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Live Nation wants ticket resale prices capped after Oasis issues

LIVE NATION ENTERTAINMENT, INC. Chief Executive Officer Michael Rapino predicted the British band Oasis will be the biggest concert tour of the year in 2025, but said surging sales of tickets on the secondary market illustrate the need for the US Congress to step in and regulate the industry.

“Multibillions” of robots targeted the tickets for the band’s upcoming tour when they went on sale, Mr. Rapino said. Other ticket sellers immediately began offering seats at higher prices. He urged government officials to regulate the business by capping ticket resale prices at a 20% markup.

“You shouldn’t have a middleman that has nothing invested in the business make any money from it,” he said.

Mr. Rapino spoke on Wednesday evening at the Bloomberg Screentime conference in Los Angeles. His company, the world’s largest concert promoter, is often the target of complaints from fans over the difficulty in getting tickets to shows from artists like Taylor Swift and Bruce Springsteen, as well as the prices of the tickets.

Also adding to Live Nation’s pains, it was sued last year by the US Justice Department and a group of states for allegedly monopolizing the concert ticket business. According to the complaint, the company’s Ticketmaster platform, the largest concert ticket sales site in the US, exercises power over performers, venues and promoters, narrowing the options for artists and forcing consumers to pay more in fees.

Mr. Rapino said he believed the company will win the case, which he attributed to overaggressive antitrust enforcement.

“We’re a 2% margin business, so we must be the dumbest monopoly alive,” Mr. Rapino said. “We give 90-plus percent of the door to the artist.”

Mr. Rapino has served as CEO of Live Nation since 2005, a period when the company acquired other local concert promoters and in 2010 merged with Ticketmaster. Among the music festivals Live Nation oversees are Lollapalooza, Electric Daisy Carnival, and Napa’s BottleRock.

Sales at Live Nation surged as venues reopened after the pandemic and consumers looked to get out and see shows again. Revenue last quarter rose 7% to more than $6 billion and operating income climbed 21% to $466 million. The company said it sees no signs of a slowdown.

Mr. Rapino said he tried to talk the Irish band U2 out of playing at the new Sphere theater in Las Vegas because he was afraid the globe-shaped venue with screens all around would make some concertgoers nauseous.

“I said to Bono, ‘My job isn’t to figure out what can go right. It’s what can go wrong,’” Mr. Rapino said.

Ultimately, the band opened the new venue to multiple sold-out shows.

“We sat there opening night and it was fabulous,” Mr. Rapino said. — Bloomberg

Engkanto Brewery goes solar with AboitizPower

THE NEW SOLAR ENERGY system is expected to generate 130,293 kilowatt-hours (kWh) in its first year of operation and a total of approximately 2.6 million kWh over the 20-year contract term with APx.

ABOITIZPOWER Distributed Renewables, Inc. (APx), a unit of Aboitiz Power Corp. (AboitizPower), has installed 97.09-kilowatt-peak solar panels at the brewing facility of Engkanto Brewery in Carmona, Cavite.

The construction of the solar project started earlier this year, and the system was tested and commissioned by the second quarter of 2024, the company said in a statement on Monday.

“We are happy to help our partner, Engkanto Brewery, create enjoyable drinking experiences and in the process, power their facilities more sustainably,” said James Byron Yu, first vice-president and head of retail of AdventEnergy.

APx is part of the solutions arm of AboitizPower retail unit Advent Energy, Inc.

Engkanto Brewery’s new solar energy system is expected to generate 130,293 kilowatt-hours (kWh) in its first year of operation and a total of approximately 2.6 million kWh over the 20-year contract term with APx.

APx said that the solar panels will provide renewable energy supply to their operations, “significantly reducing the brewery’s reliance on conventional energy sources, decreasing their carbon emissions, and bolstering their commitment to eco-friendly practices.”

“This marks an important chapter in our mission to brew quality beers while supporting environmental sustainability,” said Ian Paradies, founder of Engkanto Brewery.

“We believe that embracing renewable energy is not only beneficial for the environment but also sets an example for other businesses in the craft beer and manufacturing industries,” he added.

