sebastian vs San Beda (jrs) 12:30 p.m.- St. Benilde vs Jose Rizal (jrs) 2:15 p.m.- EAC vs Mapua (jrs) 4 p.m.- LPU vs Arellano U (jrs)

The Braves seized the solo lead after they turned back the Mapua Robins, 83-74, last week and should stay at the helm if they could hur-

while Visayas' Peak Demand is 1,847MW with AAGR of 3.4%. Therefore, Luzon's peak demand is expected to increase to 10,884MW in 2020, and to 16,465MW by the year 2030 and for Visayas, 2,042MW in 2020 and 3,025MW in 2030. This electricity demand growth has led to DOE's call for planning and investments in the power sector; Contributing to the Luzon Grid's demand growth is TARELCO II's peak load demand which increases at a rate of 5.0% per year. By 2020, it is projected that TARELCO II's existing power suppliers will not be able to meet the power needs of its member consumers, which is expected to have increased to 28.6%; Thus, the PPSA, as amended, with GNPOWER is crucial for TARELCO II to guarantee that its forward power needs are satisfied, without compromising the reasonableness of the generation rate to be passed on to its member-consumers; While actual delivery of power at full capacity under the terms and conditions of the PPSA, as amended, is expected to commence only in 2020, Applicants, nonetheless, shall begin at the earliest opportune time their compliance with all financial and regulatory requirements and processes leading up to the timely completion of GNPOWER's facility; Part of the funds needed to construct GNPOWER's facility will be sourced from loans coming from banks/financial institutions. The Commission's provisional approval of the instant Application is a vital requirement for the release of the loan proceeds. Hence, a timely financial close ensures stable source of funds and timely construction of the generation facility, and the implementation of the PPSA, as amended, as contemplated by the Applicants;

42.

With continuous financing, the timely implementation of the project shall be assured, to the full benefit of TARELCO II and the Luzon and Visayas' Grids. Otherwise, any delay in the implementation of the project shall expose TARELCO II to supply risk and unstable market prices in the future;

43.

A copy of the Judicial Affidavit to support the prayer for provisional authority will be attached to the Application as Annex "BB";

44.

In recognition of the fact that a substantial amount of time is needed to evaluate the documents submitted to support the approval of herein Application, Applicants seek the consideration of the Commission to approve the instant Application, immediately, albeit, provisionally, at the soonest opportune time. PRAYER

ALA keen on signing Tapales

Applicants TARELCO II and GNPower pray before the Commission that:

By Ronnie Nathanielsz

All information attached as Annexes "F-4" "L", "M", "N", and "O" to the Application be treated as confidential; ii. Pending hearing on the merits, a PA be issued authorizing the immediate implementation of the subject PPSA, as amended, including the rate structure therein, as applied; iii. After due notice and hearing, the instant Application, the PPSA, as amended, and the rate structure contained therein be duly approved; and iv. In the event that a Final Authority shall be issued after GNPOWER starts actual delivery of power to TARELCO II under the terms of the subject PSA, said Final Authority be retroactively applied to the date of such actual delivery. The Commission has set the Application for initial hearing, expository presentation, pre-trial conference, and presentation of evidence on 16 August 2016 (Tuesday) at ten o'clock in the morning (10:00 A.M.) at TARELCO II's Main Office, San Nicolas, Concepcion, Tarlac. All persons who have an interest in the subject matter of the proceeding may become a party by filing, at least five (5) days prior to the initial hearing and subject to the requirements in the ERC's Rules of Practice and Procedure, a verified petition with the Commission giving the docket number and title of the proceeding and stating: (1) the petitioner's name and address; (2) the nature of petitioner's interest in the subject matter of the proceeding, and the way and manner in which such interest is affected by the issues involved in the proceeding; and (3) a statement of the relief desired. All other persons who may want their views known to the Commission with respect to the subject matter of the proceeding may file their opposition to the Application or comment thereon at any stage of the proceeding before Applicants conclude the presentation of its evidence. No particular form of opposition or comment is required, but the document, letter or writing should contain the name and address of such person and a concise statement of the opposition or comment and the grounds relied upon. All such persons who wish to have a copy of the Application may request from the Applicants that they be furnished with the same, prior to the date of the initial hearing. Applicants are hereby directed to furnish all those making such request with copies of the Application and its attachments, subject to the reimbursement of reasonable photocopying costs. Any such person may likewise examine the Application and other pertinent records filed with the Commission during the standard office hours. This Notice of Public Hearing supersedes the 18 May 2016 Notice issued by the Commission. WITNESS, the Honorable Chairman, JOSE VICENTE B. SALAZAR, and the Honorable Commissioners, ALFREDO J. NON, GLORIA VICTORIA C. YAP-TARUC, JOSEFINA PATRICIA A. MAGPALE-ASIRIT,, and GERONIMO D. STA. ANA,, Energy Regulatory Commission, this 28th day of June 2016 in Pasig City. ATTY. NATHAN J. MARASIGAN Chief of Staff Office of the Chairman and CEO

2 3 4 5 6

7 8 9 10 11 12 13

dle the Junior Pirates, who split their first six matches to stay in the middle of the pack, in their 4 p.m. showdown. Guillmer dela Torre should be the player to watch anew after he averaged a team-best 18.5 points, which was fifth best in the league, to go with 6.2 rebounds, 2.7 assists and 1.5 steals a game, while Aaron Fermin have been doing the dirty job by norming 10.8 points, a league-high 10.5 rebounds and 1.5 blocks a game. And Arellano University coach Tyler Darjuan hopes they continue to play aggressive. “We have to be consistently aggressive in what we do, may it be in offense or defense because that will help the team in a long way,” said Darjuan, who is seeking to finally win it this season after coming one game close to unseating the seven-peat titlist San Beda last year. The Cubs, for their part, will be aiming for their sixth win in row as they collide with the San Sebastian Staglets, who are eyeing their first win after dropping their first six outings, in their duel set at 10:45 a.m. Other games pit Letran (3-3) against Perpetual Help (3-3) at 9 a.m., St. Benilde (3-3) versus Jose Rizal (24) at 12:30 p.m., and Emilio Aguinaldo (0-6) against last year’s third placer Mapua (41) at 2:15.

41.

36.

37.

Games today

Aurora Electric Cooperative (AURELCO), Nueva Ecija I Electric Cooperative, Inc. (NEECO I), Nueva Ecija II Area 1 Electric Cooperative, Inc. (NEECO II-Areal), Nueva Ecija II Area 2 Electric Cooperative, Inc. (NEECO II-Area2), Pampanga Electric Cooperative, Inc. (PELCO I), Pampanga II Electric Cooperative, Inc. (PELCO II), Pampanga III Electric Cooperative, Inc. (PELCO III), Pampanga Rural Electric Service Cooperative, Inc. (PRESCO), Tarlac II Electric Cooperative, Inc. (TARELCO III), Zambales I Electric, Cooperative, Inc. (ZAMECO I), and Zambales II Electric Cooperative, Inc. (ZAMECO II) Each of the PPSA entered into with the other 9 individual MECs are also made an integral part hereto as Annexes G-1 to G-9. Attached as Annex “H” of the Application. Section 1.3, Schedule 1. Contracted Capacity, Contract Price and Terms of Agreement, PPSA, page 31 Section 1.1, Article 1. Definitions and Interpretations, PPSA, page 4 Refers to Electric Capacity, contracted on a variable Capacity Utilization Factor basis, together with energy, as specified in Schedule 1 of the PPSA, as the context requires, or as otherwise agreed by the Parties. (Section 1.1, Article 1. Definitions and Interpretations, PPSA, page 8) GNPOWER’s Financial Assumptions including Project Cost, Sources of Financing, Debt Equity Ratio, WACC computation, and Projected Equity IRR Breakdown of Costs including Engineering, Procurement and Construction (EPC) Costs, Operations and Maintenance (O&M) Costs, and Projected Fuel Costs Projected Balance Sheet, Income Statement, Revenue and Cash Flow Details of Fuel Procurement Air Philippines Corporation vs. Pennswell Inc., G.R. No. 172835, December 13, 2007. 12 Ibid., Ibid., 177 SCRA 374 (1989). ( T S - J U LY 18 / 2 5 , 2 016)

ALA Promotions is keen on signing up World Boxing Council bantamweight contender Marlon Tapales, who fights Thailand’s champion Pungluang Sor Singyu on July 27 in Thailand. ALA Promotions matchmaker and former title challenger Edito “Ala” Villamor discussed the possibility of signing up Tapales, win or lose against Pungluang, with the manager of the talented southpaw in Rex “Wakee” Salud. The youthful ALA president in Michael Aldeguer, who has launched successful international fight cards in the United States and Dubai, is pursuing a growing international expansion program and wants to promote fighters from different stables not just in the Philippines but from all over the world. In its recent fight card at the San Mateo Events Center in California, several USbased fighters figured in the promotion headlined by previously unbeaten Prince Albert Pagara, who lost by a stunning eighth-round knockout to rugged Mexican Cesar Juarez. Tapales, who faces Pungluang in the historic city of Phra Nakhon Si Ayutthaya some 85 kilometers north of Bangkok, told Manila Standard, he is ready to give his best shot and is in fine condition and just right after a long preparation. Tapales said he is “mentally and physically prepared and ready to fight,” indicating that after watching several of the Thai champion’s fight tapes he was “ready to fight and we have a chance for sure.” Trainer Brix Flores said he believes Tapales “is one of our best boxers . His skill and talent are world class.”

Riera U. Mallari, Editor sports@thestandard.com.ph

MONDAY, JULY 25, 2016

Sports

WBC champion Viktor Postol of Ukraine gets hit by WBO junior weleterweight champion Terence Crawford during their title unification fight at the MGM Grand Garden Arena in Las Vegas, Nevada. Crawford won the fight by unanimous decision. AFP

Crawford wants Pacquiao By Ronnie Nathanielsz

NBEATEN junior welterweight Terence Crawford dominated Viktor Postol to win the latter’s World Boxing Council belt and add to his own World Boxing Organization crown before some 7,000 mostly Crawford fans at the Grand Garden Arena of the MGM Grand in Las Vegas. Crawford used his skills and quick movement to frustrate Postol, who failed to connect with his vaunted jab, completely baffling the Freddie Roach-trained Ukranian, who the American trainer bragged would knock out the American. Crawford said he is willing to fight eight-division world champion, who is also managed by Top Rank promoter Bob Arum, but only at 140 pounds. Pacquiao has regularly fought at welterweight and gets a way out of facing Crawford, who is much younger than the Filipino southpaw. The Filipino Senator will be on the edge of 38 years

of age by the Nov. 5 date booked by Arum. It leaves another Arum fighter Jessie Vargas as the most likely opponent for Pacquiao’s return at the Thomas and Mack Center, also in Las Vegas. “I just stuck to what I knew — boxing. That’s movement and that’s boxing,” said Crawford, who improved his record to 29-0, with 20 knockouts. Postol lost for the first time and now stands at 28-1 with 12 KOs. Roach, the seven-time trainer of the year, was more than impressed by Crawford. “Crawford was just too fast, he surprised me with his talent,” said Roach. Postol, who was knocked

down twice in the fifth round, seemed to be completely lost over his inability to use his jab, and connect against Crawford. The frustration often showed and at one point, Postol just stopped and stared at Crawford just before the bell rang. Vargas, in his last fight last March 5, scored a ninthround TKO over Sadam Ali, after losing to Timothy “Desert Storm” Bradley by a 12-round unanimous decision on June 27, 2015. Pacquiao earlier scored a lopsided 116-110 decision on the scorecards of all three judges in his third encounter with Bradley last April 29, 2016 to win the WBO welterweight Interim title.

‘We can be waterboys for our athletes’ By Peter Atencio THE Philippine delegation to the 2016 Rio de Janeiro are short on personnel who can assist Filipino athletes in their campaign to win medals. But sports officials present will be on hand to fill in as their assistants. Chef de Mission Jose Romasanta said this as members of the the Philippine delegation left Saturday evening for Brazil.

“If we have to be the waterboys and towel persons, then so be it. After all, we are all in this together,” said Romasanta. Romasanta said requests were made to bring in additional coaches and assistants for the athletes. But Rio organizers only allowed one coach for each athlete. Sprinter Eric Cray and long jumper Marestella Torres-Sunang will have the same coach, along with lifters Hidilyn Diaz and Nestor Colonia.

Swimmers Jessie Lacuna and Jasmine Alkhaldi will also have the same coach, while there will be one coach each for the marathon, golf, table tennis and taekwondo events. Philippine Olympic Committee President Jose Cojuangco Jr. was around to see of the delegation off. He will be flying out to Brazil on Aug. 3. The Philippine team is set to arrive at 2:30 p.m. on Sunday, Brazil time.

Princess Superal holds her huge trophy after a dominant performance in the Paciﬁc Northwest Women’s Amateur Championship in Washington.

Superal stuns no. 1, bags US title PRINCESS Superal picked up another big win as she primed up for the big league, outclassing low medalist Naomi Ko of Victoria BC to clinch the Pacific Northwest Women’s Amateur Championship crown via an emphatic 6&5 victory in Cle Elum, Washington over the weekend. Superal put on a strong fightback from a disastrous 77 in the first round of the 36-hole stroke play elims, rallying with a 73 to finish second to Ko, then flashed her awesome form in the match play phase to beat her rivals in lopsided fashions. She stunned Ko with her solid driving, superb iron play and a near-impeccable short game and won five of the first six holes in the 36-hole finale at the Prospector Course at Suncadia en route to

a commanding 6-up lead after the morning duel. The Canadian ace tried to mount a comeback in afternoon play, moving to within three after 24 holes but The Country Club ace, who won the Philippine Ladies Open and the Hong Kong Ladies Amateur Open early this year, birdied Nos. 25 and 28 to quash the threat and clinched the 6&5 triumph with a par on the 31st hole. “I really didn’t expect to win and Naomi is really a good player. But I hit it pretty well and my short game and putting clicked,” said Superal, also a low medalist, with TCC teammate Pauline del Rosario, in the recent US Women’s Amateur Four-Ball. “She was just awesome throughout the match play. She played with a lot of conﬁdence

and kept on sinking those putts,” said TCC coach Nestor Mendoza. “In the finals, she hit three birdies in the morning to seize control then gunned down three more in the afternoon to dominate Ko.” Superal actually finished tied with Ko and Jisoo Keel for first in the elims but Ko, the 2014 PNGA Junior Girls’ Player of the Year, took the top seeding in a playoff. The former US Girls’ Junior champion stamped her class early in the knockout phase, easing out local bet Jalayne Martirez, 2-up, then trampling another Washington bet Kristin Strankman, 7&5, in the second round. Superal faced another local bet in the quarterfinals but fashioned out another 7&6 romp over Marianne Li then overpowered TCC teammate Sam Martirez, 7&5, to seal a final showdown with Ko.

Ikeda seeks 2nd straight tiara at Ladies’ PH Golf Tour Malarayat

IKEDA

HAVING snapped a long title spell, Chihiro Ikeda seeks to set up a win streak this time, shooting for a second straight victory on the Ladies Philippine Golf Tour in the ICTSI Malarayat Ladies Classic unfolding Tuesday at the Mt. Malarayat composite courses in Lipa, Batangas. It took Ikeda, a former amateur hotshot and a SEA Games individual medalist, more than three years to nail the elusive a pro victory, posting a wire-to-wire triumph in

the ICTSI Orchard Golf Championship in Cavite last month. She hopes her three-stroke romp over Lovelynn Guioguio will fuel more victories for the Fil-Japanese shotmaker. “One win gives you a different kind of push. Now, I’m more inspired to train and compete,” said Ikeda. “I just couldn’t wait to play again.” But her rivals are also raring to foil her back-to-back title bid and

fuel their respective title drives in the P750,000 tournament serving as the sixth leg of the 10-stage circuit sponsored by ICTSI and organized by Pilipinas Golf Tournaments, Inc. They include Fil-Am Cristina Corpus, Sarah Ababa and Jayvie Agojo, all seeking to score a followup to their breakthrough wins on a challenging, wind-raked course. Korean Hwag Min-jeong, who nipped fellow amateur Princess

Superal and now-LPGA Tour campaigner Cyna Rodriguez in a playoff to snare the crown last year, won’t be around to defend her title. But the compact ﬁeld remains as tough as ever, promising a ﬁerce battle for the top P150,000 purse in the 54-hole tournament backed by Custom Clubmakers, adidas, KZG, Sharp, Summit Mineral Water, Srixon, Champion, TaylorMade and Pacsports. Others in the fold are Anya Tan-

pinco, Appel Fudolin, Eva Miñoza, Lina de Guzman, Lucy Landicho, Majorie Pulumbarit and England’s Sarah Henderson. Meanwhile, Fil-Am Chanelle Avaricio, coming off a recent win in the Sta. Lucia Tour, heads the amateurs joining the title hunt, along with national champion Harmie Constantino, former Junior World titlist Daniella Uy, Ikuko Kito, Sophia Blanco and Ginelyn Hepoit.

Century open to Okada venture

Business

Ray S. Eñano, Editor Roderick T. dela Cruz, Assistant Editor business@manilastandardtoday.com extrastory2000@gmail.com MONDAY, JULY 25, 2016

Shell row referred to Duterte By Alena Mae S. Flores

HE Energy Department is elevating to Malacañan the latest arbitration case ﬁled by Shell Philippines Exploration B.V. against the government. Spex lodged an new arbitration case against the government at the International Center for Settlement of Investment Disputes regarding a tax dispute over the Malampaya gas project in northwest Palawan. Spex, operator of the Malampaya gas project registered the case on July 20, 2016 under the subject dispute heading of

“hydrocarbon concession, taxation.” “The DoE will exhaust all possibilities and avenues to study options and bring before the President recommendations that will have one objective: to protect and serve the best interests of our country and the Filipino people,” Energy Secretary Alfonso Cusi said in a statement.

Spex filed the case against the Philippine government to challenge the interpretation of the Commission on Audit in the computation of the 60-40 sharing of the proceeds from the Malampaya gas project. The Supreme Court in a separate case ruled that all service contracts were void unless personally signed by the President. The ruling signifies that all service contracts signed only by the Secretary of the Department of Energy with foreignowned companies involving technical or financial assistance for large–scale exploration, development and utilization of petroleum are void for being

unconstitutional. “We welcome this [arbitration] as an opportunity for the national government to effect real change and to come up with deﬁnitive and clear-cut policies in dealing with our partners,” Cusi said. State-owned PNOC Exploration Corp., owns a 10 percent interest in Service Contract 38 consortium, with Spex and Chevron Malampaya LLC holding 45 percent each. “This issue is not the concern of the Department of Energy nor of the Executive branch alone. The Supreme Court, the Commission on Audit and even Congress have a stake here

too.” Cusi said. “In the end, a nationalistic approach is necessary to make a uniﬁed stand. This is in line with the Duterte administration’s vision of unity in our country,” he said. Cusi said the department would recommend to the President the necessity of aligning government institutions to work together and act consistently. “The Philippine government must have a uniﬁed stand in all its decisions and actions just as we have shown in the West Philippine Sea issue,” he said. “Ultimately, whatever mandate each branch or agency has, our bottom line is one and the

same: to serve the best interests of the Filipino people,” Cusi said. The Office of the Solicitor General was named respondent in the arbitration case. “We can confirm that Spex has filed a request for arbitration with the International Center for the Settlement of Investment Dispute. The case has been filed pursuant to the bilateral investment treaty between the Philippines and the Netherlands,” Spex said in an earlier statement. Spex has a pending separate arbitration case against the government lodged with the arbitration tribunal in Singapore.

Texas business mission.

Delegates from the Railroad Commission of Texas, a US regulatory government agency which has long been considered the model framework for oil and gas regulation in the United States, pay a courtesy call on Trade Undersecretary for Investments Promotion Nora Terrado (right row, seated left) at the Philippine Board of Investments ofﬁce. RCC delegates led by chairman David Porter (leftmost) discuss ways to strengthen the relationship between the state of Texas and the Philippines.

