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How to maintain a trademark registration

To maintain a trademark registration with the Philippine Intellectual Property Office (IPOPHL), the registrant must use the mark in commerce and submit a Declaration of Actual Use. This is an affidavit that details information on the registered trademark and the goods and services it covers; the actual goods and services on which the mark is used; and where these goods and services can be bought within the country.
registered trademark logo
This declaration is submitted to the IPOPHL within three years from the filing date of the application, within one year from the 5th anniversary of the mark’s registration, and within one year from the expiration/renewal of the registration. It must also be supported by evidence showing use.
Examples of evidence to prove use are listed in the IPOPHL’s Trademark Regulations. These include labels of the mark, photographs of the goods bearing the trademark or of the establishment where services are rendered, advertising materials or brochures, and sales receipts or invoices. Online use is also allowed as IPOPHL accepts as supporting evidence downloaded pages from websites clearly showing that the goods are sold or the services are being rendered in the country.
One question regularly encountered is, must the owner show use for each of the listed goods and services? The answer is no. As long as the owner can show that the mark is used on at least one item in a particular class, then that is sufficient. So, in a multi-class registration, the owner must be able to prove use for at least one item per class. Classes that cannot be supported by evidence of use will be dropped from the registration.
Use must be within the country. For foreign owners of marks that cover services, the law appears to require them to have an establishment here. Otherwise, how would they be able to render service within the country?
But actual presence is not necessary according to the Supreme Court.
In W Land Holding v Starwood Hotels, the court recognizes the role of the Internet in advertising or promoting a brand. Here, the court agreed, to dismiss W Land’s petition for cancellation even if Starwood — whose trademark covers hotel and motel services — has no hotel in the country. Starwood though, runs a website where Filipinos can book reservations online, and this, according to the court, is enough to maintain the trademark registration.
But merely uploading the marks online together with their covered goods and services will not make the cut. According to the Supreme Court, online use, to be considered use in Philippine commerce, must result in an actual transaction. Or the posting is done to target consumers in a particular jurisdiction (in this case, the Philippines).
The intent to target consumers can be shown by the website having specific details about a particular jurisdiction.
For examples: the website may contain a local contact number; it may have a local version; it may be in a local language or has an option for switching into a local language; it may state whether domestic payment methods are available; or it may show prices in local currency.
If the mark is not used, a Declaration of Non-Use may be filed.
Unlike a declaration of use, a non-use declaration states the reasons why a trademark owner cannot use his mark. If the reasons are acceptable to the IPOPHL, the registration will be maintained despite the mark’s non-use.
For non-use to be excused, it must be because of something that is independent of the will of the trademark owner. The IPOPHL currently accepts the following excuses: if the mark cannot be used because of a requirement imposed by another agency that must be fulfilled first; if the mark cannot be used because of a restraining order or injunction; or if the mark cannot be used because it is subject of an opposition or cancellation case.
This article is for general informational and educational purposes only and not offered as and does not constitute legal advice or legal opinion.
 
Kurt T. Yeung is Senior Associate of the Intellectual Property Department (IPD) of the Angara Abello Concepcion Regala & Cruz Law Offices (ACCRALAW).
kgyeung@accralaw.com
(02) 830-8000

Peso rebounds on profit taking

peso dollar bills
THE PESO recovered against the dollar on profit taking. — BW FILE PHOTO

THE PESO bounced back against the dollar on Tuesday due to profit taking following the local currency’s previous low.
The local unit closed at P52.195 versus the greenback on Tuesday, up 27 centavos from the P52.465-per-dollar finish on Monday.
The peso traded stronger the whole day, opening the trading session at P52.33 per greenback. It slipped to a low of P52.38 intraday, while its high for the session stood at its P52.195-per-dollar close.
Dollars traded climbed to $750.65 million from the $705.25 million that switched hands during the previous session.
Traders interviewed yesterday said the peso strengthened against the dollar due to profit-taking after it plunged to a near 12-year low on Monday.
“The local currency appreciated as profit-taking ensued after the peso dropped to record lows,” a foreign exchange trader said through e-mail.
The trader added that the peso regained strength despite “hawkish speeches from various [US Federal Reserve] officials.”
Philadelphia Fed President Patrick Harker said on Monday the US monetary authority should hike rates two or three times and could move as early as next month as inflation rises, Reuters reported.
Meanwhile, another trader said there was profit-taking ahead of the minutes of the May meeting of the Federal Open Market Committee (FOMC).
“The peso kept up with the dollar’s move, as the dollar lost gain. We think it’s more of profit-taking ahead of the [release of the] FOMC meeting minutes on Thursday.”
The Fed held interest rates steady at its May meeting, although it expressed confidence that inflation’s rise to its 2% target would be sustained.
For today, the first trader sees the peso moving between P52.05 and P52.35 versus the dollar, while the other gave a tighter range of P52.15-P52.30.
“The peso might weaken as investors would likely position on expectations of hawkish signals from the FOMC policy meeting minutes due to be released on Thursday,” the first trader noted.
However, the second trader said the peso might “move within the range with an upward bias.”
“The peso may sustain its momentum if either the dollar moves flat or lower tonight,” the trader said on Tuesday. — KANV

