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New coco levy bill to account for delays in P30-B worth of funding from asset sales

SENATOR Cynthia A. Villar, who chairs the Senate Agriculture committee, said the new Coconut Levy bill that will replace a measure vetoed in the last Congress will take into account a likely delay in P30-billion worth of funding, adding that she sees no problem with the delay since the government can tap other readily-available sources.

Ms. Villar said the new legislation will take into account the requirements of Executive Order No. 179, issued in 2015 by former President Benigno C. Aquino III. The EO authorized the sale of assets funded by the original coconut levy, potentially raising about P30 billion.

Ms. Villar told reporters in a chance interview that some of those assets are locked up in litigation, potentially delaying their disposal, but added that the trust fund for the coconut industry that will be set up under the bill will initially be funded for about P75 billion in cash currently held by the Treasury.

“Wala namang (There is no) problem doon sa (in the) P75 billion na cash na nasa (which is in the Bureau of) Treasury. The problem is the assets that will be sold to generate the additional P30 billion may problema pala yun (access to the funding will be problematic). May mga kaso (They are tied up in legal disputes).”

Ms. Villar, speaking on the sidelines of the Sustainable Agriculture Forum Wednesday, said the EO was recently upheld by the Supreme Court, paving the way for the assets’ ultimate disposal.

“We will be incorporating (funding from the asset sale)… we don’t need that money yet. There is P75 billion (in available funding); if you distribute it at the rate of P5 billion a year it will take 15 years,” she added.

EO N0. 179 was issued in March 2015 by former the President, setting the guidelines for the inventory and privatization of Coconut Levy assets.

The EO authorizes the Privatization and Management Office to undertake “the actual marketing/disposition program for the non-cash Coco Levy Assets, to execute and deliver, on behalf of the Government, the deeds of sale, contracts and other instruments as may be necessary or appropriate to convey title to such assets, to take possession of and conserve the non-cash Coco Levy Assets transferred to it, and to engage external expertise as may be necessary in the fulfillment of its tasks under this Order.”

The EO also directed that the proceeds go toward improving the coconut industry’s productivity, developing coconut-based enterprises, increasing the income of coconut farmers, strengthening farmers’ organizations, and achieving “balanced” and “equitable” growth for the industry.

The Coconut Levy was a Marcos-era imposition on coconut farmers collected on the pretext of improving the industry, though the ultimate disposition of the funds was disputed. The levy funds took decades to trace, until the previous Congress submitted legislation for a Coconut Industry Trust Fund, which President Rodrigo R. Duterte vetoed in February, citing the need for stronger safeguards in the fund’s disbursal.

“We are confident the President will sign (the new legislation),” Ms. Villar said during the forum.

The trust fund is expected to benefit 3.5 million coconut farmers.

At his State of the Nation Address Monday, Mr. Duterte said: “I also have not forgotten my commitment to uplift the lives of coconut farmers and further develop the coconut industry through the urgent utilization of the Coconut Levy Fund.” He also pushed lawmakers to pass “a more responsive version” of the bill. — Vincent Mariel P. Galang

Education could thrive if connectivity improves

By Vince Angelo C. Ferreras, Reporter

THE Fourth Industrial Revolution is expected to blur the line between the digital and the physical spheres as daily interactions with mobile or computer screens develop beyond their current static forms.

World Economic Forum chairperson Klaus Schwab believes this latest industrial revolution will be “fusing the physical, digital and biological worlds, impacting all disciplines, economies and industries, and even challenging ideas about what it means to be human.”

Is the Philippines ready for e-classrooms and virtual interaction between students and teachers? Do the recent laws on universal access to quality education and open distance learning prepare students to become part of the modern work force?

Commission on Higher Education (CHEd) chairperson Prospero E. De Vera III believes that meeting the needs of the Fourth Industrial Revolution will be difficult if internet connectivity does not improve.

“Ang problema natin (Our problem with) the Fourth Industrial (Revolution) in the Philippines is the internet… So much fear, so much opportunity. But if our internet does not become faster, we cannot harness the opportunity of the Fourth Industrial Revolution,” Mr. De Vera said in an interview with BusinessWorld.

The latest Social Weather Stations survey conducted in March noted that internet use among university graduates was 79%, up from 77% three months earlier.

Despite the high percentage of internet usage among Filipinos, especially college students, Speedtest Global Index reported that the country’s fixed line internet average speed of 19.51 Mbps was much slower than the global average of 57.91 Mbps. This puts the Philippines at 101st among 179 countries.

“Ang solution diyan wala sa CHEd, ang solusyon diyan nasa telcos,” said Mr. De Vera.

Technology expert Art Samaniego, Jr. said that a 5G connection will go a long way to helping modernize classrooms during the Fourth Industrial Revolution.

“Kapag na-activate na ’yung 5G network natin, ang dali dali nang i-combine ang technology at, tulungan ’yung educational system. Hindi na kailangan ng estudyante pumunta sa eskwelahan,” (When 5G is activated, it will be easy to fold technology into the educational system. Students may not even need to go to school), Mr. Samaniego said in a chance interview.

The Department of Information and Communications Technology (DICT) said it awarded the Mislatel consortium its operating frequencies and permit to operate, with the incoming third player in the telecommunications industry expected to begin operations by 2020.

“Meron kaming vision na by the end of 2020, mararamdaman na ’yung fast internet natin. Nandiyan na ’yung third telco, at meron na kaming pinapairal na national-global plan,” said DICT Undersecretary Eliseo M. Rio, Jr. in a phone interview. (Our vision is that by the end of 2020, we will start experiencing fast internet connections. The third telco will be there and we are also implementing a national-global plan.)

Mr. Rio also noted that Republic Act No 10929 or the Free Internet Access Program will benefit state educational institutions.

“We have a law that will provide the necessary funds for this and this is the “Free Wifi Zone”. So gagawin naming access points lahat ng mga schools and ’yung mga state-owned universities and colleges (We will make the schools and state-owned universities and colleges access points),” said Mr. Rio.

Under the law, the government will invest P1.16 billion this year to put up close to 11,000 free Wi-Fi hotspots around the country.