PSe comPoSite index Closing July 22, 2016

8300 7840 7380 6920 6460 6000

8,025.35 76.95

PeSo-dollar rate

Closing July 22, 2016 48.00 46.00 45.00

P47.120

44.00

43.00

HIGH P47.030 LOW P47.130 AVERAGE P47.096 VOLUME 571.500M

P427.00-P620.00 LPG/11-kg tank P36.35-P43.45 Unleaded Gasoline

oPriceS il P today

P24.75-P29.60 Diesel P34.55-P39.15 Kerosene

BANGKO Sentral ng Pilipinas may reduce the reserve requirement of banks if the parked funds at the overnight deposit facility falls to P500 billion, a top ofﬁcial said over the weekend. Bangko Sentral Deputy Governor Diwa Guinigundo said in an interview the parked funds at the special account deposit facility was currently around P1 trillion. He said the amount was expected to decline because of the weekly term deposit facility auctions that started on June 8. “Maybe if we reach one half of the P1 trillion, perhaps we can consider adjusting the reserve requirements. Because we don’t want to ﬁnd ourselves in a situation where we are mopping up liquidity and migrating from ODF [overnight deposit facility] to TDF [term deposit facility] and on the other hand, you are releasing liquidity through the reduction in the re-

By Jenniffer B. Austria

F oreign e xchange r ate Unit

By Julito G. Rada

serve requirement,” Guinigundo said. He said monetary authorities would look at all the numbers and developments in the market before thinking of adjusting the reserve requirement. “We are talking here of about a trillion [pesos]. Normally, when you reach halfway of that, something is going to happen,” he said. Reserve requirement, also called cash reserve ratio, is a regulation used by most, but not all of the world’s central banks that sets the minimum fraction of customer deposits and notes that each commercial bank must hold as reserves rather than lend out. The current reserve requirements are 20 percent for universal and commercial banks, 8 percent for thrift banks and 5 percent for rural banks. Bangko Sentral’s Monetary Board in its last meeting on June 23 maintained the reserve requirement ratios at 20 percent,

alongside the benchmark interest rates at 3.5 percent for overnight lending, 3 percent for overnight borrowing and 2.5 percent for deposit facility. Guinigundo said earlier the introduction of the term deposit auction facility under the interest rate corridor system would “allow us to depend less on reserve requirement.” He said through the interest rate corridor, Bangko Sentral would be able to migrate some of the funds from SDA. Bangko Sentral transformed the RRP facility into purely overnight facility, offered using a ﬁxed-rate and full allotment method, under the interest rate corridor system. The special deposit account and RP facility were converted to overnight standing liquidity windows, available on demand during BSP business hours. Bangko Sentral set the interest rates for the formal shift of its mon-

Ongpin: Aquino minions still persecuting me

Bangko Sentral ng Pilipinas Friday, July 22, 2016 Currency

BSP mulls over reduction of reserve requirement

US Dollar Peso

United States Dollar

1.000000

Japan

Yen

0.009452

47.1630 0.4458

Pound

1.323500

62.4202

Hong Kong

Dollar

0.128941

6.0812

Switzerland

Franc

1.014713

47.8569

Canada

Dollar

0.764292

36.0463

Singapore

Dollar

0.738007

34.8066

Australia

Dollar

0.749500

35.3487

Bahrain

Dinar

2.651254

125.0411

Saudi Arabia

Rial

0.266660

12.5765

Brunei

Dollar

0.735294

34.6787

Indonesia

Rupiah

0.000076

0.0036

Thailand

Baht

0.028600

1.3489

UAE

Dirham

0.272287

12.8419

Euro

1.102700

52.0066

Korea

Won

0.000879

0.0415

China

Yuan

0.149779

7.0640

India

Rupee

0.014894

0.7024

Malaysia

Ringgit

0.247647

11.6798

New Zealand

Dollar

0.699200

32.9764

Taiwan

Dollar

0.031235

1.4731 Source: PDS Bridge

BUSINESSMAN Roberto Ongpin cried foul over what he described as the “cruel and unusual punishment” imposed against him by the Securities and Exchange Commission for allegedly committing insider trading. Ongpin in a statement released over the weekend said the SEC decision ordering him to resign from all listed companies would force him to go out of business and terminate his career. Ongpin currently sits as chairman of two listed companies—PhilWeb Corp. and Atok Big Wedge Inc. He said the SEC’s decision to charge him with the maximum penalty of P174 million, or P1 million for every 174 counts of insider trading involving shares of Philex Mining Corp. in 2009, was “unconscionable” and stressed the clear bias of the SEC against him.

Ongpin also called the SEC ruling as erroneous and grossly unfair. “I thought that the persecution under the Aquino administration had ended but apparently, the remaining minions of the past administration are still determined to get me,” Ongpin said. The SEC in a order dated July 8 ordered Ongpin out of all board of publicly listed company and to pay a ﬁne of P174 million. Ongpin said he had instructed his lawyers to elevate the case to the Court of Appeals. Ongpin’s legal counsel on Friday said the SEC’s investigation referred to the same case that ﬁled at the Sandiganbayan by the Ombudsman several years ago. The Sandiganbayan dismissed the case twice for lack of probable cause. Ongpin claimed that the SEC converted the charge into an insider trading case. He said there was no

evidence of insider trading, after he simply negotiated a price with businessman Manuel Pangilinan on straightforward commercial transaction and that it was never based on any insider information. “The jurisprudence is clear, there was no insider trading at all,” Ongpin said. Ongpin cited the case was ﬁled almost a full year after the two-year deadline imposed by the Securities and Regulations Code. he SEC said the decision to impose the maximum penalty would quell if not totally eliminate insider trading and other fraudulent manipulative devices and practices that created distortions in the free market. It said a minimum penalty would send the wrong signal to the public that administrative penalties were not sufﬁcient to stop fraudulent market activities.

etary operations to an interest rate corridor starting June 3. The IRC system is expected to help improve monetary policy transmission and limit interest rate volatility. The sustained oversubscription in the term deposit auctions starting June 8 prompted Bangko Sentral to raise the weekly volume beginning Aug. 3 to P70 billion from P50 billion in a bid to effectively siphon off excess liquidity in the ﬁnancial system.

Business

MONDAY, JULY 25, 2016 extrastory2000@gmail.com

Century open to Okada venture By Jenniffer B. Austria

ENTURY Properties Group Inc. remains open to a partnership with Japanese billionaire Kazuo Okada in resort development, despite their failed partnership in a casino project. “We are open to partnering with anyone,” Century Properties chairman Jose Antonio said, when asked if he was open to teaming up with Okada in developing the company’s tourism project in Palawan. There are no current talks between the two parties. Businessman Antonio Cojuangco, Okada’s local partner in the $2.4-billion Okada Manila project in Parañaque City,

said the Japanese billionaire was keen on developing resorts in Palawan and possibly in Davao. He said Okada was also eyeing golf courses in the Philippines. Century Properties for its part is developing a 56-hectare beachfront lifestyle destination in San Vicente, Palawan. Antonio said the master plan for the Palawan project was currently being ﬁnalized and Cen-

tury Properties just waiting for the completion of an airport in San Vicente. “They are just waiting approval from the Civil Aviation Authority of the Philippines. Local ofﬁcials said they’re getting it by end of the year so if that happens we are going to launch our project in San Vicente,” Antonio said. Century Properties earlier said it would spend P1.5 billion over the next three to ﬁve years to develop the initial phase of the Palawan resort project which would include hotel villas and residential investment properties. The town of San Vicente, with a total land area of 146,294 hectares, is 140 times larger than Boracay Island. This natural paradise boasts of emerald green coves, white-sand

beaches, waterfalls, enchanting islands and lush forests that visitors can reach through enjoyable nature treks. It also boasts of a 14.7-kilometer stretch of white sand that is four times the length of Boracay’s white beach. Century Properties and Okada group signed an investment agreement in 2013 for the development of a luxury residential and commercial project on a ﬁve-hectare property at the 44-hectare entertainment complex now called Okada Manila. Okada rescinded the agreement with Century Properties in March 2014, after one of the parties involved in the investment agreement withdrew from the negotiations. The property pursued the legal

action against the Okada group to protect the interest of its stakeholders. After a year of court battle, both parties agreed to settle their issues amicably. Aside from Batulao, Century Properties is also developing 142 hectares of its land bank in Batulao, Batangas into a fully-integrated leisure, recreational, retail and residential destination in Southern Luzon. The planned venture into tourism-related projects and house and lot development are part of the company’s strategy to diversify the business which is currently focused on high-end condominium development. The planned diversiﬁcation is in line with the company’s thrust to boost recurring income.

THE STANDARD BUSINESS WEEKLY STOCKS REVIEW STOCKS

JULY 18-22, 2016 Close Volume

AG Finance Asia United Bank Banco de Oro Unibank Inc. Bank of PI China Bank BDO Leasing & Fin. INc. Bright Kindle Resources Citystate Savings COL Financial Eastwest Bank Filipino Fund Inc. I-Remit Inc. Manulife Fin. Corp. MEDCO Holdings Metrobank Natl. Reinsurance Corp. PB Bank Phil Bank of Comm Phil. National Bank Phil. Savings Bank Philippine trust Co. PSE Inc. RCBC `A’ Security Bank Sun Life Financial Union Bank Vantage Equities

3.87 47.4 114.20 96.10 38.05 4.07 1.60 9.12 16.2 21.35 7.10 1.96 609.00 0.650 94 0.92 14.8 24.00 62.00 99.95 500 279 32.35 211 1435.00 67.40 1.53

Aboitiz Power Corp. Agrinurture Inc. Alliance Tuna Intl Inc. Alsons Cons. Asiabest Group Bogo Medelin C. Azuc De Tarlac Cemex Holdings Century Food Chemphil Conc. Aggr. ‘A’ Cirtek Holdings (Chips) Concepcion Crown Asia Da Vinci Capital Del Monte DNL Industries Inc. Emperador Energy Devt. Corp. (EDC) EEI Euro-Med Lab First Gen Corp. First Holdings ‘A’ Ginebra San Miguel Inc. Holcim Philippines Inc. Integ. Micro-Electronics Ionics Inc Jollibee Foods Corp. Liberty Flour LMG Chemicals Mabuhay Vinyl Macay Holdings Manila Water Co. Inc. Maxs Group Megawide Mla. Elect. Co À’ MG Holdings Panasonic Mfg Phil. Corp. Pepsi-Cola Products Phil. Petron Corporation Phil H2O Phinma Corporation Phoenix Petroleum Phils. Phoenix Semiconductor Pryce Corp. À’ RFM Corporation Roxas Holdings San Miguel ‘Pure Foods À’ Splash Corporation Swift Foods, Inc. TKC Steel Corp. Trans-Asia Oil Universal Robina Victorias Milling Vitarich Corp. Vulcan Ind’l.

45.55 3.5 0.83 1.98 14 53 220.00 11.94 17.54 152 169 20 58 2.21 5.99 12.4 9.750 7.42 5.90 9.59 1.9 26.05 72 12.00 15.22 5.73 2.380 255.00 41.00 1.86 3.8 34.60 26.85 28.9 9.5 313.00 0.260 4.23 3.46 11.30 3.35 11.60 6.23 1.63 3.5 4.35 3.84 210 3.04 0.154 2.19 2.55 197 4.5 1.06 1.28

Abacus Cons. À’ Aboitiz Equity Alliance Global Inc. Anglo Holdings A Anscor À’ ATN Holdings A ATN Holdings B Ayala Corp À’ BHI Holdings Inc. Cosco Capital DMCI Holdings F&J Prince ‘A’ F&J Prince ‘B’ Filinvest Dev. Corp. Forum Pacific GT Capital House of Inv. JG Summit Holdings Jolliville Holdings Keppel Holdings À’ Keppel Holdings `B’ Lopez Holdings Corp. Lodestar Invt. Holdg.Corp. LT Group Mabuhay Holdings À’ Metro Pacific Inv. Corp. MJCI Investments Inc. Pacifica À’ Prime Media Hldg Prime Orion Republic Glass ‘A’ San Miguel Corp À’ Seafront À’ SM Investments Inc. Solid Group Inc. South China Res. Inc. Transgrid Top Frontier Unioil Res. & Hldgs Wellex Industries Zeus Holdings

0.375 82.50 16.58 1.29 6.13 0.390 0.385 890 1000.00 8.04 12.70 6 6.1 6.95 0.239 1565 6.65 85.30 4.2 6.2 5.8 7.89 0.72 15.84 0.490 7.32 3.13 0.0340 1.350 1.960 2.70 83.00 2.75 1025.00 1.24 0.88 207.00 191.900 0.3300 0.2020 0.300

8990 HLDG Anchor Land Holdings Inc. A. Brown Co., Inc. Araneta Prop À’ Arthaland Corp. Ayala Land `B’ Belle Corp. À’ Cebu Holdings Cebu Prop. À’ Cebu Prop. `B’ Century Property City & Land Dev. Cityland Dev. À’ Crown Equities Inc. Cyber Bay Corp. Double Dragon Empire East Land Ever Gotesco Global-Estate Filinvest Land,Inc. Interport À’ Keppel Properties Megaworld

8.110 6.90 1.27 2.310 0.275 39.800 3.36 5.17 5.8 5.72 0.540 1.09 1.060 0.132 0.760 62.5 0.820 0.150 1.18 2.00 4.80 4.80 5.13

Value

FINANCIAL 1,784,790.00 5,321,200.00 927,861,895 762,457,533.00 13,598,705.00 8,029,940.00 26,381,400.00 1,824.00 10,387,466.00 104,463,820.00 67,371 1,166,620.00 85,260.00 34,588,510.00 1,103,982,610.00 684,990.00 19,923,246.00 281,340.00 119,940,657.00 1,003,530.50 15,200.00 3,607,062.00 11,599,270 867,086,856.00 1,071,825.00 12,721,887.00 5,587,460.00 INDUSTRIAL 10,048,700 456,314,220.00 7,332,000 25,621,010.00 1,595,000 1,320,140.00 7,692,000 15,388,310.00 333,200 4,551,460.00 43,910 2,245,360.00 570 118,150.00 437,551,100 4,896,101,310.00 14,842,200 248,509,370 240 37,176.00 60,000 11,104,300.00 40,406,200 833,138,565.00 999,300 55,517,106 20,490,000 45,563,270.00 10,311,200 62,911,583.00 517,000 6,356,164.00 23,455,600 225,359,754.00 12,291,200 90,315,423.00 73,291,100 424,587,697.00 6,505,500 60,388,600.00 243,000 445,270.00 21,815,400 556,307,740.00 1,320,300 93,701,249.50 70,900 856,472.00 1,033,400 15,731,318.00 1,890,000 10,887,982.00 6,250,000 14,870,990.00 3,737,150 936,431,732.00 1,100 45,040.00 26,000 48,520.00 275,000 1,010,420.00 37,600 1,270,075.00 7,670,700 207,262,765.00 691,500 15,880,575.00 33,876,300 314,363,450.00 1,165,290 360,991,294.00 3,210,000 855,200.00 109,000 478,640.00 3,625,000 12,506,660.00 36,454,912 88,127,428.00 34,000 113,650.00 78,200 907,736.00 2,940,300 18,750,147.00 2,623,000 4,274,610.00 6,287,000 21,106,830.00 6,840,000 29,019,860.00 208,000 802,130.00 6,350 1,347,550.00 8,811,000 24,727,680 26,680,000 4,044,490.00 35,539,000 83,670,470.00 6,675,000 16,987,380.00 8,431,480 1,683,748,620 110,000 499,800.00 123,652,000 128,407,440.00 2,371,000 3,127,530.00 HOLDING FIRMS 4,340,000 1,658,300.00 9,436,910 780,136,749.00 35,237,800 576,563,554.00 2,215,000 2,959,780.00 103,200 632,042.00 72,570,000 28,760,050.00 8,471,000 3,492,250.00 1,854,110 1,653,497,218.00 330 279,260.00 12,978,700 103,652,563.00 20,945,700 267,043,870.00 695,600 4,392,883.00 9,700 64,137.00 1,635,900 11,286,236.00 6,640,000 1,514,170.00 490,805 766,623,955.00 829,300 5,377,874.00 8,349,090 715,151,837.50 18,000 77,090.00 10,000 54,598.00 23,100 132,452.00 10,558,500 82,945,970.00 680,000 492,820.00 26,934,500 429,115,708.00 227,000 119,310.00 154,726,800 1,131,334,264.00 72,000 225,100.00 82,700,000 2,775,100.00 69,000 90,390.00 2,518,000 4,966,050.00 120,000 324,000.00 2,590,510 209,142,310.00 234,000 608,980.00 2,054,160 2,088,490,835.00 1,714,000 2,139,690.00 280,000 251,180.00 2,400 530,446.00 70,340 13,232,738.00 44,360,000 14,666,800.00 2,830,000 569,070.00 19,010,000 6,037,150.00 PROPERTY 3,317,900 26,896,673.00 9,200 63,210.00 14,609,100 31,693,940.00 3,541,000 8,199,120.00 4,300,000 1,169,500.00 71,232,500 2,852,425,235.00 7,848,000 26,603,800.00 68,900 350,528.00 1,600 9,280.00 7,600 47,168.00 27,465,000 14,766,840.00 111,000 115,500.00 106,000 111,620.00 67,090,000 9,201,260.00 148,428,000 109,589,900.00 6,315,640 400,378,935.50 21,512,000 17,641,620.00 90,000 13,800.00 127,611,000 145,716,490.00 111,678,000 222,001,640.00 76,000 105,710.00 19,500 94,645.00 127,837,200 651,640,883.00 247,000 113,000 8,082,460 7,705,620 357,500 1,982,000 15,299,000 200 662,300 5,037,200 9,600 589,000 140 52,720,000 11,621,910 733,000 1,347,200 11,900 1,978,640 10,020 30 12,880 361,600 4,221,640 745 189,850 3,502,000

JULY 11-15, 2016 Volume Value

3.71 47.5 114.00 99.00 37.9 4.05 1.36 9 15.1 19.3 7.00 2.01 609.00 0.590 95 0.98 14.86 23.40 59.55 101

748,000 111,600 10,584,550 11,397,700 484,200 10,074,000 498,000 4,600 469,950 2,890,500 15,600 2,388,000 340 12,053,000 22,509,620 3,434,000 4,519,200 22,400 1,122,700 5,140

2,828,460.00 5,287,990.00 1,209,085,886 1,128,711,145.00 18,399,115.00 41,011,440.00 665,110.00 41,560.00 7,427,290.00 55,697,094.00 106,040 4,960,080.00 207,220.00 6,929,240.00 2,096,633,492.50 3,251,880.00 66,914,870.00 521,895.00 66,944,294.50 526,548.00

276 32.2 199.5 1470.00 67.00 1.49

29,040 673,700 3,185,880 2,210 470,510 654,000

7,923,538.00 21,684,380 629,870,358.00 3,095,730.00 31,291,869.50 966,120.00

45.4 3.79 0.83 2.02 12.16 52.55 220.00

11,450,700 8,489,000 2,253,000 10,077,000 22,400 230 10

512,332,900.00 32,576,950.00 1,884,540.00 20,255,420.00 259,428.00 12,076.00 2,200.00

16 169.9 150 20.9 49.85 2.16 5.89 12.28 9.640 7.29 5.75 8.97 1.8 24.5 69.8 12.00 15.20 5.8 2.400 250.00 41.00 1.94 3.9 35.50 27.25 29 8 311.00 0.280 4.39 3.45 11.22 3.05 11.68 6.40 1.65 3.15 4.20 3.96 209.4 3.03 0.151 2.22 2.55 199.9 4.69 0.97 1.27

17,519,300 440 5,010 38,266,400 243,000 10,897,000 19,429,400 391,200 20,845,500 15,561,300 71,341,300 7,851,100 72,000 22,973,200 1,414,710 84,800 1,062,200 2,358,600 10,310,000 4,356,160 3,100 21,000 877,000 55,700 4,074,800 3,430,400 14,135,800 1,454,970 1,950,000 41,000 11,216,000 48,702,200 28,000 110,800 15,404,100 2,460,000 7,031,000 3,218,000 164,000 5,700 12,088,000 7,860,000 47,808,000 16,333,000 432,917,842 202,000 64,167,000 7,767,000

315,815,278 71,818.00 761,891.00 768,988,441.00 11,951,985 23,073,510.00 110,642,342.00 4,885,326.00 203,380,037.00 113,601,510.00 400,799,478.00 66,225,900.00 130,970.00 570,100,385.00 98,918,621.00 1,019,368.00 16,152,004.00 13,302,141.00 24,840,110.00 1,088,221,416.00 121,035.00 39,350.00 3,307,700.00 1,984,155.00 111,668,950.00 98,752,655.00 106,887,608.00 452,273,548.00 554,100.00 179,100.00 38,579,090.00 520,891,682.00 86,270.00 1,289,150.00 98,027,441.00 4,061,670.00 22,181,680.00 13,481,470.00 648,600.00 1,204,432.00 36,059,940 1,182,140.00 106,337,620.00 41,548,340.00 1,615,747,052.00 893,950.00 62,517,650.00 10,248,540.00