PSE index stays in the red on lack of fresh leads

SHARES stayed in negative territory on Tuesday as trading remained slim due to a lack of fresh leads.
The 30-member Philippine Stock Exchange index (PSEi) fell 0.15% or 11.85 points to 7,646.20, remaining in the red for the third consecutive day.
The broader all-shares index also dropped 0.22% or 10.27 points to finish at 4,652.46.
“All important data have been released, and we are at the start of the lean trading months until August. Earnings are just so-so, so I think PSEi will be in a consolidation phase and possible downside over this lean season until ghost month. Investors are looking for catalyst to move forward and they can’t have any at the moment,” IB Gimenez Securities, Inc. Research Head Joylin F. Telagen said via text.
Positive sentiment from Wall Street’s close on Monday also failed to lift the market. The Dow Jones Industrial Average gained 1.21% or 298.20 points to 25,013.29. The S&P 500 index climbed 0.74% or 20.04 points to 2,733.01, while the Nasdaq Composite index firmed up 0.54% or 39.70 points to 7,394.04, as investors welcomed the easing of trade relations between the United States and China.
The US and China have reportedly put threats of tariffs on hold as they deliberate on trade issues.
“Although it was a positive start on Wall Street’s leads in the morning, the PSEi gradually traded lower on account of the Hong Kong market being closed today, and volumes remaining tepid, limiting any advance,” Regina Capital Development Corp. Managing Director Luis A. Limlingan said in a mobile phone message.
Meanwhile, Asian counterparts ended mixed on Tuesday affected by rising oil prices and developments on trade relations.
Most Southeast Asian stock markets were subdued on Tuesday, hurt by a strong dollar that crimped demand for emerging market assets, while Indonesia held firm, gaining over 1%.
The dollar hovered near five-month highs against a basket of currencies, boosted by a respite in US-China trade tensions.
MSCI’s broadest index of Asia-Pacific shares outside Japan rose a touch, up 0.10%. Indonesian shares, however, snapped three sessions of losses to climb over 1%, with financials and consumer stocks leading.
Back home, industrials was the lone sectoral counter that gained on Tuesday, rising 0.45% or 49.97 points to 10,946.98.
Mining and oil plunged 1.58% or 161.26 points to 9,986.28, while financials shed 0.80% or 15.24 points to 1,880.51. Property slipped 0.41% or 15.80 points to 3,804.78; services edged down 0.21% or 3.25 points lower to 1,523.39; while holding firms ended relatively flat with a 0.01% or 0.94-point decline to 7,513.22.
Turnover was valued at P4.78 billion after some 1.07 billion issues switched hands, slightly up from Monday’s P4.19 billion.
Decliners beat advancers, 110 to 78, while 45 names closed flat.
Foreign investors continued their selling mode, with net outflows amounting to P628.52 million, higher than the previous session’s P568.47 million. — Arra B. Francia with Reuters