OPEN DISTANCE LEARNING ACT
Former President Benigno S.C. Aquino III signed five years ago Republic Act 10650, the Open Distance Learning Act, which seeks to provide government support for distance learning programs and to democratize access to tertiary education.

Under the new law, the University of the Philippines Open University (UPOU) is required to provide expertise to CHEd in the development of open learning and distance education and in the proper use of information and communications technologies in support of quality higher education.

However, Mr. De Vera noted that even UPOU itself cannot fully meet its mandate to provide open distance learning programs at the undergraduate level as it only offers two undergraduate programs: BA in Multimedia Studies and Bachelor of Education Studies, as compared to the 16 master’s and doctorate programs.

“UP is supposed to be the apex university that is supposed to develop it by giving technical advice to CHEd….Ang nangyari (What happened is) they went to the graduate program, not the undergrad…. The most benefiting from it are OFWs (Overseas Filipino Workers), nakakakuha sila ng (they obtain diploma) for their masters and PhD, but they only have two undergraduate programs,” said Mr. De Vera.

The CHEd chairperson is calling on UPOU to be “aggressive” in pushing for open distance learning programs especially in the undergraduate program in the context of the Fourth Industrial Revolution.

“I’ve been telling UP Open U, you have to take a leadership role in creating an aggressive undergraduate programs using open distance learning, that is how we can harness the Fourth Industrial Revolution. Improve connectivity and use technology to do it. Maraming (There are many) universities ang may (that have) distance learning pero di mo alam ’yung quality kasi wala tayong (but you are not sure about the quality because we don’t have a) national framework,” he said.

HOW TO THRIVE IN THE FOURTH INDUSTRIAL REVOLUTION
With the latest industrial revolution, robotics, automation, artificial intelligence, and machines will dominate most of our everyday work functions. Some jobs might become obsolete or grow, or new kinds of jobs will emerge.

“Ang challenge kasi ng Fourth Industrial Revolution is very simple: people are afraid of the Fourth Industrial Revolution. Because it will disrupt existing manpower requirements, there will be jobs that will be redundant… the problem is that nobody can predict what new jobs will be created,” said Mr. De Vera.

He added, “The industry and the academe must work together because they must realize that their survival is dependent on how they can work together, to predict the new manpower demands, and draft the necessary curriculum to produce it. Kung ano man natututunan ng mga estudyante sa universities (Whatever the students learn in the universities), that will be redundant 10 years from now.”

Mr. De Vera said CHEd reguarly consults with the academe and industry to help keep graduates competitive.

“Ang kailangan ng (what is needed for the) Fourth Industrial Revolution is soft skills, which are essential skills, (like) problem solving, critical thinking, ayan ang kailangan ng tao (that’s what people need),” he said.

The World Economic Forum reported that the skills needed in the workplace in the future are complex problem solving, critical thinking, creativity, people management, emotional intelligence, coordinating with others, judgment and decision making, service orientation, negotiation, and cognitive flexibility.

CHEd believes that these skills can be learned in the general education courses.

“Unfortunately, those essential skills cannot be learned in your internship…ang kailangan mong palakasin ay ’yung (what you need to strengthen is the) general education program. There must be a shift to look again at general education to develop graduates who are holistic in orientation, who understand globalization,” said Mr. De Vera.

Mr. Samaniego believes that exposing students and teachers to modern technologies will be a big help for their future careers.

“We need to educate the educators,” he said. “Dapat open sila sa (They should be open to) new forms of technology like social media. Marami pa ring schools ang nagba-ban sa social media. (Social media is still banned at many schools) Dapat open ‘to, kasi ito ’yung magiging workflow ng mga bata in the future (This should be open to everyone, because this will be the workflow of the students in the future).”

He said that integrating ideas on technology in other subjects will also help students.

“Kailangan natin i-integrate ang technology sa lahat ng subjects kung saan pwede, kasi lahat sakop na ng technology (We need to integrate technology in as many subjects as possible, because technology covers everything now). For example, Home Economics, may mga technology ka nang ginagamit sa mga home na ngayon eh (you are now using technology at home). Lahat connected na (Everything is now connected). Lalo kapag dumating ang 5G, lahat ng gamit mo sa home, connected na sa internet (Especially if 5G comes, everything you use at home will be connected to the internet),” said Mr. Samaniego.

He added, “Ang una mong applicant na tatanggapin ay ’yung technology literate (The first to be hired are those who are technology-literate). So mas may chance makakuha ng trabaho kapag tech-literate ka (So there is a more chance to be hired if you are tech-literate) , kapag na-blur na ’yung (when the line is blurred) between digital and physical.”

DICT noted that interactive classrooms will be more convenient and help in decongesting roads in Metro Manila.

“By connectivity, this instructor can teach many classrooms. Kaya dapat may (There should be) interactive na system, teleconferencing. If we have that, the quality of instruction will be much better. The instruction can be based in Manila and students can ask questions in real time…this can solve congestion in Manila,” said Mr. Rio.

However, Mr. Samaniego pointed out that students should also be instructed on privacy and security issues.

“Kapag nilagay mo ’yung bata sa technology (If you expose a child in technology), delikado siya dahil maraming danger ang technology (he is vulnerable because there are lots of dangers) — hacking, identity fraud. More than 90% of identity crime ay dahil sa (is due to) oversharing on the internet and social media. Kaya dapat habang wala pa tayong internet penetration na buo, dapat i-educate na natin mga bata tungkol sa privacy and security (That’s why we need to educate students on privacy and security even before we have full internet penetration,” he said.

Pryce announces possible drilling of appraisal well in Palawan concession

PRYCE CORP. said its major subsidiary had decided to step up its exploration offshore Palawan with the possible drilling of an appraisal well, the property developer and gas trader told the stock exchange Wednesday.

It said Pryce Gases, Inc. (PGI), along with a consortium partner, plans to enter Sub-Phase 5 of Service Contract (SC) 55. The move will take effect on Aug. 26, with an option to begin the appraisal period before that date.

It said the appraisal well may involve the drilling of an ultra-deepwater well for at least $3 million.