0.390 80.00 16.30 1.33 6.05 0.385 0.375 884

13,940,000 9,290,700 35,623,500 5,799,000 41,800 33,260,000 3,390,000 1,174,280

5,643,200.00 734,340,662.00 562,918,700.00 7,665,450.00 253,295.00 12,585,200.00 1,282,800.00 1,022,148,435.00

8 12.76 5.95 6 6.83 0.255 1553 6.45 85.65 4.15 5.3 5.55 7.9 0.73 15.84 0.490 7.19 3.29 0.0330 1.340 1.970 2.65 78.00 2.4 1011.00 1.23 0.93

14,758,300 16,538,900 1,316,800 98,500 5,011,600 3,920,000 805,125 80,300 13,901,220 25,000 12,800 5,600 13,974,100 1,469,000 52,709,800 520,000 239,304,300 49,000 146,700,000 80,000 6,364,000 17,000 760,070 118,000 2,335,495 12,740,600 2,090,000

116,972,253.00 211,027,260.00 7,655,228.00 602,565.00 34,063,543.00 975,990.00 1,223,762,215.00 518,319.00 1,191,870,425.00 97,080.00 67,119.00 31,080.00 109,144,769.00 1,055,500.00 840,887,984.00 264,400.00 1,695,972,939.00 158,460.00 4,897,400.00 104,200.00 12,313,790.00 45,580.00 59,334,651.50 263,940.00 2,346,105,030.00 16,569,880.00 1,914,290.00

188.900 0.3100 0.2060 0.305

44,310 18,220,000 2,700,000 14,500,000

8,424,737.00 5,719,600.00 545,700.00 4,449,200.00

7.900 7.20 1.32 2.340 0.290 40.700 3.43 5.02

27,510,900 8,200 12,571,000 9,851,000 3,030,000 101,899,400 6,039,000 28,300

208,810,626.00 57,250.00 16,538,950.00 23,076,560.00 861,100.00 4,078,530,830.00 20,472,160.00 143,254.00

0.540 1.06 1.050 0.135 0.700 62 0.810 0.155 1.07 1.94 1.24 5.00 5.14

38,024,000 953,000 936,000 35,000,000 70,073,000 7,919,230 7,579,000 90,000 83,638,000 100,001,000 1,736,000 23,200 359,830,600

20,341,740.00 1,095,540.00 1,023,250.00 4,680,160.00 49,105,470.00 503,319,346.00 6,134,830.00 13,930.00 85,310,860.00 196,292,430.00 2,114,290.00 107,248.00 1,799,775,457.00

STOCKS

JULY 18-22, 2016 Close Volume

MRC Allied Ind. Phil. Estates Corp. Phil. Realty `A’ Phil. Tob. Flue Cur & Redry Primex Corp. Robinson’s Land `B’ Rockwell Shang Properties Inc. SM Prime Holdings Sta. Lucia Land Inc. Starmalls Suntrust Home Dev. Inc. Vista Land & Lifescapes

0.109 0.2850 0.465 43.95 16.46 33.10 1.72 3.27 30.10 0.98 7 1.020 6.110

2GO Group’ ABS-CBN Acesite Hotel APC Group, Inc. Asian Terminals Inc. Berjaya Phils. Inc. Bloomberry Boulevard Holdings Calata Corp. Cebu Air Inc. (5J) Centro Esc. Univ. Discovery World DFNN Inc. Easy Call “Common” FEUI Globe Telecom GMA Network Inc. Golden Haven Grand Plaza Hotel Harbor Star I.C.T.S.I. Imperial Res. À’ Imperial Res. `B’ IPeople Inc. À’ IP E-Game Ventures Inc. IPM Holdings Island Info ISM Communications Jackstones LBC Express Leisure & Resorts Liberty Telecom Lorenzo Shipping Macroasia Corp. Manila Broadcasting Manila Bulletin Manila Jockey Melco Crown Metro Retail NOW Corp. Pacific Online Sys. Corp. PAL Holdings Inc. Paxys Inc. Phil. Seven Corp. Philweb.Com Inc. PLDT Common PremiereHorizon Premium Leisure Puregold Robinsons RTL SBS Phil. Corp. SSI Group STI Holdings Transpacific Broadcast Travellers Waterfront Phils. Yehey

7.48 52.05 1.23 0.630 11.26 5.85 5.70 0.0990 2.85 99.5 9.83 1.97 5.80 3.84 950 2282 6.30 16.96 20.30 1.22 64.1 24.65 194 11.8 0.0092 9.37 0.345 1.8800 2.72 12.7 6.75 3.11 1.06 2.62 20.00 0.590 2.02 3.6 5.10 3.680 12.22 5.10 2.68 139.50 16.60 2068.00 0.440 1.150 48.55 86.90 6.50 3.28 0.650 1.96 3.54 0.335 6.780

Abra Mining Apex À’ Atlas Cons. À’ Atok-Big Wedge À’ Basic Energy Corp. Benguet Corp À’ Benguet Corp `B’ Century Peak Metals Hldgs Coal Asia Dizon Ferronickel Geograce Res. Phil. Inc. Lepanto À’ Lepanto `B’ Manila Mining À’ Manila Mining `B’ Marcventures Hldgs., Inc. Nickelasia Nihao Mineral Resources Omico Oriental Peninsula Res. Oriental Pet. À’ Oriental Pet. `B’ Petroenergy Res. Corp. Philex À’ PhilexPetroleum Philodrill Corp. À’ Semirara Corp. TA Petroleum United Paragon

0.0041 3.12 4.27 11.80 0.232 7.0800 7.7700 0.61 0.490 8.66 0.880 0.290 0.239 0.255 0.0120 0.0140 1.86 5.7 2.95 0.5700 1.1800 0.0120 0.0120 4.14 8.54 4.39 0.0130 121.00 3.88 0.0110

ABS-CBN Holdings Corp. Ayala Corp. Pref `B1’ Ayala Corp. Pref ‘B2’ First Gen F First Gen G GLOBE PREF P GMA Holdings Inc. Leisure and Resort MWIDE PREF PCOR-Preferred A PCOR-Preferred B PF Pref 2 PNX PREF 3A SMC Preferred B SMC Preferred C SMC Preferred D SMC Preferred E SMC Preferred F SMC Preferred G SMC Preferred H SMC Preferred I Swift Pref

51.7 520 545 116 119 545 6.1 1.08 111.8 1045 1020 1016 107 76.5 80 77.3 79 78.5 79.4 77.1 77 2.5

LR Warrant

2.890

Alterra Capital Makati Fin. Corp. Italpinas Xurpas

5.27 3.74 5.9 17

First Metro ETF

131.8

Value

18,220,000 1,610,000 6,554,000 125,800 1,465,700 12,227,700 2,885,000 730,000 86,725,200 9,911,000 3,700 11,707,000 42,075,800

1,984,950.00 448,250.00 3,236,810.00 5,871,545.00 22,801,122.00 397,132,925.00 4,973,550.00 2,406,220.00 2,605,786,620.00 9,687,020.00 25,153.00 12,341,310.00 250,969,840.00 SERVICES 2,058,400 15,582,393.00 886,340 46,157,982.00 43,000 53,580.00 34,285,000 22,322,030.00 10,600 118,122.00 423,000 2,551,749 48,953,300 299,202,672.00 1,707,850,000 172,115,570.00 20,727,000 59,551,960.00 3,068,390 304,741,499.00 19,500 192,714.00 147,000 291,160 4,933,100 27,373,350.00 4,631,000 17,720,990.00 260 250,640.00 342,745 789,625,070 1,300,900 8,202,084.00 1,939,100 32,703,808.00 3,200 68,510 5,605,000 7,067,990.00 26,429,170 1,659,266,484.50 10,868,900 270,602,976 85,240 21,824,721 500 5,900.00 50,020,000 642,700.00 1,673,000 15,674,800.00 148,600,000 52,216,700.00 27,509,000 51,009,380.00 1,489,000 4,225,810.00 61,200 787,246.00 1,826,900 12,320,708 1,525,000 4,744,460.00 611,000 656,550.00 73,000 187,450.00 7,600 147,398 920,000 545,430.00 18,000 36,120.00 48,059,000 175,395,730.00 62,709,400 320,699,238.00 55,755,000 202,459,900.00 265,900 3,193,034.00 66,500 344,638 108,000 286,590.00 14,120 1,973,103.00 1,340,000 22,823,788.00 547,235 1,150,202,970.00 5,820,000 2,556,100.00 49,845,000 57,579,830.00 20,257,200 958,916,285.00 5,962,230 521,002,287.00 1,385,500 8,907,319.00 41,311,000 136,204,200.00 45,553,000 30,107,320.00 75,000 144,310.00 15,500,000 55,421,260.00 150,000 49,900.00 804,500 5,299,115.00 MINING & OIL 790,000,000 3,246,500.00 4,009,400 16,411,560.00 955,000 4,186,570.00 1,800 20,340.00 2,110,000 483,080.00 672,700 4,730,444.00 167,700 1,208,480.00 3,809,000 2,297,680.00 2,936,000 1,438,755.00 221,600 1,928,651.00 107,135,000 97,449,730.00 8,980,000 2,664,750.00 119,200,000 28,504,000.00 6,994,000 1,864,080.00 260,100,000 3,247,500.00 146,800,000 2,002,900.00 7,146,000 13,473,210.00 162,256,603 405,466,733.00 6,740,000 20,136,820.00 76,000 42,160.00 2,243,000 2,671,880.00 176,800,000 2,078,000.00 17,100,000 221,600.00 143,000 582,930.00 6,393,100 54,881,701.00 36,416,000 163,058,610.00 217,400,000 2,704,800.00 2,022,470 242,464,487.00 1,243,000 4,909,300.00 75,800,000 812,800.00 PREFERRED 1,043,250 53,852,377.00 21,170 11,184,225.00 3,830 2,087,710 30 3,480.00 18,990 2,224,710.00 40 21,800.00 3,291,500 20,077,747.00 3,119,000 3,349,650 68,860 7,702,412.00 4,640 4,828,760.00 770 785,400.00 8,820 8,972,290.00 500 53,500.00 66,060 5,099,083.00 239,370 19,227,012 52,070 4,007,237.00 262,730 20,755,670.00 401,210 31,228,022.00 94,380 7,488,108.00 234,790 27,217,170.00 1,379,300 106,025,750.00 39,000 95,100.00 WARRANTS & BONDS 18,255,000 56,170,900.00 SME 148,513,100 935,757,159.00 168,000 602,540.00 5,301,000 30,482,156.00 12,616,700 213,415,110.00 EXCHANGE TRADED FUNDS 49,060 6,466,061.00

JULY 11-15, 2016 Volume Value

0.107 0.2750 0.460 42.00 14.3 31.40 1.74 3.29 30.00 0.99 7.05 1.050 5.830

61,250,000 22,130,000 2,891,000 14,500 3,834,800 16,762,900 2,255,000 616,000 167,314,200 33,353,680 12,000 11,523,000 38,684,100

6,572,350.00 6,210,200.00 1,471,150.00 593,280.00 52,326,156.00 452,246,705.00 3,908,270.00 2,016,480.00 4,949,796,310.00 23,886,650.00 81,450.00 12,090,510.00 222,618,186.00

7.28 49.4 1.25 0.620 11.2 6.5 6.71 0.0990 2.9 100.1 9.84 2.05 5.01 3.22 974.5 2324 6.30 17.04 21.00 1.16 63.3 14.20 170 11.7 0.0093 9.38 0.370 1.7300 2.8 12.94 6.49 3.04 1.18 2.71 19.98 0.580 2 4.03 5.07 3.710 11.96 5.18 2.5 142.00 17.46 2160.00 0.450 1.200 45.95 87.85 6.38 3.63 0.640 1.84 3.52 0.330 6.490

384,400 382,700 20,000 4,412,000 6,700 370,700 58,169,000 4,039,340,000 16,376,000 2,386,870 15,200 67,000 1,452,900 4,000 20 391,805 864,800 3,921,000 95,900 200,000 9,196,660 617,100 400 7,500 72,000,000 1,696,100 324,020,000 136,172,000 7,651,000 48,800 994,100 3,911,000 2,000 95,000 2,500 162,000 280,000 104,226,000 124,551,000 109,233,000 511,000 220,900 33,000 37,890 8,812,400 746,150 19,580,000 73,391,000 14,705,000 6,532,040 4,835,600 28,949,600 22,315,000 2,000 8,276,000 2,590,000 1,329,500

2,815,944.00 18,782,275.00 37,170.00 2,656,200.00 74,824.00 2,459,412 397,923,329.00 371,797,640.00 47,179,610.00 238,277,759.00 149,022.00 131,030 7,293,070.00 12,880.00 18,855.00 914,736,540 5,486,697.00 68,836,740.00 2,019,860 231,020.00 581,314,338.50 8,674,438 62,630 86,742.00 664,500.00 15,905,300.00 116,088,450.00 231,909,370.00 21,019,710.00 630,866.00 6,419,514 11,925,260.00 2,230.00 251,250.00 49,940 94,510.00 556,010.00 422,666,290.00 603,237,070.00 426,534,930.00 6,113,676.00 1,145,662 81,590.00 4,839,275.00 145,603,920.00 1,569,695,880.00 8,858,800.00 87,960,730.00 677,553,685.00 561,139,441.50 31,275,979.00 138,773,480.00 13,673,850.00 3,740.00 28,703,860.00 845,250.00 8,457,938.00

0.0040 3.27 4.36 11.80 0.227 6.6000 6.7000 0.61 0.500 8.70 0.900 0.290 0.240 0.250 0.0120 0.0130 1.86 6.09 2.81 0.5500 1.2000 0.0120 0.0120 4.11 8.79 4.79 0.0130 120.30 4.02 0.0110

1,137,000,000 9,375,000 854,000 22,300 5,680,000 140,300 24,100 3,163,000 6,723,000 61,800 72,167,000 4,150,000 163,090,000 21,490,000 341,900,000 204,400,000 2,264,000 71,165,800 4,618,000 906,000 1,619,000 292,700,000 16,500,000 91,000 23,604,900 147,661,600 148,100,000 1,349,820 5,795,000 187,400,000

4,567,900.00 21,002,790.00 3,690,930.00 251,718.00 1,296,680.00 895,208.00 167,506.00 1,985,990.00 3,365,755.00 539,210.00 63,914,910.00 1,200,200.00 39,627,880.00 5,394,780.00 4,106,500.00 2,575,000.00 4,169,790.00 413,868,157.00 12,906,300.00 490,340.00 1,932,060.00 3,613,600.00 209,100.00 369,730.00 206,119,613.00 750,748,396.00 1,902,100.00 163,202,794.00 23,820,020.00 1,968,800.00

49.5 540 546

892,800 4,050 3,180

43,928,900.00 2,187,150.00 1,733,200

115.5 541.5 6.1 1.07 111.7

75,230 150 1,425,400 4,000 55,730

8,696,052.00 81,200.00 8,722,838.00 4,280 6,225,220.00

1120 1019 106.3 78.5 80.1 76 79 78 79 77.7 76.9

1,570 9,135 20,160 19,010 321,590 184,690 145,360 254,670 484,060 362,970 602,620

1,758,450.00 9,323,330.00 2,143,010.00 1,497,091.00 25,848,610 14,091,140.00 11,446,735.50 19,834,781.00 38,114,957.00 27,936,113.00 46,341,116.50

2.550

2,228,000

5,789,840.00

6.05 3.33 5.79 16.5

131,985,100 73,000 26,785,100 6,429,200

729,080,193.00 268,940.00 141,904,010.00 105,527,336.00

132

74,320

9,668,405.00

WEEKLY MOST TRADED STOCKS Boulevard Holdings Abra Mining Cemex Holdings Manila Mining À’ Philodrill Corp. À’ Oriental Pet. À’ Nickelasia Metro Pacific Inv. Corp. Island Info Alterra Capital

VOLUME 1,707,850,000 790,000,000 437,551,100 260,100,000 217,400,000 176,800,000 162,256,603 154,726,800 148,600,000 148,513,100

STOCKS Cemex Holdings Ayala Land `B’ SM Prime Holdings SM Investments Inc. Universal Robina I.C.T.S.I. Ayala Corp `A’ PLDT Common Metro Paciﬁc Inv. Corp. Metrobank

VALUE 4,896,101,310.00 2,852,425,235.00 2,605,786,620.00 2,088,490,835.00 1,683,748,620 1,659,266,484.50 1,653,497,218.00 1,150,202,970.00 1,131,334,264.00 1,103,982,610.00

Market likely to set new record STOCKS are expected to move higher this week, which may send the benchmark index to a new record level, on sustained inflow of foreign funds and expectations of positive secondquarter earnings. Analysts said investors would closely watch the upcoming policy meetings of US Federal Reserve and Bank of Japan. Expectations are high they monetary policies will be kept unchanged given the impact of ‘Brexit’ on the global and financial markets. Investors are also looking forward to President Rodrigo Duterte’s first State-of-the-Nation Address to get details on his 10-point economic agenda, especially in expediting infrastructure spending. “If part of his speech will move on this note, holdings, infra-related plays might lead the limelight. Meanwhile, angles relating to lowering of income and corporate taxes might provide the boost for consumer-spending and investment-related companies,” online brokerage company 2TradeAsia.com said. A&A Securities trader Justino Calaycay said this week’s trading would also mark the final week of trades in July, setting the backdrop for possible mild window-dressing in line with the onset of the second-quarter earnings season. Calaycay said with the onset of the so-called ghost month in August, the index could face the challenge of sustaining a level above 8,000 points. Jenniffer B. Austria

Korea’s HiBrunch to open By Othel V. Campos KOREAN food brand HiBrunch has signed a master franchise agreement with a local conglomerate for a 1,000-store expansion in the Philippines. HiBrunch chief executive officer Sim Woo Yo said the Philippines was a special market for Korea because of its consistent following of Korean trends. “[The] Philippines has always been in the radar of anything Korean, from television shows to pop and culture, cosmetics, fashion, hairstyle and now, food. We are expecting that our entry will contribute to the love of Filipinos for Korean lifestyle,” he said. The company negotiated with Forever Rich Philippines Inc. to put up at least 25 stores in the first year. It is opening its first store in Robinson’s Galleria by November and another branch, possibly within Bonifacio Global City. Forever Rich CEO Susan Barlin said her company would expandthe brand using the franchise model. “We will have at least six company-owned stores and the rest of the 1,000-store program will be franchises,” she said adding the first 12 franchisees would get a rebate or discount as part of the initial offering.

Manila

Business Standard

MONDAY, JULY 25, 2016 extrastory2000@gmail.com

TODAY

PAL to buy turboprop planes By Darwin G. Amojelar

HILIPPINE Airlines said it plans to acquire new turboprop aircraft next year to replace old small airplanes.

“We are still working on it. We are still operating nine turboprop aircraft. We are working on replacement for the older ones to give passengers a great experience,” PAL president and chief operating ofﬁcer Jaime Bautista said. Bautista said the company planned to buy new smaller aircraft in 2017 or 2018. “It’s not expensive, you can buy it at little over $20 million each,” he said. PAL currently owns four Bombardier DHC 8-300 aircraft and ﬁve Bombardier DHC

Investors wait for new Peza executive By Othel V. Campos FOREIGN investors deferred expansion plans in economic zones, as President Rodrigo Duterte has yet to announce the new director-general of Philippine Economic Zone Authority after the resignation of Lilia de Lima. Peza promotions and public relations manager Elmer San Juan said foreign investors became cautious on spending for programmed expansion. “There are still some expansion going, but a bigger portion have slowed down. Some of them told us that instead of doing immediately their expansion, they’re to wait for the new [Peza] appointee,” San Juan said over the weekend. He said several European and American companies expressed concern over the recent shakeup at Peza, although this was expected with the change of the administration. “Even members of the Joint Foreign Chambers have expressed concern. We understand where they are coming from since our former director general, Lilia de Lima has been governing the agency for 18 years and investors have gotten used to how Peza deals with them,” San Juan said. San Juan said if the current situation persisted until the end of the year, Peza could post a flat growth this year. Investments approved by Peza rose 5.5 percent in 2015 to P295.09 billion from P279.48 billion in 2014. Investments approved by Peza rose 18.7 percent in the first four months to P48.75 billion from P41 billion a year ago. Volume of projects also increased 11.2 percent to 208. Among the major investments approved by Peza this year were P15.72 billion by a Dutch company, a P10.1billion expansion by a Korean company, P5 billion in a tourism enterprise by MJC Investments Corp., P3.2 billion by renewable energy company Petrosolar Corp., P2.96-billion expansion by a Japanese electronics company, P2.1 billion by another Dutch IT company, P1.7 billion by Infinity Philippines and P1.5 billion by DCS Development Corp. Direct employment by all Peza-accredited economic zones reached 1.255 million as of end-April 2016, with information technology and business process outsourcing accounting for almost half of the manpower.

