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Transportation dep’t to shift general aviation to Sangley airport by late 2019

THE Department of Transportation (DoTr) said it go ahead with its plan to transfer general aviation flights Sangley airport by the third quarter of 2019, amid a lack of progress in the Cavite government’s plan to develop the airfield there, which is currently an Air Force base.
Transportation Undersecretary for Aviation Manuel Antonio L. Tamayo told reporters on Friday last week that the government is almost done with its plan to develop Danilo Atienza Air Base for commercial operations targeted at general aviation.
When asked for an update on the Cavite provincial government’s Sangley airport proposal, he said, “We are losing patience, as is NEDA (the National Economic Development Authority), why is it taking so long. But the DoTr is working on its own plans for Sangley. Regardless of whether Cavite proceeds or not, Sangley will be used by general aviation.
“We expect to… get it operational by third quarter of next year,” he added.
Mr. Tamayo noted once the Sangley airport opens for use by the general aviation sector, business jets operating in Manila may relocate out of Ninoy Aquino International Airport (NAIA) into Sangley.
He said the airfield at Sangley will be upgraded to a 2,300-meter runway, with only 400 meters left to build. Other structures like a new tower, which is needed for the airport to be rated for night operations, will take time.
The move “will definitely reduce the traffic in (NAIA) just in case none of the airport proposals goes ahead,” he said.
The DoTr is evaluating two proposals for the Sangley airport — the P552.018-billion proposal of the Cavite government to operate, manage and expand the gateway; and the $12-billion unsolicited proposal of the private sector to build an airport hub at Sangley.
Mr. Tamayo said although the department can reject the pitch of the Cavite government, it “cannot be rejected right away.”
“No matter what you say, it’s a local government,” he said, noting the alternative option is the one from Sangley Airport Infrastructure Group, Inc. (SAIG).
SAIG is a consortium formed by Solar Group’s Wilson Y. Tieng and SM Group’s Henry T. Sy, Sr., which proposes to build a regional airport hub on the 2,500-hectare site in Sangley Point, including reclamation, for a 50-year concession period. The proposal was set aside by the DoTr to prioritize the government-to-government deal.
Mr. Tamayo said there has been no update from the Cavite government on its airport proposal, which the DoTr said lacks some documentary requirements. — Denise A. Valdez

DoF to target major government contractors who pay bribes

THE DEPARTMENT of Finance (DoF) said it will target as part of its anti-corruption efforts major contractors who pay bribes to secure government projects.
In a statement, the DoF said it ordered its agencies to work with the Presidential Anti-Corruption Commission (PACC) to catch “big fish” contractors that secure favorable contracts by paying bribes.
“Just focus on the big ones and try to really catch them. We have limited amount of time. I’m not saying we should not go after the small ones, but you know, if you only have so much time, we’d better go after the big ones first because catching them will have a major impact on the economy,” Finance Secretary Carlos G. Dominguez III said.
“Those guys who bribe people to look the other way to give them nice contracts, to give them concessions for many, many years, to let them make money for no risk. That’s a big, big corruption crime. But you have to be really be very smart, you have to be smarter than them to catch them because it’s white-collar crime,” he added.
Mr. Dominguez said that catching the big fishes would send a strong message to small-time crooks that the government means business in the Duterte administration’s campaign against corruption.
Mr. Dominguez said that corruption occurs during tax collection, the disbursement of public funds, and in the approval of projects that are not advantageous to the government.
He said that the DoF’s Revenue Integrity Protection Service (RIPS) along with other auditing offices in its various agencies will work with the PACC.
In the first eight months of the year, RIPS has dismissed from public office five Customs personnel for failing lifestyle checks, while suspending more officials from other DoF agencies.
Mr. Dominguez said that the DoF has caught the biggest fish on tax evasion so far, after cigarette maker Mighty Corp. settled P30 billion tax obligations last year, the largest tax settlement on record.
The PACC, which is under the Office of the President, was created by President Rodrigo R. Duterte in 2017 through Executive Order No. 43. It has the power to conduct lifestyle checks, look into suspected corrupt activities, and recommend punishment ranging from suspension to removal from office.
It may refer any case for appropriate action to the Office of the Ombudsman, or deputize any other office, including government-owned or -controlled corporations (GOCCs), for assistance. — Elijah Joseph C. Tubayan