PGI is principally engaged in the importation, distribution, and retail sale of liquefied petroleum gas or LPG.

Pryce said the consortium may also opt to enter an appraisal period that would require the implementation of an appraisal work program. The program requires the approval of the Department of Energy (DoE), and may involve the drilling of an appraisal well, it said.

SC 55 is a deep-water block in the southwest Palawan Basin that covers an area of 9,880 square kilometers.

“It is in the middle of a proven regional oil and gas fairway that extends from the productive Borneo offshore region in the southwest, to the offshore Philippine production assets northwest of Palawan,” Pryce said.

PGI acquired its interest in SC 55 in July 2015 through a farm-in agreement with Otto Energy Philippines, Inc., former operator and ex-consortium partner in the service contract. It has a 25% participating interest in SC 55.

Separately, Phinma Petroleum and Geothermal, Inc. (PPGI) told the stock exchange that its subsidiary Palawan55 Exploration & Production Corp. notified the DoE on Wednesday about entering the fifth sub-phase of SC 55.

Like Pryce, it said the move is without prejudice to the unit’s option to enter the appraisal period of SC 55 no later than the said date.

Palawan55 is the operator of SC 55 and owns a 37.5% participating interest. The sub-phase’s commitment to drill one ultra-deepwater well at a water depth beyond 1,500 meters could kick in by the second quarter of 2020.

PPGI said that in 2015, the SC 55 consortium drilled the Hawkeye-1 well in 1,700 meters of water at a cost of $23.5 million.

“The well discovered natural gas at the crest of the target structure but the estimated volume of the accumulation was deemed by the former Operator to be non-commercial on a stand-alone basis,” it said.

“Palawan55 is currently undertaking quantitative interpretation of over 1,000 sq. km. of recently reprocessed 3D seismic data over the greater Hawkeye area and a large carbonate reef prospect,” it added.

On Wednesday, shares in Pryce rose 5.51% to close at P5.36, while those of PPGI fell 12.66% to P6.00. — Victor V. Saulon

New laws improve chances of hitting SDGs, NEDA says

THE National Economic and Development Authority (NEDA) said the chances of achieving Sustainable Development Goals (SDGs) have improved because of the laws passed this year.

“I think we have a better chance this time because as you know we’ve had number of laws passed that are really going to respond to the challenges not only with the PDP (Philippine Development Plan) and the AmBisyon Natin (the long-term development plan running to 2040) but also the challenges of the SDG 2030,” Socioeconomic Planning Secretary Ernesto M. Pernia told reporters at a briefing in Ortigas district Wednesday.

Mr. Pernia noted the passage of laws on the National ID, Ease of Doing Business, and Universal Health Care provide the government with new “tools” to achieve the SDG.

“Many of the laws attempted decades back… are finally coming to operation now. So I think… we have better tools and avenues to do better vis-a-vis the SDGs,” he said.

“We will do a little better, I think we will improve… because of the PDP, AmBisyon Natin and the SDG,” he added.

He said that the integration of the SDGs with the Philippine Development Plan 2017-2022 and the AmBisyon Natin 2040 which was both crafted in 2016 will further improve the possibility of achieving the SDG and that “they also seem to fit together quite well.”

At the briefing, Mr. Pernia reiterated that he remains positive that the Philippines will achieve upper middle-income economy status this year or next year.

“It’s still possible that we can achieve the upper middle-income status this year but I think it’s going to be surer next year,” he said. — Beatrice M. Laforga

Protesting a business tax assessment

A few weeks ago, my friends and I had the chance to visit the fascinating beaches of Boracay after it underwent rehabilitation for six months. I can still remember the last time I was there about two decades ago, recapturing the same feeling of awe when I first set foot on its powdery white sand. It took a while for me to return after reading news articles of how exploitation and profiteering of various business establishments had debased the pristine beauty of this island gem.

Now that Boracay has repossessed its marvel, tourists can once again stroll freely and unobstructed along the shore to enjoy its clear azure water. I really have to commend both the national and local governments for their concerted efforts to restore the island to its former glory.

Speaking of government action, I also think that it is high time for local government units (LGUs) to revisit some of their local rules that contradict the Local Government Code (LGC). Take the case of a city ordinance regarding “payment under protest” for local business tax (LBT) assessments.

LBT is an annual tax paid by companies to secure their business permits in the locality where they are doing business. It is based on a certain percentage (3% maximum rate) of the taxpayer’s gross revenues or receipts for the prior year. For start-ups, LBT is based on the company’s initial capitalization. This tax is due to the local government within the first 20 days of January, or each subsequent quarter if paid on installment.

LGUs are allowed to conduct an audit of the taxpayer’s LBT payments for a period of five years from the date the tax becomes due. If deficient, the LGU will issue a notice of assessment to the taxpayer for the tax deficiency and will assess penalties. By way of recourse, taxpayers may file a protest within 60 days from the receipt of the assessment notice. Otherwise, the assessment becomes final and executory. If the protest is denied, the taxpayer’s remedy is to elevate the case to the appropriate courts.

Now here comes the tricky part. Under some city ordinances, a taxpayer is required to pay first the assessed local tax deficiency before the protest letter can be accepted by the LGU. Hence, taxpayers are barred from filing their protests without first paying the LBT assessment in the issued notice.

To prevent the LBT assessment from becoming final and to preserve their right to dispute the assessment, some taxpayers are forced to pay under protest. Aware that litigation is tedious and generally results in unbudgeted legal costs, taxpayers are constrained to pay the assessment in the hopes of resolving the issue at the LGU level without resorting to judicial remedies.

This requirement is unfair, especially if the assessed amount is exorbitant. I mean, what would prevent local tax examiners from coming up with tax findings that are arbitrary and capricious (sound familiar?), knowing that they can collect the assessment even under protest. The practice of “paying first before a protest can be entertained” is unreasonable, and worse, without any legal basis. Section 195 of the LGC, which provides the rules on protesting an LBT assessment, does not require prior payment of the assessment before a protest letter can be filed with the LGU.