8-400 aircraft which PAL dry leased to sister company PAL Express. A dry lease is a leasing arrangement where an airline provides an aircraft, without crew, to another airline. PAL Express uses these aircraft to ﬂy to provincial destinations. PAL’s domestic network, including those operated by PAL Express, covers 31 cities and towns in the Philippines. It serves the following domestic destinations: Bacolod, Basco, Butuan, Busuanga, Cagayan, Calbayog, Catar-

MATTHEW ROSS CO TAN

GREEN LIGHT

man, Caticlan, Cebu, Cotabato, Davao, Dipolog, Dumaguete, General Santos, Iloilo, Jolo, Kalibo, Laoag, Legazpi, Manila, Masbate, Naga, Ozamiz, Puerto Princesa, Roxas, Surigao, Tablas, Tacloban, Tagbilaran, Tuguegarao and Zamboanga. Domestic operations contributed 20 percent to PAL’s total revenue last year. The airline, now wholly-owned by tycoon Lucio Tan after he bought back a 49-percent stake that San Miguel Corp. purchased from him in 2012, posted a net income of P2.71 billion in January to March, down by 28 percent from P3.78 billion last year. Revenues rose 4.1 percent in the ﬁrst quarter to P29.12 billion from last year’s P27.98 billion. Passenger revenues rose to P24.65 billion in the ﬁrst quarter

Bautista

from P23.09 billion in the same period last year. Cargo revenues fell 31 percent to P1.47 billion from P2.14 billion. Expenses in January to March grew 6.2 percent to P26.2 billion

Change antidote

JOB descriptions are an important tool to divide different processes throughout the workflow process for a product or service. This has to be accompanied by an intense job analysis. According to the article, Importance of a Job Description by Mary Massad, from entrepreneur. com, job analysis is used to know the mental/ physical tasks involved, how the job will be done, the reason the job exists and the qualifications needed to perform. Consequently, big companies have been able to perform well because the right people have been placed in the right positions and know their roles. A call for change In our family business which belongs to the tire industry, we don’t have job descriptions because we want to accomplish various tasks at the fastest time. There are only three people in the managerial level, but we believe we get things done. Our traditional way of running the business has not changed since the ‘70s. Another reason for not clearly defining roles is because we also want to be hands on with our business; all three of us know every aspect of our jobs. However, there are times when some tasks are forgotten when we get too busy. As a result, we have come to realize that there is a need to enumerate the different tasks in the company, combine them and assign each to a person. The collaboration As the management team, we need to first evaluate our various responsibilities and how each task combination will affect the company and the incumbent officer. All the tasks need to be laid out to make sure none is forgotten. Each one must be weighed so that the duties and responsibilities given out per office is fair.

To push through with this solution, every member of the managerial level must cooperate and embrace the change. In our action research class, I learned that there must be a commitment by the whole organization for change to manifest itself. The antidote Each member of the managerial level must be given job descriptions. There will be a balance of difficult and easier tasks assigned to each individual so each one will still have a significant role in the company. The job assignments will continually change depending on the need to extend an individual’s job description or introduce new tasks. Initially, the older managers can be given risky tasks, while I try to familiarize myself with other relevant activities. I will accept more challenging tasks as I grow in the organization. Furthermore, once the tasks are identified, we will be able to accomplish all that we need to do. If something is not done or incomplete, we would know who is accountable, and this individual can do better the next time around. Having a well-crafted set of job descriptions can help the management team to clearly understand the expectations of their individual roles, making it easier to manage expectations and performance. The author is an MBA student of the Ramon V. del Rosario College of Business. This reflection was written as part of the course requirements for Strategic Human Resource Management.

from P24.7 billion last year. Bautista earlier said it was studying the government’s request to transfer turboprop operations to Clark Airport from Ninoy Aquino International Airport, which was highly congested. “Not all [of our domestic ﬂights]. We are still studying it,” he said. “We are working on it. The reason why the government wants us to move some ﬂights to Clark is because we want to decongest Manila to prevent inconvenience to the passengers,” Bautista said earlier. Bautista said the airline would study the impact of the proposal on passengers and on the company’s operating cost. Bautista said the government should provide additional in-

frastructure before transferring some of its operations to Clark. Transportation Secretary Arthur Tugade earlier said the agency planned to ask airlines to transfer their turboprop operations to Clark as a part of the government program to decongest Naia. Japan International Cooperation Agency said Naia was expected to exceed its maximum handling capacity this year, when the airport would handle 37.78 million passengers. Its maximum handling capacity stands at 35 million passengers a year. PAL incurred additional costs of at least P5.7 million due to diverted ﬂights brought about by the closure of the Ninoy Aquino International Airport on Monday.

INVITATION TO BID FOR THE SUPPLY, DELIVERY AND INSTALLATION OF CARPET WITH UNDERLAY FOR CASINO FILIPINO – TAGAYTAY UNDER ITB NO. PB16-013TAG-07 The Philippine Amusement and Gaming Corporation (PAGCOR) is inviting all interested bidders in its forthcoming public bidding for the Supply, Delivery and Installation of Carpet with Underlay for Casino Filipino - Tagaytay under ITB No. PB16-013TAG-07. Brief Description

Supply, Delivery and Installation of Carpet with Underlay for Casino Filipino – Tagaytay

Delivery Schedule

Within One Hundred Twenty (120) calendar days from the effectivity date specified in the Notice to Proceed.

Approved Budget for the Contract (ABC):

The ABC for the project is in the amount of Nine Million Three Hundred Twenty-Five Thousand Pesos (PhP9,325,000.00), VAT Exclusive, Zero Rated Transaction.

Source of Funds:

Internally Funded

Bidder should have completed, within the last five (5) years before the date of submission and receipt of bids, a contract similar to the Project. The description of an eligible bidder is contained in the Bidding Documents, particularly, in Section II. Instructions to Bidder. Bidding will be conducted through open competitive bidding procedures using a non-discretionary “pass/fail” criterion as specified in the Implementing Rules and Regulations (IRR) of Republic Act (RA) 9184, otherwise known as the “Government Procurement Reform Act”. Bidding is restricted to Filipino citizens/sole proprietorships, partnerships, or organizations with at least sixty percent (60%) interest or outstanding capital stock belonging to citizens of the Philippines, and to citizens or organizations of a country the laws or regulations of which grant similar rights or privileges to Filipino citizens, pursuant to RA 5183 and subject to Commonwealth Act 138. All particulars relative to Pre-Bid Conference, Detailed Evaluation of Bids, Post-Qualification and Award of Contract shall be governed by the pertinent provisions of R.A. 9184 and its IRR. The schedule of activities is listed, as follows: 1. 2. 3. 4.

Activities Issuance of the Bidding Documents Pre-Bid Conference Deadline for the Submission and Receipt of Bids Opening and Preliminary Examination of Bids

Schedule July 25 to August 15, 2016 August 1, 2016 (Monday), 2:00 P.M. August 15, 2016 (Monday), 2:00 P.M. August 15, 2016 (Monday), 2:00 P.M. onwards

Complete details of the project are indicated in the bid documents which will be available to prospective bidders at the BBAC Secretariat, BAC Services Section, Casino Filipino - Tagaytay upon payment of a non-refundable cost for the sale of bidding documentsin the amount of Ten Thousand Pesos (PhP10,000.00). Prospective bidders may also download the Bidding Documents free of charge from the following websites: www.pagcor.ph and www.philgeps.gov.ph and may be allowed to submit bids provided that bidders shall pay the non-refundable bidding fee not later than the date of the submission of bids. The Pre-bid Conference is open to all prospective bidders. Prospective bidders should present to Finance Section, Third (3rd) Floor, Casino Filipino – Tagaytay, Km 60, Aguinaldo Highway, Tagaytay City either the Bidding Fee Slip which may be secured from the BBAC Secretariat or a copy of this ITB in effecting payment for the Bidding Documents. All bids must be accompanied by a bid security in any of the acceptable forms and in the amount stated in ITB Clause 18. PAGCOR assumes no responsibility whatsoever to compensate or indemnify bidder for any expenses incurred in the preparation of their bids. In accordance with Government Procurement Policy Board (GPPB) Circular 06-2005 - Tie-Breaking Method, the Branch Bids and Awards Committee (BBAC), CF-Tagaytayshall use a non-discretionary and non-discriminatory measure based on sheer luck or chance, which is “DRAW LOTS,” in the event that two or more bidder have been post-qualified and determined as the bidder having the Lowest Calculated Responsive Bid (LCRB) to determine the final bidder having the LCRB, based on the following procedures: 1. In alphabetical order, the bidder shall pick one rolled paper. 2. The lucky bidder who would pick the paper with a “CONGRATULATIONS” remark shall be declared as the final bidder having the LCRB and recommended for award of the contract. PAGCOR reserves the right to accept or reject any Bid, and to annul the bidding process and reject all Bids at any time prior to contract award, without thereby incurring any liability to the affected bidder or bidder. Please address all communications to the Branch Bids and Awards Committee thru the BBAC Chairperson, Ms. Marie Yvonne C. Sevilla, Casino Filipino – Tagaytay, Km 60, Aguinaldo Highway, Tagaytay City, Tel No. (046)413-1506 local 438. (SGD)MARIE YVONNE C. SEVILLA Chairperson Branch Bids and Awards Committee (BBAC) Casino Filipino - Tagaytay

(TS JULY 25, 2016)

The views expressed above are the author’s and do not necessarily reﬂect the ofﬁcial position of De La Salle University, its faculty and its administrators.

Customs to auction sunken cargo vessel By Gabrielle H. Binaday THE Bureau of Customs said over the weekend it plans to hold a public auction “at the soonest possible time” for a cargo ship that sank in Manila Bay on July 17. M/V Captain Ufuk H8EH, a cargo ship of Panamanian registry, was seized for carrying smuggled unlicensed ﬁrearms in 2009 and sank last week after water seeped through a hole on the ship. Efforts are now underway for salvage operations. The Finance Department said the Bureau of Customs paid P26.5 million to Radial Golden Marine Services just to safeguard and maintain the vessel since it was seized in 2009. Customs commissioner Nicanor Faeldon said the public auction of M/V Captain Ufuk H8EH was in line with the provisions of Republic Act No. 10863 or the Customs Modernization and Tariff Act of 2016, which provided three modes of disposing goods seized by the agency. Under Section 1141 of CMTA, forfeited goods for disposition may either be donated to another government agency, declared for ofﬁcial use by the bureau after the approval of the Finance Secretary or “sold at public auction within 30 days after a 10-day notice posted at a public place at the port where the goods are located and published electronically or in a newspaper of general circulation.” Faeldon’s memorandum also cited special provisions of the 2016 General Appropriations Act which stated that motor transport equipment and other articles forfeited or abandoned in favor of the government should be sold at public auction by the Finance Department upon recommendation of the commissioner. Customs deputy commissioner Arturo Lachica, who chairs the bureau’s negotiated sale committee, recommended to Faeldon the disposition of the sunken vessel through a negotiated sale “at the soonest possible time.”

NOTICE OF WITHDRAWAL OF LICENSE TO TRANSACT BUSINESS IN THE PHILIPPINES OF CONTINENTAL MICRONESIA, INC. Notice is hereby given that on 20 January 2016, the Board of Directors of CONTINENTAL MICRONESIA, INC. (”CMI”) through its duly authorized officer, approved the withdrawal of the license to transact business in the Philippines of CMI – Philippine Branch. The Petition for Withdrawal of this license will be filed with the Securities and Exchange Commission (“SEC”). All persons having just claims against CMI are requested to present the same at the 4th Floor, IPT Building, Ninoy Aquino International Airport, Pasay City, Philippines. This serves as notice to all parties concerned of CMI`s petition for withdrawal of (TS-JULY 11,18 & 25, 2016) license. Republic of the Philippines R EGIONAL TRIAL COURT National Capital Judicial Region BR ANCH 214 Mandaluyong Cit y R AMON FORTUNADO BASL AO, Petitioner, -versusCIVIL CASE NO. MC15 - 9616 For: DECL AR ATION OF NULLIT Y OF MARRIAGE DULCENIA A . SAYNES, Respondent . x- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -x ORDER This is a petition for nullity of marriage filed by Ramon Fortunado Baslao (PETITIONER) against Dulcenia A. Saynes (RESPONDENT) on 26 August 2015. PETITIONER prays that the after due notice and hearing, judgment be rendered declaring his marriage with RESPONDENT null and void ab initio on the ground of psychological incapacity of the RESPONDENT under Article 36 of the Family Code of the Philippines. PETITIONER further prays for such other reliefs just and equitable under the circumstances. To support his claim, PETITIONER cites the following allegations: (1) That the PETITIONER is of legal age, a Filipino citizen, an overseas filipino worker and with address at 288-A Sen. N. Gonzales Street, Mandaluyong City while RESPONDENT is likewise of legal age, a Filipino citizen, with last known address at No. 1317, Legarda Street, Sampaloc, Manila; (2) That PETITIONER and RESPONDENT entered into marriage ceremony on 25 July 1988 in Ermita, Manila and solemnized by minister Rev. Antonio Nacianceno (Marriage Contract is attached to the Petitioner, as Annex “A”) (3) That out of their marriage, PETITIONER and RESPONDENT spouses begot two children named Raymond S. Baslao and Ramon Baslao, Jr., both presently of legal age; (4) That after the birth of the spouses’ first son, RESPONDENT went back to her parents in Quezon Province and when (TS - July 25, & Aug. 1 & 8, 2016)

cols. x

RESPONDENT gave birth to their second son, RESPONDENT stayed with PETITIONER at their residence in Manila for two months and returned to Quezon province; (5) That PETITIONER and RESPONDENT did not actually lived together as husband and wife because RESPONDENT refused to live with PETITIONER and preferred to live with her parents because the latter’s parents were against the PETITIONER; (6) That in order to support their two sons, PETITIONER worked as an overseas contract worker (7) That since 2008, PETITIONER completely lost contact with RESPONDENT and did not know her whereabouts; (8) That the last known address of RESPONDENT is at No. 1317 Legarda Street, Sampaloc, Manila, and (9) That RESPONDENT is psychologically incapacitated to discharge the essential marital obligations. Consequently, Summons together with its annexes was sent to RESPONDENT in her last known address at No. 1317 Legarda Street, Sampaloc, Manila. However, it was returned UNSERVED with the information that RESPONDENT’s address is nonexistent (Sheriff’s Report of Service dated 04 December 2015). WHEREFORE, finding the petition to be sufficient in form and substance and pursuant to Supreme Court A.M. No. 02-11-10-SC in rel. to Sec. 15, Rule 14 of the Rules of Civil Procedures, let SUMMONS be served upon RESPONDENT DULCENIA A. SAYNES by PUBLICATION in a newspaper of general circulation in the Philippines accredited by the Office of the Executive Judge of Regional Trial Court, Mandaluyong City once a week for THREE (3) CONSECUTIVE WEEKS and a copy of the summons and this Order be sent to RESPONDENT by registered mail to her last known address all at the expense of the PETITIONER. Finally, RESPONDENT is directed to file her Answer to the Petition within SIXTY (60) DAYS from the last issue of this Notice. SO ORDERED.

Republic of the Philippines MUNICIPALITY OF SANTO DOMINGO Province of Ilocos Sur BIDS AND AWARDS COMMITTEE

======================================================

INVITATION TO BID The Municipality of Santo Domingo, Ilocos Sur, through its Bids and Awards Committee (BAC), invites contractors registered with and classified by the Philippine Contractors Accreditation Board (PCAB) to apply for eligibility and if found eligible, to bid for the hereunder contract: Name of Contract Location Brief Description Contract Ref. Number Approved Budget for the Contract (ABC)

cms.

: Php 8,000,000.00

Source of Fund

: NATIONAL TOBACCO ADMINISTRATION

Contract Period

: 153 WORKING DAYS

Prospective bidders should possess a valid PCAB License applicable to the contract, have completed a similar contract with a value of at least 50% of the ABC, and have key personnel and equipment (listed in the eligibility forms) available for the prosecution of the contract. The BAC will use non-discretionary “pass/fail” criteria in the Eligibility Check/Screening as well as the Preliminary Examination of Bids. The BAC will conduct post-qualification of the lowest calculated bid. All particulars relative to Eligibility Statement and Screening, Bid Security, Performance Security, Pre-bidding Conference, Evaluation of Bids, Postqualification and Award of Contract shall be governed by the pertinent provisions of RA 9184 and its Implementing Rules and Regulations (IRR). The schedule of BAC Activities is as follows: BAC ACTIVITIES

SCHEDULE

1. Advertisement /Posting of Invitation To Bid/Request for Expression of Interest

JULY 26 – AUGUST 01, 2016

2. Pre-bid Conference

AUGUST 02, 2016; AT 9:00 A.M.

3. Receipt of Eligibility Requirements

BEFORE AUGUST 16, 2016 AT 9:00 A.M.

4. Issuance of Bidding Documents

AUGUST 01-16, 2016;8:00 A.M. 5:00 PM

5. Receipt and Opening of Bids

AUGUST 16, 2016 AT 9:00 A.M.

The BAC will issue to prospective bidder/s Eligibility Forms at the Office of the BAC Chairman upon their payment of non-refundable of Ten thousand pesos (Php 10,000.00) to the Municipality of Santo Domingo Cashier. The Municipality of Santo Domingo assumes no responsibility whatsoever to compensate or indemnify bidders for any expenses incurred in the preparation of their bids. Prepared by: (SGD) DR. MA. CORAZON V. TADENA BAC Secretariat

Mandaluyong City. 29 March 2016. (Sgd.) IMELDA L . PORTES- SAULOG Presiding Judge

: REHABILITATION/CONSTRUCTION OF IRRIGATION CANAL : LAOINGEN,BOROBOR, CALAUTIT,STO. DOMINGO, ILOCOS SUR : TO DO THE CONSTRUCTION/REHABILITATION OF THE PROJECT : I – 16 –07 – 014

( T S - J U LY 2 5 , 2 016)

Approved by: (SGD) LUIS T. GONZALES BAC Chairman

Ray S. Eñano, Editor business@manilastandardtoday.com extrastory2000@gmail.com

MONDAY, JULY 25, 2016

Business

G20: Brexit hikes growth risk

HENGDU, China―Britain’s vote to leave the European Union heightens risks for the world economy, ﬁnance chiefs from the G20 group of leading countries said Sunday at a meeting in China.