The beverage firm was originally in Makati but later moved to its larger facility in Cavite. — Sheldeen Joy Talavera

Architects push Filipino identity in modern builds

COCONUT PALACE, CCP Complex, Pasay City — WIKIMEDIA.ORG

By Edg Adrian A. Eva

ORIGINAL Filipino food like the globally acclaimed adobo opens up a world of flavors, much like how fashion brings to mind iconic Filipino pieces like the Barong and Terno that showcase Filipino heritage and have even been featured at international fashion events. However, Filipino architecture presents a more complex discussion, with some Filipinos questioning whether notable Filipino architecture, like the “Bahay Kubo” and “Bahay na Bato,” stands as uniquely Filipino or merely a blend of external influences.

But a more pressing question surfaced during the event of Ashton Design Dialogues titled “Facades of the Future,” which addressed how modern buildings in business hubs like Makati and Taguig often follow the global trend of sleek glass structures, seemingly leaving behind elements of Filipino identity. For some of the country’s renowned architects, a growing shift toward embracing modern Filipino architecture and incorporating it into new structures is now happening.

“There is such a dynamism and vitality in Philippine design right now, and even clients are responding positively when you would like to make an impact not just on the façade but the entire architecture and materials as well,” Cathy S. Saldaña, a Filipino architect said during the event. Ms. Saldaña is renowned for her expertise in island and resort development. She defines modern Filipino architecture by incorporating modern tropical design elements.

The integration of light and air in architecture enhances the mood through natural light while balancing natural light and artificial ventilation, thereby creating an effective combination of passive cooling technologies and artificial cooling.

“You can also have that outdoor feel that atmosphere of plants, bamboo all that is strongly Filipino. All that is ‘maaliwalas’ into your home or your building,” Ms. Saldaña said. Ms. Saldaña also told BusinessWorld that modern Filipino architecture draws inspiration from nature or other Filipino thumbmarks, reflecting elements such as the embroidered fabric of the Barong, the patterns created by tides on sandy shores — as being an archipelagic country — and even motifs from the Philippine flag.

“We are seeing the uniqueness of facades, the Filipino character already,” she added. The Philippines is gaining increasing attention in the global architectural scene, Ms. Saldaña noted, and this recognition is expected to grow as current design leaders forge change in the architectural landscape and instill a strong commitment among future architects. “Our skylines will be better, we will have more parks, more open spaces, and better urban designs because the stalwarts of design right now are pushing for it strongly,” she said.

Ms. Saldaña said that more needs to be done, such as bolstering education related to Filipino architecture, to ensure that the Filipino identity is preserved and that more Filipinos take pride in their heritage.

Pru Life UK launches new investment-linked product

PRU Life Insurance Corp. of UK Philippines (Pru Life UK) has launched a new investment-linked insurance product available for a limited time, it said on Monday.

“Pru Life UK introduces its latest investment-linked insurance product, PRUMillion Flex. This limited-time offer allows customers to pay premiums over just two years through various payment modes, giving them flexibility to manage their finances more effectively,” the life insurer said in a statement.

“We listened to our customers’ needs for a product that offers short-term payment with potential long-term gains. This inspired us to create PRUMillion Flex. With flexible payment options, high premium allocation, access to expertly-managed funds, and substantial coverage, customers can start building their million coverage in just two years,” Pru Life UK Vice-President and Chief Product Officer Garen U. Dee said.

PRUMillion Flex has a minimum annual premium of P250,000 and gives customers access to a range of managed funds.

“PRUMillion Flex combines flexibility, financial protection, and investment potential… The high premium allocation to the investment component can potentially grow wealth faster,” Pru Life UK said.

The product provides a death benefit coverage of five times the annual premium or 105% of the fund value, whichever is higher.

“Customers can still get 105% of the fund value once the policy reaches maturity at 85 years old as long as the insured is alive,” it said.

Clients can choose to pay monthly, quarterly, semi-annually, or annually.

“PRUMillion Flex is perfect for those who prefer short payment terms and avoid a significant one-time payment; those who are looking for alternative ways to grow their wealth… PRUMillion Flex addresses the growing demand for financial solutions that ensure both wealth security and growth, at a flexible pace,” the insurer added.

Pru Life UK has over 170 branches and general agency offices in the Philippines, with a life insurance agency force of more than 38,000 licensed agents.

It booked a premium income of P46.19 billion and a net income of P4.36 billion in 2023, data from the Insurance Commission showed. — A.M.C. Sy

In response to the letter from the Chinese Embassy

DEAR EDITOR, regarding the letter of the spokesman for the Chinese Embassy in the Philippines to the editor titled “One China principle brooks no challenges and distortions,” we have the following points to respond.

