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SC sets PhilHealth oral arguments in January

THE Supreme Court (SC) on Monday set oral arguments on Jan. 14, 2025, for a petition seeking to stop the remittance of P89.9 billion from the Philippine Health Insurance Corp. (PhilHealth) to the national treasury.

SC Spokesperson Camille Sue Mae L. Ting, during a press briefing, said the high court held a special session to discuss several cases, including the petition filed by Senator Aquilino Martin “Koko” D. Pimentel and ex-Finance Undersecretary Maria Cielo D. Magno and others.

Their petition seeks to impose a temporary restraining order against the transfer, citing violations of the UHCA (Universal Health Care Act).

The Solicitor-General on Sept. 4 asked the court to deny the petition, arguing PhilHealth has ample money to provide for the healthcare of Filipinos and the transfer won’t affect its services.

P30 billion has been remitted to the national treasury. Another P30 billion will be transferred in October, and the final P29.9 billion in November. — Chloe Mari. A. Hufana

Ship owners forcing seafarers to sail ‘high-risk’ routes may face sanctions

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THE Department of Migrant Workers (DMW) stands ready to sanction ship owners who would violate the right of Filipino seamen to sail through the Red Sea and Gulf of Aden amid Houthi rebel attacks.

The department is monitoring its maritime electronic clearance system to ensure the compliance of ship owners on the right of seamen to refuse to board vessels passing through “high-risk” waterways, such as the seas near Yemen, Migrant Workers Secretary Hans Leo J. Cacdac said in a congressional budget briefing.

The DMW also has the authority to block the exit clearance processing of any ship owners who would refuse to honor the right to refuse to sail through the Red Sea or Gulf of Aden, he added.

“We stand ready to discipline any shop owner who would break the time-honored maritime right to refuse sailing [of Filipino seamen],” he told congressmen in mixed English and Filipino. “If ship owners would not respect [the tradition], there would be corresponding penalties.”

“Ship owners who will still onboard seafarers without electronic clearance amounts to a case of illegal recruitment,” he added.

Houthi rebels earlier this year attacked vessels with Filipino seafarers aboard passing near Yemeni waters. — Kenneth Christiane L. Basilio

House ratifies bicam report on PHL sea lanes

PHILIPPINE STAR/MICHAEL VARCAS

THE House of Representatives ratified on Monday a bicameral conference committee report of a measure that seeks to set up the country’s sea lanes in a bid to assert Manila’s sovereignty.

The measure seeks to establish the Philippines’ archipelagic sea lanes, which refers to areas where foreign vessels or aircrafts could pass through between international waters and Manila’s exclusive economic zone, for the purpose of “continuous, expeditious, and unobstructed transit,” according to a copy of the bicameral report.

“This Act is designed to provide clear guidelines for the passage of foreign ships and aircraft through our archipelagic waters, ensuring that such passage does not undermine our national security or disturb the peace and good order of our country,” Pangasinan Rep. Maria Rachel J. Arenas, who heads the House foreign affairs committee said in a statement. The Senate ratified the bicameral report last week.

The reconciled version of Senate Bill No. 2665 and House Bill No. 9034 would set up sea lanes at the Balintang Channel, Celebes and Sulu Seas, among other waterways.

Philippine archipelagic territories would be established along three axis lines, with the first connecting the Philippine Sea, Balintang Channel and the South China Sea.

The second axis will fall within the Celebes Sea, Sibutu Passage, Sulu Sea, Cuyo East Pass, Mindoro Strait and the South China Sea.

A third axis lies within the Celebes Sea, Basilan Strait, Sulu Sea, Nasubata Channel, Balabac Strait and the South China Sea.

The measure complements the Philippine Maritime Zones Bill that establishes the country’s maritime territories extending to the South China Sea, which had been ratified in August. The two bills are among the priority measures outlined by the Legislative-Executive Development Advisory Council. — Kenneth Christiane L. Basilio

Maguindanao residents surrender weapons cache to Army

COTABATO CITY — Residents of Maguindanao del Sur surrendered to the Army another weapons cache in support of an inter-agency disarmament campaign, complementing the firearms decommissioning thrusts of the Mindanao peace process.

The weapons include nine M79 grenade launchers, three B-40 rocket launchers, two 9-millimeter (mm) Uzi machine pistols, a 9-mm KG-9 machine pistol, anti-anti rockets and fragmentation grenades. The weapons were turned over by owners to officials of the 2nd Mechanized Battalion and the 601st Infantry Brigade during a symbolic rite in Talayan, Maguindanao del Sur on Saturday, Sept. 7.

Major Gen. Antonio G. Nafarrete, commander of the Army’s 6th Infantry Division, said on Monday that the cache was voluntarily surrendered by residents of Talayan in support of the multi-sector and inter-agency Small Arms and Light Weapons (SALW) Management Program now being implemented in areas covered by 6th ID.