NGCP urges passage of law vs power lines encroachment

PRIVATELY-OWNED National Grid Corp. of the Philippines (NGCP) has renewed its call for legislators to hasten the passage of the anti-power disturbance bill as it cited a number of recent right-of-way breaches that hampered power transmission.
In a statement on Thursday, the power system operator expressed concern about the recent space of violations, recorded mostly in November.
“We have been very serious in the conduct of our information and safety campaigns in the communities near our transmission facilities. But our efforts are often ignored because there is no legal consequence to breaching safety clearances,” the company said.
“These breaches in right-of-way not only threaten the reliability of the transmission system, causing unnecessary inconvenience to power customers, but also risks the lives of anyone involved or living near the area,” it added.
NGCP said on Nov. 13, the Nabunturan-Monkayo 69-kilovolt (kV) line tripped, resulting in an hour-long power interruption to customers of the Davao del Norte Electric Cooperative.
“It was discovered that a land owner harvested his falcata trees using a chainsaw, causing the falling tree to swing and hit the power cables of Towers 11 and 12 of the said line in Poblacion, Monte Vista, Compostela Valley. Power was eventually restored later after NGCP line crews remedied the situation,” it said.
On Nov. 15, the Sta. Barbara-San Jose 138-kV line in Iloilo went on emergency shutdown when an unidentified man was seen climbing one of the towers along the line, it said.
NGCP said several other 69-kV power lines in the area were also put on emergency shutdown to ensure the security of the transmission system and the safety of the person involved and the responders in the area.
“This resulted in power interruptions lasting a few hours affecting various parts of Iloilo and Antique. Power was restored when the area was cleared and declared safe for re-energization,” it said.
On Nov. 18, it recorded another incident when the Maco-Banaybanay 69-kV line in Compostela Valley tripped because of kaingin — the practice of clearing fields by burning — between Towers 259 and 260.
“Upon investigation, a witness claimed that it seemed like the fire was intentionally started to make way for planting of new crops,” it said.
NGCP said a tripping incident was recorded last month along the Mexico-Calumpit 69-kV line when a construction worker building a structure along McArthur Road, in San Simon, Pampanga accidentally swung a 18-foot steel bar reinforcement. The bar hit the line’s conductor, it said, adding that the victim suffered slight electric shock and caused a power interruption.
On Dec. 10, a similar incident also occurred in Batangas City when a construction worker was electrocuted when tubular metal scaffolding he was using to plaster a wall made contact with the Bolbok-Ma. Parang-Concepcion 13.8-kV line.
“He fell to the ground and was rushed to the hospital for treatment,” NGCP said.
Sponsored by Senator Sherwin T. Gatchalian, Senate Bill No. 2098 or the Anti-Obstruction of Power Lines Act of 2018 seeks to prevent obstructions and penalize the introduction of high-growing vegetation or hazardous improvements along power line corridors.
Representative Carlos R. Uybarreta, vice-chair of the House energy committee, sponsored the House version of the bill, which was passed on Sept. 25, 2017. — Victor V. Saulon

Supreme Court rejects petition by hospitals seeking to strike down patient-deposit law

THE SUPREME COURT (SC) has dismissed a petition to declare unconstitutional a law holding health workers liable for the death of patients not admitted because they cannot pay a deposit, ruling that the petitioners lacked standing.
The petition was filed by an association of hospitals and clinics.
In a decision promulgated on Nov. 6, the court ruled that the members of the Private Hospitals Association of the Philippines, Inc. (PHAPI) failed to authorize the association to file the petition on their behalf.
The association sought to overturn Republic Act. 10932, An Act Strengthening the Anti-Hospital Deposit Law. The law holds hospitals and their employees liable for deaths and injuries among patients who cannot be admitted because they cannot pay an advance.
The high court said that while associations have the capacity to sue, they must show it has sustained or might sustain direct injury.
Under the law, associations count as third parties and to avail of a third-party exception, an association filing on behalf of its members must be duly authorized by the members.
“In this case, while petitioner successfully averred that it is a non-stock, nonprofit organization, existing under the laws of the Philippines and identified its members being the sole national organization of purely privately-owned clinics, hospitals or other health facilities in the Philippines, dedicated to the management and concerns of private hospitals in the country, it failed to demonstrate that ample authority had been extended to it by its members to file the instant petition,” the court said.
“Petitioner therefore cannot benefit from the third-party exception to the requirement of locus standi (legal standing),” it added.
“In the absence of an actual and direct injury, any pronouncement by the Court would be purely advisory or sheer legal opinion, in view of the mere hypothetical scenarios which the instant petition presents,” the court said.
RA 10932, reinforcing Batas Pambansa 702 which bars hospitals from demanding deposits before admitting and treating patients, presumes liability against the hospital or clinic and its officials, health workers, and employees involved in the death or permanent injury of a patient, or the loss of an unborn child, due to refusal to admit a person who cannot pay an advance.
It also expands the scope of “basic emergency care” to include treatment of women in labor.
In its petition, PHAPI claimed that the law violates “substantive due process” as it imposes “an untenable duty to actually prevent death, permanent disability, permanent injury to or loss of an unborn baby or its non-institutional delivery and to sufficiently address an emergency situation and in case of a woman in active labor, to ensure the safe delivery of the baby,” when physicians “are not assured of a positive outcome.”
The association also said that the presumption of liability for deaths and injuries contradicts the Constitutional protection of presumption of innocence. — Vann Marlo M. Villegas

BIR to exempt diabetes, hypertension drugs from VAT

THE BUREAU of Internal Revenue (BIR) is ready to implement the value-added tax (VAT) exemption for prescription drugs to treat medicine diabetes, high cholesterol, and hypertension beginning Jan. 1, 2019, as called for by the Tax Reform for Acceleration and Inclusion (TRAIN) law.
BIR Revenue Regulation 25-2018 dated Dec. 21 and signed by Finance Secretary Carlos G. Dominguez III and BIR Commissioner Caesar R. Dulay, laid out the implementing rules and regulations (IRR) on the VAT-exempt status of drugs for the treatment of selected cardiovascular and related diseases.
Under the TRAIN law, the 12% VAT will not apply to drugs for diabetes, high cholesterol, and hypertension starting Jan. 1, 2019.
“The exemption from VAT provided herein shall apply to the sale by manufacturers, distributors, wholesalers, and retailers of drugs and medicines prescribed for the treatment and/or prevention of diabetes, high cholesterol and hypertension starting January 1, 2019,” according to the BIR regulation.
However, it clarified that “the importation of the above-described drugs and medicines shall be subject to VAT.”
It said that the Food and Drug Authority (FDA) will identify and publish a list of drugs eligible for the VAT-exempt status, and those that are not part of the list will be subject to the 12% VAT.
The regulation also said that individuals who violate the provision shall be fined not more than P1,000, and/or be jailed for not more than six months.
A separate Joint Administrative Order issued by the BIR, Department of Finance (DoF), Department of Health (DoH), and the FDA, meanwhile spelled out the various agencies’ responsibilities in implementing the measure.
It said that manufacturers, distributors, and retailers should report the prices of the affected drugs to the DoH’s Electronic Drug Price Monitoring System. It also said that within 60 days of effectivity of the guidelines, stakeholders should submit to the DoH a sworn statement containing the wholesale price, suggested retail price, and actual retail price of the affected drugs before and after the effectivity of the guidelines.
The TRAIN law seeks to make the tax system more efficient and equitable while raising revenue for the government’s socioeconomic priorities.
The law sought to expand the tax base and make it simpler and fairer by, among others, repealing some 54 out of 61 special lows providing for VAT exemptions, and limiting it to vital sectors such as agriculture, food, education, and health.
The DoF has yet to respond to queries as of press time on how the VAT exemption will affect revenues for 2019 onwards. — Elijah Joseph C. Tubayan