1. The Republic of China was established in 1911 with the dream of creating a democratic republic of the people, by the people and for the people. After the defeat in the civil war in 1949, the central government of the Republic of China retreated to Taiwan, but it continues to exist, thrive and exercise sovereign rights. While we have never denied some of those historical truths mentioned in the letter, including the Cairo Declaration and Potsdam Proclamation, they cannot deny that the continuous existence of the Republic of China on Taiwan is an objective and indisputable fact. Actually, the People’s Republic of China has never governed Taiwan for a single day.

2. Through valiant sacrifice and devotion over the years, people in Taiwan opened the door to democracy, and the people’s desire to master their own destiny has finally been fulfilled. The Republic of China on Taiwan has become a full-fledged democracy, continuing to exercise its sovereign rights, including electing its own President and Vice-President, and issuing visas to foreigners who want to travel to or work in Taiwan. Visa issuance is an act of sovereignty. When we commend the contribution of the 155,000 plus Overseas Filipino Workers (OFWs) in Taiwan that help develop Taiwan’s economy, we also welcome Filipino students to study and pursue higher education in Taiwan. They have to go to the “Taipei Economic and Cultural Office in the Philippines,” which is the de facto embassy of the Republic of China (Taiwan) in the Philippines, to apply for their visas to Taiwan, instead of the Chinese Embassy in the Philippines. It is also Taiwan’s government, not Chinese government that grants visa waiver treatment to Filipino passport holders for travelling in Taiwan within 14 days.

3. Though facing severe challenges from our biggest neighbor across the Taiwan Strait, the Republic of China (Taiwan) will neither yield nor provoke. Under the principles of parity and dignity, the government of the Republic of China (Taiwan) hopes to engage with the PRC to minimize the possibility of conflict by choosing dialogue over confrontation and exchange over containment.  It will staunchly uphold its free and democratic constitutional system, preserve the status quo, and remain committed to ensuring regional peace and stability.

Thank you very much.

Sophia Chi
Spokesperson of the Taipei Economic
and Cultural Office in the Philippines

Entertainment News (10/15/24)


Drag Race Philippines crowns 3rd season winner

THE winner of the third season of Drag Race Philippines is Maxie. Aside from the title of being the Philippines’ Next Drag Superstar, she received a grand prize of P1 million and a year’s supply of makeup products from Anastasia Beverly Hills. This all came after Maxie competed in a final lip sync for the crown against runner-up Khianna. The entire third season of Drag Race Philippines is available via HBO GO.


The Bloomfields releases new single ahead of show

IN TIME for their 20th anniversary show this month, The Bloomfields have dropped “Get Up,” a new single that the band originally wrote in 2019. Built around a single-chord jam, the song draws inspiration from 1960s psychedelic rock. The track brims with a heavy dose of loud, droning guitars and hypnotic soundscapes, providing a stark contrast to their more pop-leaning work. The indie pop/rock outfit will be performing the song live for the very first time at Byaheng Mahiwaga: The Bloomfields 20th Anniversary Gig, happening on Oct. 25 at Fin and Claw, Timog Ave., Quezon City.


Rain, Hwasa, and BINI in the IAM Worldwide concert

P-POP girl group BINI will be sharing the concert stage with Korean singer-actor Rain and Mamamoo member Hwasa on Oct. 20. The three are the chosen guest acts for the 7th anniversary of network marketing company IAM Worldwide, to be held in Mall of Asia Arena in Pasay City on Oct. 20. Organized by Wilbros Live, the concert will serve as a warm-up for the Pinoy girl group as they prepare for their three-day November concert Grand BINIverse in November at the Araneta Coliseum in Quezon City.


StageDoor adds 2nd night of Musical Theatre Rave

FOLLOWING overwhelming demand, StageDoor by GMG Productions has announced the Musical Theatre Rave: Encore, a second night of the sold-out Musical Theatre Rave. The event aims to merge the magic of Broadway with a high-energy dance floor, making it the ultimate celebration for theater lovers. Originally scheduled for one night only on Oct. 26 at the Globe Auditorium, Maybank Performing Arts Theater in BGC, the event will now have a second night on Oct. 27 at the same venue. The second night is open to attendees ages 12 and up, with tickets priced at P1,500 for adults (including two complimentary drinks) and P999 for juniors (no complimentary drinks). A special Family Bundle (two adults and two juniors) will also be available for P4,500. For more information, visit StageDoor’s social media pages.