The outcome of last month’s referendum “adds to the uncertainty in the global economy,” the meeting’s host, Chinese ﬁnance minister Lou Jiwei, said after it concluded. But he added that EU member countries were “well positioned to proactively address the potential economic and ﬁnancial consequences stemming from the UK referendum.” The issue has come to the

forefront of the G20’s concerns at the meeting in Chengdu, the last before the grouping’s annual summit, to be held in the Chinese city of Hangzhou in September. Ahead of the meeting the International Monetary Fund downgraded its forecast for global growth this year, and ofﬁcials in Chengdu said protracted talks between the EU and Britain over the departure

could heighten risks. “It won’t mean that they’ll get there in a week or a month. It’s a process that could take longer,” a senior US Treasury official told journalists on Saturday. “The thing that would be very disruptive to confidence is if this becomes a highly confrontational process,” he said. Britain’s new finance minister Philip Hammond on Saturday met his German counterpart Wolfgang Schaeuble and tweeted: “We agree we need a deal that works for the people of Britain & Germany.” At a family photo on Sunday, Hammond was seated in the front row, but spent most of the event conversing only with one

of his neighbours, World Bank president Jim Yong Kim. The IMF has expressed alarm over Britain’s looming departure from the EU. “’Brexit’ marks the materialiZation of an important downside risk to global growth,” IMF staff said in a report ahead of the meeting. The IMF recently lowered its forecasts for global growth this year and next by 0.1 percentage point, to 3.1 percent and 3.4 percent respectively. “But with ‘Brexit’ still very much unfolding, more negative outcomes are a distinct possibility,” the report said. Other challenges threaten: a slowdown in the Chinese econ-

omy, as well as terrorist attacks and the failed coup in Turkey― which have rattled ﬁnancial markets. China’s economy, the world’s second largest, is caught in a fundamental transition to making domestic consumption the key driver instead of massive public spending and cheap exports. Turkey’s Deputy Prime Minister Mehmet Simsek, who attended the meeting, said on Twitter that the attempted putsch against President Recep Tayyip Erdogan would not merit mention in the ﬁnal communique. At an earlier meeting in Chinese commercial hub Shanghai

in February, the G20 finance chiefs agreed to use “all policy tools,” including monetary easing, fiscal spending and structural change to boost growth. The IMF has called on some countries, notably Germany and the United States, to boost spending on infrastructure, which has been opposed by Berlin. “The world economy is beleaguered with many serious problems,” China’s Lou said on Saturday. “We should make monetary policy more forward-looking and transparent, enhance the effectiveness of fiscal policy... so as to support stronger recovery of the world economy.” AFP

Spain, Portugal face reduced EU funding

Finance ministers and central bank governors pose for a ‘family photo’ at the G20 ﬁnance ministers meeting in Chengdu, in China’s Sichuan province on July 24, 2016. Government representatives and central bank chiefs from the world’s top 20 economies have gathered in the southwestern Chinese city of Chengdu on July 23-24 with the impact of Britain’s vote to leave the European Union high on the agenda. AFP

IMF urges advanced economies to boost spending CHENGDU, China―The International Monetary Fund has warned risks to the global economy are growing, as it called on some G20 nations to boost government spending. Central bank chiefs and ﬁnance ministers from the world’s top 20 economies gathered in the southwestern Chinese city of Chengdu on Saturday to tackle a slowing global economy facing new uncertainties with Brit-

ain voting to leave the European Union. “Global growth remains weak, and downside risks have become more salient,” the IMF said in a report released ahead of the G20 meeting. “Growth could be even lower if the current increases in economic and political uncertainty in the wake of the ‘Brexit’ vote continue.” In an update to its April fore-

cast, the IMF lowered its forecasts for global growth this year and next by 0.1 percent, to 3.1 percent and 3.4 percent respectively. Britain’s new ﬁnance minister Philip Hammond is among those attending to deliver a message that his country is still “open for business,” according to a statement from the British treasury. The IMF wants advanced economies like Germany and the

United States to channel more public spending into infrastructure investment to help boost global growth, an issue that has sparked divisions among G20 members. “Reforms that facilitate the scaling up of infrastructure investment would help raise productive capacity, boost shortterm demand directly, and catalyse private investment,” it said. AFP

BRUSSELS, Belgium―The EU should suspend structural funds to Spain and Portugal after they failed to rein in their debt, according to a letter from the European Commission seen by AFP on Saturday. Eurozone finance ministers agreed this month to impose unprecedented sanctions against Spain and Portugal for overstepping the bloc’s budget deficit limits. The penalties would be the first time Brussels has wielded its disciplinary powers over member states’ budgets, in a move that has inflamed tensions over its power. European Commission vice president Jyrki Katainen said “socioeconomic factors,” including the Iberian countries’ high rates of unemployment, should be taken into account when deciding how much to suspend. “We remain at your disposal to participate in a structural dialogue with the European Parliament on the application of these measures, with a view to make a balanced proposal,” he said in a letter to the president of the European Parliament, Martin Schulz. Attached to the letter was a list of 12 Portuguese funds and 60 Spanish that could be suspended, either completely or in part. Structural funds are used to address regional disparities within the bloc. Earlier this month, eurozone finance ministers found Portugal and Spain had not taken “effective action” to rein in their deficits, which remain larger than EU rules allow after years of painful austerity. Germany’s Finance Minister Wolfgang Schaeuble urged the Commission to propose the complete or partial suspension of structural funds for projects in 2017 as a penalty. The EU’s executive branch could also hand down huge fines that could reach up to 0.2 percent of their GDP. A source, who asked not to be named, said that is expected to be decided by July 27. The penalties have inflamed tensions in the EU at a time when politicians are seeking more political unity after Britain’s surprise vote to leave the bloc. Portuguese Prime Minister Antonio Costa hit out against the plans on Saturday, saying: “There is no justification for imposing sanctions for not reaching a target in 2015, when the European Commission itself recognises that we will reach this year’s goal.” Portugal is aiming for a budget deficit of under three percent of GDP, down from 4.4 percent last year. Spain, which has been in political deadlock since December, reported a deficit of 5.1 percent of GDP in 2015, way off the target of 4.2 percent set by the Commission. AFP

THE CHEVENING RESPONSE TO THE CALL FOR PUBLIC SERVICE

Nigel Boud, Deputy Head of Mission, British Embassy Manila; Rob Contractor, 1st Secretary Political and Economic, British Embassy Manila Standing from left: Atty. Michael Toledo, Jake Lagonera, DOTr ASEC Atty. Gerard Chan, Charles Gamo, Rep Atty. Ron Salo, Atty. Algamar Latiph, UK Embassy Manila’s Rob Contractor and Nigel Boud, DFA Usec. Dondi Teehankee, Atty. Joel Lloren, Elcid Pangilinan, Atty. Joel Gregorio. Seated from left: Ms Jen Yu, Atty. Maisara Dandanum-Latiph, Veronica Pangilinan

THE pursuit of studies abroad has always been a badge for career advancement. More often than not, however, such a badge leads us down the path of public service where the studies and even training acquired from a foreign country can be maximized and utilized to its fullest. I recently hosted an informal dinner, as President of the Chevening Alumni Foundation of the Philippines Incorporated (CAFPI), to honor Chevening scholars who were recently appointed to government or elected into public ofﬁce. Those feted at the dinner were: Department of Transportation Under Secretary for Planning Rommel Gavieta, who was my Chevening batch mate in the United Kingdom; Department of Foreign Affairs Under Secretary for International Economic Relations, former WTO Ambassador Manuel A.J. “Dondi” Teehankee; Department of Transportation Assistant Secretary Gerard Chan; and Representative Ron P. Salo of the Kabalikat ng Mamamayan (KABAYAN) Party-list. Not present but,

with DFA Usec. Dondi Teehankee

nonetheless, included in our honoring was current Commission on Human Rights (CHR) Chairman Jose Luis “Chito” Gascon whose term of office started in the previous administration. CAFPI is an association of scholars who finished their studies in the United Kingdom under a British Government Scholarship grant. Chevening is the UK government’s international awards scheme aimed at developing global leaders. Funded by the Foreign and Commonwealth Office (FCO) and partner organizations, Chevening

offers two types of award—Chevening Scholarships and Chevening Fellowships—the recipients of which are personally selected by British Embassies and High Commissions throughout the world. Other Chevening scholars who have answered the call to public service include Foreign Affairs Assistant Secretary for European Affairs and former Philippine Ambassador to Germany Maria Cleofe Natividad; Foreign Affairs Assistant Secretary for Human Resource Management Ma. Aniceta Aileen Bugarin; Assistant Secretary for Asia and Paciﬁc Affairs (ASPAC) Millicent Cruz – Paredes; and Assistant Secretary for Middle East and African Affairs Hjayceelyn M. Quintana. Consul General Henry Bensurto Jr., who served as part of the Philippine team to the victorious arbitration case on the West Philippine Sea, was also a Chevening alumnus. So was former Arroyo Senior Deputy Executive Secretary Joaquin “Jake” Lagonera and Aquino Finance Undersecretary Carlo A. Carag. In the judiciary we have highly respected alumnae in Pampanga RTC Judge Ma. Amifaith Fider-Reyes and Pasay RTC Judge Rowena Nieves A. Tan. I will not be surprised if, someday soon, we will have a Chevening alumnus or alumna in the Supreme Court. We also have several alumnus and alumna in the private sector who are occupying or who have occupied high positions in the corporate, professional, and NGO world. These, however, deserve another column. Truly the bulk of Chevening alumni is in public service, a healthy sign that the passion to serve, to go into public service, has not waned. It does burn brightly, truth be told! Someone once said that there can be no greater calling than public service. The Chevening alumni embrace that creed with much zeal and fervor. A Chevening alumnus or alumna as President? Only time can tell.

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UNITS

MONDAY, JULY 25, 2016

BROWN BEAUTY. Mary Jade Capin (center) was crowned Miss Dapitan 2016 on Saturday. Capin bested 11 other candidates for saying every Filipina should be proud of and ﬂaunt her brown skin. With her is ﬁrst runner-up Sheela Andre Bayon (left) and second runner up Rosa Fabiola Calog (right). Dapitan City is the historical city where National Hero Dr. Jose Rizal was exiled in this city from 1892 to 1896. Lance Baconguis

Digong’s Davao: PH role model By F. Pearl Gajunera

DAVAO CITY—Part of the reason millions of voters supported President Rodrigo Duterte is his promise to replicate across the country the reforms he implemented in his 40 years as a public servant of Davao City, which has been hailed for its peace and order and business-friendly climate. In the recent survey of numbeo.com the city ranked 20 among the safest cities in the world, with 1.7 million people living securely. City Councilor Bernard Al-ag said the city is still the top Philippine exporter of banana and pineapple. The other booming businesses in Davao City are real estate and tourism. In Mindanao, Davao City has the most number of hotels and malls

as of the moment, which shows the conﬁdence investors have in the city. Duterte achieved all this by increasing the city’s intelligence fund. Due to this, a Malaysian suicide bomber was killed in Davao City’s People’s Park before his bomb exploded. The Davao City Police Ofﬁce was also able to rescue a Chinese businesswoman who was kidnapped.

The President at that time kept on repeating that an intelligence fund should always be used by the local government, failure to do so can be considered negligence of duty. According to City Information Ofﬁce head, Jefry Tupas, Davao became attractive to investors because of the government’s effective anti-crime campaign implementation. “The Duterte ad-

ministration made sure that the city is secured, believing that if the city is free from threats—both external and internal—business will naturally thrive. The business environment in Davao was successfully protected over the years and this is the strength of the city,” Tupas said. Davao City has gone a long way from the 1990s when it faced criminality and rebellion. Its problem

was not only limited to criminals, since it was also the hub of the New People’s Army and terrorists roamed the city. Bombings and killings perpetrated by the Alsa Masa hogged the headlines. The rebels moved to the hinterlands when Duterte asked them to spare the city from any crimes related to ideology. According to the city’s website, in 1997 the local government and the management

of the Davao Light Power Company cooperated on the Davao City Street Lighting Project to arrest, if not completely put a stop, to the rising tide of criminality in the streets. Leading to the creation of the city’s central 911 in September 2002. In March 2003 the Davao City airport was bombed, leaving 21 peopled dead and hundreds injured. After a month, the city’s sea

port was also bombed, killing 16 civilians. The President always recalls those bloody incidents, saying he even vowed to kill himself if another explosion occurred. Those incidents gave way to the birth of Task Force Davao, a group of soldiers tasked to secure the city. However, in February 14, 2005 another explosion rocked the Davao City Over land and Transport Terminal, killing four people

even with the presence of the task force, so Duterte intensiﬁed security. From then on, the city was always placed on high alert, even without reports of threats, and the city became a haven for the people. According to Councillor Bernard Al-ag, the city’s economic progress was made possible by the man who is now the President of the country. Al-ag said that it was Duterte who emboldened the bil-

lionaires to invest their money in the city with the assurance of safety and the absence of bureaucracy. Davao City, is the only city in the country that has a free central 911 rescue and response center. It is one of the ﬁrst cities to enforce an anti-smoking ordinance, a speed limit, a Gender Development Code, and it may be the only city who welcomes rebels to its festival and other celebrations.

Mindanaoans back Duterte’s economic, peace initiatives THE Bangsamoro Business Club (BBC), the organization of enterprises in the Bangsamoro area, has urged President Rodrigo Duterte to discuss his concrete plans for the development of Mindanao in his first State of the Nation Address (SONA) today. BBC President Mohamad Omar Pasigan said Bangsamoro businesses wish to know the specific programs of the Duterte administration to boost the economy of the southern part of the country, particularly in the Bangsamoro. Specifically, BBC would like to hear the Chief Executive to detail how the government will improve infrastructure in Mindanao and how he will handle the peace negotiations in the region. Meanwhile, impressed by his inspection on Friday of the 4.5-megawatt biomass power plant here, Duterte has ordered the release of P300 million to boost agriindustrial projects in Buluan, Maguindanao. “I am willing to pour in P300 million for this,” the President said during his speech referring to the project following his tour and scrutiny of the power

plant operation. Minutes later, however, he said “Give the fund tomorrow. There is no problem since the money is available,” to the delight of both local officials and farming group representatives in the area. The facility, for one, runs on oil palm leftovers that makes it eco-friendly and new source of renewable energy. He mentioned that the provinces of Maguindanao and Sultan Kudarat are two of his priority areas for development in Mindanao. Duterte has tasked Department of Agriculture Sec. Emmanuel Piñol for the dispensation of the specific fund. Maguindanao local officials said they assured President Duterte of their commitment to the Mindanao peace process and his campaign against illegal drugs when he met with Moro leaders led by Gov. Esmael Toto Mangudadatu. For his part, Presidential Adviser on the Peace Process Secretary Jesus Dureza met Thursday with Moro Islamic Liberation Front (MILF) chairman Al Haj Murad in Sultan Kudarat town

to start the new “Roadmap to Peace” in Mindanao as approved by the President. Dureza said both parties would discuss the formation of a new government-MILF peace body inclusive of all stakeholders in Mindanao. “We would start where the peace overture was stopped and take off from there,” Dureza said referring to the failure of Congress to act on time and pass into law the Bangsamoro Basic Law that should have enabled the transition of the old Autonomous Region in Muslim Mindanao (ARMM) into the proposed MILF-led Bangsamoro regional government. “President Duterte’s decision to build on the gains of past negotiations and ensure the implementation of the long-signed

agreements between the government and both the MNLF (Moro National Liberation Front ) and MILF, in cognizance of relevant existing legislation, is a step forward in the right direction,” ARMM Gov. Mujiv Hataman said. “We also appreciate the sense of urgency that guided the decision to work on a new proposed Bangsamoro enabling law alongside moves toward the planned shift to federalism, acknowledging that the shift would take time relative to pursuing a legislation afﬁrming the gains of a peace process that has been in motion for more than a decade,” the governor added. Dureza also welcomed as “positive” the convergence of the MILF and the MNLF in putting closure to the Mindanao conﬂict. PNA

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MONDAY, JULY 25, 2016

Asian tourists love Subic, Clark By Romeo Dizon

ANGELES CITY—Koreans and Taiwanese composed the majority of the 1.4 million foreign and local tourists who visited Subic and the 900,000 who trooped to Clark in 2015, according to Ronaldo Tiotuico, the regional director of the Department of Tourism in Central Luzon. The tourists come to the Philippines for weekend casinos and golf courses, Tiotuico said. Subic attracts more tourists than Clark because it is a seaport with natural wonders, theme parks, white beaches and convention facilities that can accommodate up to 9,000 participants, he added. Clark, a former air force base, also offers casinos and two golf courses and a convention center that can hold 1,000 persons. Outside the base, Angeles City

Manila launches barangay rehab program AS MORE and more drug users and traders surrender to the police, the city government of Manila has launched a communitybased “out-patient” program, dubbed “Sagip Buhay, Sagip Pangarap” in its 896 barangays, Mayor Joseph Estrada announced. In a statement, Estrada said the proposed Sagip Buhay, Sagip Pangarap program will establish “multioption modes of quality, efficient, professional, and comprehensive” rehabilitation services in each of the 896 barangays of Manila to enable drug users to achieve complete recovery. He admitted that the city government does not have sufficient facilities to accommodate the thousands of drug suspects that have surrendered under the “Oplan Tokhang” of the Philippine National Police. “What we need is a rehabilitation program that can be implemented immediately as the number of drug users who surrender reach the thousands,” he said. The Manila mayor said he is building a 100-bed drug rehabilitation center at cityowned Boys’ Town but it may not be completed until next year. “This program brings rehabilitation direct to the community or barangay,” he pointed out as he stressed the major role of barangay officials in this program. With this communitybased treatment, Estrada explained the barangays will be able to monitor the progress of the patients, who will each be give specific kind of treatment depending on his or her needs. “Since the program is barangay-based, there will be more rehab centers to accommodate the growing number of patients all at the same time,” said Estrada’s daughter Jerika Ejercito, who heads the non-government organization Initiatives for Life and Action for Women. “The practical way to treat drug dependents in great numbers all at once is to do an in-house or residential set-up. The next phases of treatment and rehabilitation may be done on an outpatient basis,” Ejercito said. The city’s anti-drug operations saw the surrender of about 7,000 individuals and the deaths of 47 suspects during armed operations, Estrada said. In Manila, some 3,160 drug users and 595 pushers have surrendered to the Manila Police Department (MPD) as of July 10. This has more than doubled in the succeeding days, according to MPD director Joel Coronel showed.

offers culture, heritage houses and food tourism. Clark will host a bicycle race on July 30 with 600 participants. The cyclists will visit tourists spots inside the base, which is being promoted as a biking hub. There will also be a two-day trade exhibit by bicycle producers and traders at the mall inside the base, Tiotuico said Other tourist spots near Clark, Tiotuico said, are the Lahar 4x4 trail, the Mt.Pinatubo

crater and the Sta. Juliana native village, which attracts 300 tourists a week. Tourism authorities are anticipating the conversion of Clark International Airport into a dual airport, but the lack of infrastructure and trafﬁc dampens their enthusiasm. According to Tiotuico, the tourism gains of a dual airport system will spill over to

By Butch Gunio BALANGA CITY—This city will continue the promotion of organic food consumption to promote good health among its constituents. “Under the leadership of ﬁrst term tandem Mayor Francis Garcia and Vice Mayor Vianca Venzon-Gozon the program Go

IN THE MATTER OF THE APPLICATION FOR APPROVAL OF THE POWER SUPPLY AGREEMENT (PSA) BETWEEN SOUTHERN LEYTE ELECTRIC COOPERATIVE INC. AND GNPOWER LTD. CO. WITH PRAYER FOR CONFIDENTIAL TREATMENT OF INFORMATION ERC CASE NO. 2016-024 RC AND THE ISSUANCE OF PROVISIONAL AUTHORITY

12.4.

SOUTHERN LEYTE ELECTRIC COOPERATIVE, INC. (SOLECO) AND GNPOWER LTD. CO. (GNPOWER) Applicants. x---------------------------------------------x

12.5.

NOTICE OF PUBLIC HEARING TO ALL INTERESTED PARTIES: On 15 March 2016, Southern Leyte Electric Cooperative, Inc. (SOLECO) and GNPower Ltd. Co. (GNPower) filed their joint Application for approval of their Power Supply Agreement (PSA) with prayer for confidential treatment of information and issuance of provisional authority.

12.6.

In support of said Application, SOLECO and GNPower alleged, among others, the following: 1. Applicant SOLECO is a non-stock, non-profit electric cooperative, existing under laws of the Philippines, with principal office address at Brgy. Soro-Soro, Maasin City, Southern Leyte. It is authorized to distribute and provide electricity services to its member-consumers in the Municipalities of Macrohon, Padre Burgos, Malitbog, Tomas Oppus, Bontoc, Sogod, Libagon, Lilo-an, San Francisco, Pintuyan, San Ricardo, St. Bernard, San Juan, Anahawan, Hinundayan, Hinunangan and Silago, and the city of Maasin, Province of Southern Leyte(collectively, the “Franchise Area”); 2. Copies of SOLECO’s Articles of Incorporation, ByLaws, Certificate of Registration and Certificate of Franchise are attached to the Application as follows

“C” “D”

Document SOLECO’s Articles of Incorporation SOLECO’s By-laws Certificate of Registration with the National Electrification Administration (NEA) Certificate of Franchise

3. Applicant GNPOWER is a duly registered limited partnership existing under Philippine laws, engaged in the business of developing, constructing, operating and owning power generation facilities and in the sale and trade of electric power. Its principal office is at 28th Floor, Orient Square Building, Don Francisco Ortigas Jr. Road, Ortigas Center, Pasig City; 4. GNPOWER’s pertinent documents evidencing its due registration as a limited partnership are appended to the Application, as follows Annex “E” “F”

Document Certificate of Registration issued by the Securities and Exchange Commission (SEC) GNPOWER’s Amended Articles of Partnership

12.7.