PHL urged to boost halal to attract more visitors

THE PHILIPPINES can boost tourism from Muslim countries by making halal food more available, a Malaysian embassy official said.
“The Philippines is a growing tourism destination. You have a lot to offer. But for Muslim travelers, it is difficult (to get) halal food. It is a huge challenge,” according Malaysian embassy Tourism Office Director Zaidi Kassim.
“Halal is more than having no pork. Halal (governs) the way you slaughter, the way you keep it in the farm, the kind of food you feed to the livestock, and the slaughter of cattle has to be in a certain way. Halal also regulates the transport of produce from the farm to market, it has to go through the whole process,” he told BusinessWorld on the sidelines of a Malaysia Chamber of Commerce and Industries Inc (MCCI) conference on Dec. 15.
“I was informed that the Philippines has a 10% Muslim population. That in itself is a sizeable market to develop for the halal industry… You have a fantastic list of products, what you need to do is to tap more of the Muslim travelers, especially from Malaysia, Indonesia, Singapore, and Brunei,” he said.
He said the Philippines will be hosting the Southeast Asian Games in 2019, and will need to serve halal food to Muslim athletes.
“We at Tourism Malaysia, we are more than happy to share our best practices as far as halal tourism is concerned,” he said.
The Department of Tourism (DoT) said in the nine months to September, visitors from Malaysia increased 2.59% to over 109,000. Malaysian tourists accounted for 2.04% of total tourist arrivals.
“The number has not been encouraging but you can do more to promote the Philippines,” he said.
“When I first came here in March, I was very surprised to see how committed the Philippine government in promoting halal tourism because it is a huge market. It is a billion-dollar market, maybe even trillion,” he said. — Reicelene Joy N. Ignacio