The Rest Is Noise PH to hold Halloween Special

INDIE production outfit The Rest Is Noise PH will be throwing a Halloween party this month. It will feature Thai alternative pop trio KIKI as the headliner, in their first performance in the Philippines. The Bangkok-based band is known for catchy songs that blend pop and funk elements with groovy basslines, colorful synths, hip-hop elements, and soulful vocals. Other acts on the bill include Filipino drag star M1ss Jade So, whose run on the second season of Drag Race Philippines captivated fans all over the world, and AXEAN Festival alumni Munimuni and CRWN. DJ guests will be Davao-based hip-hop collective Playertwo and Chain Messages. “The Rest Is Noise Halloween Special” will take place at Sari-Sari Cocktails in Makati City on Oct. 27, from 7 p.m. onwards. Early bird tickets are available in limited quantities via bit.ly/kikimanila.


Ely Buendia launching album with full-length show

OPM legend Ely Buendia will be celebrating the release of his upcoming album, Method Adaptor, with an official launch at 123 Block in Mandaluyong City on Nov. 8, from 7 p.m. onwards. Aside from Mr. Buendia himself, the stage will be graced by a wide roster of artists under Offshore Music, such as Ligaya Escueta, ALYSON, Carousel Casualties, and Aviators. Presented by Gabi Na Naman Productions, Ely Buendia: Method Adaptor Album Launch will debut the songs off Mr. Buendia’s new record for the first time in a live setting, with special surprises in terms of production and repertoire. Pre-sale tickets are available via bit.ly/elybuendia123block.


British acid jazz band Incognito live in Manila

FANS of the British acid jazz band, Incognito, are in for a treat as the group is set to perform live in Manila for the first time after 10 years, on Nov. 10, at the New Frontier Theater in Quezon City. The group is known for their smooth blend of jazz, funk, and soulful sounds as their signature style, led by frontman Jean-Paul “Bluey” Maunick. The concert is presented by Ovation Productions. Tickets are available at ticketnet.com.ph.


Rakuten Viber brings back Backstage Pass Live

HOMEGROWN acts will be placed in the spotlight by Rakuten Viber in a free gig on Nov. 15 at the Brooklyn Warehouse in Manila. The lineup will include P-pop icons Josh Cullen of SB19 and KAIA, popular indie bands The Juans and One Click Straight, and pop-R&B star jikamarie. Tickets are available through Viber’s Backstage Pass Channel, where there will be a daily raffle giveaway until Nov. 10.


McDonald’s Stripes Run to host family and pets run

MCDONALD’S Philippines recently opened registration for its annual family fun run. Held since 2010, McDonald’s Stripes Run has been welcoming thousands of runners, now including their pets, all for the benefit of Ronald McDonald House Charities (RMHC) Philippines. This year, it will happen on Dec. 1 at the SM Mall of Asia Concert Grounds, with proceeds going to RMHC’s Bahay Bulilit Learning Centers across the country. Participants can choose from 10km, 5km, 3km, and 1km runs. There is also a 1km Fur Category for those bringing along pets. Each participant will receive a race kit to wear on race day, inclusive of race singlet, socks for kids and adults, a race map, bib, a breakfast meal on race day, and a finisher’s token. Participants can register at RaceRoster.com: bit.ly/StripesRun2024.


LOVER: An Eras Tour Experience coming to Manila

A TAYLOR SWIFT-INSPIRED concert is heading to the Philippines on Dec. 15. Lover: An Eras Tour Experience will be held at the New Frontier Theater, Quezon City, at 8 p.m. Fans can expect a recreation of Ms. Swift’s legendary Eras Tour and hear the greatest hits of the pop superstar, as brought to life by Texas-based performer Charity Eden. Lover has had performances worldwide, with sold-out shows in Japan, Kuwait, and across North America. The show is presented by Concert Republic, with tickets available at all TicketNet outlets and online. Prices range from P2,750 to P4,500.

Energy regulator pressed to release pricing mechanism for GEA-3

THE ENERGY Regulatory Commission (ERC) should finalize the pricing mechanism for the upcoming green energy auction (GEA) to ensure it proceeds as planned this year, a senator said.