Global browning

The wedding of Prince Harry and bi-racial TV star, Meghan Markle, is a milestone in race relations as significant as the assumption of the US presidency by half Black Barack Obama. The White supremacists who continue to cling to the fantasy nurtured by Adolf Hitler, fanned by American neo-Nazis and abetted by President Donald Trump are witnessing a phenomenon as inexorable as global warming.
Global browning.
And some pundits are saying that when that happens, the global population will look like kayumangging kaligatang Pinoy.
Indeed, it is a very interesting thesis: the perfect blending of the colors of the world population — Caucasian white, African black, Asian yellow and native American red — is Malayan Filipino brown.
There was a time when only two countries could be considered a rainbow of races, namely, the United States and the Philippines. The US, because it is a country of immigrants that started with a Caucasian base and, subsequently, with African Blacks added to the mixture, and then “colored folks” from all other world. The Philippines because of centuries of trading and colonization that made the country a salad bowl of ethnicities, ranging from the Hispanic Zobels to the Chinese Sys to the African-Pinoy rock star Apl.de.Ap to everything else in-between, from the swarthy Binays to the mestizo Gordons and Sottos to white-skinned Gloria Romero and the pretty boys and girls who populate Philippine showbusiness.
Now, it’s no longer just the US and the Philippines. The racial mixtures in many countries in Europe have become diverse with the influx of immigrants from Africa, the Middle East, Asia, and Latin America.
While it is illegal in France to collect data on ethnicity and race, available figures put the number of people of White or European origin at 85%, with an estimated 10% from North Africa, 3.5% Black and 1.5% Asian.
About Germany, an online entry states, “Most Hollywood films about Germany take place during World War II. It’s no wonder, then, that most people’s impressions of the country can be summed up in a few words: Nazis, lederhosen, beer, bratwurst and more Nazis. But to be deterred by the Hollywood version of Germany is to miss out on a modern country that is home to more black people than many people realize.”
Out of a population of nearly 83 million, 2.3 million people in Germany have family links to the Middle East and around 740,000 have African origins. According to the German Mikrozensus 2011, there were about 1.8 million people with an Asian immigrant background, of which about 600,000 were Southeast Asians, primarily from Vietnam and Thailand.
Based on the 2011 census, of the 56 million who lived in England and Wales, 86% were White, 8% were Asian and 3% were Black. Also based on the 2011 census, London only had a 44.9% White British population with 37% born outside the United Kingdom and 24.5% born outside of Europe.
On the other hand, British royalty has been consistently White, going back 37 generations or 1,209 years and counting from King Alfred the Great who reigned in 871.
But now comes Meghan Markle, born to a Black mother and a White father, marrying into the royal family. Because Prince Harry is 6th in the line of succession to the British throne, an offspring from this marriage will yield the first mixed-race child in the House of Windsor — a British-African-American.
In stark contrast to the anti-miscegenation and apartheid policies of yesteryears that made mixed marriages a crime and, therefore, had to be solemnized in the shadows, this mixed-race union was conducted with neither embarrassment nor apologies. Wrote the British daily, The Guardian, “It wasn’t just the black preacher, though Bishop Michael Curry’s fiery address evoking Martin Luther King and the misery of slavery certainly packed a punch. There was also the cellist Sheku Kanneh-Mason and the spiritual — “This Little Light of Mine” — sung by a black gospel choir. There was symbolism stitched in to so many elements of the wedding service chosen by the Duke and Duchess of Sussex that spoke to her mixed-race heritage.”
The only wrinkle, albeit insignificant, was Tom Markle, Jr., Meghan’s half-brother, wanting desperately to get Prince Harry to change his mind about marrying his sibling for whatever demented reason.
Perhaps Markle, Jr. was thinking of British poet Rudyard Kipling’s opening lines in his epic poem, “Oh, East is East, and West is West, and never the twain shall meet…” which would seem to suggest an unbridgeable gap between lovers of different ethnicities. But the poem is, in fact, an ode to mutual respect between people of contrasting backgrounds and stature as the subsequent lines show: “But there is neither East nor West, Border, nor Breed, nor Birth
When two strong men stand face to face, tho’ they come from the ends of the earth.”
The union of Prince Harry and Meghan Markle is another unorthodox chapter in the colorful romantic history of the British royal family.
In 1936, King Edward VIII created a constitutional crisis when he decided to give up his crown in order to marry once-divorced and about-to-be-divorced-again American socialite Wallis Simpson.
Edward’s brother George VI assumed the throne.
When he died in 1952, he was succeeded by his daughter, the present Queen Elizabeth II. Her eldest son, Charles, would have been the heir apparent but for his entanglement with his mistress, Camilla Bowles, for whom he divorced his wife, Princess Diana, mother of Prince Harry and the current heir-apparent, Prince William.
As the lyrics of one of my favorite Harry Belafonte songs put it, “It was love, love alone, caused King Edward to leave his throne.” And it was also love, love alone that caused Prince Charles to lose his place in line for the crown.
We understand that for love, love alone, Prince Harry would have turned his back on the royal household had his family not approved of Meghan Markle.
Indeed, for many dreamy-eyed young girls fantasizing about snaring a Prince Charming, this was the stuff of fairy tales. Wrote Time Magazine, “The fact that a woman of Meghan’s background can become a royal duchess makes the House of Windsor a lottery rather than a cabal. Every little girl now can legitimately dream of marrying Prince George, whatever their color, nationality or sexual history.”
Hopefully, the marriage of Prince Harry and Meghan, now the Duke and Duchess of Sussex, will last longer than that of Prince Charles and Princess Diana. But if it hits the rocks prematurely, let us all hope it will not be for reasons of race.
And for the thousands — nay, millions — of Pinays who desperately want to whiten their complexions to make themselves more “racially desirable,” we hope that Meghan Markle’s story will make them realize that brown is beautiful.
 