Fortunately, the Supreme Court issued a decision (G.R. No. 196681 dated June 27, 2018) declaring that “payment under protest” is not a prerequisite before an LBT assessment can be contested. Hence, LGUs cannot enforce this condition though provided in their ordinances. The high court explained that for an ordinance to be valid, it must not contravene the Constitution or any statute, such as the LGC in this case.

Earlier, in August 2016, the Court of Tax Appeals (CTA) ruled that the city government cannot enjoy the presumption of validity when its policy deviates from the LGC. Thus, the onerous requirement of paying under protest is a void and ultra vires act contrary to the mandate of the LGC. By way of exception, payment under protest applies in real property tax assessments.

However, despite the Supreme Court’s decision, some LGUs continue to impose their policy with threats of not renewing the taxpayer’s business permit due to an unsettled assessment. This practice adds unwarranted pressure on the taxpayer to pay the tax assessment for fear of disrupting its business operations due to the absence of a valid permit.

While I can relate to the LGU’s zeal of finding efficient ways to achieve their collection targets and to run after tax evaders who shortchange the government, these initiatives should not be pursued at the expense of compliant taxpayers. Collection measures should maintain a healthy balance between the ends they seek to achieve and the means to realize those ends.

If left unchanged, unfair tax practices will turn away potential investors, persuade existing companies to relocate or cause business operations to slow down. Fewer business activities mean fewer tax collections to fund local projects and less employment opportunities in the locality.

I believe that LGUs can come up with better tax collection measures that are effective, fair, and most importantly, consistent with our tax laws. For now, compliance with the Supreme Court decision is one of the initiatives that LGUs can prioritize and focus on if they want to transform their current system.

Transformation involves a process of dramatic change, and its success is never achieved using temporary or band-aid approaches. Applying this to Boracay’s transformation, the LGU of Aklan likewise faced the challenge of closing the top tourist destination at the expense of losing an estimated $1.06 billion in tourist receipts. Despite the hard pinch on its revenue and livelihood, the province rallied to do what was right against all the odds. What first started as a vision has become a reality. The Boracay experience should inspire all LGU leaders that anything can be achieved, whatever the cost, through sheer political will.

The views or opinions expressed in this article are solely those of the author and do not necessarily represent those of Isla Lipana & Co. The content is for general information purposes only, and should not be used as a substitute for specific advice.

 

Joel Roy C. Navarro is a director at the Tax Services Department of Isla Lipana & Co., a Philippine member firm of the PwC network.

+63 (2) 845-2728

joel.roy.navarro@pwc.com

SMB advances to the semis

By Michael Angelo S. Murillo
Senior Reporter

THE lower-seeded San Miguel Beermen completed an “upset” of the Northport Batang Pier in the quarterfinals of the Philippine Basketball Association Commissioner’s Cup as they overhauled a twice-to-win disadvantage with a 90-88 victory in the second game of the pairing on Wednesday at the Smart Araneta Coliseum.

Successfully overcoming the first hurdle last time around, the Beermen made sure to continue to roll in the second game, relying on their collective experience in high-stakes games down the stretch to get the better of the young Batang Pier and book their place in the next round of the midseason PBA tournament.

The contest got off to a game of runs, going back and forth.

San Miguel went on an early 17-10 run, led by Alex Cabagnot and Marcio Lassiter, in the first six minutes before Northport finished the opening quarter strong, outscoring the Beermen, 17-4, on the hot hands of Garvo Lanete and Mo Tautuaa to hold a 27-21 lead after 12 minutes.

The Beermen made moves to get back some real estate to begin the second quarter but the Batang Pier did a good job in holding off their opponents.

San Miguel, however, was undeterred and kept charging back, and led by import Chris McCullough were eventually rewarded when it reclaimed the lead, 34-33, by the 5:12 mark.

It continued giving it to the Northport defense for the rest of the way, building a 43-39 advantage at the break.

Unfortunately for the Beermen though, Mr. Lassiter hurt his knee in the closing half of the second quarter and was sidelined for the rest of the match.

The tight battle continued at the start of the third frame with the two teams looking to establish momentum.

San Miguel beat Northport in getting its groove as it raced to an 11-point lead, 57-46, behind the hot hands of Mr. McCullough with 6:45 to go.

Mr. Tautuaa and Sean Anthony would help Northport to stay within striking distance in the succeeding minutes only to find San Miguel holding tough with a 72-62 lead entering the final canto.

Smelling blood, the Beermen opened the fourth quarter with a 4-0 blast in the first two minutes to stretch their separation, 76-62.

Northport would continue to show fight, shooting their way back care of Mr. Lanete to come within a point, 79-78, with 4:10 on the clock.

The teams slugged it out after.

The Batang Pier held a one-point lead, 83-82, entering the last two minutes after two crucial free throws from rookie Robert Bolick.

Mr. Anthony made it a four-point lead, 86-82, with a triple with 1:51 left in the match, forcing the Beermen to sue for time.

Off the timeout, San Miguel was able to find Arwind Santos free for a three-pointer which he connected in to narrow the gap, 86-85, with 1:43 remaining.

Another basket by Mr. Santos off the break handed the Beermen the lead back, 87-86, 18 seconds later.

But the Batang Pier got back with Mr. Bolick draining a high-looping layup to help his team ahead, 87-86, with 31 ticks left.

Mr. McCullough answered for San Miguel at the 25-second mark to give the Beermen the 88-87 advantage.

Following a timeout, Northport went to Mr. Tautuaa but the latter failed to hit his three-point attempt.

The Batang Pier fouled Mr. McCullough with 11 seconds to go but the San Miguel import split his charity, opening the window for Northport, 90-88.

Northport rushed back to its side of the court, but San Miguel’s defense held its own, not allowing the Batang Pier to heave a shot as time expired to preserve the win.

Mr. McCullough led the way for San Miguel with 31 points to go along with 11 rebounds and four blocks.

Mr. Lassiter finished with 11 points before getting injured with Messrs. Cabagnot and Santos adding 10 points each.

For Northport it was Mr. Lanete who top-scored with 22 points, going 5-of-9 from beyond the arc.