“That is one of the priorities I think we need to do… the goal is to make the shift to renewables, and this is directly related to that. I hope we can get that done. I understand there are things that have to be done on the side of ERC as well,” Sen. Pilar Juliana “Pia” S. Cayetano said at the Senate budget hearing last week.

Energy Secretary Raphael P.M. Lotilla and ERC Officer-in-Charge Chairperson Jesse Hermogenes T. Andres were present at the hearing.

The DoE assured the lawmakers that GEA-3 will be completed before the end of the year.

“Our target for the Green Energy Auction 3 is to finish it before the end of the year such that the pumped storage hydro, [more than] 3,000 megawatts (MW), will be able to come in five years from now,” Energy Undersecretary Rowena Cristina L. Guevara said.

The green energy auction reserve prices, which set the maximum price offers for the auction, have yet to be released by the ERC.

“One of the items required there would be the approved pricing methodologies with ERC. We’re coordinating that,” Mr. Lotilla said.

Ms. Cayetano said that many investors are anticipating the third round of the GEA, which facilitates investments in the renewable energy sector.

In the last two years, the DoE has staged two rounds of GEA, which generated a total of 5,306 MW of renewable energy commitments for delivery in 2024 to 2026.

For this year, the agency has said that it would auction off renewable energy technologies worth a total capacity of 4,399 MW.

GEA-3 will cater to non-feed-in-tariff (non-FIT) eligible renewable energy technologies such as geothermal, impounding hydro, and pumped storage hydro.

The upcoming auction will also cater to run-of-river hydro, which is a FIT-eligible renewable energy technology.

The GEA program aims to promote renewable energy as one of the country’s primary sources of energy through competitive selection. — Sheldeen Joy Talavera

Discovery Hospitality to open second Kip & Kin in 2026

DISCOVERYHOTELS-RESORTS.COM

DISCOVERY WORLD Corp.’s property management firm Discovery Hospitality Corp. (DHC) is targeting to finish its lifestyle and “millennial-focused” brand Kip & Kin in Siargao by 2026.

“In the early first week of December, we will be introducing a new brand. It’s going to be called Kip & Kin, we will do the groundbreaking in Siargao Island in General Luna,” Discovery Hospitality Chief Operating Officer Jose “Jun” C. Parreño said during a media roundtable on Wednesday last week.

The concept of the Kip & Kin brand combines a hotel and hostel business in a single property.

Joegil Magtanggol M. Escobar, the hotel manager of Discovery Coron, said the development is targeted to be finished in two years.

The firm will break ground for the General Luna, Siargao location in the first week of December this year.

“This is for the younger market, for the millennial-centered, more on design, more on communal spaces, more on connection to the locality and experiential,” Mr. Parreño said.

Meanwhile, the first Kip & Kin brand in El Nido, launched in 2021, is still under construction as it was delayed due to the pandemic.

“We have a land bank in Benguet. We also have land banks in San Vicente. Actually, we have another lot in Boracay. Hopefully, we’ll be able to use that for Kip & Kin in the future also,” Mr. Parreño said.

This also came with the rebranding of the two resorts. Discovery Shores Boracay and Club Paradise Palawan are now Discovery Boracay and Discovery Coron.

The 99-suite Discovery Boracay offers guest rooms and signature suites ranging from 40-45 square meters (sq.m.) for a junior suite to 252 sq.m. for a grand signature suite.

It is 30 minutes away from Caticlan Airport and two hours away from Kalibo International Airport.

Meanwhile, Discovery Coron offers a garden suite, sunrise villa, oceanview villa premiere, sunset villa, and sunset villa premiere. These guest rooms span from 27 sq.m. to 60 sq.m.

The resort is an hour away from Busuanga Airport.

“With this change comes a fresh new website, updated social media handles, and several exciting experiences for our guests, designed for everyone to enjoy,” Mr. Escobar said.

The rebranding is intended to ensure consistency and elevate the customer experience across all resorts. 

“It is a crucial step in maintaining the high standard in service, amenities, and guest satisfaction that keeps Discovery Resorts distinct from the rest,” the firm said.

Along with the launch of the Kip & Kin brand, Mr. Escobar said that Sinag Restaurant is set to open later in 2024, along with the expansion of room offerings and treatments at the Glow Spa.