Greg B. Macabenta is an advertising and communications man shuttling between San Francisco and Manila and providing unique insights on issues from both perspectives.
gregmacabenta@hotmail.com

Palace to certify BBL as urgent measure

PRESIDENT Rodrigo R. Duterte will certify as urgent the proposed Bangsamoro Basic Law (BBL) “anytime soon” to expedite its approval, Malacañang said on Tuesday, a week before the scheduled adjournment of Congress.
“Anytime soon po, kasi ‘yan naman ang napagkasunduan din para mapabilis (because that is what has been agreed upon and to expedite [its passage]),” Presidential Spokesperson Harry L. Roque, Jr. said in a press briefing on Tuesday, May 22.
He added: “The President promised to certify it. I cannot absolutely guarantee that the version of the House will be certified, because I haven’t seen the text. But if it is in conformity with what was agreed upon, then there should be no problem. The President should certify it.”
In his meeting with leaders of the Moro Islamic Liberation Front (MILF) in Davao City last March, Mr. Duterte said he would use his “residual powers” to fulfill his promise should Congress fail to pass the BBL.
The President also stated that he would “assist even to the extent of relaying to both chambers of Congress his determination to help push for the passage of the BBL that is compliant with the comprehensive agreement of the Bangsamoro and as close as possible to the new draft law submitted by the Bangsamoro Transition Commission (BTC).”
Last April, Mr. Duterte directed Congress to pass the proposed BBL before it adjourns in June through separate letters sent by the Presidential Legislative Liaison Office (PLLO) to then Senate President Aquilino L. Pimentel III and House Speaker Pantaleon D. Alvarez.
The Senate on Tuesday also asked Mr. Duterte to certify the Senate bill on the proposed Bangsamoro Basic Law (BBL) as an urgent measure.
The request was coursed through a letter dated May 21, as signed by Senate President Vicente C. Sotto III and Senate Majority Leader Juan Miguel F. Zubiri.
“May we once again respectfully request that Senate Bill No. 1717 under Committee Report No. 255 entitled ‘An Act Providing for the Basic Law for the Bangsamoro and Abolishing the Autonomous Region in Muslim Mindanao…’ be certified as urgent by your Administration,” the letter stated.
The letter also indicated that the Senate aims to pass the proposed BBL on third and final reading before the Congress sine die adjournment on June 2.
The proposed BBL remained pending on second reading in the Senate while its version in the House of Representatives remained in the committee level.
For his part, Speaker Pantaleon D. Alvarez remained confident the Bangsamoro Basic Law will be passed ahead of the sine die adjournment.
“We can still pass it,” Mr. Alvarez told reporters on Tuesday.
“The GRP (Government of the Republic of the Philippines) has proposals and the BTC asked for three days so they can discuss these.”
“And I believe we can come to an agreement on these issues,” he added.
The House leadership on Tuesday held a closed-door meeting with the BTC as well as the government’s peace panel to discuss amendments on the provisions of the draft bill. — Arjay L. Balinbin, with Camille A. Aguinaldo and Charmaine A. Tadalan