Terrorism by another name

“Do not bully anyone. Just because you’re in power doesn’t mean you have the right to insult others… the bully who uses power to belittle others is the most cowardly and most insecure person of all.” (Translation from Filipino mine)
Manila Archbishop Luis Antonio Cardinal Tagle did not name anyone in his Dec. 16 simbang gabi (dawn mass) homily. Although Presidential Spokesperson Salvador Panelo said that the cardinal was not referring to President Rodrigo Duterte, on Dec. 19, the President himself apparently felt sufficiently alluded to declare that “to get back at them” — the cardinal and a priest whom he falsely accused of wishing him dead — he would tell those listening to “kill all the bishops who are inutile.”
No one can be blamed for concluding that the tirade itself qualifies as bullying, which is commonly understood to mean the stronger or more powerful individual’s or group’s threatening, insulting, coercing, humiliating, or degrading those who are weaker or more vulnerable, as well as inciting others to violence. Bullying is terrorism by another name.
Previous to that call to kill bishops (which can be interpreted as a form of intimidation directed at Cardinal Tagle as well), Mr. Duterte also threatened to behead another Catholic prelate, and, as everyone knows by now, also made a number of profanity-laced rants that similarly qualify as bullying against other groups and individuals, among them his insulting and humiliating journalists, threatening human rights defenders, and persecuting regime critics.
It might even be argued that the use of State power to extrajudicially kill suspected drug users and pushers, Lumad leaders and teachers, and lawyers and judges among others is the worst form of bullying of all. Extrajudicial killings (EJKs) are extreme forms of intimidation meant to further a political purpose. One of the key elements in bullying is, after all, the use of superior power against the weak, as research on the subject has long established — and it doesn’t happen only among children and minors, but also among adults.
But whether a child, minor, or adult, and whether a king, emperor, prime minister or president, the bully is a narcissist moved by an imagined sense of superiority that, if challenged or not acknowledged, provokes insults, threats, even assaults. The bully resents criticism and, in retaliation, subjects those responsible to verbal or even physical abuse.
Days after the Tagle homily and Mr. Duterte’s heated reaction to it, a video of an apparent bullying incident at the Ateneo de Manila Junior High School in Quezon City which involved threats and a physical attack on the victim went viral over social media, and almost immediately made it to the newspaper pages and the news programs on radio and television as well.
Oddly enough, the offender was himself subjected to a barrage of online abuse, including calls for him and his family to be subjected to the same verbal and physical violence he had inflicted on his victim, to which those who use their power to brutalize others are not. A minor, he has since been expelled from Ateneo — without, however, satisfying some of his more fervid and self-righteous detractors.
The statements of Malacañang spokespersons following his expulsion sounded as if his was the only instance of bullying to ever happen in this country. The reality is that bullying, whether in school, in the workplace or in society at large, has always been such a fact of life in this land of inequity that only when it is patently obvious and named as such does it get noticed.
It won’t do to look at it as something new, rare, or even as merely a Duterte era phenomenon. As seemingly valid as the latter view may be, given Mr. Duterte’s rants, threats, and profanities against a veritable legion of targets, bullying is nevertheless a phenomenon endemic in societies of vast inequality — in social status, wealth, privilege and power — such as the Philippines.
But it isn’t exclusive to the children of the wealthy and powerful alone. It is also embedded — because they learned from the example of their upper-class models — in the children of the middle class and the poor, among whom being weak or somehow different also invites humiliation, threats, insults, and abuse. Children and minors who bully others become bullying adults themselves, but can also be the victims of others more powerful, thus the never-ending cycle of fear and intimidation.
Implicit in the bully’s assaults is the belief in the use of power and even violence as a means of dominance over others. But as Cardinal Tagle points out, bullying is too often the resort of the weak. Although they are thought to be cock-sure of themselves, bullies are in reality the exact opposite. They need to dominate those whom in their heart of hearts they suspect to be their betters to convince themselves of their own worth.
Across all classes is the will to feel above, and even to rule over, those who are poorer, less gifted, different in physical appearance, “unusual” in their sexual preferences, of ethnic origins other than lowlander, are darker or smaller, are from minority religions, have different political beliefs, or are “too intelligent” (masyadong marunong) for their own good.
It helps explain why Mr. Duterte and his kind are admired and even elected to public office: they represent in words and deeds the sexism and misogyny, the bigotry, intolerance and hatred of “the other,” as well as the instinct for violence as the first and only solution to disagreements, conflicts and criticism, rather than reason and logic, that ails the benighted millions.