Last year, Discovery Resorts expanded with Discovery Samal that offers “a captivating vista of the Davao Gulf.” — Aubrey Rose A. Inosante

ACLED: Philippines 2nd most dangerous country/territory in East and Southeast Asia

The Philippines ranked 29th out of 243* countries and territories in the biannual Conflict Index by Armed Conflict Location and Event Data (ACLED). The index uses four indicators of conflict that rate how deadly a country is.

ACLED: Philippines 2<sup>nd</sup> most dangerous country/territory in East and Southeast Asia

How PSEi member stocks performed — October 14, 2024

Here’s a quick glance at how PSEi stocks fared on Monday, October 14, 2024.


Poll: 73% of Pinoys won’t vote for pro-China bets

PHOTO shows a fisherman near the Scarborough Shoal in the South China Sea on May 16, 2024. — PHILIPPINE STAR/MIGUEL DE GUZMAN

By John Victor D. Ordoñez, Reporter

SEVEN of 10 Filipinos will not vote for candidates perceived to be supporting of China in next year’s midterm elections amid escalating sea tensions with Beijing, according to a poll by Pulse Asia Research, Inc.

The poll, commissioned by think tank Stratbase ADR Institute, showed 73% of Filipinos said they would not support pro-China candidates, while 5% said they would support pro-China candidates. About 23% of Filipinos were undecided.

Pulse Asia interviewed 1,200 Filipinos on Sept. 6 to 13 for the poll, which had an error margin of ±3 points.

The Chinese Embassy in Manila did not immediately reply to an e-mail seeking comment.

“Many Filipinos feel that China’s actions, particularly in the West Philippine Sea, directly challenge our sovereignty and undermine our nation’s interests,” Victor Andres C. Manhit, the think tank’s president, said in a statement.

“This prevailing view is driven by both patriotic sentiment and a desire for leaders who will prioritize the Philippines’ long-term security and prosperity,” he added.

He said electing pro-China candidates could lead to policies compromising Manila’s sea claims and economic interests.

Only 1% of Filipinos see China as a trusted partner in national development, while 79% saw the United States as the Philippines’ most trusted development partner, according to the poll. About half of Filipinos said Japan is Manila’s top ally.

About 7% of Filipinos said China is a beneficial economic partner for the Philippines, while 66% backed the US as the country’s top economic partner, followed by Japan with 43%, Australia with 32% and Canada with 31%.

“These countries have proven to be dependable allies, not only in ensuring regional stability but also in fostering economic growth,” Mr. Manhit said.

Based on a July Social Weather Stations (SWS) poll commissioned by Stratbase, 60% of Filipinos said measures including joint patrols and military exercises with “allies, friends and partners” were enough in dealing with the Southeast Asian nation’s sea dispute with China.

“The Pinoy voter is notoriously known to decide only a few days before election day,” Michael Henry Ll. Yusingco, a senior research fellow at the Ateneo Policy Center, said in a Messenger chat. “So, this anti-China sentiment can still change.”

“These results seem to suggest that Beijing’s effort to win the hearts and minds of Pinoys is failing.”

He said candidates this year would likely use the poll to stir anti-China sound bites and slogans, but are unlikely to offer sound national security solutions.

Philippine President Ferdinand R. Marcos, Jr. last week pressed Southeast Asian leaders and China at a regional summit to speed up negotiations on a code of conduct for the South China Sea, while accusing Beijing of harassment and intimidation.

A 2016 arbitral ruling that voided China’s claims in the South China Sea said Scarborough shoal is a traditional fishing ground for Filipino, Chinese and Vietnamese fishermen. China has controlled the shoal since 2012.

The Philippines has been unable to enforce the ruling and has since filed hundreds of protests over what it calls encroachment and harassment by China’s coast guard and its vast fishing fleet.

Maria Ela L. Atienza, who teaches political science at the University of the Philippines, said the worsening tensions with China and allegations of espionage and crimes involving Chinese operators of online gambling operations in the Philippines have made these anti-China sentiments more apparent.

“We should not underestimate those forwarding Chinese interests as they may have a lot of resources that can affect the campaign and eventually the results of the elections,” she said in a Viber message.

Philippine Defense chief doubts China’s intent on South China Sea code

PHILIPPINE COAST GUARD PHOTO

THE Philippines doubts China’s intention to negotiate a regional code of conduct in the South China Sea although Manila is looking forward to continuing discussions, according to its top Defense official.