Marawi struggles to recover a year after siege

IT WAS a year ago today, May 23, when fighting broke out between government forces and terrorists led by the Maute family in Marawi City, Lanao del Sur, which resulted in the destruction of the city and mass exodus of thousands of residents there by the end of the year.
The clashes in Marawi City prompted President Rodrigo R. Duterte to declare martial law in the whole of Mindanao. The President also issued Administrative Order No. 03 creating an inter-agency task force for the rehabilitation of Marawi and other affected localities.
Presidential Spokesperson Harry L. Roque, Jr. said in a press briefing on Tuesday morning that the Palace is “satisfied” with the ongoing rehabilitation of the city, noting that “70% of the residents” who evacuated have already gone back to their homes.
The spokesman likewise said Mr. Duterte is expected to visit Marawi for its first-year commemoration today.
Armed Forces of the Philippines (AFP) Spokesperson Edgard A. Arevalo said in a televised interview on Tuesday that the military has cleared at least “85% of the unexploded ordnance” in the city.
For his part, Joint Task Force Ranao deputy commander Colonel Romeo S. Brawner, Jr. said in his interview with DZBB that “clearing operations are still ongoing.”
BusinessWorld reported last Tuesday that the Swiss challenge period for Marawi’s rehabilitation has been scheduled to start “next week,” beginning “May 26.”
According to Housing and Urban Development Coordinating Council (HUDCC) Chairman Eduardo D. del Rosario, the city’s rehabilitation is expected to cost “about P77 billion over a period of four years.”
Mr. del Rosario likewise said in a radio interview that his agency is expecting that, within this year, “all evacuation centers will be closed and all of the evacuees will be housed in temporary shelters.”
According to the housing czar, the HUDCC has already constructed “around 1,000 temporary housing units” for the affected families.
For its part, the United Nations Children’s Fund (UNICEF) in a statement said more than 100,000 children remain displaced a year after the siege.
“Risks for children affected by the conflict are increasing, especially for young children becoming malnourished and school-age children being unable to return to school. UNICEF calls for a province-wide approach throughout Lanao del Sur to ensure that children and their families fully recover from the emergency,” the UNICEF said.
It noted that the situation of children in Lanao del Sur, one of the poorest provinces, “was among the worst in the country even before the conflict.”
“While recognizing the good progress made to assist over 40,000 families to return to their homes in Marawi City, many children’s lives are still far from returning to normal. A comprehensive approach is needed to focus not only on children from Marawi City but… children in all of the 39 municipalities in the province,” said Lotta Sylwander, UNICEF representative to the Philippines.
For his part, Autonomous Region in Muslim Mindanao Gov. Mujiv S. Hataman called on the Bangsamoro people to “stand united” and continue to be vigilant as the national government prepares to implement a major rehabilitation program in the city.
“The safety of our people lies not only in ensuring security against crimes and conflict, but in ensuring education for all — an education that is affirmed not only by our schools but by our communities. Peace and security is achieved not only through law enforcement and state offensives, but through constant dialogue that seeks to engage each and every Bangsamoro,” Mr. Hataman said in a statement.
“As we struggle and work towards rebuilding the city of Marawi, we must also strive to rebuild the foundations of local leadership and reestablish safe spaces for the most vulnerable in our communities,” he added. — Arjay L. Balinbin with Mindanao Bureau