Contract Duration Dec. 26, 2014 – Dec. 25, 2015 Dec. 26, 2015 – Dec. 25, 2016 Dec. 26, 2016 – Dec. 25, 2017 Dec. 26, 2017 – Dec. 25, 2018

Annex “H” “H-1” “H-1-a” “H-2” “H-3” “H-4” “H-5” “H-6” “H-7” “H-8”

12.2. The competitive tender was published and announced in the coverage areas of the Region 8 ECs. In addition, prospective bidders (Generation Companies, IPP Administrators and Wholesale Aggregators whose names are listed on the Department of Energy (DOE) website) were invited; 12.3. The capacity offered by the winning bidder/s was

allocated among the eleven (11) Region 8 ECs in proportion to their declared demand. A bidder was allowed to offer to supply capacity that is less than or equal to the aggregated baseload requirement in any or all of the contract years in increments of 1MW. In the event that some winning bidders offered less than 11 MW, the loads were optimally allocated in such a way that the blended price of generation resulting from the R8 JCPSP transaction is almost the same for all ECs. In the event multiple bidders who collectively satisfy the total baseload demand of R8 ECs are declared winners for any contract year, all winning bidders entered into individual PSAs with each of the 11 ECs; Bidders who signified their intention to join by buying the bid documents, attended pre-bid conferences where they gave their comments and sought clarification on the bidding requirements and process. The BAC issued bid bulletins and the Final Instruction to Bidders; The process followed the 2-envelope system – the legal requirements and proof of financial and technical capability in the first, and the commercial offer in the second. Bids were evaluated based on an Evaluation Framework and Evaluation Methodology released to the Bidders; After evaluating the bids of each supplier, on 14 November 2014, the BAC declared Applicant GNPOWER as a winning bidder of a total of 43 MW for Contract Year 2016, with a Lowest Calculated Responsive Bid with a Base Price offer of PhP5.0481/kWh and an evaluated Effective Price of PhP6.6658/kWh; On 14 September 2015,GNPOWER and the Region 8 ECs commenced the final negotiations for the other commercial and technical terms and conditions of the PSA and negotiated the further reduction of the Contract Price from PhP5.0481/kWh to PhP4.9653/ kWh and for the increase in capacity to 52MW;

Document Invitation to Bid Copy of the page of the newspaper where the Invitation was published Affidavit of Publication of the Invitation to Bid Memorandum of Agreement among Region 8 ECs Emails confirming participation of interested suppliers in the bidding Final Instruction to Bidders Bid Forms Bid Evaluation Slips Comparison of Bids Notice of Award

13. On 18 September 2015, SOLECO and GNPOWER executed the subject PSA, providing the terms and conditions for the supply of 1MW[sic] baseload power to SOLECO, to assure the adequate and reliable supply of power to SOLECO’s franchise area; ABSTRACT OF THE PSA AND OTHER RELATED INFORMATION 14. The following are the salient features of the PSA: A.

For the delivery of the contracted capacity, it shall have a term of one (1) year, starting on 26 December 2015 (12:00 A.M.) to 25 December 2016 (12:00 M.N.) Contracted Capacity GNPOWER shall sell and deliver, or cause to deliver to SOLECO a contracted capacity of 5MW at the delivery point of the facility.

Exchange of Contracted Capacities. To maximize capacity utilization, Region 8 ECs may exchange quantities of their Contracted Capacities. (Exchange in MW Capacity Protocol annexed to the PSA) C.

Contract Price Under Schedule 1 of the PSA, the Total Monthly Charge, before taxes, for a Billing Period shall be computed according to the following:

Total Monthly Charge = Capacity Charge + Energy Charge

PHCPI0

= the base Philippine Consumer Price Index for the month of December 2014. PHCPI0 = 140.5. CUF = the Capacity Utilization Factor between 70% and 100%, provided that if the actual CUF is below 70% (the “Minimum Capacity Utilization Factor”), the Capacity Price shall be calculated based on the Capacity Fee and quantity associated with the Minimum Capacity Utilization Factor. The corresponding Capacity Fee price component for a given Capacity Utilization Factor is set forth in the Table below: Capacity Fees for Specific Capacity Utilization Factors CAPACITY FEE LOCAL PRICE COMPONENTS (PHP/kWh) C.U.F.

Capital Recovery (LCRCUF)

Fixed O&M (LFOMCUF)

100% 99% 98% 97% 96% 95% 94% 93% 92% 91% 90% 89% 88% 87% 86% 85% 84%

2.2944 2.3176 2.3412 2.3654 2.3900 2.4152 2.4409 2.4671 2.4939 2.5213 2.5493 2.5780 2.6073 2.6372 2.6679 2.6993 2.7314

0.6204 0.6267 0.6331 0.6396 0.6463 0.6531 0.6600 0.6671 0.6743 0.6818 0.6893 0.6971 0.7050 0.7131 0.7214 0.7299 0.7386

83%

2.7643

0.7475

82% 81% 80% 79% 78% 77% 76% 75% 74% 73% 72% 71% 70%

2.7980 2.8326 2.8680 2.9043 2.9415 2.9797 3.0189 3.0592 3.1005 3.1430 3.1867 3.2315 3.2777

0.7566 0.7659 0.7755 0.7853 0.7954 0.8057 0.8163 0.8272 0.8384 0.8499 0.8617 0.8738 0.8863

For the resulting CUF which is not a whole number, the corresponding Capacity Fee Price Component shall be computed using the formula below:

LCRCUF 

EHTO CFCUF LCRCUF

LFOMCUF = the local component of the Fixed O&M fee in PhP/ kWh at the given CUF. PHCPIn-1 = Philippine Consumer Price Index of the calendar month prior to the month corresponding to the Billing Period,

LFOM

LFOM @100% CUF

CUF = max Where: Q ACTUAL CC

= the actual quantity of energy, in kWh, delivered to SOLECO at the Delivery Point in the Billing Period = the Contracted Capacity, in kWh, as set forth in Schedule 1 = the total number of hours in such Billing Period = the sum of the duration, in Equivalent Hours, of Scheduled Outages and Unscheduled Outages in such Billing Period C. 2. Energy Fee and Energy Charge

= the actual energy delivered, in kWh, to the Buyer at the Delivery Point for the Billing Period. = is the Contracted Capacity in kW. = is the total number of hours in the Billing Period. = the sum of the duration, in Equivalent Hours, of Scheduled Outages and Unscheduled Outages in such Billing Period = the CapacityFee in PhP/kWh for a given CUF in a Billing month. = the local component of the Capital Recovery Fee in PhP/kWh at the given CUF.

CUF

- is the local component of the Capital Recovery fee in PHP/kWh at the given CUF. LCR@100% – is the local component of the Capital Recovery fee in PHP/kWh at 100% CUF. LFOMCUF – is the local component of the Fixed O&M fee in PHP/kWh at the given CUF. LFOM @100% – is the local component of the Fixed O&M fee in PHP/kWh at 100% CUF. CUF – is the Capacity Utilization Factor between 70% and 100%, provided that if the actual CUF is below 70% (the “Minimum Capacity Utilization Factor”), the Capacity Price shall be calculated based on the Capacity Fee and quantity associated with the Minimum Capacity Utilization Factor. The Capacity Utilization Factor (CUF) shall be computed as follows:

EHTO

CC HT

LCR@100%

LCRCUF

Where: Q ACTUAL

LFOM CUF 

Where,

C. 1. Capacity Fee and Capacity Charge The Capacity Fee is the component of the Contract Price allocated to pay for the cost, as well as, the operations and maintenance of the Facility and is designated as the Capacity Fee in Schedule 1 of the PSA as such may be adjusted from time to time based on SOLECO’s Capacity Utilization Factor.

to learn organic farming and the health benefits of eating organic foods,” said Almelor. Young students in the 25 villages of the city will be oriented in organic production and consumption. The city has been conducting the activity for three years now. Former city mayor and now Bataan 2nd district Rep. Joet Garcia hatched the Go Organic, Go Sustansya program.

for All Income Households – All Items (2006=100), as published by the Philippine National Statistics Coordination Board (or its substitute or replacement agency, as the case may be).

Term The Agreement shall be effective from 18 September 2015, the date of the execution of the PSA.

Unutilized Capacity. The unutilized capacity of the Buyer may be made available for utilization of other Region 8 ECs or sold to the WESM.

Aggregated Baseload 65 MW 78 MW 83 MW 93 MW

8. The contracts of most of the Electric Cooperatives (ECs) in Region 8 with the National Power Corporation – Power Sector Assets and Liabilities Management Corporation (NPCPSALM) expired on 25 December 2014; 9. On 07 November 2013, the eleven (11) ECs of Region 8 participated in the bidding for PSALM’s 200 strips of energy from the Unified Leyte Geothermal Power Plant, but lost; 10. Typhoon Yolanda hit the region on 08 November 2013 stalling any efforts to contract additional power supply and shifting the focus instead on the massive restoration efforts in the area; 11. Thus, the Region 8 ECs decided to bid out their power supply requirements for the period 2015-2018. In the middle of 2014, the Region 8 ECs conducted a Joint Power Supply Planning. Later, the Region 8 ECs decided, through a Memorandum of Agreement (MOA), to conduct a joint procurement of their short-term aggregated baseload requirement, specifically, their power supply needs beginning 26 December 2015 until 25 December 2016.From September to December 2014, the competitive bidding for the region’s power requirements was held; 12. For such purpose, a Bids and Awards Committee was created to conduct the Region 8 Joint Competitive Power Supply Procurement (“R8 JCPSP”) as follows: 12.1. The Region 8 ECs initially prepared their respective least-cost power supply plans and subsequently their aggregated baseload demand for competitive bidding;

Organic, Go Sustansya will continue and be strengthened,” said Elias Almelor, city employee and president of the Federated Parent-Teacher Association. City agriculture employees last week taught grade school students organic planting, making organic fertilizer, and other organic agriculture processes. “The earlier it is, the better it is for students

Attached to the Application are copies of the relevant documents issued relative to the Joint Competitive Selection Process undertaken by the Region 8 ECs for the supply of their aggregated base load demand:

5. Applicants may be served with orders, notices and other legal processes of the Commission through its counsels of record; 6. The instant Application is filed pursuant to Sections 23, 25, 43 (u), and 45 (b) of Republic Act No. 9136, otherwise known as the Electric Power Industry Reform Act of 2001 (EPIRA Law), itsImplementing Rules and Regulations, and other pertinent rules and regulations.A copy of the PSA signed by Applicants on 18 September 2015 is attached as Annex “G“andforms an integral part of the Application; STATEMENT OF FACTS 7. The aggregated uncontracted baseload demand of Region 8 for the years 2015 to 2018is continually increasing as shown in the table below: Contract Year 2015 2016 2017 2018

Festival of Zambales and Aurora, the planting season of Nueva Ecija and its Science City, the war memorial of Bataan, and the Giant Lantern Festival and the Via Crucis of Pampanga. Lack of tourism information prevents foreign and local tourists from fully experiencing the treasures of these destina-

Balanga teaches organic farming in schools

Republic of the Philippines ENERGY REGULATORY COMMISSION San Miguel Avenue, Pasig City

Annex “A” “B”

Regions 1 and 2, including the Cordillera. However, some sectors urged Tiotuico to ﬁrst develop the rich tourism potential of Central Luzon to serve the expected increase in arrivals. Some of these potential tourist magnets are the Death March trail dating back to the World War II, beaches, the Mango

The Energy Fee is the component of the Contract Price allocated to pay for the coal, including Government Charges, designated as the Energy Fee in Schedule 1 of the PSA, as amended as adjusted from time to time due to changes in the delivered price of coal and Governmental Charges. The Energy Fee shall be computed in accordance with the following formula: Energy Charge = Q ACTUAL x EF EF = 0.2874 x Where: Q ACTUAL

+ 1.5256 x

+ 0.2375

= Actual energy delivered by GNPOWER to SOLECO, in kWh, for the Billing Period

World

MONDAY, JULY 25, 2016

Social media played a part in rampage M

UNICH―Social networks were both a curse and a blessing in the deadly shopping mall shooting in Munich, as police sometimes found themselves chasing fictitious leads and false alarms.

IN ATTENDANCE. The casts and filmmakers from Marvel Studios attend the San Diego Comic-Con International 2016 Marvel Panel in Hall H on July 23, 2016, in San Diego, California. AFP EF

= Energy Fee in PhP/kWh

PHCPIn-1

= Philippine Consumer Price Index of the calendar month prior to the month corresponding to the Billing Period, for All Income Households – All Items (2006 = 100), as published by the Philippine National Statistics Coordination Board (or as substitute or replacement agency, as the case may be)

PHCPI0

= base Philippine Consumer Price Index for the month of December 2014 for All Income Households – All Items (2006 = 100), as published by the Philippine National Statistics Coordination Board (or its substitute or replacement agency, as the case may be)

ICI n-1

= Indonesian Coal Price Index of the calendar month prior to the month corresponding to the Billing Period, in US$/Mton

ICI0

= Base Indonesian Coal Price Index for the month of December 2014 = US$67.28/Mton D. Currency of Payment The Contract Price shall be paid by SOLECO in Philippine Peso only. E. Scheduled and Unscheduled Outages Under the PSA,GNPOWER shall be allowed Scheduled and Unscheduled Outages not to exceed forty-five (45) days per Contract Year, during which time reduced or no delivery will be available to SOLECO.

Unutilized Equivalent Hours for Scheduled Outages and Unscheduled Outages in the Contract Year cannot be carried forward to subsequent Contract Year. F. Replacement Power During any Scheduled or Unscheduled Outages, GNPOWER and SOLECO shall cooperate to arrange for Replacement Power from, including but not limited to, other facilities of GNPOWER, third parties and the WESM. GNPOWER, at its own cost and in consultation with SOLECO, shall negotiate on behalf of SOLECO for the supply and delivery of capacity and energy from third parties for a price as close as possible to the Contract Price. G. Prompt Payment Discount Provided SOLECO has no arrears from previous billings, including the Security Deposit or any unpaid charges or penalties, if SOLECO pays the invoice amount in full within 10 days from its receipt of the invoice, SOLECO shall be credited on the next subsequent bill a PPD equivalent to eight centavos per kilowatt-hour (PhP0.08/kWh). H. Security Deposit In the event of SOLECO’s failure to pay on Due Date, GNPOWER shall draw, at its option, from the Security Deposit on the working day immediately following the Due Date. Within thirty (30) Business Days from the Start of Delivery Date, SOLECO shall establish the Security Deposit and submit to GNPOWER documentary proof sufficient to allow GNPOWER to draw therefrom. The Security Deposit shall be in the form of cash and or irrevocable letter of credit and shall be equivalent to SOLECO’s projected maximum electricity bill, to be determined not later than sixty (60) calendar days prior to Start of Delivery. COMMERCIAL ADVANTAGE OF THE GENERATION RATE AND IMPACT ON DORELCO’S RETAIL RATES 15. SOLECO, together with the other Region 8 ECs, needs to address the insufficiency of its power supply due to the increasing demand within its franchise area and the expiration of its contract with NPC-PSALM; 16. Currently, SOLECO receives a total of 21MW from its existing suppliers, out of its peak requirement of 17MW. With an annual average growth rate of 4%, SOLECO forecasts that its peak demand from 26 December 2015 to 25 December 2016 will be 18.451 MW; 17. The additional supply from GNPOWER will significantly augment the supply deficiency of SOLECO and will decrease the adverse effects thereof by providing a stable and adequate source of electricity; 18. Among alternative suppliers capable of providing additional energy to SOLECO and the rest of the Region 8 ECs, GNPOWER’s rates proved to be more reasonable and competitive. While GNPOWER’s offer is primarily intended for its base load requirements, the Capacity Factor Pricing under the PSA provides flexibility in the DUs’ utilization of the Contracted Capacity; 19. SOLECO simulated a rate impact analysis which resulted in a PhP1.2619/kWh decrease with the execution of the PSA with GNPOWER, to wit: Simulation of Generation Mix Rate with GNPOWER for the Year 2016 Power Supplier

Forecasted 2016 Quantity (kWh)

Amount (PhP)

Percent Share (%)

Resulting Capacity Factor (%)

2016 Average Rate (P/kWh)

FDCUI

19.43%

100%

5.2959

17,520,000.00

92,784,168.00

TRANSASIA

17,520,000.00

93,279,984.00

19.43%

100%

5.3242

PCPC

17,568,000.00

96,806,707.20

19.48%

100%

5.5104

GNPOWER

43,800,000.00

243,576,180.00

48.58%

100%

5.5611

WESM

(6,244,918.68)

(36,831,078.56)

-6.93%

90,163,081.32

489,615,960.64

100%

TOTAL

Weighted Average Rate (kWh)

5.4303

5.8978

Simulation of Generation Mix Rate without GNPOWER for the Year 2016 Power Supplier

Forecasted 2016 Quantity (kWh)

Amount (Php.)

Percent Share (%)

Resulting Capacity Factor (%)

2016 Average Rate (P/kWh)

FDCUI

17,520,000.00

92,784,168.00

19.43%

100%

5.2959

TRANSASIA

7,520,000.00

93,279,984.00

19.43%

100%

5.3242

PCPC

17,568,000.00

96,806,707.20

19.48%

200%

5.5104

37,555,081.32

320,523,812.94

41.65%

90,163,081.32

603,394,672.14

100%

GNPOWER WESM TOTAL

Weighted Average Rate (kWh)

6.6923

8.5348

Generation Rate Impact: -1.2619 Notes: Analysis and simulations is based on SOLECO’s forecasted 2016 hourly load profile PCPC’s contract to SOLECO, 100% Load Factor Trans-Asia’s contract to SOLECO, 100% load factor FDCUI’s contract to SOLECO, 100% load factor GNPower’s proposal to SOLECO, with 100% -70% CUF

The 18-year-old gunman, a German-Iranian named David Ali Sonboly, also used the internet to plan and carry out his crime, in which he killed nine people and wounded 16 others. Nevertheless, the social networks provided a

WESM Prices is based on 2012 Average prices of Nodal Points of SOLECO plus 3% Inflation Factor for 2016 Simulation 20. In addition to the lower generation cost of the power supply from GNPOWER, SOLECO is also entitled to a Prompt Payment Discount (PPD), if conditions are met, equivalent to PhP0.08/kWh; 21. In compliance with Rule 20 of ERC Rules of Practice and Procedure relative to the submission of supporting documents and information for the approval of the PSA and the rate structure embodied therein, Applicants attached to the Application following documents to form integral parts hereof: ANNEX “I” “J” “K” “K-1” “L” “M” “N” “O” “P” “Q” “R” “S”

“T”

“U”

DOCUMENT Executive Summary of the PSA Rate Impact Simulation Sources of Funds/Financial Plans with Cost Assumptions Compact Disc containing a soft copy of Annex “K” Breakdown of the Contract Price Sample Computation of Power Rates GNPOWER’s Audited Financial Statement for 2014 GNPOWER’s Certificate of Registration No. WA-13-01-001 valid until January 2018 SOLECO’s Distribution Development Plan (DDP) SOLECO’s Actual and Forecasted Energy and Demand SOLECO’s Average Daily Load Curve SOLECO’s Board Resolution authorizing the approval and signing of the PSA, authorizing its Board President, Atty. Marian C. Donayre-Pelin and / or General Manager, Engr. Jonathan S. Empeno, to sign the PSA on behalf of SOLECO, and the filing of the Application with the ERC for the approval of the PSA SOLECO’s Secretary’s Certificate attesting to there solution of its Board of Directors authorizing its General Manager, Engr. Jonathan S. Empeno, to jointly file with the ERC the Application for the approval of the PSA between SOLECO and GNPOWER, and designating Engr. Melvin L.Cadao as witness GNPOWER’s General Partner’s Certificate attesting to the resolution of the Board to execute the subject PSA with SOLECO, designating signatories thereto

