Facebook Instagram Linkedin X Youtube
Home Blog Page 11941

Century Properties, Mitsubishi to spend P28B for affordable housing foray

By Arra B. Francia, Reporter
CENTURY Properties Group, Inc. (CPG) will be spending P28 billion alongside Japanese partner Mitsubishi Corp. for the rollout of 15 masterplanned communities catered toward the affordable housing market through their newly-incorporated firm.
The Antonio-led property developer formally launched its 60-40 joint venture with Mitsubishi called Phirst Park Homes, Inc. (PPHI) on Thursday night, a few months after both parties signed the partnership agreement for the venture.
Of the total capex, PPHI will be spending P11 billion over the next five years. PPHI President and Chief Executive Officer Ricky M. Celis said they currently have two models for the masterplanned developments they want to adapt.
“We have in our masterplan two models. One is the 20-hectare community which will be mostly residential. A portion of that will be for some mixed use to cater to the community itself. The other is what is called the township, that’s at least 100 hectares each and will be a combination of several uses,” Mr. Celis said in a press conference prior to the launching ceremony.
CPG Co-managing Director Jose Carlo R. Antonio said the first five locations they hope to secure will cover around 20 hectares, potentially located in Cavite, Laguna, Batangas, Bulacan, Pampanga, and the CALABARZON area.
“Currently we’ve acquired two and we’re looking to contract at least three by the first to second quarter of next year. So hopefully while the company’s still young, by June next year hopefully five out of that 15 will be secured already,” Mr. Antonio said during the press conference.
Mr. Celis said they will offer six to seven housing models under PPHI worth P1-6 million. The company’s target market includes first time home buyers and overseas Filipino workers with a combined monthly income of around P30,000 to P80,000.
Under the planned spending, PPHI looks to deliver 33,000 housing units with a sales value of around P57 billion.
The incorporation of PPHI came after CPG’s foray into the affordable housing segment in 2017, in a bid to diversify its portfolio to include affordable housing, leisure and tourism estates, and commercial leasing from its former focus on in-city development of high-rise condominiums for the mid- to high-income market.
CPG has already partnered with Mitsubishi for its first project under the affordable segment, namely Phirst Park Homes Tanza in Tanza, Cavite. The project will include 2,800 units, the first 600 of which will be completed by yearend.
“The Mitsubishi brand brings in a lot of the technologies as well so we know Japan to be at the forefront of technology so they bring a lot of that potential to assist in the building and of course their reputation in terms of balance sheet,” Mr. Antonio said.
The company also launched last June Phirst Park Homes Lipa in Lipa, Batangas which offers 1,867 units valued at P2.8 billion.
Shares in CPG went up by 2.33% or a centavo to close at 44 centavos each at the stock exchange on Friday.