The 6th ID, police units in the Bangsamoro region and in region 12 and local government units are cooperating in pushing the SALW Management Program forward.

Mr. Nafarrete, also concurrent commander of the anti-terror Joint Task Force Central, said residents of different barangays in Talayan agreed to surrender the weapons through the joint intercession of local executives, officials of the 2nd Mechanized Battalion and the commander of the 601st Infantry Brigade, Brig. Gen. Oriel L. Pangcog. — John Felix M. Unson

PHL metals output drops 6.7% by value in first half

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METALS production declined 6.7% by value during the first half amid soft nickel prices, according to the Mines and Geosciences Bureau (MGB).

In a report, the MGB said the value of production fell to P114.77 billion in the six-month period.

“The telling factor for this lackluster performance was the continued decline in mine output of gold and nickel ore, together with processed products mixed sulfide and scandium oxalate. Not to mention the sluggish price of nickel and other nickel products,” it added.

Gold accounted for 47.7% of the value or P54.79 billion, up 7% from a year earlier.

Nickel ore was valued at P44.38 billion, or 38.7% of the total. This represented a 22.6% decline from a year earlier.

Copper accounted for 11.6% of the value at P13.3 billion during the half. The combined output of silver, chromite, and iron accounted for P3.63 billion or 1.98% of the total.

The average price of gold increased 13.9% year on year to $2,203.5 per troy ounce, while nickel ore prices fell to $7.94 per pound in the first half from $10.4 a year earlier. Prices for copper averaged $4.02 per pound.

By volume, gold output slipped 6% to 14,187 kilograms.

The volume of nickel production declined 19.4% to 13.36 million dry metric tons (DMT).

“During the period, 11 nickel projects reported zero production,” the MGB said.

The production of silver ore slipped to 23,268 kilos from 23,319 kilos. Iron ore production fell 43.4% year on year to 31,798 DMT.

On the other hand, copper output rose 6.6% to 142,050 DMT, while chromite ore production rose 53.9% to 73,013 DMT.

The MGB said that the excise tax collected is estimated at P2.84 billion for the first half. — Adrian H. Halili

Clinical trials ongoing for ASF, bird flu vaccines

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THE Food and Drug Administration (FDA) said four African Swine Fever (ASF) and three avian influenza vaccine manufacturers are have submitted their products for trials.

“They have not yet submitted their application to us… they have been undergoing clinical trials,” FDA Director General Samuel A. Zacate said in Senate hearing on Monday.

The vaccine manufacturers undergoing trials are from Thailand, the US, and Vietnam, according to Agriculture Assistant Secretary for Poultry and Swine Constance J. Palabrica.

The FDA has so far only approved the AVAC ASF vaccine from Vietnam for a limited government-controlled rollout. It had issued a Certificate of Product Registration, valid for two years and subject to monitoring and annual evaluations.

“The applicant has undergone trial for almost a year… (Certificate of Product Registration) imposes a condition on the market authorization holder to be complied every year. This is an additional layer of protection for our hog farmers,” Mr. Zacate added.

Additionally, the Department of Agriculture (DA) cleared the commercial use of the avian flu vaccine, with priority given to commercial farms. There is no approved bird flu vaccine in the country.

The DA allocated P350 million mostly to procure 600,000 doses for the hog farmers initially targeted. The rollout started on Aug. 30 in Lobo, Batangas.

“The first wave, which is 10,000 doses, was issued… was from emergency procurement. We would like to reduce the infection pressure on Batangas,” Mr. Palabrica added.

He said the initial doses will run out by the end of September, and will be followed by another 150,000 doses.

Separately, Agriculture Secretary Francisco P. Tiu Laurel, Jr. said that the DA is seeking to expand its controlled ASF vaccine rollout to other parts of Luzon, as well as red zones in the Visayas and Mindanao.

“We will cast a wider net to include La Union, Quezon, Mindoro, North Cotabato, Sultan Kudarat, and Cebu in the BAI’s controlled testing of the initial 150,000 doses of ASF vaccines we have imported from Vietnam,” Mr. Laurel said in a statement.

He added that commercial pig farms located in active infection zones will also receive the ASF vaccines.

“Our goal is to ensure a steady supply of pork in the market and stabilize prices,” he said.

As of Sept. 6, there were 109 municipalities in 31 provinces that had active cases of ASF, according to the BAI. ASF was first detected in the Philippines in 2019. — Adrian H. Halili

BARMM to buy DBP stake in Amanah Bank

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FINANCE Secretary Ralph G. Recto expressed support for the Bangsamoro government’s plan to acquire the stake held by the Development Bank of the Philippines (DBP) in the Al-Amanah Islamic Investment Bank of the Philippines (AAIIBP).