Mr. Tautuaa had 20 points while import Prince Ibeh had 15 points, 20 rebounds and seven blocks.

Mr. Bolick had 13 markers and seven assists.

“It’s basketball. You win some, you lose some. You just have to go into the game, making quality plays and stops in the end game,” said Mr. McCullough after the game as he described their mindset heading into the game.

The Beermen advanced to the semifinal and now await the winner of the do-or-die match between Blackwater Elite and Rain or Shine Elasto Painters today.

Organizers seek to move on, ensure SEAG hosting success

By Michael Angelo S. Murillo
Senior Reporter

WITH THE country’s preparations for the hosting of the 30th Southeast Asian Games encountering “challenges,” various sports stakeholders gathered on Wednesday at the Malacañan Palace to clear the air and call for unity to ensure the successful staging of the biennial regional meet.

Called by Executive Secretary Salvador Medialdea, the gathering for unity was attended by officials of the Philippine Sports Commission, led by its chairman William Ramirez, Philippine Southeast Asian Games Organizing (PHISGOC) Foundation, Inc. and Philippine Olympic Committee as well as Senator Christopher Go, a close ally of President Rodrigo Duterte.

Also present were national government and sports officials, athletes and coaches.

“We are all here today, consciously or otherwise, as we choose a side over our own convictions, over things that divide us, over things that hurt us. We choose to unite and put country and flag topmost of our priorities, humility against pride, unity against division and compassion against hatred,” said Mr. Ramirez in his opening speech held at the gathering at the Heroes Hall of Malacañang, as he set the backdrop for the event.

“Time and again, I have implored stakeholders to unite. Let us come together for our country and for the sake of our athletes. Let us march together in spite of our differences. As chief of the government’s sporting arm I am heavily invested in ensuring that whatever situation and political climate in sport, our athletes are shielded and given the support they need to achieve their goals of victory although victory has many faces,” he added.

The country’s SEA Games preparations have been taken to task by some stakeholders and people over various issues, including the legality of PHISGOC as an organizing committee, alleged questionable deals it entered into for uniforms and training gears, and the hosting’s budget.

PHISGOC chairman Alan Peter Cayetano, newly minted speaker of the House of Representative, took time to address the issues thrown at the organizing committee at the gathering even as he bowed to have a successful staging of the SEA Games lest they be made accountable by the Filipino people in the event of failure.

Mr. Medialdea, for his part, assured that the Duterte government is fully supportive of the SEA Games hosting and enjoined everybody, including its critics, to rally behind efforts to make the preparations and the event itself a success.

“This event (SEA Games) is not only a testament to the Philippines’ competence in hosting an international sporting event but a culmination of our unity as Filipinos for the benefit of Philippine sports and athletes,” the Executive Secretary said.

“I echo the call for unity to work as one well-oiled machinery and provide a SEA Games every Filipino should be proud of. This call is embodied in Memorandum Circular no. 56 directing all government agencies and local government units to play an active role in the organization and preparation of the SEA Games,” he added as he reiterated the commitment of the Duterte administration to the task at hand.

The 30th SEA Games happens from Nov. 30 to Dec. 11 in various venues in the country.

NYFA Sweden shares football knowledge with counterparts from Davao

THE power of the sport of football to bring people together and infuse positive change was once again showcased recently when stakeholders from Sweden met their counterparts from Davao for a series of training sessions.

National Youth Football Association (NYFA) of Sweden coach and founder Owen Southgate and youth leader Leo Carlsson were in the country early this month and met with 27 coaches from all over Mindanao for a three-day basic coaching course, made up of classroom and practical sessions.

NYFA Sweden partnered with Football for Humanity Foundation (FFH) to hold the coaching sessions held in Davao City, which were also facilitated by the Davao South Regional FA, Maharlika Sports Development Institute, the Mindanao Peace Council, Ateneo de Davao University and JCI Duwaling.

Apart from holding the coaching sessions, the NYFA delegates also visited the newly launched football small-sided pitch and children’s library under Football for Humanity’s “Play for Goals” project in Zonta Village, Barangay Tibungco, where they conducted the Skills School program for children in the community made up of Muslim, Christian and indigenous households.

Mr. Southgate said they feel privileged to have had the opportunity to bring their mission of youth development in the country and doing it with like-minded organizations and individuals.

“NYFA is delighted to work with FFH to bring football and youth development programs to Filipinos. I believe what we are doing with FFH really brings football to another level, which is that of a change agent in society. Because we work with the youth, we are confident that we are all working towards creating a better, more enlightened society for the future,” said Mr. Southgate, an English FA-certified tutor who also carries a UEFA-B license and founded NYFA in Sweden in 2018.

Football stakeholders in Davao also lauded the effort of NYFA Sweden and FFH, describing it as “groundbreaking” and presenting new insights on coaching and youth development. — Michael Angelo S. Murillo

Galedo leads ITT winners in national championships

JOHN Mark Lexer Galedo stayed on the Men’s Elite throne, Nichol Pareja drew the spotlight in Men’s Under-23 and the girls of Standard Insurance wielded the broom in the Women’s category of the individual time trial (ITT) races of the PhilCycling 2019 National Road Cycling Championships on Tuesday in Tagaytay City.

Mr. Galedo, 33, clocked 27 minutes and 26.12 seconds to rule the 18-km Men Elite ITT that started at Sandari Batulao in Nasugbu, Batangas, and finished at the Praying Hands Monument in Tagaytay City of the race presented by Standard Insurance, MVP Sports Foundation and the City of Tagaytay.

Go For Gold’s Jonel Carcueva clinched silver after finishing 9.75 seconds behind than the 7-Eleven Cliqq Air21 Roadbike Philippines rider Galedo, while Marcelo Felipe (28.43 behind), the national champion’s teammate, bagged the bronze.

Nichol Pareja, 19, also of 7-Eleven, stunned the field with his gold medal-winning time of 26:57.60 in the Men’s Under-23 to finish atop the podium over Ismael Gorospe Jr. (Go For Gold, 28:24.20) and Daniel Ven Carino (Go For Gold, 28:28.30).

