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Promo ongoing for Honda Connect app users

Honda Civic RS e:HEV E-CVT — PHOTO BY KAP MACEDA AGUILA

HONDA CARS PHILIPPINES, INC. (HCPI) is holding a “Gear Up for 2025” promo to “get vehicles ready for the year ahead.” All Honda Connect app users will be entitled to various offers and freebies until March 31 — including a free 50-point checkup with tire and battery assessment.

In addition, HCPI will give a P250 discount on the following service bundles: fuel filter plus engine cleaner, air-con filter plus A/C lubricant, engine air filter plus engine cleaner, brake pad plus brake and parts cleaner, and spark plug (four pieces).

HCPI is also treating its customers with up to 25% in discounts on select Honda merchandise, including Mugen and Honda collections. Lastly, customers who have not had their cars serviced at the dealership in over a year can get a free fuel card worth P500 or P500 off on services, with a minimum spend of P5,000 on any type of service.

In a release, HCPI said that “Honda Connect gives Honda car owners security, safety, and convenience in just a few taps. Users can control and manage their vehicle even from afar. With no subscription fees, features (include) Emergency Calls, Location Search, and 1:1 messaging, or news alerts straight from HCPI in the non-telematics platform.” The app can also give access to emergency contacts and Honda Cars dealerships should the user be in any accident. Meanwhile, the Location Search Feature guides the driver to various points of interest like gas stations and convenience stores. Users can also access after-sales services through the app, which also sends product advisories and maintenance reminders.

For more information, visit https://www.hondaphil.com/programs/gear-up-for-2025-promo. More offers are on display at https://www.hondaphil.com/promos. The latest HCPI models can be viewed in the virtual showroom: https://www.hondaphil.com/virtual-honda.

BIR calls 2025 targets achievable, sees CREATE MORE downside risks

PHILSTAR FILE PHOTO

THE Bureau of Internal Revenue (BIR) remains confident that it will meet its collection goal for major tax categories in 2025.

However, the new law lowering corporate income tax rates for certain foreign enterprises poses a negative risk to collections, it added.

This year’s collection goal is set at P3.232 trillion, up 13.36% compared to the P2.85 trillion in actual collections in 2024, according to Revenue Memorandum Order (RMO) No. 14-2025 released on March 20.

Some 52.95% or P1.71 trillion is expected to come from taxes on net income and profits. This was followed by value-added tax (VAT) of P710.04 billion, excise taxes (P343.10 billion), other taxes (P298.11 billion), and percentage taxes (P178.46 billion).

“Official stance is that targets are achievable, with reservations owing to the CREATE MORE (Corporate Recovery and Tax Incentives for Enterprises to Maximize Opportunities for Reinvigorating the Economy) law which gave away a lot of taxes to encourage investments,” BIR Assistant Commissioner Jethro M. Sabariaga told BusinessWorld via Viber over the weekend.

Mr. Sabariaga had been asked whether the BIR expects to meet or surpass the targets for major tax categories. 

President Ferdinand R. Marcos, Jr. in December signed the CREATE MORE Act to attract more investment.

“Lower income tax rates, accelerated/doubled deductions for certain costs, more value-added tax input allowed,” Mr. Sabriaga said in elaborating on the downward risks to the target.

The law further reduces the corporate income tax to 20% from 25% for registered business enterprises.

In the same RMO, the Bureau said it expects new tax measures to generate P21.98 billion including the VAT on digital service providers, windfall tax on mining, royalty on mining, the taxes on single-use plastics, passive income, financial intermediaries, and transactions. 

The VAT on digital services, which imposes a 12% value-added tax on digital services on both resident and non-resident providers, is the only tax measure apart from CREATE MORE to have been signed. — Aubrey Rose A. Inosante

Anko will open third store, taps Anne Curtis as endorser

ANNE CURTIS is the new endorser of Anko.

ANKO took over Alveo Land’s Mergent Residences model unit in Greenbelt 3 on March 4, showing a way to live large on a small budget.