Mr. Duterte’s rise from provincial despot to the national office that is the presidency has added to, rather than detracted from, bullying as a part of, and rooted in, Philippine culture. His misogyny — itself embedded in the machismo that persists in these isles of woe despite feminist efforts — is applauded, his jokes about rape met with laughter, and his threats against the clergy shrugged off by the Sunday Catholics of a country trapped in the equivalent of Europe’s Dark Ages.
It is clear enough why: he is, quite simply, one of them. Because he’s the highest official of the land who is presumed to be wise, and whose every word is law to those who have yet to understand democracy, his threats, insults and rants invite emulation as a strain of the “propaganda by the deed” that the anarchists of the late 19th and early 20th century understood only too well could so terrorize others it could compel them to submit to the worst tyranny.
Conventional wisdom condemns the bully for inflicting fear, depression, self-hate, and low self-esteem among his victims, some of whom are even led to take their own lives, while sustaining among the offenders themselves the belief that they alone matter, and others unworthy of respect as human beings and even of life itself.
As true as that is at the level of schoolboys and their peer tormentors, bullying writ large has also become the political norm and the chosen means of the few to dominate the many in the archipelago of our afflictions. It drives the violence that reigns in both city and countryside, where power without reason rules and the lives of the poorest among us and of those who dare to be different and to imagine an alternative to the terrors of the present are in constant peril.
 
Luis V. Teodoro is on Facebook and Twitter (@luisteodoro).
www.luisteodoro.com

Top 10 energy news of 2018

My list of top energy-related news that transpired this year, five global and five national.
GLOBAL
1 Despite endless noise in the world to “decarbonize” and “end fossil fuels,” reality shows that the noise is just jokes and drama. The world is still 85% dependent on fossil fuels for transportation (including the frequent jet-setting of global “planet saviors”) and electricity generation.
Also, the top six largest economies in the world based on gross domestic product (GDP) size at purchasing power parity (PPP) values are also the world’s top six largest energy consumers.
2 High coal use for power generation is inevitable for huge population countries like China and India, two countries that experienced large-scale reduction in poverty. The same is also true for industrial economies like the US, Japan, Germany, and S. Korea. The anti-coal movement tries to deny this fact but cannot escape it (see table).
Primary Energy Consumption
3 World oil prices rose late 2017 until October 2018 and collapsed this November-December. WTI crude fell at $43-46 a barrel. Dubai crude reached almost $85 in early October and collapsed to below $60 a barrel in late December.
4 The philosophy of high oil and carbon taxes to “save the planet” was pricked big time in France. The Yellow Vest movement strongly and categorically declared that cheaper oil is more important than “fight (man-made) climate change” political concerns.
5 “Non-news” to many media outlets but actually good and big news to consumers: NO major energy catastrophes in 2018, no major oil spills, no gas blowouts, no reactor meltdowns, no major infrastructure destroyed by natural disasters.
NATIONAL
6 High inflation was triggered primarily by high oil tax hikes under the Tax Reform for Acceleration and Inclusion (TRAIN) law; higher coal, tobacco and sugar taxes also contributed. Dutertenomics led by the Department of Finance and National Economic and Development Authority remain deniers of this fact so they will proceed with the second package of oil and coal tax hikes starting January 2019.
7 The feed-in tariff (FIT) or guaranteed high price for 20 years of wind-solar and other renewables keeps rising. What was only 4 centavos/kWh in 2015, became 12.40 centavos in 2016, 18.30 centavos in 2017, and 25.32 centavos starting June 2018. This contradicts the renewable energy (RE) lobby’s claim that RE is getting cheaper.
8 The creation of an Independent Market Operator (IMO) as explicitly provided in the Electric Power Industry Reform Act (EPIRA) of 2001 finally became a reality. Officially announced by Energy Secretary Alfonso G. Cusi in June 2018, the Independent Electricity Market Operator of the Philippines (IEMOP) was created with Atty. Francis Saturnino “Nino” Juan as its first president.
9 Uncertainties remained in the implementation of the Retail Competition and Open Access (RCOA) provision of EPIRA law after the Supreme Court issued a temporary restraining order in 2017. Voluntary participation of contestable customers with 750-999 kW consumption became wobbly and many Retail Electricity Suppliers (RES) with expiring licenses still cannot get new ones, reducing competition. IEMOP recommended the voluntary registration of contestable customers as trading participants in the WESM (Wholesale Electricity Spot Market) in lieu of their mandatory WESM registration.
10 Electricity prices have stabilized in recent years. The load-weighted average price (LWAP) at WESM in P/kWh: P5.37 in 2012, P4.19 in 2013, P4.65 in 2014, P3.64 in 2015, P2.81 in 2016, P3.28 in 2017, and around P3.45 in 2018. Low electricity prices in 2016 followed by a rise in 2017-2018 are consistent with world oil prices.
So what is the outlook for 2019?
World oil prices are projected to remain low next year but local oil prices will rise due to part two of oil tax hikes under the TRAIN law.
Electricity prices in the country are supposed to remain low and stable but will be spoiled by the upward distortion by part two of oil and coal tax hikes.
Cheap energy is good but Dutertenomics thinks this is wrong so the government must make energy become more expensive. Lousy and idiotic “public service.”
 