PHL bond market grows in Q2

THE Philippine bond market continued to expand in the second quarter even as yields surged as a result of successive rate hikes by the central bank, the Asian Development Bank (ADB) said.
In its latest Asia Bond Monitor report, the multilateral lender said the local currency bond market grew 2.6% quarter-on-quarter in June, faster than the 2.1% increase during the first three months of 2018.
Outstanding peso-denominated debt totalled $108 billion (P5.741 trillion) as of end-June, three percent higher from the $102 billion tally during the same quarter in 2017. Broken down, nearly 80% of the amount were state borrowings worth $86 billion, while corporate borrowings reached $22 billion.
Government debt grew by 2.5% from the previous quarter on account of its latest issuance of retail Treasury bonds, which shored up P121.8 billion worth of fresh funds. This helped offset several “failed auctions” for government-issued securities during the quarter, which came as the Treasury opted to reject offers as yields sought by players were higher than what it was willing to accept.
“The Philippines’ total bond issuance grew 43.1% q-o-q in Q2 2018, recording the fastest growth rate among emerging East Asian economies next to the PRC,” the ADB said. “The increase largely came from the issuance of Retail Treasury Bonds in June amounting to $2.3 billion.”
Fundraising by private firms also went up from the previous quarter albeit at a slower pace, with new corporate bond issuances booking a 3.2% increase. The ADB said this was due to “rising borrowing costs” following two rate hikes introduced by the Bangko Sentral ng Pilipinas in May and June, which brought benchmark rates 50 basis points higher.
“Uncertainties weighed heavily on investor decisions, resulting in a preference for short-dated Treasury bills, particularly the 3-month tenor, as investors chose caution while awaiting the outcomes of domestic and international events,” the ADB said in the report. “The higher yields also point to the risks that investors see in the long-term.”
In particular, bond buyers worried about “high inflation and slowing economic growth” in the domestic front, while concerns on rising oil prices and a trade war between the United States and China also dampened investor appetite.
Inflation stood beyond four percent during the quarter, while growth slowed to six percent coming from a 6.6% pace during the January-March period.
The Philippines remained as the second-smallest bond market across emerging East Asia next to Vietnam’s $51-billion debt burden. In contrast, the biggest issuers as of June are China ($9.026 trillion), South Korea ($1.993 trillion), and Thailand ($362 billion).
Peso bonds also took a modest share relative to the economy, ADB data showed. The local currency bond market took a 34.7% share of gross domestic product, versus Korea’s 126.2%, Malaysia’s 98.4%, and Singapore’s 83.8%. — Melissa Luz T. Lopez

NFA picks groups to bring in 100,000 tons rice for Mindanao

rice imports
AFP

THE NATIONAL FOOD AUTHORITY (NFA) on Thursday chose 21 groups to import a total of 100,000 metric tons of rice for Zamboanga City, Basilan, Sulu and Tawi-Tawi (ZamBaSulTa).
Three private companies bagged 20% of total while 18 farm cooperatives got the remaining 80% in Thursday’s auction, according to a joint statement of NFA and the Land Bank of the Philippines on Friday.
The NFA identified the three private companies as Blue Shark Development and Trading Corp., RAS Bacolod, Inc. and Basulta Traders Corp.
“The auction is under the Minimum Access Volume (MAV) scheme for crop year 2017-2018. Arrival of rice imports is set from October 1 to November 30… This is seen to boost the supply of rice in the area and complement ongoing rice distribution operations,” the statement read.
