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The LNG bill

To have cheaper, stable energy sources, especially in electricity generation, there should be maximum competition and minimum taxation, distortion and government favoritism among players using different technologies and energy sources.
So if an energy or environment tax should be imposed, it should apply to all energy technologies and sources. If a subsidy should be given, it should also apply to all energy technologies.
This does not happen in the Philippines and many other countries in the world. There is always a double standard, like high taxes, unguaranteed dispatch to the grid for some technologies, and high subsidies and guaranteed dispatch to the grid for wind-solar and other new renewables.
Among power plants using fossil fuels — oil, coal and natural gas — there is also favoritism. Oil and coal are slammed with higher excise taxes to make them more expensive while natural gas has no excise tax, which makes it artificially cheaper.
Now another favoritism scheme is being prepared in Congress. I saw at least two reports in BusinessWorld on the subject this year:
1. “Gov’t may need to finance natural gas infrastructure” (June 21)
2. “LNG bill to require guaranteed offtake of import shipments” (Dec. 6)
If report #1 is done, it will compromise Philippine taxpayers. Firms put up big hydro, geothermal, coal plants using their own money and they are fine. But construction of liquefied natural gas (LNG) infrastructure — terminal, storage, regasification facilities — will be passed to taxpayers, before private natural gas plants can use the gas for their power generation.
If report #2 is done, it will compromise Philippine energy consumers. If LNG prices go up, consumers must pay for it even if cheaper energy is available during that period.
It is also related to constant lobby that government should set the energy mix, which is wrong. Setting the energy mix should be done by the market, by the energy consumers and suppliers, and not by the government.
Energy table
Anti-coal hysteria and drama in the Philippines, among the reasons that renewables and natural gas are favored, is based on the wrong premise that the country’s coal use is high. Far from it. Compared to our neighbors, we have low coal use (see Table 1).
Another reason for renewable energy and gas favoritism is the belief that the Philippines is poor in environmental sustainability in its energy development. This too is wrong.
The World Energy Council (WEC) publishes an annual study, the World Energy Trilemma Index. WEC is a United Nations-accredited global energy body with over 3,000 member organizations in over 90 countries, from governments, private and state corporations, academia, nongovernmental organizations and energy stakeholders.
The Trilemma Index is composed of three factors:
1. Energy Security — reliability of energy infrastructure, ability of energy providers to meet current, and future demand
2. Energy Equity — accessibility and affordability of energy supply
3. Environmental Sustainability — energy efficiencies and energy supply from renewable and other low-carbon sources
Out of 125 countries covered, the Philippines ranked 74th overall; 96th in energy equity because of our expensive energy prices; and 1st in environmental stability (we’ve come in first for several years now) because of the country’s high input from geothermal and big hydro, energy sources that are available all year round (see Table 2).
The Department of Energy itself and Energy Secretary Alfonso G. Cusi are using and citing the WEC annual reports and take pride in our #1 global ranking in environmental sustainability. The Secretary has adopted a technology-neutral energy mix policy — it is the good and right thing to do.
 
Bienvenido S. Oplas, Jr. is the president of Minimal Government Thinkers.
minimalgovernment@gmail.com

If college degrees are not important, have companies dumbed down?