Tagaytay City Councilor Athena Tolentino welcomed the athletes and officials and awarded the medals to the winners along with Ube Media Inc./Le Tour de Filipinas head Donna Lina and Go For Gold godfather Jeremy Go in the well-attended awarding ceremony at the Sambong Hall of the Tagaytay International Convention Center.

But the day belonged to the Philippine Navy-Standard Insurance women’s team, which underscored its supremacy in the races serving as dry run for the 30th Southeast Asian Games set Nov. 30 to Dec. 11.

Kate Yasmin Velasco topped the Under-23 category, Maritoni Krogg ruled the Women’s Junior race and Jermyn Prado was the fastest in Women’s Elite, gifting Standard Insurance team owner Ernesto “Judes” Echauz, who watched his riders vie in the championships, three gold medals.

Velasco clocked 21:33.10 in the 12-km ITT, shoving Mhay Ann Linda (22:20.60) to the silver and Shagne Paola Yaoyao (22:59.70) to the bronze, while Krogg timed 20:14.19 to win gold and top Nicole Quiñones (22:03.40) and Marlen Marasigan (22:29.00).

Velasco also made her own statement with her winning time of 19:24.50, edging 2015 SEA Games ITT champion Marella Salamat (19:39.00) and Avegail Rombaon (20:56.40) in the race that saw the Highway Patrol Group of the Philippine National Police Region 4A command displaying their expertise in handling road cycling races.

Macryan Lago (17:41.23), John Patrick Pagtalunan (18:07.16) and Efren Reyes (18:15.46) finished 1-2-3 in the Men’s Junior ITT that was raced on the same 12-km route as the Women’s events.

The races resumed on Wednesday with the road races.

Zion Williamson latest Jordan Brand ambassador

THE EVER-growing family of ambassadors of the Jordan Brand has added top National Basketball Association rookie pick Zion Williamson to its roster.

Set to play for the New Orleans Pelicans, Mr. Williamson, who hails from Florence, South Carolina, and played one year of collegiate ball at Duke University, is one of the new faces added by the brand.

He joins Jayson Tatum of the Boston Celtics, fellow Rui Hachimura of the Washington Wizards, WNBA players Asia Durr and Kia Nurse and National Football League rookie quarterback Dwayne Haskins as the latest athletes now affiliated with the brand bearing the “Jumpman” logo.

Other star athletes part of the brand are Blake Griffin of the Detroit Pistons, Jimmy Butler of the Miami Heat, Russell Westbrook of the Houston Rockets and Chris Paul of the Oklahoma City Thunder.

“I feel incredibly blessed to be a part of the Jordan Brand family,” said Mr. Williamson in a statement shared to members of media announcing his signing with the Jordan Brand.

“Since I was a kid, I dreamed of making it to the league and having the type of impact on the game Michael Jordan had and continues to have today. He was one of those special athletes I looked up to, and I really can’t express how happy and excited I am for this journey,” Mr. Williamson, 19, added.

For the Jordan Brand, adding an athlete like Mr. Williamson to its roster is something it is very high on as it sees the NBA rookie representing what it is as brand.

“Zion’s incredible determination, character and play are inspiring. He’s an essential part of the new talent that will help lead the brand into the future. He told us he would ‘shock the world,’ and asked us to believe him. We do,” NBA legend Michael Jordan said of Mr. Williamson.

“Over the last 34 years we’ve built an incredible roster of talent with the same determination and greatness as MJ. There is something special about Zion that reminds me of MJ when he was younger,” Howard White, Vice President of Jordan Brand Affairs, for his part, said.

Mr. Williamson is set to lead a new-look Pelicans team, taking over from the now-departed Anthony Davis, who is now with the Los Angeles Lakers.

Joining the top rookie pick in New Orleans’ NBA recalibration are Lonzo Ball, Brandon Ingram, Josh Hart, JJ Reddick and Derrick Favors along with holdover Jrue Holiday.

The Pelicans finished with a 33-49 record last season, missing the playoffs. — Michael Angelo S. Murillo

Wesley’s queen sacs

The first round of the Riga Grand Prix began last July 12th. Sixteen players competed in a knockout tournament. Each round consists of two games of classical chess, with a time control of 90 minutes for the first 40 moves then 30 minutes to the end of the game, with a 30-second increment from move 1. If the match is tied two 25+10 rapid games are played. If still tied, there are two slow rapid (10+10) games, then two 5-minute blitz games with three seconds increment. Finally, if the two players are still tied, a single Armageddon game is played, where White has five minutes to Black’s four (with a two-second increment from move 61) but Black wins the match with a draw.

In his last tournament (Croatia Grand Chess Tour) Wesley So had won his first round game versus Ding Liren by giving up his queen then forcefully getting his pieces to work together and overwhelm the enemy position. I also annotated this for you a few columns back so here is the bare score.

So, Wesley (2754) — Ding Liren (2805) [A20]
Croatia GCT 2019 Zagreb CRO (1.3), 26.06.2019

1.c4 e5 2.g3 Nf6 3.Bg2 Bc5 4.Nc3 c6 5.e3 0–0 6.Nge2 d5 7.cxd5 Nxd5 8.d4 exd4 9.Nxd5 cxd5 10.exd4 Bb6 11.Nc3 Nc6 12.Be3 Be6 13.0–0 Qd7 14.Na4 Rfd8 15.Nxb6 axb6 16.Qb3 Ra6 17.Rfc1 Bh3 18.Bf3 Bg4 19.Bg2 Bh3 20.Bf3 Bg4 21.Bh1 h5 22.h4 Be2 23.Kh2 Qf5 24.Bg2 Na5 25.Qc3 Nc6 26.b3 b5 27.Qd2 Bf3 28.Bf1 Rb6 29.Bf4 Rc8 30.Rc3 Bg4 31.f3 b4 32.Rd3 Bxf3 33.Rxf3 Ne5 34.dxe5 Rc2 35.Rf2 Rxd2 36.Rxd2 Rc6 37.Bh3 Qg6 38.Rad1 Ra6 39.Bg2 d4 40.Bxb7 Ra5 41.Rxd4 Rxa2+ 42.R1d2 Qb6 43.Rxa2 Qxd4 44.Rd2 Qc3 45.Bd5 Kf8 46.Bc4 Ke7 47.Bg5+ f6 48.exf6+ gxf6 49.Re2+ Kd7 50.Bd2 1–0

Here in the Riga Grand Prix Wesley was matched against India’s Pentala Harikrishna in the first round, a very tough customer. Wesley once again gave up his queen and got a won game but Harikrishna created enough threats to hold the draw.