An intensified government crackdown on rice smuggling in ZamBASulTa in western Mindanao led to an acute shortage of grain in the area.
The NFA will check the requirements of the groups concerned before issuing them certificates of eligibility to import rice by Sept. 25.
All shipments will be subject to a 35% MAV tariff which should be paid in advance with LANDBANK. — Denise A. Valdez

Banana exporters press for bilateral tariff deal with South Korea

BANANA GROWERS and exporters warned that the Philippines could lose its big share of the South Korean market within the next two years without a bilateral deal that will give zero tariff to the commodity.
The Pilipino Banana Growers and Exporters Association (PBGEA), in a statement released Friday, said waiting for the conclusion of what it called “the highly ambitious” Regional Comprehensive Economic Partnership (RCEP) would affect the competitiveness of the Philippine cavendish banana.
“The route of RCEP will be far too long and circuitous. Multilateral discussions on this trade pact started in 2012 and is still going on. Who knows when it will be done?,” the statement quoted PBGEA Executive Director Stephen A. Antig as saying.
RCEP is a planned free trade agreement among the 10 member states of the Association of Southeast Asian Nations (ASEAN) and the six Asia-Pacific states with which ASEAN has existing free trade agreements (Australia, China, India, Japan, South Korea and New Zealand). Trade ministers met last Aug. 30-31 in Singapore with hopes of finalizing a deal by end-2018.
“Philippine banana exporters are already battling it out in South Korea with competitors (from South American countries) granted concessionary import tariff rates. We cannot afford to wait while this happens. This issue must be immediately taken up on a bilateral basis and specific to bananas,” Mr. Antig said.
He said “time is of the essence” for the banana tariff issue because “Peru banana exporters have been enjoying zero tariff as early as 2015. By 2020, barely 15 months from now, other suppliers like Colombia will enjoy zero tariff.”
South Korea has also already signed a free trade agreement with Chile, another major banana exporting country.
In November 2016, South Korea and six Central American nations — Nicaragua, El Salvador, Honduras, Costa Rica, Panama and Guatemala — signed a regional free trade agreement which would phase out tariffs in coffee, sugar, bananas, pineapples and mangoes immediately or within seven years.
For Philippine bananas, meanwhile, a 30% tariff is imposed. Under the Philippines’ trade agreement with South Korea, which is anchored on the ASEAN-Korea Free Trade Agreement or AKFTA, bananas are classified under Korea’s Highly Sensitive List.
Last year, 78.8% of South Korea’s cavendish imports still came from the Philippines, but PBGEA said the country could readily lose a significant market share to the South American suppliers with their preferential tariff terms.
“A bilateral agreement between Manila and Seoul is the only way for the country’s banana exports to have a fighting chance,” said Mr. Antig.
PBGEA, which groups the country’s major growers and exporters across Mindanao, said its representatives recently met with South Korean Ambassador to the Philippines Han Dong-man, who said that Seoul’s position is that RCEP remains the priority avenue for cutting tariffs on Philippine bananas.
Malacañang announced earlier this year that it will initiate negotiations for bilateral trade talks with Seoul, including the issue on banana import tariff.
PBGEA said the industry “will give its full cooperation with Philippine trade representatives to draft a mutually beneficial proposal that will be submitted to Seoul.”