He said in a statement that Bangsamoro control of the stake  will help promote financial inclusion and fund key social and infrastructure projects in the region. 

“We are taking bold steps to build a strong and vibrant Islamic banking system that caters to the specific needs of the people of BARMM (Bangsamoro Autonomous Region in Muslim Mindanao).”

The proposed transfer of shares was approved at the Intergovernmental Fiscal Policy Board’s (IFPB) 7th meeting on Sept. 3. Mr. Recto and Bangsamoro government Minister of Finance, Budget, and Management Ubaida C. Pacasem serve as co-chairpersons of the board.

The IFPB will determine the degree of the Bangsamoro government’s participation in the AAIIBP, guided by Republic Act (RA) No. 11054 or the Bangsamoro Organic Law. 

The planned acquisition aligns with the Section 3 of RA 6848 or the AAIIBP Charter, which requires the bank to support the region’s socio-economic development.

“This will be achieved by performing banking, financing, and investment operations as well as by engaging in agricultural, commercial, and industrial ventures based on Islamic banking principles,” DoF said.

AAIIBP’s powers include serving as an official depository bank of government-owned- or -controlled corporations (GOCCs) especially those based in BARMM, it added. 

As the Philippines’ first Islamic bank, the AAIIBP is recognized as a Universal Bank with an authorized capital stock of P1 billion, consisting of 10 million common shares and a network of nine branches.

In 2008, the AAIIBP became a subsidiary of the DBP, which owns 99.9% of its capital stock.

“By owning the shares of the AAIIBP, the BARMM effectively saves on the total minimum capitalization required of around P6 billion in setting up a Universal Bank,” the DoF said.

To complete the transfer, the Bangsamoro government and the DBP are currently seeking approval from the Bangsamoro Transition Authority, the central bank, and the Governance Commission for GOCCs.

Last week, the IFPB approved the guidelines for official development assistance to help the BARMM conclude more foreign-aid deals on its own. — Beatriz Marie D. Cruz

Farm damage from Enteng hits P2.2 billion

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AGRICULTURAL DAMAGE caused by Severe Tropical Storm Enteng (international name: Yagi) was estimated at P2.2 billion, the Department of Agriculture (DA) said.

In a bulletin posted on Monday, the DA said some 59,669 farmers and fisherfolk were affected by the storm.

Crop losses totaled 51,728 metric tons (MT) across 37,471 hectares of farmland.

More than half of damage was to the rice crop, which accounted for 48.9% of the total.

Rice losses amounted to 48,646 MT, valued at P1.11 billion, with the damage spanning 34,935 hectares.

Most of the damaged rice was in the reproductive and maturing stages, the DA said.

The most affected provinces were Camarines Sur, Pampanga, Bulacan, Camarines Norte, and Nueva Ecija.

Damage to irrigation facilities was tallied at P1.08 billion, or 47.9% of the overall damage.

“Most of the damaged irrigation facilities are National Irrigation Systems or Communal Irrigation Systems,” it said.

The DA valued corn losses at P46.22 million, with volume estimated at 2,434 MT.

Damage to high-value crops was P26.6 million, including lowland vegetables and bananas.

It added that damage to cassava crops was P1.98 million with volume lost at 101 MT.  Adrian H. Halili

ERC chair exploring options after six-month suspension

Monalisa C. Dimalanta — ERC.GOV.PH

ENERGY Regulatory Commission (ERC) Chairperson and Chief Executive Officer Monalisa C. Dimalanta said on Monday that she is exploring her legal options following a suspension order issued by the Ombudsman.

In a statement, her office said that she and her lawyers “are studying the matter in order to take all available legal remedies given the circumstances.”

The office said  it has officially received the order from the Office of the Ombudsman before 10 a.m. on Monday, preventively suspending Ms. Dimalanta from government service for six months without pay.

In compliance with the order, Ms. Dimalanta immediately ceased to perform her functions as chairperson and chief executive officer of the power regulator.

“All operations of the agency shall continue to function, to the extent possible and as required by the exigencies of service,” the office said.

According to the office, Ms. Dimalanta has not yet been provided a copy of the complaint against her.

“The order does contain some allegations of the complaint, without providing, however, any statement as to the evidence submitted by complainant that became the basis for the issuance of the preventive suspension order,” according to the statement.

In an order dated Aug. 27 but made public on Sept. 5, the Ombudsman suspended Ms. Dimalanta over a complaint filed by the National Association of Electricity Consumers for Reforms, Inc. (Nasecore).

Nasecore claimed that the ERC “failed to recalculate  the rate of Meralco (Manila Electric Co.) that protects the interest of the public and runs counter to the objective of the ERC’s Performance Based Regulation.”