House panels OK’s bill on appropriation of Sanofi refund

By Charmaine A. Tadalan
THE Committee on Appropriations on Tuesday approved the bill seeking to appropriate the P1.16-billion refund from Sanofi Pasteur for families of alleged victims in the Dengvaxia controversy “effective until fully spent.”
House Bill 7449, authored by Speaker Pantaleon D. Alvarez, sought to appropriate the fund for fiscal year 2018, but the Committee proposed instead to remove that period.
The Department of Health (DoH) appealed to committee chair Karlo Alexei B. Nograles to extend the duration of the supplemental budget, anticipating they will not be able to fully exhaust the funds until 2019.
“P900 million is enough to cover admissions for 40,000 patients,” Health undersecretary Rolando Enrique D. Domingo said.
THE revised Dengvaxia Assistance Program proposal allotted P945.8 million, or 81% of the P1.16 billion fund, for a medical assistance program which will cover both admitted patients as well as outpatients.
Mr. Domingo explained mild cases of hospitalization will range from P6,000 to P13,000; slightly severe cases, P16,000; and catastrophic cases, up to P500,000.
“When we average all of this, (it) is about P13,000 to P14,000,” Mr. Domingo said. “Kahit na 40,000 ang bandwidth natin for 2018 and 2019, merong susobra (There will be excess budget even if our bandwidth is 40,000 for 2018 and 2019).”
Rep. Johnny Ty Pimentel shared the same concern, saying “what will happen if we did not utilize this P945 million? If ever we pass this supplemental budget, we should include in the provision that this will sort of (become) a trust fund that there will be no expiration.” Budget Secretary Benjamin E. Diokno last week proposed to extend appropriation of the fund up to fiscal year 2019.
Further, Mr. Domingo noted the proposed supplemental Health Assistance Program for those who availed themselves of the Dengvaxia program has already been certified as urgent by the Office of the President. Mr. Nograles had requested the Health department to provide the certification to the Committee.
“I plan to have this approved on the floor by next week, for second and third reading. We still have to send it to the Senate,” Mr. Nograles said.
The DoH program will cover patients affected by any illnesses that are arguably related to Dengvaxia.
Also proposed is a P148-million budget for public health management, P78 million of which will be for assessment and monitoring of Dengvaxia cases, while the other P70 million will be for supplies and medicines.
Initially, the health agency proposed allotting P45 million of the supplies budget to the issuance of a Dengvaxia assistance card and P25 million to supplies and medicines; but the Committee on Appropriations moved to reverse the allocation.
“I think that is enough, the P25 million [for the ID cards],” Mr. Nograles said. “So the P45 million will now be for the supplies and medicines needed.”
The health agency projects 1,250 nurses will be deployed for three months to cover for the 900,000 inoculated, each nurse with a target of 12 patients a day.
The remaining P 67.5 million will be used for follow-up checkups with complaints. The nurses will also be tasked to provide counselling, lecture sessions, disease prevention and health promotion.
The bill was consolidated with House Resolutions 1724, urging the Department of Budget and Management to reallocate the amount of P1 billion from available savings to augment the allocations of the DoH and the Department of Social Welfare and Development (DSWD); and with House Joint Resolution 20, which proposed appropriating the amount for hospital expenses of children vaccinated with Dengvaxia.

Jose Maria Sison, wife get P1.2 million each in human rights-abuse reparations

By Arjay L. Balinbin, Reporter
Malacañang is “delighted” over the release of reparations for human-rights abuse victims during martial law, including Communist Party of the Philippines (CPP) founder Jose Maria Sison and his wife, Julie de Lima.
Talaga namang naging biktima sila ng martial law. At nagagalak naman po ang Palasyo na lahat ng mga biktima ay nakakatanggap na ng mga tseke nila ngayon, dahil importante po iyong konsepto ng reparation, bigyan sila ng kompensasyon, dahil nalabag ang kanilang karapatan noong panahon ng martial law,” Presidential Spokesperson Harry L. Roque, Jr. said in press briefing on Tuesday, May 22.
(It is true that they were victims of martial law. And the Palace is delighted that victims can now accept their checks, because the concept of reparation is important. They should be compensated because their rights were violated during the martial-law era.)
In his televised interview with ABS-CBN in The Netherlands on Tuesday, Mr. Sison said he and his wife, Julie, received “P1.2 million each” from the government.
Mr. Sison and his wife are among the first batch of 4,000 eligible claimants for partial compensation, according to the Human Rights Victims’ Claims Board (HRVCB).
The monetary compensation for martial law victims is guaranteed under Republic Act No. 10368, an act approved by then president Benigno S.C. Aquino III in 2013, providing for reparation and recognition of victims of human-rights violations during the Marcos dictatorship.
Mr. Roque also reassured Mr. Sison that steps will be taken to ensure his safety if he returns home for the renewed peace negotiations.
Mr. Sison had said earlier he is ready to come home once he sees there is “substantial progress” in the peace process between his camp and the government of the Republic of the Philippines (GRP).