So, Wesley (2763) — Harikrishna, Pentala (2734) [C54]
Riga FIDE Grand Prix 2019
Riga LAT (1.1), 12.07.2019

1.e4 e5 2.Nf3 Nc6 3.Bc4 Bc5 4.c3 Nf6 5.d3 d6 6.0–0 a6 7.Re1 Ba7 8.a4 0–0 9.h3 h6 10.Nbd2 Re8 11.b4 Be6 12.Bxe6 Rxe6 13.Qc2 Qd7 14.Nf1 d5 15.Be3 Bxe3 16.Nxe3 Rd8

With this rook on a8 White cannot play b4–b5. Now that it has moved White can proceed with his queenside plans.

17.b5 Ne7 18.c4 d4 19.Nd5 Ng6 20.Rab1 axb5

Now most people would have recaptured with 21.axb5 without hesitation, but Wesley paused for 15 minutes here with played …

21.Rxb5!? c6 22.Nb6 Qe7 23.Rbb1 Nh5 24.g3 Rf6

Hari can play 24…Ngf4 right away. If Wesley accepts the sacrifice then he loses: 25.gxf4 Nxf4 26.Kh2 Rg6 27.Rg1 Qe6! the coming …Qxh3+ is devastating. Therefore the proffered knight should be refused. 24…Ngf4 25.Kh2 Rf6 26.gxf4 Rxf4 (26…Nxf4 27.Rg1 Nxh3 28.Rg3 Nf4 29.c5! followed by Nc4 to either d6 or e5) 27.Qd1 Qf6 28.Kg2 Qg6+ Black has at least a draw.

25.Qd1 Ngf4?! 26.gxf4 Nxf4 27.Kh2 Rg6 28.Rg1 Rxg1

[28…Qe6 as in the previous line no longer works because of 29.Qf1]

29.Nxg1 Rd6 30.Nc8!

Wesley invested 12 minutes before playing this move.

30…Qh4 31.Qf3

[31.Nxd6 Qxf2+ followed by mate]

31…Rg6 32.Rxb7 Rg2+ 33.Qxg2 Nxg2 34.Kxg2

With rook and two minor pieces for his queen Wesley should be winning, but the immediate problem now is to coordinate all his pieces. Harikrishna immediately goes Qh4–g5–d2 to attack the white pawns from behind.

34…Qg5+ 35.Kh1 Qd2 36.a5

On the one hand this move does not throw away the win, but on the other hand there was a much simpler way: 36.Nd6! Qxd3 37.Kg2 Qc2 38.a5 d3 39.Nf3 d2 40.Nxd2 Qxd2 41.a6 Qg5+ 42.Kf1 Qc1+ 43.Ke2 Qa3 (43…Qc2+ 44.Kf3 Qd3+ 45.Kg2 there are no more checks, and 45…Qxd6 46.a7 queens the pawn) 44.a7 White wins.

36…Qxa5 37.Ne7+?

The correct follow–0up is 37.Nf3! Qa3 38.Kg2 Qxd3 39.Nd6 c5 40.Rb8+ (40.Nxe5 Qe2) 40…Kh7 41.Nxf7 Qxe4 42.Rh8+ Kg6 43.N7xe5+ Kf6 44.Rc8 d3 45.Re8 d2 46.Nd7+ Kf7 47.Rxe4 d1Q 48.Nxc5 precision is still needed, but White should win this.

37…Kh7 38.Nxc6

It is too late for 38.Nf3 because then Black goes for the d3 pawn and White’s pieces are not coordinated. 38…Qa3 It’s too late to consolidate with a Nf3 and Qg2 setup. Black goes after the pawn on d3, and when it falls, White’s king is still exposed, and the pieces are disorganized.

38…Qa6 39.Nd8 Qa3 40.Nxf7 Qxd3 41.Nd6 Qc2 42.Rd7 Qa4 43.Re7 d3 44.Nf3 d2 45.Nxd2 Qd1+ ½–½

Wesley was not able to win this because of lack of piece coordination. The second classical game was also drawn so they went into tiebreaks. The first game (25 minutes play-to-finish with 10 second increment) was decisive, and Wesley shows that he has learned his lesson.

So, Wesley (2763) — Harikrishna, Pentala (2734) [C54]
Riga FIDE Grand Prix Riga (1.3), 14.07.2019

1.e4 e5 2.Nf3 Nc6 3.Bc4 Bc5 4.c3 Nf6 5.d3 d6 6.0–0 a6 7.Re1 Ba7 8.Bb3 h6 9.Nbd2 0–0 10.h3 Re8 11.Nf1 Be6 12.Bc2 d5 13.Qe2 b5 14.Rd1 Qe7 15.Ng3 Rad8 16.exd5 Nxd5?! 17.Qe4

Threatening Qh7+

17…Nf6 18.Qxc6

Did Hari just blunder his knight? No — he was hoping to trap the enemy queen.

18…Bb6 19.d4 e4

[19…Bd5 does not do the trick as White has 20.Nf5!]

20.Ne5! Rd6 21.Qb7 Bc8 22.Qa8 Bd7 23.Qb7 Bc8 24.Qa8 Bd7 25.Qxa6! Bxd4 <D>

POSITION AFTER 25…BXD4

This was the idea, discovering an attack on the queen. But Mr. Wesley is up to it.

26.Qxd6! Bxf2+ 27.Kxf2 cxd6 28.Nxd7 e3+ 29.Kg1 Qxd7 30.Re1 Qa7 31.Nf5! Nd5 32.Bb3? e2+ 33.Nd4 Nb4 34.Bf4 Nd3 35.Bg3 Qc5

The rook is not going away.