Bienvenido S. Oplas, Jr. is the president of Minimal Government Thinkers.
minimalgovernment@gmail.com

2018: The year of the woeful world leader

By Leonid Bershidsky
Bloomberg Opinion
THE dictionaries have decided on their 2018 words of the year. Oxford picked “toxic.” Merriam-Webster went for “justice.” Collins chose “single-use.” I’d zero in on “misgovernment.” Surely, 2018 saw a staggering number of countries woefully misruled by the worst crop of world leaders in recent memory.
The most egregious examples are in the news every day. US President Donald Trump tops the chart as he runs out of straws to clutch in trying to convince Americans that his election has been good for them. The stock market bump of which he was so proud is disappearing. The fiscal deficit is the highest since 2012. Trade wars notwithstanding, the trade deficit is at a 10-year high.
The turnover on the presidential staff has reached catastrophic levels: 65 percent of Trump’s “A Team” had been replaced since his election as of Dec. 14, according to the Brookings Institution, and that doesn’t even include cabinet members (12 of the 24 officials in the cabinet have been replaced and now a 13th, Defense Secretary James Mattis, is leaving). Trump is having trouble filling once-coveted positions, and the officials he fired and those who have resigned are sometimes unconstrained in criticizing him — a situation that, were it to occur in a corporation, would have tanked its stock.
leader
All this doesn’t even scratch the surface of what Trump has done. The damage he has wreaked on the US role in the world is only beginning to manifest itself. Almost everywhere (with a few exceptions such as Israel and South Korea) favorable views of the US are declining, and people are becoming convinced that the US doesn’t care about other countries’ interests. Alliances are loosening and the multilateral world order is creaking.
Almost as obvious is the misgovernment of the UK. Blind to the reality of disappearing economic growth, slowing business investment and a growing trade deficit, Prime Minister Theresa May’s government has persevered in trying to pull the country out of the European Union and in fantasizing about withdrawal terms that the EU rejected from the start. Destroyed by the EU’s dream team of super-competent negotiators, May’s bungling, ill-prepared representatives flailed about, resigned in exasperation and finally produced a deal nobody really wants — not even the EU, though it’s skewed heavily in its favor. With her support weak even within her own party and her negotiating options exhausted, May now is setting up the country for a no-deal Brexit scenario that would cause massive disruption to millions of lives — anything to avoid the only reasonable option, a new vote on EU membership for a UK public that found out this year it had been misled by Brexit campaigners who lied about the consequences of withdrawal.
NOT JUST AN ANGLO-SAXON THING
Even beyond these two most obvious examples of mismanagement and incompetence, things aren’t looking much better. Last year, Emmanuel Macron of France looked like the Western world’s great hope with his sweeping reform plans and a grand vision for a tighter-knit EU. He ends the year in retreat before what’s looking like the most effective Facebook-driven revolt in a Western nation to date, the Yellow Vest movement that started as a protest against a small increase in fuel taxes but grew into a violent anti-elite rebellion. Macron has undermined his reform ambitions by making concessions to the Yellow Vests worth up to 11 billion euros ($12.5 billion) a year, and his popularity hasn’t recovered, remaining at a dismal 27% approval in public opinion polls.
Another potential leader of the west, German Chancellor Angela Merkel, spent most of the year hobbled by an open revolt within her party, the Christian Democratic Union, and its Bavarian sister party, the Christian Social Union. The conservative rebels paralyzed the government demanding tougher immigration policies and forcing Merkel into exhausting backroom battles that left her drained, sometimes even apathetic. The Union performed badly in two important state elections, and Merkel was forced to give up the party leadership. Though her chosen successor, Annegret Kramp-Karrenbauer, won the leadership election earlier this month, beating the more conservative Friedrich Merz, the split in the party hasn’t been healed and a lame-duck Merkel hasn’t acted as though the lifted burden of party politics has freed her up to be more assertive as chancellor. The best she’s been able to do is ensure stability, which looks to many Germans like stagnation at a time when the country is falling behind others in technology and underinvesting in areas such as education and infrastructure.
This was a year of chaos in other democracies, too.
The populist government in Italy drew up a fantasy budget that included a version of a universal basic income and fought with the EU over it (only to end up lowering its unrealistic projections) while the economy slid toward recession.
In Spain, Mariano Rajoy’s center-right government buckled under the weight of corruption scandals and the outgoing prime minister spent a whole day at a restaurant as Socialist rival Pedro Sanchez unseated him in a kind of parliamentary coup. Sanchez, however, isn’t doing too well, either: His government is beset by scandals, he faces a reprise of troublemaking by Catalonian separatists that made it almost impossible for Rajoy to focus on anything else. Now, for the first time in decades, a nationalist-populist party, Vox, is gaining popularity and has won representation in Andalusia’s regional parliament.
Sweden and Latvia are entering the new year without governments following inconclusive elections and months of coalition negotiations. In Sweden, established parties are trying to exclude an increasingly powerful populist rival. In Latvia, the establishment would like to engage the surging populists to get around a strong party that’s considered pro-Russian, but the results are the same: a political fracturing unprecedented in both countries’ history.
In Belgium, the government has just been toppled by a nationalist party campaigning against a non-binding United Nations migration pact that Belgium approved along with 163 other countries.
WEAKENING STRONGMEN
It hasn’t been a great year for strongmen and hybrid regimes, either.
Russian President Vladimir Putin was re-elected, but has since seen a drop in popularity following a highly unpopular retirement-age increase. Russia’s economy and Russians’ incomes are stagnating, and Putin’s been constrained overseas by a string of public failures by Russia’s aggressive military intelligence service and an inability to build a working relationship with the US.
India’s Narendra Modi goes into 2019 having lost elections in three states where his Bharatiya Janata Party was previously dominant. Modi’s hubris and the lasting effects of his policy mistakes, such as the disastrous “demonetization” of 2016 in which Modi took 86% of the country’s cash out of circulation, are partly responsible for his weakening hold on power. Urjit Patel, the central bank governor, resigned earlier this month after Modi’s repeated attempts to weaken the bank’s independence and get control over its reserves. Though economic growth has been strong, it hasn’t been inclusive as Modi had promised; unemployment hit a two-year high in October.
Turkey’s Recep Tayyip Erdogan consolidated his power with an election win, but he’s mismanaging Turkey’s economy. The Bloomberg consensus forecast sees the country plunging into recession starting this quarter. The lira is the world’s second-worst performing currency after the Argentine peso, having lost about 29% of its value against the US dollar.
Saudi Arabian Crown Prince Mohammed bin Salman, once feted as a bold reformer, has seen his reputation destroyed by the October murder of Washington Post columnist Jamal Khashoggi inside the Saudi consulate in Istanbul. The brutal act has undermined international support for MBS, as the prince is known, and thrown a monkey wrench into his plans to reduce the Saudi economy’s oil dependence.
Saudi Arabia’s archrival, Iran, isn’t doing much better. Beset by domestic protests and hit again by US sanctions from which European powers have been unable to protect it, the regime of Supreme Leader Ayatollah Ali Khamenei has had an awful year, even if it’s not teetering yet.
Viktor Orban in Hungary, whose Fidesz party won a supermajority in an election in April, appears to have overplayed his hand with a series of moves aimed at consolidating his power over courts and media, as well as a recent law that has the potential to force Hungarians into working overtime for pay that would be delayed for three years. He’s facing the most persistent protests of his rule and has been forced to resort to violence against the protesters.
The current crew of error-prone rulers makes for a fractious world with a growing potential for conflict, armed and otherwise, domestic and international. The elites, both democratic and authoritarian, are weak, and they invite backlashes against their mismanagement. Protest movements and anti-establishment parties have sprung up and are strengthening everywhere; they have different goals but are all bolstered by social-network technology that amplifies anger and violence.
WINNERS LOSE GROUND
Even the few notable exceptions to the misgovernment rule of 2018 don’t inspire much confidence.
Canadian Prime Minister Justin Trudeau has made no major errors, but his popularity is trending down ahead of next year’s election.
South African President Cyril Ramaphosa, who vowed to clean up the country after the disheartening corruption that plagued it under Jacob Zuma, couldn’t maintain “Ramaphoria” for long. Though he has restored investor confidence, his anti-corruption efforts haven’t yielded quick results and fears of a land expropriation campaign continue to hang over the country.
Most intriguingly, Chinese President Xi Jinping, who has avoided major errors for years, may have made some in 2018. It’s unclear whether accepting Trump’s trade-war challenge was a good idea. For all its might, China is still a middle-income country that’s extremely dependent on trade. Xi’s battle against Trump may win him sympathy in Europe, but Europeans aren’t natural allies for China. Xi’s show of strength may be premature, and that will become clear in the next couple of years.
The shortage of competent, clear-headed, hubris-free leadership in today’s world may be a freak accident. But if it’s the new normal, living in this world will require new skills from ordinary people, too. Vigilance and easy mobility in case a country deteriorates intolerably are two of them; a capacity for constructive protest is a third. Bad leadership isn’t just something we read about on news sites. It could signal the deterioration of institutions, both global and domestic, that shape our lives.
 
Leonid Bershidsky is a Bloomberg Opinion columnist covering European politics and business. He was the founding editor of the Russian business daily Vedomosti and founded the opinion website Slon.ru.