“The charges against her involve grave misconduct, grave abuse of authority, gross neglect of duty and conduct prejudicial to the best interest of the service,” according to the Ombudsman.

The chairperson’s office said that the Office of the Executive Secretary will appoint an officer-in-charge to lead the ERC. — Sheldeen Joy Talavera

Business groups urge quick resolution after suspension of ERC’s Dimalanta

THREE business groups called for a swift resolution of the suspension of Energy Regulatory Commission (ERC) Chairperson Monalisa C. Dimalanta, saying her temporary removal from the commission may cause disruptions.

In a statement, the business groups led by the Philippine Chamber of Commerce and Industry (PCCI) said the business sector is concerned over the six-month suspension order against Ms. Dimalanta.

“We advocate for a swift and transparent resolution of the suspension to restore the integrity of the ERC so that it may continue its mission to enforce energy regulations on behalf of Philippine consumers, businesses, and energy investors,” the group said.

The Office of Ombudsman ordered the preventive suspension of Ms. Dimalanta in the wake of administrative charges filed against her by the National Association of Electricity Consumers for Reforms, Inc.

According to the business groups, the disruption to the ERC’s workings will have an impact on consumers, businesses, and producers.

“This decision, along with other recent decisions by the judiciary, puts at risk the trust, independence, and authority of the ERC,” according to the joint statement.

“Regulators are essential to fostering an environment where investors will invest, consumers are protected, and economic growth is sustainable,” it added.

They said the ERC has taken a proactive stance in rate and service regulation, creating a competitive environment in the electric power industry.

“Since (her) appointment, the ERC has become more active in addressing issues in the industry,” the groups said.

In particular, the groups cited the initial reset of the transmission and distribution rates of ERC’s regulated entities, the integration of processes into the Energy Virtual One Shared System, and the issuance of the revised rules and guidelines on Certificates of Compliance and Competitive Selection Process.

These, they said, help attract investment, improved the productivity of industries and enterprises, and enhanced economic competitiveness.

The other signatories to the statement were the Philippine Exporters Confederation and the Employers Confederation of the Philippines. — Justine Irish D. Tabile

Companies report pay gains for tech jobs — WTW

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COMPANIES in the Philippines said they paid significantly more for in-demand technology workers while holding growth in pay largely steady, advisory, broking, and solutions firm WTW said in a report.

Citing its Salary Budget Planning Report, WTW said the drive to digitalize is driving pay growth for workers with the appropriate skills.

“Digitalization has an effect on compensation, with tech roles such as those in AI (artificial intelligence), machine learning, seeing double-digit salary growth in many markets,” WTW Rewards Data Intelligence Leader Philippines Chantal M. Querubin said in a statement.

“The transformation potential of AI has made it the most sought-after technology discipline in the global talent market. As such, organizations around the world are willing to invest heavily in skilled professionals who can drive innovation and growth in the AI space,” she added.

Overall, however, some 35% of companies surveyed contained the growth in their budgets for personnel costs in 2024, despite the economic rebound.

As a result, the overall median pay rise of those surveyed was 5.6% in 2024, against 5.7% in 2023.

The report, released on Monday, concluded that employers are more cautious with salary costs as they prioritize long-term stability.

Companies cited inflationary pressures, cost management concerns, a tighter labor market, and weaker financial results.

The study projects that growth in pay costs will remain flat at 5.6% next year.

WTW said the manufacturing and retail industries were the most cautious about increasing salary budgets, while the financial and construction industries were pushing pay growth due to demand and the need for workers with specialized skills.

Meanwhile, the study reported an average voluntary attrition rate over the last 12 months of 12.5%, with the involuntary attrition rate estimated at 8.2%.

“While attrition remains high in certain areas, many employers in the Philippines are reporting that the intense wave of resignations and turnover has stabilized and become more manageable,” it said, adding companies are focusing on retention strategies such as flexible work and employee recognition programs to retain talent.

Millennials and Generation Z accounted for 77% of the Philippine workforce last year, followed by Generation X at 22.3% and Baby Boomers at 0.7%.

Workers cited pay and bonuses, job security, health benefits, and flexible working arrangements as their top priorities in weighing job offers. — Chloe Mari A. Hufana

ADB president to step down next year

ASIAN Development Bank (ADB) President Masatsugu Asakawa will be stepping down on Feb. 23, the bank said in a statement on Monday.

“I would like to inform Board members, management, and staff of my intention to resign as President of the Asian Development Bank, effective Feb. 23, 2025,” Mr. Asakawa was quoted as saying.

Mr. Asakawa served for four years, beginning Jan. 17, 2020. The ADB has yet to confirm his replacement. — Beatriz Marie D. Cruz