News cropped up on social media, to the apparent glee of those who hate schooling or were mediocre in academics, that university degrees are no longer considered necessary in the workplace.
A CNBC report listed Google, Penguin Random House, Costco Wholesale, Whole Foods, Hilton, Publix, Apple, Starbucks, Nordstrom, Home Depot, IBM, Bank of America, Chipotle, and Lowe’s as examples of companies that do not require college degrees.
Interesting that, despite the anti-intellectualism the foregoing implies, the consequences are actually quite counterintuitive.
Offhand, grades may not seem to matter. Business columnist Becky Vaughn-Furlow writes in that what is paramount today is “a strong work ethic. Every employee, from CEO to entry-level worker, must have a good work ethic to keep the company functioning at its peak. A work ethic is a set of moral principles an employee uses in his or her job.”
Some characteristics of such ethic are said to be: dependability, dedication, productivity, character, integrity, discipline, respectfulness, determination, accountability, humility, passion, and adaptability.
Now such is difficult to disagree with. Excellent grades and other signs of high intelligence may indeed have their place but it’s the other things — those that signify good character — that truly make the difference.
Thus, in the Society for Human Resource Management 2016 Entry-Level Applicant Job Skills Survey, 97% of HR professionals surveyed declared the utter importance of dependability and reliability (e.g., punctual attendance) in determining whether an applicant is hired.
On the other hand, 87% leaned on integrity. Here, it is defined as honesty and treating others (including company time and resources) with fairness and respect.
Other important traits are: respect (84%), the ability to work well within teams (83%), and caring for customer needs (or customer care, at 78%).
This aligns with what Stephane Kasriel, Upwork CEO and commentator for CNBC, once wrote: “Too often, degrees are still thought of as lifelong stamps of professional competency. They tend to create a false sense of security, perpetuating the illusion that work — and the knowledge it requires — is static. It’s not.”
She, in turn, points to the Freelancing in America 2018 survey, which finds that “the future of work won’t be about college degrees, it will be about job skills.” Thus, 93% of the freelancers interviewed said that “skills training was useful,” while only 79% said the same about their college education.
graduation
More interestingly, reference is also made to the World Economic Forum’s The Future of Jobs report, which predicts that 65% of “children entering primary school will end up in jobs that don’t yet exist.”
The foregoing trend is partially reflected in the latest Social Weather Station’s (SWS) survey on unemployment, with around 9.8 million Filipinos unemployed in this year’s third quarter. This represents an adult joblessness rate of 22%, 2.3% higher than June’s 19.7%.
What is significant is that 8.4% of that, representing 3.7 million, actually left their jobs voluntarily without another job prospectively lined up to take its place.
What can be gleaned from the foregoing?
First, as Ms. Kasriel cautions, it is a mistake to think that “college is a waste of time and money for everyone. But if there’s one takeaway, it’s this: The future of work won’t be about degrees. More and more, it’ll be about skills. And no one school, whether it be Harvard, General Assembly or Udacity, can ever insulate us from the unpredictability of technological progression and disruption.”
From there, we can perceive other possible insights, such as the negative effect of radically increased access to education. Not democratization (which is a good thing) but more popularization. Or perhaps a better framing: the imprudent allowing of liberal over-inclusiveness to dominate the education sector.
Because ironically, those who hate schooling and are now celebrating the relative decrease of its importance, were, perhaps, only able to get into school in the first place because standards were lowered to allow them in.
In other words, even though commonsensically not everyone is fit for a university degree, to avoid offending those unfit for such, to make education more “inclusive” (a term worth despising), admissions and education criteria were adjusted to allow almost anyone to get a degree. And it’s also not far-fetched to think that commercial interests played a role.
The point: university degrees used to be compelling because schools previously took only those with clear talent and then sifted out or molded that talent even further. That rigorous process gave employers an obvious incentive to prefer university graduates.
But if anyone can now become a university graduate, then a degree practically means nothing. As a consequence, employers logically search for other credible criteria to separate the good from the mediocre.
The alternatives employers are now starting to use — skills, adaptability, and work ethic — are, ironically, actually more exclusive, making it even harder for applicants since these qualities require more time, commitment, and humility on their part.
But in these self-entitled times, perhaps that’s not a bad thing.
 
Jemy Gatdula is a senior fellow of the Philippine Council for Foreign Relations and a Philippine Judicial Academy law lecturer for constitutional philosophy and jurisprudence.
jemygatdula@yahoo.com
www.jemygatdula.blogspot.com
facebook.com/jemy.gatdula
Twitter @jemygatdula