Anko, the house brand of Kmart Australia, arrived in the Philippines in November last year, with a store in Glorietta 2. Anko is part of the Kmart Group under Wesfarmers Ltd. It has announced plans to open a second store in Alabang Town Center in May, but on March 17, it also announced the opening of a third store, its largest so far, in TriNoma in Quezon City.

Spanning 1,634 square meters, the TriNoma store will offer 1,421 square meters of retail space, with the remaining area allocated for office and stockroom use to support operations efficiently. A board-up in Anko’s signature magenta hue is now on display at Level 1 of TriNoma’s Activity Center.

“Opening in TriNoma is a natural next step for Anko in the Philippines. We want to be where Filipino families already shop for their homes, and Metro Manila’s top malls provide the perfect space to introduce more people to our brand,” said Arjun Puri, chief executive officer of Anko Global in a statement.

Rachel Turner, Country Manager of Anko Philippines, declined to comment on the then-undisclosed TriNoma location during the March 4 event, nor did she comment on the future of sourcing materials from the Philippines. However, she did say, “We’re looking for strategic locations where we can continue to expand,” she said in a small group interview.

“We’re really excited about Alabang Town Center, as we will be for other locations in the future. We look forward to being part of the community. When we come to a new location, or we open in a new site, we don’t just bring fantastic products… we also bring employment. We will create jobs, whether that’s retail, supply chain, logistics, customer service, and give back to the local community through job creation.”

Speaking about their five-year plan, she said, “We’re very excited about the stores that we have planned and announced, and we’re looking for new opportunities where we can find them.” According to her, Anko Global produced a billion units (items) last year, sold globally and domestically in Australia.

TAKEOVER
Meanwhile, Anko got some help from Australian interior designer Nicole Rosenberg, founder of Melbourne-based Liberty Interiors, to spruce up the Alveo Land unit. Using Anko items, she showed space-saving pieces like makeup towers, and used scented candles, linens, and decorative pieces from Anko’s line.

What she did could be used in any Filipino home, of any size: for example, she said that she used the brand’s sage and light blue pieces a great deal, because “I know not everyone enjoys using color. But I think using these tones, like green, for example, for me, isn’t really a color. It’s outside in nature. It’s like you’re bringing nature inside. I think it’s a good color to start with, if you’re feeling a bit hesitant about color.”

She gave tips like styling in odd numbers, like in groups of threes: “It gives height to the area that you’re styling, and it also brings the eye to that area,” she said in a group interview. As for space-saving tips, she suggested collapsible pieces like Anko’s foldable laundry basket, as well as installing a shelf above the toilet (a space that is usually unused).

ENDORSER
Finally, the brand released a commercial with Filipino-Australian actress Anne Curtis.

In a statement, she said, “Being a Filipino Aussie, it actually makes me so proud to be part of a brand that’s bringing some of my all-time favorite Australian products to the Philippines.

“Our homes are where we create memories, find comfort, and share love, even with our fur babies. And as a fur mom myself, I love to spoil this with Anko, I know that can be done with affordability and quality in mind. This journey with Anko is just getting started, and we can’t wait to share some exciting collection styling tips and special surprises with all of you. So stay tuned because there’s so much to look forward to with Anko.”

The commercial shows the actress going around a home filled with affordable items: Anko’s items run from P60 to the low thousands. Ms. Turner said, “Affordability for me means accessibility. Our purpose is to bring beautiful quality products to everybody. Affordability is one of the main pillars of that messaging.” — Joseph L. Garcia

Breaking down PhilHealth’s legal issues

The Philippine Health Insurance Corp., otherwise known as PhilHealth, was created to administer and implement the aspiration stated in the Philippine Constitution “to make essential goods, health, and other social services to all the people at an affordable cost.” It is supposed to provide needed personal health services to all Filipinos, whether they are contributing to PhilHealth or not. It covers all Filipinos, either because we are contributing to PhilHealth as mandated by law, or for those who are unable to and/or are exempted from contributing, the government is supposed to fund the same. This is implemented through laws that earmark tax and/or government revenues to fund PhilHealth.

Recently, PhilHealth has been the center of controversies which can be broken down into two issues, namely, 1.) can the PhilHealth transfer funds to the National Government, and, 2.) can the National Government withhold funds from PhilHealth.