36.Kh2 Qh5 37.Bc2 Nxe1 38.Rxe1 b4 39.Bf5! bxc3 40.bxc3 Re3 41.Bg4 Qa5 42.Rxe2 Rxg3?

Harikrishna misjudges the position. He did not like 42…Rxe2 43.Nxe2 when White gets a passed pawn, either on the a-file or c-file. He figures that by giving up his rook for the dark-squared bishop he can win both of white’s queenside pawns but he did not count on Wesley’s excellent regrouping.

43.Kxg3 Qxc3+ 44.Nf3 d5

Same story as in the previous game, R+2 minor pieces versus Q, Showing that he has learned his lesson Wesley now concentrates on the coordination of his pieces: each should be defended by the other.

45.Bf5! g6 46.Bc2

Trying to save the pawn with 46.Bb1? in fact loses to 46…Qc7+ 47.Kf2 Qb6+ and the bishop falls.

46…Qc7+ 47.Kf2 Qa7+ 48.Kf1 Qxa2

Now that White’s pieces are coordinated he has to try and win the d5–pawn.

49.Rd2 Qa6+ 50.Bd3 Qa1+ 51.Ke2 Kg7 52.Rd1 Qb2+ 53.Kf1 Qb3 54.Be2 h5 55.Nd4

Fixing the pawn on d5, where it is on the same color square as White’s bishop, is important. The next step is to zero in on it with his bishop and rook, starting Bf3.

55…Qa4 56.h4 Kf6 57.g3 Kg7 58.Rd3 Qa1+ 59.Kg2 Qb2 60.Kf2 Qb6 61.Bf3 Qc5 62.Kg2 Qc4 63.Rd2

Better was to put this rook on d1, where it is protected by his bishop. Anyway later on he circles back to this idea.

63…Qb4 64.Rd3 Qc4 65.Be2 Qa2 66.Kf2 Qa7 67.Bf3 Qc5 68.Rd1! Qa5 69.Ne2

Successful! The d5–pawn falls.

69…Qb6+ 70.Kg2 Qb2 71.Rxd5

What is the next step for Wesley? He has to attack the weakest part of Black’s position. As of the moment it is f7.

71…Qc2 72.Rd7 Qb2 73.Rc7 Qa2 74.Rb7 Qc2 75.Re7 Kf8 76.Re4 Kg7 77.Kh2 Qb2 78.Bg2 Qd2 79.Nf4 Kf8 80.Ra4 Qc2 81.Ra7 Ke8 82.Ra8+ Ke7 83.Nd5+! Kd6 84.Ra7 Qf2 85.Ra6+ Ke5

The King has to move up the board as 85…Kd7? 86.Rf6 the f7–pawn falls.

86.Nf4!

We get a theoretical draw after 86.Rf6? Qxf6 87.Nxf6 Kxf6.

86…Kf5

A royal fork with Nd3+ was threatened.

87.Nh3 Qd2 88.Ng5

There is no defense for the f7–pawn. Hari doesn’t see the tactical trick why the pawn cannot save itself by moving to f6.

88…f6? 89.Rxf6+! 1–0

Hari resigns because of 89.Rxf6+ Kg4 (89…Ke5 90.Nf3+; 89…Kxf6 90.Ne4+) 90.Rf4+! Qxf4 91.Bh3#. Wesley ended with 2 minutes 49 seconds on his clock while Harikrishna was down to last 56 seconds.

In less than a month Wesley had given away three queens! Would you believe that three days later he would give up his queen again? Against no less than the “Minister of Defense” Sergey Karjakin? I will tell you about it on Tuesday next week.

 

Bobby Ang is a founding member of the National Chess Federation of the Philippines (NCFP) and its first Executive Director. A Certified Public Accountant (CPA), he taught accounting in the University of Santo Tomas (UST) for 25 years and is currently Chief Audit Executive of the Equicom Group of Companies.

bobby@cpamd.net

Woods new norm

Fans can reasonably argue that truer words were never spoken when Tiger Woods said “I just want to go home” after an abbreviated stint at the British Open. Even with relatively benign conditions greeting Claret Jug hopefuls through the first two rounds of competition, the reigning Masters champion didn’t just fail to make the weekend; he got nowhere close to the cut line, a seven-over first-18 78 derailing his chances at Royal Portrush. And by the time he met members of the media for his post-mortem, he looked deflated to the point of uttering a sentence that threatened his status as the sport’s ultimate grinder.

Granted, Woods appeared far from prepared when he arrived in Ireland for the year’s last major tournament. He had two rounds to his name in the last month, no prep work relating to the challenge of links golf, and absolutely no knowledge of Royal Portrush prior to his practice sessions with the first round already drawing near. All these, plus mediocre work on the range, led him to admit that his game wasn’t where he wanted it to be. And coupled with the fact that cold weather has become his kryptonite in light of his myriad physical frailties and advancing age, the outcome he carved doesn’t seem all that shocking in retrospect.

Parenthetically, it didn’t help Woods that he tweaked his surgically repaired body on the very first hole of his very first round. Nonetheless, the result of his exertions at Royal Portrush reflected his new normal, which compels him to spend considerably less time honing his craft and more time resting, often with his family. And resting is what he will do until the second week of August. Up next on his agenda is The Northern Trust, triggering his participation in the FedEx Playoffs. How he will fare at Liberty National after yet another long layoff remains to be seen. And all the conjecture will continue to pick up from there, what with two more weeks of play awaiting him.

“Anything can happen,” Woods pointed out as he assessed his schedule. And he’s right. These days, he’s as concerned with the there and then as the here and now — which is why he’s consigned to picking and choosing. “I want to play here as long as I possibly can. And you have to understand, if I play a lot, I won’t be out here that long.” In other words, he has learned to accept that, with his significantly reduced exposure, he won’t always be good enough to contend, let alone win.

 

Anthony L. Cuaycong has been writing Courtside since BusinessWorld introduced a Sports section in 1994. He is a consultant on strategic planning, operations and Human Resources management, corporate communications, and business development.

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