Inspiring thoughts on peace

In the midst of a storm, one maintains a sense of calm and balance by clearing the cobwebs of the mind. Eliminate negative thoughts. Focus on the positives. Strength and wisdom will flow from the source of infinite power to enlighten and heal.
In this context, here are some thoughts from The Art of Peace written by the great martial arts warrior Morihei Ueshiba (1883-1969) and translated by John Stevens: “The world will continue to change dramatically but fighting and war can destroy us utterly. What we need now are techniques of harmony, not those of contention… The real Way of the Warrior is to prevent slaughter. It is the Art of Peace, the power of love.”
The soldier-instructor embarked on a spiritual quest that led to his gradual transformation into a man of peace and philosopher-poet. His teachings differ from the old-time warrior classics. Sun Tzu’s The Art of War accepted the inevitability of war and emphasized cunning to achieve victory.
In contrast, Morihei promoted the spiritual principles of reconciliation, harmony, cooperation and empathy in dealing with the challenges of personal relationships, society, work and nature.
Here are some timeless thoughts from the collection of poems and calligraphy that are applicable to life:
“Economy is the basis of society. When the economy is stable, society develops. The ideal economy combines the spiritual and material, and the best commodities to trade in are sincerity and love.”
“A true warrior is always armed with three things: the radiant sword of pacification; the mirror of bravery, wisdom and friendship; and the precious jewel of enlightenment.”
“Each day of human life contains joy and anger, pain and pleasure, darkness and light, growth and decay. Each moment is etched with nature’s grand design — do not try to deny or oppose the cosmic order of things.”
“Life itself is always a trial. In training, you must test and polish yourself in order to face the great challenges of life. Transcend the realm of life and death, and then you will be able to make your way calmly and safely through any crisis that confronts you.”
“Failure is the key to success; each mistake teaches us something.”
The essence of The Art of Peace is to cleanse oneself of malice and hatred. One should be in tune with the environment. The path should be cleared of all obstacles and barriers. Then it is possible to attain peace.
Scott M. Peck, M.D., psychiatrist and contemporary author of best-selling inspirational books, shared his priceless insights on reconciliation and community-building. He emphasized the importance of communication in promoting harmony. Passivity is an obstacle. Action is necessary to achieve peace.
In Meditations from the Road, Dr. Peck wrote: “Today the times demand of us that we take major risks for peace. Of the thousands, maybe even millions of risks we can take in a lifetime, the greatest is the risk of growing up…. When we cling, often forever, to our old patterns of thinking and behaving, we fail to negotiate any crisis, to truly grow up and to experience the joyful sense of rebirth that accompanies the successful transition into greater maturity.”
Peace-making begins at the lowest level — the individual. When it is nurtured properly, it grows inside, expands and spreads outward to the family, community, society and the world.
 
Maria Victoria Rufino is an artist, writer and businesswoman. She is president and executive producer of Maverick Productions.
mavrufino@gmail.com

Ex-PDEA, BoC execs charged over drugs

By Vann Marlo M. Villegas
THE PHILIPPINE Drug Enforcement Agency (PDEA) on Thursday charged 44 people, including former PDEA deputy director general for administration Ismael G. Fajardo, Jr. and former Bureau of Customs (BoC) intelligence agent Jimmy S. Guban, in connection with the importation of illegal drugs kept in magnetic lifters that slipped past the BoC.
Messrs. Fajardo and Guban will be charged for violation of Republic Act (RA) No. 9165, the Comprehensive Dangerous Drugs Act of 2002, over the magnetic lifters discovered at the Manila International Container Port (MICP) on Aug. 7, and in General Mariano Alvarez (GMA), Cavite on Aug. 8.
They are also charged for obstruction of justice, negligence and tolerance under the Revised Penal Code, and violation of Anti-graft and Corrupt Practices Act.
Other principal suspects in the complaints are Senior Superintendent Eduardo P. Acierto, Police Inspector Lito Pirote and Joseph Dimayuga,
Twelve individuals were sued in connection with the magnetic lifters seized in the MICP containing shabu worth P2.4 billion, while 27 were charged over the empty magnetic lifters found in GMA, Cavite, which allegedly contained P11-billion worth of illegal drugs.
The PDEA noted in its complaint the alleged scheme established by witnesses and some of the respondents in their testimonies before separate probes at the Senate and the House of Representatives.
“(T)he MICP and GMA lifters were brought into the Philippines and traded through an established scheme spearheaded by no less than Acierto, Dir. Fajardo, and Guban, who have taken advantage of their respective government positions and influences, with the able aid of their subordinates,” the complaint read.
Mr. Guban was cited in contempt during the probe and was kept under the Senate’s custody, then transferred to the National Bureau of Investigation after the senate inquiry.
Justice Secretary Menardo I. Guevarra in October said he agreed with Sen. Richard J. Gordon that Mr. Guban will be considered for coverage under the witness protection program (WPP) upon compliance with the requirements.
However, Czareanah DG Aquino, acting director of PDEA Legal and Prosecution Service, said the agency will not recommend Mr. Guban to be discharged as state witness.
“We consider him as a principal person of interest or suspect so I don’t think we will recommend his inclusion in the WPP,” she said in a press conference.
Furthermore, PDEA Director General Aaron N. Aquino said former BoC chief and now Technical Education and Skills Development Authority (TESDA) Director General Isidro S. Lapeña was not charged as they did not find any evidence that would link him to the shipment.
“We haven’t seen any evidence that will link directly si former Commissioner Lapeña sa mga kaso (in the cases). And that is why he was not included in the filing of the case,” he said.
However, Mr. Aquino said they will forward the complaints to the Presidential Anti-Corruption Commission and “maybe in the Ombudsman” to determine Mr. Lapeña’s liability for an administrative case.
Mr. Lapeña resigned as BoC commissioner in August following the controversy on the import of illegal drugs. He was appointed by President Rodrigo R. Duterte as TESDA director general on Oct. 25.