Bourse surprises with ‘dizzying rally’

THE PHILIPPINE STOCK EXCHANGE index (PSEi) exited bear territory on Friday amid what one analyst described as “a dizzying rally”, but its strong recovery was not enough to prevent its third straight week-on-week drop.
All six sectoral indices ended the day with gains and while overseas investors remained predominantly bearish, Friday’s net foreign sales were the smallest in 15 trading sessions.
PSEi surged by 248.27 points or 3.48% to close 7,383 — though still down 0.4% on the week — while the all-shares index gained 95.44 points or 2.16% to end 4,507.4.
“After just entering bear territory yesterday, Philippine stocks led regional peers with a dizzying rally that trimmed most of its losses this week,” RCBC Securities, Inc. said in a Stock Market Weekend Cap attributed to research analyst Fiorenze D. De Jesus.
“Investors may have been encouraged by Wall Street’s optimism over reports that China will cut tariff rates on imports from its other trading partners, which would trim the US-China trade war’s impact on global growth.”
For Gabriel Jose F. Perez, sales associate of Papa Securities Corp., “[t]he surge today for countless blue chips… may have been on the back of some bargain buying and in anticipation of the FTSE rebalancing which took effect at the close.”
Mr. Perez mentioned that the local index also followed foreign markets, which “closed in the green after drawing optimism from US markets last night when the Dow Jones hit a new all-time high along with the S&P500.”
Luis A. Limlingan, managing director at Regina Capital Development Corp., shared this assessment saying: “The local [market] made the leap back into bargain hunting, supported as risk-on sentiment returned with US indices closing at record highs and EM (emerging market) funding levels normalizing.”
“Strong economic data helped to alleviate concerns over escalating U.S.-China trade tensions,” Mr. Limlingan added.
Reuters reported on Friday that subsiding global trade worries drove the Dow Jones Industrial Average 0.95% higher to 26,656.98 on Thursday, the Nasdaq Composite Index up 0.98% to 8,028.23 and the S&P 500 up 0.78% to 2,930.75.
AFP reported on Friday that much of Asia strengthened further as investors looked past the worsening US-China trade spat to take heart from signs of a booming American economy. PSEi’s Friday surge outstripped gains elsewhere in Asia, including the Nikkei Stock Average 225’s 0.82%, the TOPIX Index’s 0.92%, the 1.73% of Hong Kong’s Hang Seng Index, the 0.68% of South Korea’s KOSPI Index, the Shanghai Composite Index’s 2.5%, FTSE Bursa Malaysia KLCI’s 0.38% and Jakarta Composite’s 0.45%.
Financials led sectoral indices in gains, surging by 74.35 points or 4.72% to finish 1,649.3. It was followed by property that jumped by 113.16 points or 3.14% to 3,707.99, holding firms that increased by 181.93 points or 2.62% to 7,109.43, industrials that went up by 259.23 points or 2.38% to 11,121.75, services that rose by 30.58 points or 2.07% to 1,505.24, as well as mining & oil that edged up 60.84 points or 0.67% to 9,039.25.
Mining & oil has been reeling from recent reiterations by President Rodrigo R. Duterte of his opposition to mining in the wake of landslides amid the onslaught a week ago of super typhoon Mangkhut, locally called Ompong, that have killed at least 88 individuals, so far, in northern Luzon. On Thursday, however, House Speaker Gloria M. Arroyo sent a stricter mining tax reform bill back to the Finance department, asking it to take industry proposals into consideration, even as she agreed with Mr. Duterte in terms of banning open-pit mining.
Stocks that advanced outnumbered those that lost 114 to 86, while 43 others were flat.
Friday’s list of 20 most active stocks showed 16 gaining and just four that lost.
Those that gained included BDO Unibank, Inc. (7.58% to P120.60 apiece); Aboitiz Equity Ventures, Inc. (6.35% to P46.90); Metropolitan Bank & Trust Co. (6.25% to P68); Universal Robina Corp. (5.96% to P151); MRC Allied, Inc. (5.56% to P0.76); PLDT, Inc. (4.96% to P1,438); Ayala Land, Inc. (4.9% to P41.75) and Bank of the Philippine Islands (4.88% to P83.90 each).
Those on the same list that lost consisted of First Philippine Holdings Corp. (-2.93% to P63.05); Doubledragon Properties Corp. (-1.86% to P21.05); Metro Pacific Investments Corp. (-1.6% to P4.92) and Security Bank Corp. (-0.3% to P168.50 each).
Volume ballooned to 1.197 billion shares worth P11.582 billion from Thursday’s 792.146 million worth P4.588 billion.
Overall pessimism persisted among investors overseas, although Friday’s P132.151-million net foreign sales was just a third of Thursday’s P385.705 million, as total acquisitions surged 232% to P7.617 billion and total sales jumped 189% to P7.749 billion.
Next week, Papa Securities’ Mr. Perez expects net foreign selling to persist, noting that investors will likely remain cautious ahead of the monetary policy meeting on Thursday in which an additional increase in benchmark interest rates will likely be on the cards as inflation speeds further. Some economists expect farm damage from last week’s super typhoon to add to inflationary pressures.
“Nevertheless, initial resistance should be at the PSEi’s recent breakdown area of 7,478.94.” Mr Perez said. — Vincent Mariel P. Galang