Out of the shadows

By Michael Angelo S. Murillo
Senior Reporter
FILIPINO WORLD BOXING champion Donnie “Ahas” Nietes caps off what has been a busy 2018 with another title fight on New Year’s Eve in Macau, China. It is a contest that carries much significance in further solidifying his standing as one of the sport’s best, a local boxing analyst said.
In what would be his third fight in the about-to-end year, 36-year-old Nietes is to take on Japanese Kazuto Ioka on Dec. 31 at the Wynn Palace Cotai in Macau for the vacant World Boxing Organization super flyweight world championship.
The fight is in follow-up to that against Juan Carlos Reveco of Argentina in February and compatriot Aston Palicte in September which ended in a seventh-round technical knockout victory and split decision, respectively.
A victory over Mr. Ioka would hand the Negros Occidental native Nietes a fourth division world title, which only a few in boxing had achieved.
For local combat sports analyst Nissi Icasiano, joining an elite group of champion fighters would be huge for Mr. Nietes (41-1-5), who has achieved a lot in an illustrious boxing career but has not been given the due recognition that he deserves.
“Going by the numbers, it is hard to deny the place of Donnie Nietes in Philippine professional boxing history. However, he continues to fight behind the shadows of other Filipino boxing greats such as Manny Pacquiao and Nonito Donaire. The main objective of Donnie Nietes in this fight is to get the world recognition that he truly deserves by becoming a four-division world champion. It is an elite class that counts as members only the best and the brightest like Pacquiao, Donaire, Miguel Cotto, Oscar De La Hoya, Floyd Mayweather, Erik Morales, Tommy Hearns, and Sugar Ray Leonard,” said Mr. Icasiano when asked by BusinessWorld for his thoughts on Mr. Nietes’s upcoming fight.
“Just by looking at Donnie Nietes’ brilliance in the ring and his list of achievements, you will never think twice that he should be on that roster. Of course, there is pressure on the part of Donnie Nietes because his shelf life as a boxer is near expiry, At the age of 36, he knows that the clock is ticking. Aside from that, he is also eager to prove that he should have won the bout against Aston Palicte. In the first place, he wouldn’t be in this position if the judges had it right last September. If he wants to write his name in history books as a four-division world champion, he will have to do it this weekend,” the analyst added.
A professional fighter since 2003, Mr. Nietes has won titles in minimumweight, light flyweight and flyweight while also going undefeated for more than a decade now.
He is looking to continue to roll against Mr. Ioka (23-1), who Mr. Icasiano expects to give the Filipino a tough challenge.
“Like Donnie Nietes, Kazuto Ioka also looks to make history. He unified two world titles at 105 pounds before abdicating his throne to enjoy more success at 108 and 112. He made his debut at 115 pounds and his ring return after a 17-month hiatus on the same card where Nietes fought Palicte. This match was bound to happen, and I can’t blame WBO for denying Palicte’s request of a rematch against Nietes. This fight pack significance for both Nietes and Ioka, with the two fixing their sights on a fourth world title. Skilled boxer-puncher such as Kazuto Ioka will meet an equally talented fighter such as Donnie Nietes,” said Mr. Icasiano of Mr. Ioka and in setting up the fight.
But while Mr. Ioka is not going to be an easy foe for Mr. Nietes, Mr. Icasiano nonetheless believes that the Filipino champion is the more complete fighter which could spell the difference in the title fight.
“It’s intriguing to see this match because both men are virtually identical in terms of size and skill set, and can produce a brilliant display of technical boxing for 12 rounds. But still, Nietes is the more complete boxer between the two fighters,” Mr. Icasiano said.
Those who want to catch the Nietes-Ioka fight commercial-free may do so by subscribing to SKY Sports Pay Per View by calling 418-0000 or visiting mysky.com.ph/boxingppv.