Palace stands by Budget chief

By Arjay L. Balinbin, Reporter
MALACAÑANG on Thursday stood by Budget Secretary Benjamin E. Diokno amid calls from lawmakers at the House of Representatives for President Rodrigo R. Duterte to remove him over alleged irregularities in the proposed 2019 national budget.
The Palace stressed that the Budget chief’s record is “unblemished.”
“Secretary Diokno’s record in the government service, to the mind of the Chief Executive and of the rest of his cabinet, is unblemished. As one of the Administration’s economic managers, PRRD considers him as one of the best and brightest in his official family. Sec. Diokno’s reputation as an upright, competent and honest public servant stays solid up to this day,” Presidential Spokesperson Salvador S. Panelo said in a statement.
Mr. Panelo noted that the Palace “respects” the House Resolution No. 2365, which urges the Office of the President to reconsider the appointment of Mr. Diokno.
“We similarly wish to express that the President continues to trust the Budget Secretary and the confidence reposed on him remains unimpaired,” he said.
The spokesman also pointed out that if Congress “feels that there was irregularity in the allocation of the budget, it can always correct it apart from having the option of recommending the filing of charges against those they deem are responsible for the transgressions should the same amount to a crime.”
“In the same manner that the President doesn’t tell Congress who it will choose as its officers and how to go about it, we wish that its members return the same courtesy,” Mr. Panelo said further.
Meanwhile, Senator Loren B. Legarda, said in a statement: “As Chair of the Committee on Finance, I have been working with him not only on the annual national budget but also on proposed measures to reform the budget system and in all those times he has proven that he is a no-nonsense man and an honest public servant.”
“I firmly believe in Secretary Diokno’s integrity and in his capability to carry out reforms and introduce programs that would ensure equitable, inclusive, resilient and sustainable growth for our country. He has my full support,” she added.“There is no insertion in the budget. That term is a misnomer. Changes during budget preparation are ‘adjustments’,” Secretary Diokno said.
Albay Rep. Edcel C. Lagman, for his part, said that he and the rest of the “Magnificent 7” minority group abstained from the call to remove Mr. Diokno from his post, yet he believes that the secretary did not act alone in the controversies surrounding the 2019 national budget.
“As far as we are concerned, we are abstaining from the initiative because we will leave it to the President as he has the power to appoint and remove Cabinet members,” said Mr. Lagman in a press conference on Thursday, Dec. 13. — with Vince Angelo C. Ferreras

Duterte to skip Catholic mass for Balangiga bells

PRESIDENT Rodrigo R. Duterte on Thursday said he will not attend the thanksgiving mass for the historic bells that are returning home to the Catholic church in Balangiga, Eastern Samar on Saturday.
The President, however, is scheduled to attend the turnover ceremony of the Balangiga bells to the local officials, according to Presidential Spokesperson Salvador S. Panelo.
In his remarks at an event in Las Piñas, Mr. Duterte said he will be skipping the thanksgiving mass.
“There’s going to be a High Mass. I will not be there. I will just float along the coastal shores of Samar,” he said.
“It’s going to be like this. The American government will give it back to me. Then I will give it to the local executives. And the local executives will turn it over to its rightful owner, the people of Balangiga and ‘yung pari doon (the priest there). Kanila ‘yun (It is theirs). So hanggang dito lang ako (That’s where it stops for me). I do not want to hear the mass. I have heard all the masses in the world,” said the President, who was brought up a Catholic but has been lashing at the church and criticizing its clergy.
He also noted that the return of the bells “were upon of the demand of the Filipino people.”
“The credit of the return of the Balangiga does not belong to any worker or officials of government,” he said.
The three bells were taken by American soldiers as a war booty during the Philippine-American War in 1901. — Arjay L. Balinbin