LP not calling for Duterte ouster — Robredo

VICE-President Maria Leonor G. Robredo said it is not the position of the Liberal Party to overthrow President Rodrigo R. Duterte.
In an interview on the television show The Chiefs on Cignal TV’s One News on Sept. 20, Ms. Robredo said it is “not a party position” to ask the President to resign or to oust him.
“You know, personally, I don’t think the President will resign… I’m not very sure if some members of the party have expressed a call for resignation; but if at all one or some of them did, it’s not a party position. I don’t think the President will resign, so we’re not calling for that,” she said.
She also stressed that Mr. Duterte’s accusation that there is a collective effort from the Liberal Party, Senator Antonio F. Trillanes IV’s Magdalo group, and the Communist Party of the Philippines-New People’s Army (CPP-NPA) to destabilize his administration is “baseless.”
“You know, the accusation of the President is completely baseless. He was telling us — and that’s what alarms us, really — he was telling us that the information was coming from conversations which were forwarded to him by a foreign government friendly to the country. That is alarming and that is against the provisions of the Constitution. It is alarming in the sense that if it’s true, is the President agreeing to interference by a foreign government? That is violation of our rights to privacy,” Ms. Robredo said.
She added: “There was no ousting, trying to oust the President. There was no talk of a unified move to destabilize the government. Because if there was, I would not be a part of it.”
What matters to the opposition party now, according to Ms. Robredo, is the upcoming 2019 senatorial elections. “And by leading the opposition, it was very clear to them that this was what I was ready for… I wanted to unify the voices, so that the administration would listen to this unified voice. And when we say unified voice, this is expression of dissent to policies of the government,” she explained.
She said there are active moves to oust her even in her hometown, Naga City, which Mr. Duterte once dubbed as a “hotbed of shabu (crystal meth).”
“Some of the President’s men have been trying to… find ways to discredit me. I don’t know if it’s part of the plan to… you know… just like what they did to Senator (Leila M.) De Lima and (former) chief justice (Maria Lourdes P.A.) Sereno and Senator Trillanes. You know, the manner by which they did these things to Senator Trillanes would be a confirmation that they… would go at great lengths just to… to silence the critics or discredit the opposition,” she said.
Ms. Robredo said as well that she still trusts the Presidential Electoral Tribunal (PET) proceedings on the electoral protest filed against her by former senator Ferdinand “Bongbong” R. Marcos. But she noted that losing the vice presidency “is always a possibility.”
“With the way it has decided on several important cases, we know that the reality is [that] it’s always a possibility. But when I say that we’re not giving up on it, it’s because… we have our Constitution. And we took our oath to defend our Constitution. The judiciary — the Supreme Court, particularly — has the duty to interpret the Constitution,” she said.
And when that happens, Ms. Robredo said, “that will be the time to say wala na talagang pag-asa iyong (that there is no glimmer of hope in the) Supreme Court.”
“And that will be an entirely different matter. But it will be irresponsible for me to say those things at this point, when the processes are still unfolding. There are things we can accept and there are things we can’t,” she added.
At the same time, Ms. Robredo also admitted that the economic problems the country is facing nowadays strengthen the opposition. “In a way, it is. But it’s not welcome — you know, we’re affected by it… You know, you always wish to be united, you always wish to be stronger as a coalition, but not at the expense of the plight of our people,” she said. — Arjay L. Balinbin

Top universities come out against revision of history, honor victims of Martial Law

THE top three universities in the Philippines marked the 46th anniversary of the declaration of Martial Law by emphasizing the role of the academe in keeping guard over historical truth.
In a joint statement released on Thursday, De la Salle University (DLSU) and Ateneo De Manila University (ADMU) said “The members of our academic communities cannot abdicate their duty to educate the next generation on the truths of our history, even more so when people threaten to creatively destroy them.”
The statement, made by DLSU President Raymundo B. Suplido and ADMU President Jose Ramon I. Villarin, added that students should also make the effort to avoid misinformation on Martial Law, stressing “Do not gloss over the abuses of power, the horrors of state-sponsored violence and the assault against our fundamental freedoms. Do not be deceived by the false claims of those who want to revise our history.”
Meanwhile, the University of the Philippines (UP) said in a social media post on Friday that it will create a memorial at the Diliman, Quezon City campus in remembrance of the victims of Martial Law.
“UP and the Human Rights Violations Victims’ Memorial Commission will sign a memorandum of understanding to be partners in the establishment of the Human Rights Violations Victims’ Memorial in UP Diliman,” UP said.
UP President Danilo Concepcion also declared that henceforth, Sept. 21 will be known as the UP Day of Remembrance.
Former President Ferdinand E. Marcos, Sr. declared Martial Law on Sept. 23, 1972, then backdated this to Sept. 21 and the event was marked on that day ever since. Martial Law was officially lifted in 1981, but Marcos remained in power until he was ousted in the People Power revolt in 1986. Almost 4,000 people were killed and more than 100,000 were imprisoned and/or tortured from 1972 to 1986.
In a recent video discussion between President Marcos’ son, former Senator Ferdinand “Bongbong” R. Marcos, Jr., and former Senator Juan Ponce Enrile, the later justified Martial Law and said many people are “misinformed” about it. His statements have been met with public outcry, with many stating that Mr. Enrile, who was the Martial Law administrator during the Marcos regime, is distorting history. — Gillian M. Cortez