House version on systems loss bill shelved in view of ERC resolution

By Minde Nyl R. Dela Cruz, Reporter

Photo by Victor V. Saulon

THE House committee on energy “might take a step back” from passing a draft bill on recoverable systems loss after noting that the Energy Regulatory Commission (ERC) is already implementing a resolution with similar provisions.
“I think the committee on energy in the lower House might take a step back and look at the effect first of the resolution of the ERC, Resolution No. 10, on how it will affect [the electricity rates],” said Marinduqe Rep. Lord Allan Jay Q. Velasco, chairman of the House energy committee.
The draft substitute to House bills 942, 2297, and 6341, which all seek the systematic lowering of systems loss cap, was deferred to the technical working group chaired by 1-CARE party-list Rep. Carlos Roman Uybarreta after PBA party-list Rep. Mark Aeron H. Sambar noted similarities with the ERC resolution which was implemented on May 8.
The unnumbered substitute bill gradually reduces the systems loss cap for large private distribution utilities (PDUs) to 7-6.5% in 2019 and to 6-5.5% in 2022 while the loss cap for electric cooperatives (ECs) will be lowered to 12% in 2019 and to 10.25% or 8.5% in 2023.
Under the ERC resolution, systems loss cap for PDUs will be decreased to 6.5% in 2018 and to 5.5% in 2021 and ECs to 12% in 2018 and to 10.25% or 8.25% in 2022 onwards. The new rates will apply in the next billing cycle (May 8 to June 8) this year.
Mr. Velasco said the long congressional break starting on June 2 will give the committee more time to study the measure. However, if the bill will “just [be] a duplication of the resolution, there’s really no need to pass the legislation,” he said.
AKO BIKOL party-list Rep. Rodel M. Batocabe suggested during the hearing that the energy committee provide instead a “policy to promote the efficiency of distribution utilities and fixing the rate of systems losses will just be incidental.”
Should there be significant easing of electricity bills as an effect of the ERC resolution, the committee may “just consider the bill moot and academic and then I’ll just ask Hon. Batocabe to file another bill specifically for that efficiency he [mentioned],” Mr. Velasco said of the priority measure as cited in the Common Legislative Agenda.
The Senate in February passed on third reading its version of the bill. Senate bill 1623, sponsored by Senator Sherwin T. Gatchalian, provided for reduction of systems loss cap of 5% from 8.5% for PDUs while systems loss cap for ECs was lowered to 10% from 13%.

Former SAF budget officer admits holding on to P37M in allowances to ‘secure’ the money

SENATOR Panfilo M. Lacson (left), with Senator Gregorio B. Honasan II, investigate the alleged illegal withholding of Philippine National Police Special Action Force (PNP-SAF) allowances on Tuesday, May 22. — SENATE PRIB PHOTO

A FORMER budget officer of the Philippine National Police Special Action Force (PNP SAF) on Tuesday admitted that he kept the P37 million unreleased allowances of SAF men even after he was relieved from duty.
“It was in my custody, Sir, after we were relieved from SAF,” Senior Superintendent Andre P. Dizon said during the Senate investigation on the withholding of daily additional subsistence allowance (ASA) of the PNP SAF.
Mr. Dizon has returned the P37 million, supposedly coming from the undisbursed allowances in 2016 and 2017, to the SAF in two tranches last April, about three months after he was relieved.
It has since been distributed to the PNP SAF troopers.
Mr. Dizon and several other high-ranking PNP officials, including former police chief Benjamin B. Lusad, are facing plunder and malversation charges before the Office of the Ombudsman after a group of SAF officers filed a complaint over the unreleased ASA.
Mr. Dizon said he kept the money because he was accountable for it while his position remained vacant after being sacked.
“During the time that we were relieved, my replacement has not yet arrived to SAF. I am accountable for the money, Sir, I better secure it,” he said.
Senator Panfilo M. Lacson, chair of the committee on public order and dangerous drugs, was not convinced, though, of Mr. Dizon’s justification.
“What really is the source of the P37 million? Because keeping that amount for that long period, you know, raises a big question mark. Where did it come from? Is it in your vault? You said you were already relieved,” Mr. Lacson said.
Former PNP chief Ronald M. Dela Rosa, in an interview with reporters, also said that Mr. Dizon should have immediately released the allowances or transferred it to his replacement.
“That is the problem. Why did he keep it? Why was the money in his custody when he was supposed to pass it on to the next comptroller,” Mr. Dela Rosa said.
Mr. Lacson, also a retired police director general, said he believes that the former budget officer had no honest intention to return the money, but was compelled to do so given the threat of legal charges.
“If there was no threat… would they even think of returning or distributing? Perhaps not… And it looked like it was forced on them to return the funds,” the senator told reporters. — Camille A. Aguinaldo