Gov’t vehicle procurement simplified

PRESIDENT RODRIGO R. Duterte has issued Administrative Order No. 14, streamlining the approval process for the procurement of government motor vehicles. In a phone message to BusinessWorld on Thursday afternoon, Dec. 13, Budget Undersecretary Laura B. Pascua said the AO stemmed from “the proposal by PS (Procurement Service) and GPPB (Government Procurement Policy Board),” which was also “presented to the Cabinet.” She added, “The Proposal is to consider motor vehicles as part of common supplies so that procurement and approval process are simplified.” Signed on Dec. 10, the AO, which the Palace released to reporters on Thursday, also directs the adoption of a centralized system on the procurement of government motor vehicles. — Arjay L. Balinbin

PSA warns against payment collections for national ID

THE PhilID, the national identification card that will be rolled out soon by the government, would be free of charge for the initial issuance, the Philippine Statistics Authority (PSA) reminded the public. The PSA issued the notice on Dec. 12 as it warned that “entities or persons collecting fees and representing themselves as authorized registration centers are not in any way connected to the Agency.” The PSA is the primary implementing agency for Republic Act No. 11055, the Philippine Identification System Act (PhilSys Act). The notice signed by Undersecretary Lisa Grace S. Bersales also said that the PSA “has not yet started the registration of applicants for the PhilID.” It added, “Relevant announcements will soon be made.” For queries, contact 0917-312-8368 or philsys-pmo@psa.gov.ph.

69 Chinese, Korean illegal workers nabbed

THE BUREAU of Immigration (BI) and Clark Development Corp. arrested 45 Chinese and 24 Koreans last Dec. 10 for working in the country without proper visas. The 69 foreigners were arrested at the Dongwang Clark Corp. and Clark Sunvalley Country Club where they work. BI Commissioner Jaime H. Morente, in a statement yesterday, said the bureau and the CDC initially invited 93 foreigners for questioning and verification of travel documents following reports that there were some who work in construction sites with just tourist visas. The 69 were charged for violation of the Philippine Immigration Act while 24 Koreans were released after presenting valid work permits. “This is a call to our kababayans to remain vigilant. Report all illegal activities of foreign nationals to the Bureau of Immigration for appropriate action,” Mr. Morente said. Those arrested are now awaiting deportation proceedings. — Vann Marlo M. Villegas

San Fernando celebrates 110 years of lantern-making

THE ANNUAL Giant Lantern Festival in San Fernando City opens on Saturday, Dec. 15, with this year’s lantern competition entries to be unveiled at the Robinsons Starmills mall. There will be 11 barangays competing this year, according to the City Information Office. Mayor Edwin D. Santiago noted that the city is celebrating the 110th anniversary of lantern-making as an industry, a testament to “unending efforts in the preservation of culture.” He said, “Mahigit isang siglo na ang industriya ng paggawa ng gahiganteng parol sa San Fernando, isa lamang itong patunay na noon pa man, dedikado na ang siyudad sa pagpapahalaga ng kultura nito (The giant lantern industry in San Fernando is more than a century old, just one proof that the city is dedicated to giving value to its culture).” The Giant Lantern Exhibition will be on until Jan. 2.

Dipolog-Dumaguete direct sea transport starts

SHIPPING FIRM Medallion Transport Inc. started direct services between Dipolog City in Zamboanga del Norte and Dumaguete City in Negros Oriental on Dec. 12. Using its M/V Lady of Rule roll on-roll off vessel, the daily trips depart Dipolog at 11 p.m. and Dumaguete at 5 a.m. Passenger options include economy (P450/person), business class (P550), and executive suite for two persons (P1,500). Dipolog City Mayor Darel Dexter T. Uy welcomed the new transport link as a contributor to economic growth. “We are truly making Dipolog as an important gateway city and we expect better movement of goods and people that will promote trade and enhanced income opportunities for the city and our people,” he said on a Facebook post on his page.

PDIC to bid out P70M worth of properties around Mindanao

RESIDENTIAL, commercial, and industrial lots in different parts of Mindanao are up for bidding by the Philippine Deposit Insurance Corporation (PDIC) on Jan. 9, 2019. In a statement, PDIC said the real estate properties are located in Agusan del Norte, Agusan del Sur, Bukidnon, Camiguin, Davao del Norte, Lanao del Norte, Leyte, Maguindanao, Misamis Oriental, North Cotabato, South Cotabato, Sarangani, Sultan Kudarat and Zamboanga del Sur. These were assets from 195 closed banks with a minimum total disposal price of P69.9 million. The bidding will be held at the Bangko Sentral ng Pilipinas-Davao Regional Office in Davao City. The complete list of properties and other details are posted online, www.pdic.gov.ph.

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