NEDA backs state of calamity declaration in typhoon-ravaged areas

By Melissa Luz T. Lopez, Senior Reporter
THE National Economic Development Authority (NEDA) backed the declaration of a state of calamity in regions affected by typhoon Ompong, as it would allow authorities to impose price ceilings on basic goods to help soften inflation in hard-hit areas.
In particular, vegetable prices may surge anew given that Northern Luzon — a major source of vegetables — has been ravaged by heavy rains which caused floods and landslides last week, said Socioeconomic Planning Secretary Ernesto M. Pernia.
Agriculture Secretary Emmanuel F. Piñol has said that vegetables will be airlifted from Mindanao to satisfy demand in Luzon and the Visayas in order to prevent shortages that will further drive up prices.
“According to Sec. Piñol, they are quite abundant… I don’t know to what extent it can satisfy the requirements of Metro Manila and the Luzon and Visayas regions, but definitely it will impact the prices of vegetables, which has exhibited the highest inflation rate year-on-year,” Mr. Pernia said during the regular #AskNEDA briefing on Friday.
Inflation hit a nine-year high of 6.4% in August, led by surging food and oil prices due to limited supply. Prices of basic goods have gone up by an average of 4.8% during the first eight months, well above the 2-4% target set by the central bank.
Mr. Pernia added that NEDA has “taken the lead” in crafting a rehabilitation plan for areas struck by the strong typhoon, and has recommended to Malacañang that a declaration of a state of calamity be made covering Regions I, II, III and the Cordillera Administrative Region (CAR).
Typhoon Ompong (international name: Mangkhut) brought strong winds and heavy rainfall to northern Philippines last week. Initial assessments show over P14 billion worth of agricultural damage, while 63 of 295 roads as well as two of six bridges in affected areas were still impassable as of Friday morning.
There are over 1.6 million affected residents in these regions while 23 were reported dead, 21 injured, and two missing, according to the report of the National Risk Reduction and Management Council (NDRRMC) as of 6 a.m. Friday.
NEDA Undersecretary Adoracion M. Navarro said that the inter-agency NDRRMC on Thursday found basis for declaring a state of calamity in these areas, and will forward a draft resolution to President Rodrigo R. Duterte “within the week.”
Once declared, the government can impose price ceilings on basic goods, have stricter control on overpricing and hoarding, authorize the programming or reprogramming of funds for repairs and upgrades of roads and facilities, access international aid, and pursue negotiated procurement for goods needed in these regions.
“At this point, it’s difficult to predict what the impact on inflation is, but we are getting ready for that. One way of getting ready is to manage expectations… One way is this recommendation to declare a state of calamity,” Ms. Navarro added.
The government has extended P65.3 million worth of initial assistance to affected communities while an ongoing rapid damage and needs assessment is being conducted, the NEDA said. Japan and Australia have also pledged humanitarian assistance, Ms. Navarro added.
Finance Secretary Carlos G. Dominguez III previously said that issuing the declaration would likewise allow the Philippine government to unlock a special credit line from the World Bank, to be used for disaster response and recovery.
“We just want to get ready to access the World Bank fund because there’s always bureaucratic lag between initiating and the actual release of funds. But of course, we should really use first our own local resources,” Mr. Pernia added. “Only if there is further need for additional funds, then will we access the WB facility.”
Once signed, proclaiming a state of calamity in four regions means that the Philippines can tap a $497.5 million line from the World Bank within 48 hours. However, Ms. Navarro clarified that there are items in the 2018 national budget which can be tapped to finance rebuilding projects.
Among the options available to government is around P1.19 billion under the NDRRM fund, as well as a P13.66-billion unprogrammed fund meant to support infrastructure projects and social programs.
“What is important is that our recommendation to declare a state of calamity is a manifestation of swift action to decisively prepare for the possible adverse effects of the typhoon on poverty reduction and economic growth targets,” the NEDA official said.
The Duterte administration targets an annual economic growth of 7-8%, while reducing poverty incidence to an all-time low of 14%.