22. Applicants reserve their right to submit other documents, either in the course of the hearing or as may be required by this Commission. COMPLIANCE WITH PRE-FILING REQUIREMENTS 23. Applicants manifest compliance with the prefiling requirements mandated under the Implementing Rules and Regulations of the EPIRA and Rule 6 of the ERC Rules of Practice and Procedure, to be established by the following: 23.1. Certifications acknowledging receipt of the Application with annexes to be issued by the Legislative Bodies of Pasig City, City of Maasin, and the Province of Southern Leyte, to be appended as Annexes “V”, “W” and “X”, respectively; 23.2. Notarized Affidavit of Publication stating that the Application was published in a newspaper of general circulation within SOLECO’s Franchise Area, to be appended to the Application as Annex “Y”; and 23.3. Complete newspaper issue where the Application was published, to be appended to the Application as Annex “Y-1”, and the relevant page thereof where the Application appears, as Annex “Y-2”; MOTION FOR CONFIDENTIAL TREATMENT OF ANNEXES“H-2” to “H-8”,“K”, and “K-1” 24. Under Rule 4 of the ERC Rules of Practice and Procedure, a party to any proceeding before the Commission may request that certain information not be disclosed and be treated as confidential, by describing with particularity the information to be treated as confidential, specifying the ground for the claim of confidential treatment of the information and, if applicable, specifying the period during which the information must not be disclosed; 25. SOLECO requests for the confidential treatment of Annexes “H-2” to “H-8” of the Application, consisting ofthe MOA among Region 8 ECs, e-mails confirming participation of interested suppliers in the bidding, Final Instructions to Bidders, Bid Forms, Bid Evaluation Slips, Comparison of Bids, and Notice of Award, respectively. These annexes show the individual offers of the bidders which participated in the R8 JCPSP. The Region 8 ECs, SOLECOincluded, are bound by their undertaking to secure and keep in confidence the offers and the proposed terms of supply, so as not to prejudiceor pre-empt any future CSPsin which these bidders will participate.Otherwise, SOLECO and the rest of the Region 8 ECs may be held liable for damages for breach of confidentiality, and eventually, risk their good relations with the suppliers concerned; 26. Similarly, GNPOWER respectfully moves for the confidential treatment of Annexes “K” and “K-1” hereof, consisting of GNPOWER’s Sources of Funds and Financial Plans with Cost Assumptions.These annexes, exclusively owned by Applicant GNPOWER, contain information which areconsidered part of its business and trade secrets. As such, GNPOWER has the sole proprietary interest and will be unduly prejudiced should they be disclosed to the public; 27. These annexes contain numbers, data, formula, methodology, and calculations involving valuable and sensitive commercial, financial information reflecting GNPOWER’s business operations and financial trade secrets. Therefore, GNPOWER’s confidential, proprietary, and private information included in the aforesaid annexes should be protected from public dissemination. Otherwise, such information can be illegally and unfairly utilized by business competitors who may use the same for their own private gain and to the irreparable prejudice of GNPOWER.Negotiations with prospective customers may also be affected. 28. The information contained in Annexes “K” and “K1”, constitute “trade secrets”, for which GNPOWER has actual and valuable proprietary interest. As explained by the Supreme Court, a trade secret may consist of any formula, pattern, device, or compilation of information1 that is used in one’s business and gives the employer an opportunity to obtain an advantage over competitors who do not possess the information . It is indubitable that trade secrets constitute proprietary rights and jurisprudence has consistently acknowledged the private character of trade secrets2 . Further, as ruled in Garcia vs. Board of Investments3, trade secrets and confidential, commercial and financial information are exempt from public scrutiny; 29. Accordingly, Annexes “H-2” to “H-8”, “K” and “K1” be accorded confi dential treatment. As suc h, they are to be used exclusively by the Commission and for the sole purpose of evaluating this Application, thereby protecting these data from unnecessary public disclosure; 30. In accordance with Section 1(b), Rule 4 of the ERC Rules of Practice and Procedure, Applicants submit one (1) copy each of Annexes “H-2” to “H-8”, “K” and “K-1” in a sealed envelope, with the envelope and each page of the documents stamped with the word “Confidential”. PRAYER FOR PROVISIONAL AUTHORITY

valuable source of information and solidarity for the city’s frightened population during the long lockdown while the incident was going on. As soon as the terrifying events started to unfold late on Friday afternoon, Munich’s police were quick to take to Twitter to try to keep the public 31. All the foregoing allegations are re-pleaded by informed about the conreference in support of their Prayer for the issuance of Provisional Authority (PA) to implement the subject PSA; fusing and fast-evolving situation. 32. SOLECO and GNPOWER pray for the issuance of a PA or interim relief prior to final decision pursuant to Rule 14 of the “We’re working as ERC Rules of Practice and Procedure, to wit: fast as we can to appre“Section 3. Action on the Motion. – Motions for hend the attackers,” they provisional authority or interim relief may be acted tweeted in German, Engupon with or without hearing. The Commission shall act on the motion on the basis of the allegations of lish and French. the application or petition and supporting documents “The suspects are still and other evidences that applicant or petitioner has submitted and the comments or opposition filed by on the run. Please avoid any interested person, if there be any.” public places. #munich 33. Considering substantial amount of time is needed to #gunfire”. evaluate the documents submitted to support the approval of herein “Unconfirmed reports Application, Applicants seek consideration of the Commission to approve the instant Application, immediately, albeit, provisionally; of more violence and possible #gunfire in the city 34. Owing to the short term of the contract, which is only for a period of one (1) year, a PA is all the more imperative to allow center. Situation is unclear. the timely delivery of energy by GNPOWER to SOLECO, which is Please avoid public areas.” set to start on 26 December 2015 at 12:00 A.M.; But as social network 35. The Region 8 ECs, including SOLECO, after users began to tweet and careful evaluation if they will defer the commencement of the delivery due to delayed filing, decided and required GNPower re-tweet their own expeto commence its delivery immediately after its previous riences and versions of power supply agreement expired last 25 December 2015, this being the reasonable plan to mitigate the risks of WESM events, it rapidly became exposure,specially with the assumption that the 2015 occurrence difficult for the police to of El Nino has an adverse impact on the supply of the electricity retain an overview and in and the WESM price, particularly during the summer season. SOLECO, Moreover, it was projected, as shown in the table some cases differentiate below4, that the exposure to volatile market prices will cause between fact and fiction. significant increases in prudential guarantee payments which At one point, for examwill constrain Region 8 ECs to avail of high interest-bearing loans in order to comply with PEMC requirement; ple, there were a flurry of reports of another shooting in the city centre, on the pedestrianiZed square called the Stachus not far from the main station. But those reports turned out to be false. Another headache for police were eye-witness accounts, photos and videos that were rapidly being 36. The additional power from GNPOWER is needed uploaded onto the web. to curtail any power interruptions that may be experienced Police were concerned by SOLECO’s member-consumers due to inadequate power supply in the region; that the attackers -- at that point, they erro37. To further support the Prayer for PA, anaffidavit emphasizing the necessity thereof is attached to the Application neously believed there as Annex “Z”, and form an integral part hereof; might have been more PRAYER than one -- could track 38. Applicant SOLECO and GNPower pray before the where officers were beCommission that: ing deployed and in what i. All information attached as Annexes “H-2” to “Hnumbers, thereby making 8”, “K” and “K-1” to the Application be treated as confidential; them easier to evade. In the end, the police ii Pending hearing on the merits, a PA be issued authorizing the immediate implementation of the desperately tweeted: subject PSA, including the rate structure therein, as “Please don’t take fotos applied; or video of police action iii. After due notice and hearing, the instant Application, in order to avoid any helpthe PSAand the rate structure contained therein be duly approved; and ful information for the iv. In the event that a Final Authority shall be issued suspects”. after GNPOWER starts actual delivery of power to Police chief Hubertus SOLECO under the terms of the subject PSA, said Andrae told ZDF public Final Authority be retroactively applied to the date of such actual delivery. television late Saturday The Commission has set the Application for the hearing, that the speed and volexpository presentation, pre-trial conference, and presentation ume of information which of evidence on 11 August 2016 (Thursday) at ten o’clock in needed to be verified was the morning (10:00A.M.) at SOLECO’s Main Office, Brgy. SOro-Soro, Maasin, Southern Leyte. “challenging.” The official Twitter acAll persons who have an interest in the subject matter of the proceeding may become a party by filing, at least five (5) count proved useful in days prior to the initial hearing and subject to the requirements keeping the public inin the ERC’s Rules of Practice and Procedure, a verified petition formed about the latest with the Commission giving the docket number and title of the proceeding and stating: (1) the petitioner’s name and address; confirmed facts, such as (2) the nature of petitioner’s interest in the subject matter of the the number of victims or proceeding, and the way and manner in which such interest the time and place of the is affected by the issues involved in the proceeding; and (3) a statement of the relief desired. next press conference. But police themselves All other persons who may want their views known to the Commission with respect to the subject matter of the proceeding inadvertently helped fan may file their opposition to the Application or comment some of the speculation thereon at any stage of the proceeding before the Applicants by tweeting, for examconclude the presentation of its evidence. No particular form of opposition or comment is required, but the document, letter ple, that the theory of a or writing should contain the name and address of such person possible terrorist act was and a concise statement of the opposition or comment and the being looked at. grounds relied upon. At one point, police felt All such persons who wish to have a copy of the Application compelled to publish a may request from the Applicants that they be furnished with the same, prior to the date of the initial hearing. Applicants are hereby plea, “Please restrain any directed to furnish all those making such request with copies of speculations -- that would the Application and its attachments, subject to the reimbursement help us a lot!” of reasonable photocopying costs. Any such person may likewise examine the Application and other pertinent records filed with the “Nowadays, in the age Commission during the standard office hours. of social networks, it is no longer the police who have WITNESS, the Honorable Chairman, JOSE VICENTE B. SALAZAR, and the Honorable Commissioners, ALFREDO control over the quantity J. NON, GLORIA VICTORIA C. YAP-TARUC, JOSEFINA and timing of the release PATRICIA A. MAGPALE-ASIRIT, and GERONIMO D. STA. ANA, Energy Regulatory Commission, this 18th day of May of information, but every2016 in Pasig City. one,” said Interior Minister Thomas de Maiziere. “There are sometimes advantages in that, as ATTY. TTY. NATHAN J. MARASIGAN can be seen in the numChief of Staff Office ffice of the Chairman and CEO ber of investigations that have been brought to a successful conclusion thanks to photos and videos taken by private individuals,” he told a news conferen. AFP ( T S - J U LY 18 / 2 5 , 2 016) 1 2 3 4

Air Philippines Corporation vs. Pennswell Inc., G.R. No. 172835, December 13, 2007. Ibid., 177 SCRA 374 (1989). Additional equivalent rate due to additional Prudential Guarantee required by PEMC (for the undelivered contracted capacity from GNPower) with a conservative loan interest of 6% per annum and baseload load factor of 81%.

Cesar Barrioquinto, Editor

MONDAY, JULY 25, 2016

World Democrats set to pick Clinton P

HILADELPHIA—US Democrats converge on the City of Brotherly Love to elevate Hillary Clinton this coming week as the party’s nominee who will battle Republican Donald Trump in 2016’s presidential election.

PRESENT. Actress Hannah Marks attends Entertainment Weekly’s

Comic-Con Bash held at Float, Hard Rock Hotel San Diego on July 23, 2016, in San Diego, California, sponsored by HBO. AFP

The Democratic National Convention gavels in on Monday in Philadelphia with the party more unified than the Republicans, whose fissures were laid bare this week as they confirmed brash billionaire Trump as their flagbearer. But frustrations are nevertheless swirling as delegates bicker over the Democratic nominating process and new hiccups over Clinton camp emails. Clinton is perhaps the most predictable person to launch a campaign in decades, so she will need to cast herself as the race’s energetic optimist who can push the country forward. “Next week in Philadelphia we will offer a very different vision for our country,” she pledged. “One that is about building bridges, not walls, embracing the diversity that makes our country great.” Her quest received a boost Saturday when she introduced Tim Kaine of Virginia as her running mate, a savvy Span-

ish-speaking US senator with a bright smile but “a backbone of steel,” according to Clinton. Kaine “is everything Donald Trump and (Republican running mate) Mike Pence are not,” she said. The 58-year-old Kaine, from a crucial battleground state, delivered a rousing speech in Miami, Florida, laying out sharp contrasts between Clinton and the Republican nominee. “She doesn’t insult people, she listens to them,” he told the Miami crowd. “She doesn’t trash our allies, she respects them. And she’ll always have our backs.” The convention gavels in at 4:00 pm (2000 GMT) Monday in Philadelphia’s Wells Fargo Center, with First Lady Michelle Obama and Clinton’s former rival in the primaries, Senator Bernie Sanders, scheduled as the headliners. Former president Bill Clinton is the star on Tuesday, while President Barack Obama and

Vice President Joe Biden take the stage Wednesday. There is considerably more firepower than at the Republican confab in Cleveland, where the former Bush presidents steered clear, as did former Republican presidential nominees John McCain (2008) and Mitt Romney (2012). Even as the party basked in the seeming lovefest at the first Clinton-Kaine rally, a whiff of scandal likely to rattle party unity emerged. A cache of leaked emails from Democratic Party leaders’ accounts includes at least two messages suggesting an insider effort to hobble the upstart Sanders campaign -- including by seeking to present him as an atheist to undermine him in religious states. Trump pounced on the leaks. “Leaked e-mails of DNC show plans to destroy Bernie Sanders. Mock his heritage and much more. On-line from Wikileakes (sic), really vicious. RIGGED,” the bombastic real estate developer tweeted Saturday. Sanders campaign manager Jeff Weaver demanded answers. “Someone does have to be held accountable,” Weaver

told ABC News. The Democratic Party seemed to have “its fingers on the scale” for Clinton, Weaver added. Complicating matters, Sanders delegates fumed when their efforts to end the party’s use of superdelegates -- grandees who are free to vote for whomever they choose at the convention -- mostly failed during a series of rules committee votes on Saturday, according to The Washington Post. But Sanders delegates won a compromise victory when the committee agreed to form a commission tasked with reducing the number of super delegates in the nomination process, something Sanders has long demanded. Meanwhile, delegates and activists descended Saturday on Philadelphia, where police were intensifying security operations. “We shouldn’t be fearful, we’re Americans,” delegate Patti Norkiewicz of Florida told AFP, two days after Trump offered a dark vision of a nation besieged by chaos and violence. “We should be proud, united, and we’re allowed to disagree,” she said. AFP

Life

Chicken wings caramelized with shrimp paste and coated with roasted sesame seeds

SIP & SAVOR

Isah V. Red, Editor Bernadette Lunas, Writer isahred@gmail.com MONDAY, JULY 25, 2016

For the love of pho THE JOYCE OF EATING JOYCE BABE PAÑARES

n 1979, seven-year-old Nam Quoc Nguyen and his family fled Saigon after the communists took over and established what eventually became the Socialist Republic of Vietnam. It was in Scandinavia where Nam began his culinary journey – from traditional Vietnamese food on the dinner table to fine dining cuisine at the Copenhagen Culinary Institute. It was also during the 1970s when around 2,700 Vietnamese boat people sought refuge in the Philippines after the fall of Saigon. Heartbreaking tales aside, they also brought with them pho, Vietnam’s most famous noodle soup. Had his family gone to the Philippines instead of Denmark, Nam could easily have been one of those refugees who have set up the earliest Vietnamese food joints in the country. Instead, he spent 20 years serving Western cuisine at premier restaurants and hotels in New York, London, Bali and Thailand before taking a leap of faith and starting his own NamNam Noo-

Annam offers set meals, such as wagyu beef noodles paired with fresh spring rolls and authentic Vietnamese coffee.

Chef Nam pays homage to his Saigon roots with every bowl of pho he serves.

dle Bar in Singapore in 2012. It would take him another four years before finally bringing Vietnamese street food to the Philippines, with the first Annam branch satisfying the appetite of Eastwood’s cosmopolitan crowd. “I told myself that if I will open my own restaurant, it has to be Vietnamese.

It is the least I can do to promote the culture of my people,” said the 44-yearold Chef Nam. Nam’s chic noodle bar proved to be such a hit in Singapore and Jakarta where his seven branches serve 700 bowls a day to snake-like queues. “It is a good problem to have,” he said.

CHEF ANNA OLSON

whips up locally inspired dishes By Nickie Wang On the premiere episode of Inspired with Chef Anna Olson, the Canadian celebrity chef puts the spotlight on Filipino cuisines as she kicks off her culinary journey across Southeast Asia. In the show, Chef Anna works with local celebrity chef, Rob Pengson. She allows Rob to demonstrate three local recipes from his restaurant – Squab Inasal (grilled pigeon served alongside seasonal vegetables), Kinilaw (tuna ceviche) and Tocino del Cielo (bite-sized custards). Drawing inspiration from Rob’s Squab Inasal, Anna prepares Maple BBQ Chicken Wings with an affordable and popular cut of meat. Salmon Tartare on Cassava Cakes showcases the ceviche method of preparation used in Kinilaw. In a meet and greet with her fans and the local press, Chef Anna staged a cooking demo on July 15 at Sage Bespoke Grill in Makati Shangri-La where she recreated the recipes featured on her new 10-episode cooking show. We were treated to a five-course meal starting off with Vietnamese-inspired Chilled Chicken Pho Salad, and then followed an Atlantic Lobster Chowder, which was served on a hot deep dish before pouring the soup that almost smelled like pure lobster extract. The main entrée was Rosemary Roasted Venison Rack with Blueberry Balsamic Sauce. It was paired with steamed asparagus, wild Canadian rice pilaf and whipped mashed potato. Before they landed on our table, Chef Anna together with her husband, Chef Michael, allowed the guests to have a peak on how the beef was roasted to perfection. Next to the main course was Chef Anna’s version of Tocino del Cielo. In a nutshell, it’s leche flan, wherein she used egg yolks and condensed milk as base and infused it with lemon zest and lime, which lends a citrus fragrance and a tangy taste. The dessert was garnished with blueberry, raspberry and edible gold with whipped cream for accent.

Chef Anna Olson visits the Philippines to promote her cooking show Inspired with Chef Anna Olson

And finally, coconut donuts, dark chocolate macaroons and flower shaped youtiaos called Rosette Cookies were served. Red wine and ice wine were served in between entrees. And also, in between courses, the amiable culinary icon sat on each table and entertained questions from the invited diners. She was more than willing to share with us the secrets to her recipes and what we could do to improve the taste of the dishes served during the cooking demo. Anna’s emphasis is always on respecting the techniques, the ingredients, and the people she learned from, while finding new ways to use them. Anna is recognized internationally for many culinary television programs such as Bake with Anna Olson and Sugar and Fresh with Anna Olson, all previously aired on AFC. In line with the program premiere on July 29 at 9 p.m., AFC will also stream ‘live’ the pilot episode of Inspired with Anna Olson on its website www.asianfoodchannel.com/inspiredwithannaolson.

For Annam Noodle Bar, the brand’s first franchised outlet, Chef Nam had to make the noodle broth more tangy, intense and f lavorful to satisfy the Filipino palate. The broth— either chicken or beef—is boiled for at least 24

hours. Served without MSG, it is light yet flavorful, and guests have the option to add condiments such as fish sauce, hoisin sauce and chili sauce. Aside from the traditional chicken or beef pho, Annam also has noodle soup with wagyu beef slices or oxtail and beef balls, all garnished with fresh herbs and spring onions and topped with chili slices for an added kick. Its Saigon Fisherman’s Noodle Soup uses mouse-tail noodles instead of the usual flat ones, and if you can get past the oddsounding name, you would enjoy a hearty bowl of chewy rice noodles topped with shrimps and slices of fish and squid. The casual dining restaurant also serves French-inspired baguette called banh mi which are stuffed with chicken pâté, mayonnaise, hot chili peppers, pickled carrots, cucumber, fresh cilantro, and of course, savory meats such as sautéed lemongrass pork with cream cheese, caramelized five-spice pork belly, fried catfish, and chili sambal braised beef. It has several small plate choices for starters, including fresh spring rolls with prawns and pork served with peanut sauce, green papaya salad with beef jerky and fresh herbs, chicken wings caramelized with shrimp paste, and crispy squid with sriracha mayonnaise. To complete the experience, Annam offers Vietnamese coffee from full-bodied Robusta beans as well as lotus tea, which would go well with traditional dessert choices of chilled dried longan with lotus seeds, water chestnut and seaweed strips; crispy fried banana with coconut sauce; and vanilla pudding with palm sugar caramel, among others. Chef Nam, who won the Rising Chef award at the World Gourmet Summit in 2002, has expressed hope that Vietnamese cuisine will soon become a staple in the Philippines. In fact, he is confident of his Eastwood branch reaching the 700-bowl-a-day mark sooner than later that a second outlet in Resorts World Manila is already in the pipeline. “As an Asian who grew up in the Western world, I really wanted to go back to my roots,” he said. “I’ve been away for so long, yet Saigon still feels like home, just as a bowl of pho feels like home.” For feedback, send comments to joyce.panares@gmail.com

Chef Anna’s version of Chef Rob Pengson’s Tocino del Cielo

Life

MONDAY, JULY 25, 2016 isahred@gmail.com

COFFEE EXPERT conducts workshop

id you smell the coffee?

World-renowned writer, consultant, trainer and author of coffee books Scott Rao was in town recently to conduct a brewing class and workshop with Henry & Sons, a total coffee solutions company. In late May, Rao — author of coffee books The Professional Barista’s Handbook, Everything But Espresso, The Coffee Roaster’s Companion, and Espresso Extraction: Measurement and Mastery — trained the Henry & Sons team in the art and science of coffee. Henry & Sons is a company that

offers three kinds of goods to the local coffee market: premium roasted coffee beans, top-of-the-line espresso machines and training for coffee shops and companies. The coffee expert shared a variety of topics ranging from improving roasting skills, manual brewing, espresso extraction and the finer points of coffee science. He mentored the staff, shared coffee secrets, taught them about coffee shop planning, layout and design, and shared trends, new standards and techniques, among others. Michael Harris Conlin, Henry & Sons president, said he invited Rao to work with his staff to raise the bar of the coffee business in the Philippines.