Raptors stop streaking Heat

KAWHI LEONARD posted a game-high 30 points and added eight rebounds as the Toronto Raptors snapped the host Miami Heat’s five-game win streak with a 106-104 victory on Wednesday night.
The Raptors were without point guard Kyle Lowry, who has back pain. But Toronto is 8-1 without Lowry this season.
Toronto’s Danny Green hit the go-ahead three-pointer from the right corner with 23 seconds left to give the Raptors a 106-104 lead.
On the following possession, a three-point attempt by Miami’s Dwyane Wade fell short. Teammate Justise Winslow grabbed the rebound and missed a three-pointer with 2.6 seconds left, and Wade failed on a tip-in.
NETS 134, HORNETS 132 (2 OT)
Joe Harris recorded a steal and drove in for the game-winning fastbreak layup with 3.4 seconds left in double overtime as host Brooklyn finally outlasted Charlotte.
The Hornets had the ball with less than two seconds’ separation between the shot clock and the game clock, but Malik Monk lost the ball as he tried dribbling around Rodions Kurucs. Harris picked up the ball and scored the layup, but the shot clock never reset, so a buzzer signaling a shot clock violation went off just before Charlotte lofted a desperation shot.
Officials put 1.6 seconds back on the clock and gave the Hornets the ball at half-court. Monk then missed a desperation heave from just inside half-court to end a wild affair.
SPURS 111, NUGGETS 103
DeMar DeRozan scored 30 points and LaMarcus Aldridge added 27 as San Antonio Spurs played its best basketball in the fourth quarter while defeating visiting Denver.
Denver led 80-79 after two free throws by Malik Beasley with 9:44 to play before the Spurs fashioned a 15-0 run, with 3-pointers by Marco Belinelli beginning and capping the spurt, to run past the Nuggets.
San Antonio ran its advantage to as many as 18 points and had more than enough to hold off a late Denver run.
MAVERICKS 122, PELICANS 119
Rookie Luka Doncic had 21 points and 10 assists as host Dallas ended a six-game losing streak and extended New Orleans’ losing streak to five games.
DeAndre Jordan added 20 points and 12 rebounds, J.J. Barea scored 18 points, Harrison Barnes and Devin Harris each had 16 points and Maximilian Kleber added 10 for the Mavericks, who improved to 14-3 at home.
Anthony Davis had 32 points and 18 rebounds, Jrue Holiday scored 25 and Julius Randle had 23 for the Pelicans, who completed a four-game road trip by falling to 4-15 away from home.
TIMBERWOLVES 119, BULLS 94
Karl Anthony-Towns and Taj Gibson combined for all the scoring in an 8-0 burst to open the game that gave Minnesota the lead for good in its romp over host Chicago.
Derrick Rose had a team-high 24 points to go with eight assists, while Towns recorded a 20-point, 20-rebound double-double for the Timberwolves, who completed a two-game, season-series sweep of the Bulls.
The 20-20 game was Towns’ third of the season and eighth of his career. It was just the 21st 20-20 game of the NBA season. Only Detroit’s Andre Drummond, with six, has more than Towns.
GRIZZLIES 95, CAVALIERS 87
Marc Gasol recorded 20 points, nine rebounds, six assists and four blocked shots to help Memphis post a victory over visiting Cleveland.
Mike Conley registered 15 points and eight assists as the Grizzlies won their second straight game following a five-game slide. Kyle Anderson also scored 15 points, while Jaren Jackson Jr. and Garrett Temple added 11 apiece.
Jordan Clarkson scored 24 points off the bench for Cleveland, which lost its fourth straight game and sixth in its last seven. Collin Sexton added 16 points and Cedi Osman scored 10 for the Cavaliers, who scored just nine first-quarter points.
PISTONS 106, WIZARDS 95
Blake Griffin scored a game-high 23 points and sparked an early second-half run that gave Detroit the lead for good in a win over visiting Washington.
Detroit had lost nine of its previous 11 games, but the burst at the start of the second half gave the Pistons command. They scored 23 of the first 25 points in the third quarter and turned a one-point deficit into a 77-57 lead with 6:39 left in that period.
The Pistons began the streak with back-to-back three-pointers just nine seconds apart from Griffin and Bruce Brown. This same pair each scored five as Detroit posted the first 12 points of the half. — Reuters

Herndon basks in winning a PBA title with Magnolia

ALWAYS WANTED to play for the Magnolia franchise in the Philippine Basketball Association, forward Robbie Herndon shared that to win a title with the team makes it all the more special.
Acquired on Draft Day in 2017 by then the Star Hotshots from GlobalPort Batang Pier, Mr. Herndon, who played collegiate ball in the United States with San Francisco State, said to be part of the team he has admired was something he was happy and excited to have seen realized.
That special affinity with the Hotshots was further enhanced recently after the rookie player helped the franchise get back to the PBA summit, winning the season-ending tournament Governors’ Cup by defeating the Alaska Aces in six games in the finals.
It marked the end of a four-year title drought for the storied franchise in the local professional league.
The last time the franchise was in 2014 when they won the same conference to complete a grand slam year for the team, which was playing under San Mig Coffee then.
The significance of the title conquest was not lost to Mr. Herndon, who was a key cog for head coach Chito Victolero and the Hotshots in their title run.
“It’s an incredible feeling. I got a special group of guys on this team, and that’s what makes it even more special. Winning a championship is great, but winning that with a group of guys that all get along just like a family makes it feel even better,” said Mr. Herndon.
“I am blessed to be with a team that’s already ready to go and ready to win a championship. As a rookie, I just wanna focus on fitting in with the system, and I feel I did a great job with that. It’s just the rookie season, but I’m already a champion. So what else can I ask for?” he added.
MAGNOLIA SYSTEM
Moving forward, Mr. Herndon said he is looking forward to achieving more success with Magnolia and playing under the system of Mr. Victolero, which he thinks fits him well.
“It (Magnolia system) works, obviously. We win. It’s a defensive system. The offense is free-flowing, but it’s mostly defense. I like our system. As long as we’re winning, there’s nothing wrong with it,” Mr. Herndon said.
With one year of PBA experience under his belt, Mr. Herndon said he is more than willing to share what he had learn in year one to incoming Magnolia players, notably Michael Calisaan of San Sebastian College, who the Hotshots ninth in the 2018 PBA Rookie Draft.
“I was given a lot of help with the veterans when I first came in. I’d try to do the same for him — trying to teach him what to do. If he needs help. I’m excited to meet him. He’s joining a really good team,” Mr. Herndon said.
Prior to entering the Philippine Basketball Association, Mr. Herndon made a name for himself by ruling the Red Bull King of the Rock Philippine qualifier, beating PBA legend Willie Miller in the finals.
He then played at the Philippine Basketball AssociationDevelopmental League with the Marinerong Pilipino Skippers.
At the PBA Rookie Draft, Mr. Herndon was selected sixth overall by GlobalPort before his rights, along with another pick Andreas Cahilig (24th), was sent to the Hotshots for rookies Lervin Flores (9th), Joseph Gabayni (14th) and Julian Sargent (16th) in a multi-player deal. — Michael Angelo S. Murillo