Partial closure of Skyway, SLEx scheduled due to C5 South Link construction

A stop-and-go traffic scheme will be implemented on the Skyway and South Luzon Expressway (SLEx) starting Sept. 29 until Nov. 22 for the construction of Circumferential Road 5 (C5) South Link Expressway, government concessionaire Metro Pacific group said.
In a statement released on Thursday, CAVITEX Infrastructure Corp. (CIC) of the Metro Pacific Tollways Corp. (MPTC) said the partial closure of the roads is necessary to complete the toll road project on schedule.
The stop-and-go traffic scheme will run daily from 10 p.m. to 4 a.m. with 15-minute intervals. CIC President Luigi L. Bautista said traffic aides will assist motorists during the period.
“We would like to seek the understanding and patience of all motorists using the Skyway and SLEx between Nichols Toll Plaza and Bicutan. We as well advise them to plan their trips and look for alternative routes. Partial closure of Skyway and SLEX during off-peak hours is necessary when we position and install the girders,” Mr. Bautista said in the statement.
CIC is set to open the first 2.2 kilometers — near Merville, Parañaque — of the 7.7-kilometer C5 South Link Expressway by the end of March next year. The P10-billion toll road project will connect C5 to the Manila-Cavite Toll Expressway (CAVITEx).
Mr. Bautista said setting up the girders is a “critical activity” in the construction of the six-lane highway.
Once the C5 South Link is done, the project is expected to reduce travel time from Parañaque, Las Piñas, and Cavite to Taguig from the usual 90 minutes to 20-30 minutes. It is “expected to benefit some 50,000 cars by decongesting Sales Road in Pasay and EDSA when it starts commercial operations,” CIC said in the statement.
“C5 South Link is progressing as scheduled. When completed, the road will provide motorists from Parañaque, Las Piñas, and Cavite direct access to C5,” Mr. Bautista added.
CIC is a subsidiary of MPTC, the tollways unit of Metro Pacific Investments Corp. (MPIC).
MPIC is one of three Philippine units of Hong Kong-based First Pacific Co. Ltd., others being PLDT, Inc. and Philex Mining Corp. Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has an interest in BusinessWorld through the Philippine Star Group, which it controls. — Denise A. Valdez

Grab to temporarily lower surge pricing with P2/minute reimposition

GRAB PHILIPPINES (MyTaxi.PH, Inc.) will temporarily lower its surge pricing to 1.6 times instead of two times to give time for passengers to adjust to higher fares after being allowed by the Land Transportation Franchising and Regulatory Board (LTFRB) to reimpose its P2-per-minute waiting time charge starting Friday.
“To help our passengers cope with the adjustment of their daily transportation budget, we will temporarily lower our surge pricing to 1.6x instead of 2.0x. We are hopeful that the waiting time and booking experience will improve as we get more drivers back into the platform,” the ride-hailing company said in a statement.
Asked until when the lower surge pricing will be implemented, Grab told reporters there is no definite timeline but performance trends will be observed in the coming two weeks.
The LTFRB authorized transport network companies (TNCs) such as Grab to charge a P2-per-minute fare component in Memorandum Circular No. 2018-019 published early this month.
The policy is in line with Department Order No. 2018-013 from the Department of Transportation, which tasked the LTFRB to regulate the fares of TNCs.
Grab’s P2-per-minute charge was suspended in April after the LTFRB said the fare structure was not approved by the Board. It was also slapped with a P10 million fine by the regulator for allegedly overcharging.
With the reimposition of the per minute waiting time charge, Grab said it hopes its drivers will start hitting the road again, noting several drivers have stopped operating because of low income brought by the fare component suspension.
“We hope that this will encourage our driver-partners to go back online and continue bringing more passengers home, especially this upcoming Christmas season. Grab will continue to supplement this with other opportunities and benefits that will improve driver productivity,” it said.
The company also said it will update its receipts in the coming days to include the P2 per minute charge in the breakdown of fares. It said the calibration will take two days at most. — Denise A. Valdez