While Philippine President Ferdinand R. Marcos, Jr. had approved “good-faith discussions” with China over the long-delayed code, he doubted Beijing’s sincerity, Defense Secretary Gilberto Eduardo Gerardo “Gibo” C. Teodoro, Jr. told reporters on Monday. “Right now, honestly speaking, I do not see that.”

The Chinese Embassy in Manila did not immediately reply to a request for comment.

Southeast Asian leaders on Sunday called for swift agreement on a code of conduct for the South China Sea based on international law, after escalating confrontations in the strategic waterway where $3 trillion worth of trade passes annually.

China claims sovereignty over nearly all of the South China Sea, including areas claimed by Brunei, Indonesia, Malaysia, the Philippines and Vietnam.

The Philippines has complained of Chinese vessels’ use of water cannon, collision and ramming tactics to stop resupply and patrol missions in disputed waters.

The maritime code, which could help avoid such confrontations and prevent conflict, has been mooted for years, and talks led by the Association of Southeast Asian Nations (ASEAN) have made slow progress.

Meanwhile, Cagayan de Oro Rep. Rufus B. Rodriguez called out Russia for allegedly blocking a consensus statement by Southeast Asian nations over territorial disputes in the South China Sea, saying Moscow has no authority to “meddle” with the region’s affairs.

“Russia should not have blocked the ASEAN statement,” he said in a statement. “Moscow has no business meddling in disputes in this part of our region.”

A United States official who spoke on condition of anonymity, accused Russia and China of blocking a proposed statement of the 10-member ASEAN for the 18-nation East Asia Summit in Laos, objecting to the draft’s language, according to a Reuters report.

Mr. Rodriguez, a member of the House of Representatives foreign affairs committee, said the Russian move showed it agrees with Chinese intrusion into the Philippines’ exclusive economic zone in the South China Sea, including “bullying, harassment and ramming of Philippine vessels, their crew and Filipino fishermen.”

‘MEDDLING’
The East Asia Summit is an annual forum led by ASEAN, seen as an avenue for multilateral dialogue on issues concerning the region. The regional summit was originally composed of ASEAN member states, Australia, China, India, Japan, New Zealand and Korea in 2005. The United States and Russia joined in 2011.

Russia’s Foreign Affairs Minister Sergei Viktorovich Lavrov said the ASEAN declaration had not been adopted because of “persistent attempts by the United States, Japan, South Korea, Australia and New Zealand to turn it into a purely political statement,” according to a transcript of his response to a media briefing on Friday, published on the website of Russia’s Ministry of Foreign Affairs.

This prompted Laos, which hosted this year’s East Asia Summit, to issue a unilateral statement on concerns involving the South China Sea, according to Mr. Rodriguez.

Laos Prime Minister and East Asia Summit Chairman Sonexay Siphandone said there is a need to “enhance mutual trust and… self-restraint in the conduct of activities” in the South China Sea, urging countries to “avoid actions that may further complicate the situation” in the water body, according to the chairman’s statement of the 19th East Asia Summit published on ASEAN’s website on Oct. 13.

He pushed for a “full and effective” implementation of a 2002 regional conduct code in the South China Sea, an agreement aimed at reducing tensions and conflict among claimant states.

“Given that China is closely allied with Russia, it comes as no surprise already that it is one with the People’s Republic of China in blocking the statement on the South China Sea,” Josue Raphael J. Cortez, a lecturer at the School of Diplomacy and Governance at De La Salle-College of St. Benilde, said in a Facebook Messenger chat.

“Russia is undoubtedly meddling in regional affairs” by helping China consolidate and achieve a “more solid and strategic position” in Southeast Asia.

Russian and Chinese flexing could hurt the Philippines’ sea claims, Hansley A. Juliano, who teaches political science at the Ateneo de Manila University, said in a Messenger chat.

“If both Russia and China has influence on ASEAN, it might become more and more hostile to our multilateral efforts to protect our West Philippine Sea claims,” he added, referring to areas of the disputed sea within Manila’s exclusive economic zone.

The idea of a maritime code was first agreed between China and ASEAN in 2002, but the process of creating it did not start until 2017.

Mr. Marcos at last week’s summit pressed Southeast Asian leaders and China to hasten negotiations on a code of conduct for the South China Sea. “There should be more urgency in the pace of the negotiations of the ASEAN-China code of conduct,” he said. — Kenneth Christiane L. Basilio with Reuters