“We pioneered coffee technology in the Philippines in the early 1990’s, and we want to continue to be the leader in this business. We brought Scott Rao here as a longtime partner of our company. He is the best person to help bring us to greater heights as he’s the best in the industry. Nobody comes close to him,” Conlin said. Conlin described the relationship with Rao as something that will go beyond the workshops, “It is not just a short-term consultation. We will be working with him for years.” For his part Rao said he was happy that everybody in the company was open and eager to learn more about coffee science, art and technology. “This

Coffe expert Scott Rao demonstrates the proper way of coffe roasting, manual brewing and espresso extraction

Scott Rao (second from left) with Henry & Sons team (from left) Harris Conlin, Aemar Apostol, Agnes Bautista, Therese Dimzon and Lyca Que

company has been around for a long time, but the people are just so excited about the idea of learning some more. I like that about them,” Rao said. “After all the learning and the science stuff, I think what I want people to remember is that coffee is here to be enjoyed and it makes people happy. At the end of the day, people are the most important thing,” Rao added. Henry & Sons is the coming together

of three legacy coffee brands – Boyds Coffee, Conlins Coffee and RICMAS Philippines. The Henry & Sons president said Rao’s workshop will help them develop products in the industry that have not yet been introduced to the market. “We are going to launch new innovative products soon. It will be exciting,” Conlin said.

Unique Dining Experience Dinner will become your favorite meal of the day as Hotel Jen Manila presents Themed Dinner Buffet at Latitude. Diners can satiate their appetite with a wide range of appetizers, salads and main course meals in six rotational themes from around the globe every night, Mondays through Sundays. The buffet features Asian Flavors on Mondays, Mexican-Spanish Aromas on Tuesdays, Jen’s Specialties on Wednesdays and Sundays, Pinoy Fiesta on Thursdays, Seafood Grill Night on Fridays and Barbecue Party on Saturdays. Executive Sous Chef Dirk Fiedler prepares a spread of appetizing favorites such as prawns, cheese platter, kare-kare (oxtail in peanut sauce), crispy pata,

lechon kawali, inihaw na liempo, callos, paella, buffalo chicken wings, assorted dim sum, salads, appetizers, soup and more, plus a live action station. Themed Dinner Buffet is priced at P888.00 nett per person. All buffet deals are inclusive of unlimited Jen’s Signature Iced Tea, coffee or hot tea, free WiFi access and free valet parking service. Latitude of Hotel Jen Manila offers international cuisine and a la carte menus that originate from the five different countries found in the same latitude as Hotel Jen: Philippines, Guatemala, Mexico, South Africa and Thailand. Experience the warm and efficient service of the team that will leave you feeling like a royalty presented

with a hearty feast. Appreciate the airy and comfortable ambiance of this cozy hotel conveniently located in the vivacious Manila Bay area as you savor your enchanting meal and delight your palate. It is an ideal place for food-lovers, friends and families who are into taking delightful gourmet adventures. Prices are inclusive of 10 percent service charge and applicable government taxes. For inquiries and advance reservations, please call (02) 795 8888 or email food&beverage.hjm@hoteljen.com. Visit Hotel Jen Manila’s website at www.hoteljen.com/manila and facebook at www.facebook.com/hoteljenmanila for updates and promotions.

It’s Seafood Grill Night at Latitude every Friday

Trade old juicer for a new Hurom HA Series

The new Toblerone Fruit and Nut combines the crunchy goodness of almonds and the juiciness California raisins

Make someone feel more special You don’t need a holiday to make someone feel loved and appreciated. With the limited edition Toblerone Fruit and Nut, you can show your affection by giving your loved ones the gift of Swiss chocolate heritage. Now, your chocoholic friends and family can taste this international sensation. Made with premium chocolate packed in a unique shape reminiscent of the Swiss Alps, Toblerone Fruit and Nut

heightens your dessert and snacking experience with its crunchy almonds and juicy California raisins. The sweetness of the raisins and the texture of the almonds highlight the creamy and silky 100 percentSwiss-made chocolate. It is definitely an exquisite taste to savor. Elevate your Swiss chocolate experience with #TobleroneFruitandNut and gift them a new fruity flavor in one triangular goodness.

Get P5,000.00 off a new Hurom Slow Juicer HA Series if you trade in your old juicer of any brand. Hurom elevates juicing to a new level. Hurom slow juicers gently squeeze fruits and vegetables, nuts and grains to preserve their natural taste and nutrition, color, and flavor. There are no sharp edges or whirring blades, just pure nutritious deliciousness. Unlike commercial juices, Hurom juice is full of live, digestive enzymes. Make it a habit to drink to health and grab a Hurom juicer now. This is the second year in a row that Hurom is doing their Slow Juicer Trade-In Promo. Last year’s campaign was so successful that Hurom has de-

cided to do it again. The public who missed out last year has a chance to take advantage of this deal. The customer can trade in any brand of juicer, in whatever condition, to any Hurom representative at participating stores – Rustan’s, SM, Landmark, Anson’s, Abenson, True Value, SM Appliance Center. The customer will be given a P5,000.00 discount upon purchase of the Hurom Slow Juicer - HA series. Customers can trade in a maximum of three units for the entire duration of the promo period. The trade-in promotion cannot be availed in conjunction with other Hurom promotions except where indicated.

The trade in juicers and blenders are not convertible to cash. Promo period is until Aug. 31. Hurom Slow Juicers are available at Abenson, Anson Link, Duty Free, Gourdo’s, Rustan’s, Landmark, Metro Gaisano, Royal Duty Free, S&R, SM Appliance, SM Home, True Value, and Western Appliances. To learn more about Hurom Slow Juicers, visit the official website at www.hurom.com and follow us on Facebook at www.facebook.com/huromphofficial, and Twitter and Instagram @HuromPHofficial. You may contact directly to hotlines (02) 926-8038 / (02) 926-8009.

Hype up your taco experience Taco Bell, the world’s leading taco food chain, invites you to #tastethehype as it innovates the classic taco with Chalupa Supreme. The Chalupa Supreme features a deep-fried crispy and chewy flatbread filled with seasoned beef, sour cream, shredded lettuce, diced tomatoes and a three-cheese blend. The result: a delightful mixture of textures and flavors that is distinctly

Taco Bell. Transforming the everyday taco into an experience you won’t find anywhere else. Already satisfying on its own, the Chalupa Supreme is available for P99.00 when ordered a la carte. You may also pair it with nachos and your favorite soda for only P149. Go ahead and #tastethehype today as Taco Bell’s Chalupa Supreme is available for a limited time only.

Learn more about Taco Bell’s latest offering, the Chalupa Supreme, and try other delectable treats that you’re sure to love only at Taco Bell. Visit the official website at www. tacobell.com.ph, or check out their official Facebook page at www.facebook.com/tacobellPHL, the Instagram account @TacoBellPHL, and the hashtag #TacoBellPHL on Facebook and Instagram.

Showbiz

MONDAY, JULY 25, 2016 isahred@gmail.com

ISS Universe 2015 Pia Wurtzbach made her second visit to Malacañang. This time she met with President Rodrigo Duterte who welcomed her to the palace. More than the thrill and honor to meet President Duterte, the beauty queen had serious business with her visit, laying on the negotiating table Miss Universe Organization (MUO)’s offer for the country to host the next Miss Universe pageant. Wurtzbach, who looked gorgeous in a pink jumpsuit, was joined in her audience with the President by MUO President Paula Shugart, MUO Talent Development director Esther Swan and MUO VP for Business Development and Marketing Shawn McClain, together with Tourism Undersecretary Katherine de Castro and Secretary Wanda Teo, who unknown to many was a Bb. Pilipinas contestant herself in 1972. Teo said President Duterte has approved in principle the proposal for the country to host the Miss Universe 2017 pageant agreeing that it will be a marketing coup for Philippine tourism. The only possible hitch is that the Philippines

lacks adequate time to prepare for the MUO set pageant finals on Jan. 29, 2017 and may not agree to move it at a later date in May which the DOT officials preferred. Teo said that she would start to talk with possible sponsors to raise the needed $12 million budget upon confirmation of the country as host. “We are ready to seize the moment,” Teo said. The DOT plans to have segments of the month-long beauty pageant filmed in the scenic spots in Palawan, Boracay and Cebu, which recently made the no. 1-2 top spots and top 10, respectively, of the World’s Best Islands 2016 Awards chosen by the New York-based Travel & Leisure magazine. “For years, I’ve talked about

someday having the pageant in the Philippines. I do know that with Pia, right now, the entire worldwide focus is on the Philippines. I think it’s a great opportunity. I would love to be able to make it work,” Shugart said stressing that this is the right time to hold the pageant in the Philippines. Wurtzbach said that she is keeping her ﬁngers crossed and would continue to campaign for the Philippines to become a thirdtime host of the Miss Universe pageant. The beauty queen has caught the Pokemon Go fever. She was spotted playing the game by New Yorkers when she decided to stroll around near Paris Theater where she attended the premier of Woody Allen’s new ﬁlm Café Society. Eton B. Concepcion

Miss Universe 2017 Selﬁe. Reigning Miss Universe Pia Wurtzbach takes a snap with President Rodrigo Duterte during the ﬁrst’s courtesy call at the Malacañang Palace

in thePhilippines?

Gerald has matured a lot—Bea Alonzo

Bea Alonzo

ACCORDING to Bea Alonzo, she has witnessed the positive changes in Gerald Anderson while they were shooting their maiden potboiler as a screen tandem titled How to Be Yours. “That’s right!” she avers. “For one, Gerald has matured a lot. His growth as a person is simply amazing! It’s obvious that he gained insights from his past experiences and applies the lessons in his life at present. One look at him and you’ll know he’s gone through a lot, the reason why he oozes with much maturity and conﬁdence at this point. “It’s like having scars right after a battle. But those scars are beautiful because they serve as evidence of how gallantly you fought and emerged as victor. In Gerald’s case, he has become a better person because of the challenges he faced. Because of that, I admire him more now!” It is public knowledge that they had a short-lived relationship before. In the course of ﬁlming, it was inevitable that they talked about it in passing. “Yes! The fact that we could joke about it now means it’s already a thing of the past. There’s no bitterness on both sides whatsoever. Actually, it’s so

funny for us to talk about it right now. “Admittedly, it was so heavy to discuss during the initial period. But as we look back now, we realized that we took things too seriously then. It shouldn’t be the case. We were too young then. We should have just enjoyed the moment.” Did they have a closure when they broke up before? “Through time I guess. During that period, it wasn’t really clear since it was a short relationship.” The people are anticipating the love scenes they have in the ﬁlm. “Oh, that? Ha-ha-ha! At ﬁrst, I was really nervous. As a woman, of course

Kylie Padilla

it’s expected on my part. As it turned out, it’s the funniest love scene I’ve ever done. Imagine, Gerald gyrating in front of you like a macho dancer? I was laughing all throughout. It’s good because the approach towards doing that scene became so light,” says Bea. ******** Kylie Padilla admits that during the initial stage, she wasn’t really that comfortable with stepmom Mariel Rodriguez. “Yes, in the ﬁrst days that she and my dad (Robin Padilla) were together, there was awkwardness on my part. Well, for obvious reasons since our ages are not far apart. I guess, that’s a normal feeling, right?” she states. How about now? “Well, it’s far different these days! We’re much okay. In fact, there are things which I can’t tell my father directly and instead, I course through her first. She acts as the bridge. Things have improved a lot between us.” Mariel is currently pregnant with her ﬁrst child with Robin. Many are curious on how she feels about it. “Of course, I’m excited. It’s their long-time dream,” ends Kylie. ******** Despite her current success in showbiz, Maine Mendoza says she isn’t sure if she’ll really stay long in the scene. “Honestly, as an actress, I don’t see myself doing this stuff in the next years. I know that being here in this busi-

CROSSWORD PUZZLE Monday, July 25, 2016

ACROSS 1 Rain slicker 4 Sentry’s bark 8 Tizzy 12 Spelling or Amos 13 Heavy hydrogen discoverer 14 Hypnotized 16 Battery word 17 Cave formation 19 Hooded pullover 21 Gunpowder holder 22 Made top honors 23 Put one’s foot —— 25 Incline 27 Bucks 31 Calm state 35 Shoe saver 36 Honshu volcano 38 City near Phoenix 39 Yours and mine 41 Jacket choice 43 Moose or elk 44 Phrase-book entry 46 Roman household gods 48 Moo goo — pan 49 Storm refuge 51 Snack (2 wds.) 53 Latin hymn

word Per Louver part Day- — paint Vast number Big blow in Japan (2 wds.) 68 Plum shape 69 Habituate 70 Green Gables gal 71 Griffin of TV 72 “Only Time” singer 73 Pothole locale 74 Vane dir. DOWN 1 Blue or harvest 2 Singer — Guthrie 3 Kind of acid 4 Most robust 5 Cunning 6 Tell the press 7 Mary — Moore 8 Greet warmly 9 Never explored 10 S&L protector 11 Throw a party for 12 Its HQ is Knoxville 15 Autumn color 18 Culture dish goo 20 “Diana” composer 24 Fishing net 55 56 59 61 65

26 Bumped into 27 Impassive 28 Bea Arthur sitcom 29 Taxing time? 30 Finger-paint 32 Alpha and — 33 Canine command 34 Like a seance 37 Condor nest 40 Remote 42 Left hastily 45 Scratch or dent 47 Office asst. 50 More than fume

52 Auto trim 54 Dana of “MacGyver” 56 Compete in a slalom 57 Bowling alley 58 Make — — for it 60 “It can’t be true!” (2 wds.) 62 Currier’s partner 63 Swiss river 64 CXI x V 66 Leaves in a bag 67 — — whim

Gerald has matured

Maine Mendoza

ness means that I have to face lots of challenges and I’m not pretty sure if I can handle and overcome them. Who knows, in the next two years, I would opt to go back to my private life!” she reveals. If that happens, the female lead of the recent blockbuster Imagine You and Me says she is already happy with how far she went in the ‘biz. “Yes, I’m fulﬁlled that I was able to turn my dream into reality. That is entering show business. I’m simply happy with that.” This is the reason why the Eat Bulaga sensation isn’t afraid if all the fame she’s experiencing now will soon fade. “I just want to enjoy the moment. Every minute of it,” avers Maine.

ISAH V. RED Editor NICKIE WANG Writer isahred@gmail.com

MONDAY, JULY25, 2016

Showbiz

The

Juans on the block

By Nickie Wang

Images: Sonny Espiritu

GROUP of ﬁve young men, who were not really friends initially, was hanging out in a coffee shop. They were asking themselves why One Direction was so successful and effective as a music act. Incidentally, they were also thinking of what name they could call their group. “D Juan!” one of them suggested. Then they started joking around making fun of the boyband’s name until they realized that they were actually deciding on a brand that would determine their fate as a solid group. More than two years later, the group is now bonded by genuine brotherhood and their common goal to inspire people with their palpable energy and blisteringly fresh music. “Juan is a common name for us Filipinos. So, during that fateful afternoon in a coffee shop, we came up with The Juans. So, one day, when we are already successful, ordinary Juans would get inspired that if ordinary kids like us were able to make it...so can they. Our vision is not to talk about success but to be an example of a life that’s been lived extraordinarily,” Carl Guevarra, the band’s lead vocalist and keyboardist, shared with the Manila Standard. Originally formed as a boyband, The Juans is composed of Carl, Japs Mendoza (vocals and guitar), Jiad Arroyo (guitar and background vocals), Jason de Mesa (bass and back-up vocals) and Daniel Grospe (drums and vocals). When their former management discovered that each of them could play musical instrument, they decided to build up The Juans to a legitimate ﬁve-piece band and package them as the “band next door” because of their looks and undeniable charm. “We are a manufactured band, not exactly the way we are now. We were initially formed as a boyband—the typical sing-and-dance boyband. But they found out that we all play musical instrument, except for Jiad…he had to learn it, they decided that it may be cooler if they’d package us as a real band,” the band’s lead vocalist shared. The group, who takes inspiration from the bands like The Vamps, South Border and Parokya Ni Edgar, is one of the most promising names on local music scene today. With an EP (extended play) that showcases

the members’ remarkable musicality and songwriting skill, The Juans has found unique ways to blend the sounds of popular culture and their inspirations to create something exciting and original. But before making a thrilling plunge in mainstream music, the band, of course, had experienced challenging episodes of finding a venue to perform and showcase their craft. It was the time when they cut their ties with their former management yet still decided to keep the group moving all for the love music. The band became independent and utilized its own resources to pursue the members’ music career. And like any other bands that endeavored to create a name for the members, The Juans started playing gigs around and performing at intimate venues. “We made a list of all the bars that we could visit to perform, we made friends with other bands that could help us get a gig... practically all the people we could tap. Every time we performed we always prepared our portfolio so if they’d like us, we already have our profile ready,” Jason recalled. It came to a point that what they were earning was just enough to make both ends meet. And with five boys each having dreams to make individual mark, doing the same thing over and over again without seeing any positive results, was a bit discouraging. “You see, we are talking about five boys who are individually different in so many ways. One wants to go solo, the other wants to do modelling or become a basketball player, someone wants to be like Justin Bieber, and me I want to be like Gary V,” Carl quipped then shifted to a more serious tone. “We were depressed because we were barely earning. We had to guerilla market ourselves. For a good season, we were doing everything just to get a gig.” The guys almost came to a point to calling it quits. “What we were doing was good but we all

Music runs in their blood: Jason de Mesa’s (left) is the son of Rico J. Puno, Daniel Grospe (on drums) and Carl Guevarra (inset) are products of reality talent searches agreed that it was really tiring. We were already receiving offers but we were very indecisive after what happened with our previous management. Then we prayed. And on the night that we almost gave up…Viva came into picture and it was an answered prayer,” Carl narrated. Viva Music executives came to see one of their performances at the now defunct Bear’s Grill (also the ﬁrst bar that accepted them to play regular gigs) on Timog, Quezon City. They were asked to perform an original composition and the next thing that happened…they were already signing up for a ﬁve-year recording contract with the record label. “They provided us everything we needed. And they groomed us to be a more presentable band,” said Daniel. The established record label also helps members of the band expand their talents. They go through numerous workshops and collaborate with professionals to help

them improve their performance onstage. Viva also paved the way for the release of the band’s ﬁrst self-titled EP, which contains three of the band’s original compositions, “Atin Ang Mundo,” “Prom” and “Magkasama.” According to the members of the band, their EP is just the beginning. They have a good amount of material, an original catalogue ready to be released. Their new compositions sound more mature and more interesting, they say. And they must be inspired by their journey from being virtually unknown to becoming one of the emerging bands to watch out for.

The Juans band members (from left) Jason de Mesa, Carl Guevarra, Daniel Grospe (on drums) Japs Mendoza and Jiad Arroyo

MCA music welcomes SMART Music Live 2016 SMART Communications, the country’s leader in mobile has presented its latest offering and contribution of innovations that aims to change the way Filipinos connect, unite, enrich their desires, and elevate their digital experience. With music as a key content pillar that apart from data enablers to fuel their passion for music, Smart Communication partnered with MCA Music to launch Smart Music Live to complete their revolutionary experience. A groundbreaking music fusion event was successfully stage on July 14 dubbed Smart Music Live. It brought us a music experience like never before. Smart subscribers enjoyed a night ﬁlled with music from the

hottest local and international artist featuring Ely Buendia, Up Dharma Down, Crwn, Aegis, Autotelic, and Nathan Sykes. The indie pop rock band Autotelic, MCA Music’s latest addition to its growing OPM roster consists of Josh Villena (guitars and vocals), Kai Honasan (keyboards and vocals), Neil Tin (guitars) EJ Edralin (synth), Timothy “Pabs” Vargas (bass guitar), Gep Macadaeg (drums) opened the show by performing their hits like “Dahilan,” “Misteryoso” and their latest single “Gising Na.” International act Nathan Sykes, former member of the British boy band The Wanted and now a solo artist was also there that night and performed

his hits “Over and Over Again,” “Kiss Me Quick” and “Almost is Never Enough.” Smart Music Live will also feature perks and meet and greet events for upcoming concerts of hit artists like Selena Gomez’s on July 31; In the Mix featuring Third Eye Blind, Panic! At the Disco, James Bay, Elle King and Twin Pines on Aug. 18; and Shawn Mendes’ in October. With the success of Smart Music Live Concert and since the launch of the partnership between Smart Communications and MCA Music, it changed the music landscape in the country by being the ﬁrst to offer convenient and affordable access to music anytime, anywhere via musicstreaming service SPINNR.