PCC to improve merger reviews, enforcement

THE Philippine Competition Commission (PCC) wants better merger review guidelines and enforcement in 2019.
During its 2019 budget hearing at the Senate on Friday, PCC Chairman Arsenio M. Balisacan said, “On our merger review (for 2019), we will improve our merger review processes in ease of doing business.”
For competition enforcement, the PCC Chairman added, “We would like to cast a wider net in order to investigate (and) monitor enforcement cases.”
PCC said it will fine-tune its current guidelines regarding its merger review, and is looking at terminating simple cases early, a review of the notification threshold of mergers and updating the merger notification manual.
“We will also strengthen the mechanisms in monitoring and (auditing) manual transactions with imposing remedies in anti-competitive mergers,” said Mr. Baliscan.
PCC will likewise oversee non-notified mergers and acquisitions that could possibly lessen competition and evaluate remedies on anti-competitive M&As.
The Commission also plans to establish new rules regarding merger reviews, such as a more streamlined merger review process in public-private partnership (PPP). It also wants to exclude some classes of M&A from compulsory notification if the M&A would not lessen competition.
On the other hand, the Commission is looking to set up a IT Forensics Laboratory and start-up toolkit for cartel investigations “to further strengthen our enforcement capability.”
Another measure to boost competition enforcement is PCC’s plan to create a Leniency Program, which aims to “encourage voluntary disclosure of information in exchange for immunity or reduction of fines.”
Last June, PCC signed a memorandum of agreement with the Department of Justice to collaborate in anti-competitive cases.
Republic Act No. 10667 or the Philippine Competition Act states in Section 35 that PCC “shall develop a Leniency Program to be granted to any entity in the form of immunity from suit or reduction of any fine which would otherwise be imposed on a participant in an anti-competitive agreement.”
Finally, the PCC also plans to employ bid-rigging screening tools with its partner agencies.
From February 2016 to August 2018, the Commission has reviewed and approved 146 M&A transactions with the total worth of P2.4 trillion. PCC has also completed seven preliminary inquiries and is currently monitoring four ongoing administrative investigations. — G.M. Cortez

Cebu Pacific to open Cebu-Macau route in December

CEBU PACIFIC is launching by the end of the year a new direct flight to Macau for passengers coming from the Visayas and Mindanao.
The budget carrier said in a statement on Friday that it will start flying from Cebu to Macau on Dec. 7, with flights that will run four times weekly — Mondays, Wednesdays, Fridays and Sundays.
“We believe that this new connection is not only an answer to our passengers’ demands, but will also stimulate both the trade and tourism aspects in both destinations as it makes available both passenger and cargo services,” Cebu Pacific Vice President for Corporate Affairs Paterno S. Mantaring, Jr. said in the statement.
The company said the new route is expected to boost Cebu Pacific’s dominance of air connections between the Philippines and Macau, as it takes more than 50% of the share of flights to the region from its hubs in Manila, Clark and Cebu.
“Macau, with its prime location, allows it to serve as a gateway to Pearl River Delta, making it a perfect access point for business and leisure travellers alike. This connection gives passengers from the Visayas and Mindanao a more viable option to fly to and from the area,” it added.
Cebu Pacific also announced it is increasing its frequencies for flights from Cebu to Hong Kong and to Narita starting Nov. 26 and Dec. 1, respectively. The carrier will start flying 10 times weekly from the previous seven times weekly to Hong Kong, and daily from the previous four times weekly to Narita.
“(Cebu Pacific), along with its wholly-owned subsidiary Cebgo, now operates direct flights to 21 domestic and five international destinations,” it said.
The listed operator of Cebu Pacific, Cebu Air, Inc., posted a 24% decline in its net income in the first half of the year to P3.309 billion due to the rising price of jet fuel and the weakening of the peso.
Cebu Air shares went up 80 centavos or 1.11% to close at P72.80 each on Friday. — Denise A. Valdez

1...11,94011,94111,942...14,244Page 11,941 of 14,244
ADVERTISEMENT
ADVERTISEMENT
© 2024 BusinessWorld Publishing.
All rights reserved.
Read our privacy guidelines
Facebook Instagram Linkedin X Youtube