Bigwigs lead call for more assertive stance vs China militarization

By Dane Angelo M. Enerio

ACTING CHIEF Justice Antonio T. Carpio

ACTING CHIEF Justice Antonio T. Carpio is among the prominent voices calling for a more assertive Philippine government stance amid the reported sightings of Chinese long range bombers in the Paracel Islands.
“The Philippine government must formally protest the increasing militarization of the South China Sea (SCS) by China,” Mr. Carpio said on Tuesday in a press statement.
The Chinese Air Force announced on Friday, May 18, that it successfully landed a Xian H-6K long-range bomber on one of its military bases in Woody Island of the Paracels as part of its training exercises, a move condemned by countries such as the United States, Vietnam, and Australia.
According to the Asia Maritime Transparency Initiative, China’s latest move puts the Philippines within striking distance of the nuclear-capable bombers, along with several other countries in the region.
Mr. Carpio said the Duterte administration’s “failure to formally protest means the Philippines is acquiescing or consenting to the militarization, and worse, to the claim of China that all the islands, waters, and resources within the nine-dashed line form part of Chinese territory.”
“A formal protest is necessary to preserve our sovereignty over Fiery Cross Reef… A formal protest is also necesssary to preserve our sovereignty over Subi Reef… Moreover, a formal protest is also necessary to preserve our exclusive sovereign rights over Mischief Reef which the arbitral tribunal ruled forms part of the Exclusive Economic Zone of the Philippines,” read Mr. Carpio’s statement.
Former Foreign Secretary Albert F. del Rosario, in an opinion piece published on the Philippine Star Tuesday, also called on the government to be more assertive of the country’s rights against China.
Vice President Maria Leonor “Leni” G. Robredo, a member of the opposition party, shared the sentiments of Messrs. Caprio and Del Rosario, describing the presence of the bombers as “alarming.”
In a press statement Tuesday, Ms. Robredo called on the Department of Foreign Affairs (DFA) to “file a diplomatic protest in front of these events” as these “will express our strong opposition to the actions of the Chinese nation.”
“The Filipino community expects its government to defend our security boldly. If the government itself does not stand for the integrity of our territory, where will our country be?” her statement read in Filipino.
President Rodrigo R. Duterte, reacting to the calls, said, “I cannot afford at this time to go to war.”
Addressing a crowd of naval officers at the celebration of the Philippine Navy’s 120th anniversary on Tuesday, Mr. Duterte said, “I cannot go into a battle which I cannot win and would only resolve in the destruction and probably a lot of losses for our armed forces.”
“I really want to do something to assert,” he said, but explained that, “whether you accept it or not, it’s the reality… I cannot rely on one nation and country to defend us.”
Presidential Spokesperson Harry L. Roque, meanwhile, announced that equipment that will be used to monitor missile deployments in the SCS and West Philippine Sea (WPS) will be delivered by August this year. — with reports from Arjay L. Balinbin and Charmaine A. Tadalan

DoTr-CAR top officers suspended for alleged corruption

TWO EXECUTIVES of the Department of Transportation (DoTr) have been placed under a 90-day suspension beginning May 21 for alleged corruption, the department announced yesterday.
In a statement, DoTr said it has filed charges against Regional Director Jesus Eduardo Natividad and Assistant Regional Director Datu Mohammad Abbas from the Cordillera Administrative Region (CAR) for “grave misconduct, conduct prejudicial to the best interest of service and gross neglect of duty.”
The department charged Mr. Natividad for allegedly taking bribes to influence an ongoing application for Certificates of Public Convenience (CPC) and demanding monthly remittances from district leaders.
On top of that, he is also being questioned for habitual absences and inability to eliminate colorum vehicles in the region.
Mr. Abbas, on the other hand, has been accused of releasing impounded vehicles in exchange of money, and displaying his firearms.
The two top regional officials have been given 72 hours to respond to the charges, after which formal investigations will commence.
They will be axed if found guilty.
The suspension came a day after a Tourism assistant secretary, Mark Kristopher G. Tolentino, was fired by President Rodrigo R. Duterte. He was accused of making deals with a presidential sister.
Malacañang spokesperson Harry L. Roque, Jr. echoed the call of the President on Monday not to entertain anyone who uses the name of his relatives to peddle influence in government.
DoTr Secretary Arthur P. Tugade shared the same sentiment in the statement, saying he will not tolerate corruption in his department.
“The list of names of those fired from the department will keep getting longer if you will not quit your illegal activities. Heads are rolling. I will not regret losing you,” Mr. Tugade was quoted as saying in Filipino.
DoTr said a number of officers have already been removed from office under the leadership of Mr. Tugade, while several others are undergoing investigation. — Denise A. Valdez

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