This article serves as a primer on the legal issues surrounding the PhilHealth funds.

The most current law that governs PhilHealth is Republic Act No. 11223, otherwise known as the Universal Health Care Act, which was passed on Feb. 20, 2019. Section 11 of Republic Act No. 11223 provides as follow:

Program Reserve Funds. PhilHealth shall set aside a portion of its accumulated revenues not needed to meet the cost of the current year’s expenditures as reserve funds: Provided, That the total amount of reserves shall not exceed a ceiling equivalent to the amount actuarially estimated for two years’ projected Program expenditures: Provided, further, That whenever actual reserves exceed the required ceiling at the end of the fiscal year, the excess of the PhilHealth reserve fund shall be used to increase the Program’s benefits and to decrease the amount of members’ contributions.

Any unused portion of the reserve fund that is not needed to meet the current expenditure obligations or support the abovementioned programs shall be placed in investments to earn an average annual income at prevailing rates of interest and shall be referred to as the Investment Reserve Fund. The Investment Reserve Fund shall be invested in any or all of the following:

x x x

No portion of the reserve fund or income thereof shall accrue to the general fund of the National Government or to any of its agencies or instrumentalities, including government owned or -controlled corporations.

What can PhilHealth therefore do with its funds aside from meeting its current expenditure obligations or support its program? Section 11 specifically sets out that PhilHealth should place said funds in investments and enumerates what kind of investments it can enter into. Moreover, if the reserve funds exceed its two years projected expenditure, the excess should be used to increase benefits and to decrease members’ contributions.

Can PhilHealth transfer funds to the National Government? By express provision of Section 11 of the Universal Health Care Act, it is prohibited to give any portion of its funds or income to the National Government or to any government agencies, its instrumentalities including government-owned or -controlled corporations. Furthermore, the Universal Health Care Act itself provides only two ways to deal with excess funds, including any subsidy made by the National Government as this is part of its sourced for funds as provided under Section 37 — to increase benefits and to lower members contributions.

Where does PhilHealth get its funds? Section 37 of the Universal Health Care Act provides as follow:

Appropriations. The amount necessary to implement this Act shall be sourced from the following:

a.) Total incremental sin tax collections as provided for in Republic Act No. 10351, otherwise known as the “Sin Tax Reform Law”: Provided, That the mandated earmarks as provided for in Republic Act Nos. 7171 and 8240 shall be retained;

b.) Fifty percent of the National Government share from the income of the Philippine Amusement Gaming Corp. (PAGCOR) as provided for in Presidential Decree No. 1869, as amended: Provided, That the funds raised for this purpose shall be transferred to PhilHealth at the end of each quarter subject to the usual budgeting, accounting and auditing rules and regulations: Provided, further, That the funds shall be used by PhilHealth to improve its benefit packages;

c.) Forty percent of the Charity Fund, net of Documentary Stamp Tax Payments, and mandatory contributions of the Philippine Charity Sweepstakes Office (PCSO) as provided for in Republic Act No. 1169, as amended: Provided, That the funds raised for this purpose shall be transferred to PhilHealth at the end of each quarter subject to the usual budgeting, accounting, and auditing rules and regulations: Provided, further, That the funds shall be used by PhilHealth to improve its benefit packages;

d.) Premium contributions of members;

e.) Annual appropriations of the DoH [Department of Health] included in the GAA [General Appropriations Act]; and

f.) National Government subsidy to PhilHealth included in the GAA.

The amount necessary to implement the provisions of this Act shall be included in the GAA and shall be appropriated under the DoH and National Government subsidy to PhilHealth. In addition, the DoH, in coordination with PhilHealth, may request Congress to appropriate supplemental funding to meet targeted milestones of this Act.

Republic Act No. 10351 (Sin Tax Reform Law) has had several amendments, the most recent of which is Republic Act No. 11467, passed on July 22, 2020. The latter amended Section 288-A of the National Internal Revenue Code. The relevant sections pertaining to PhilHealth are as follows:

Section 288-A. Disposition of Revenue from Excise Tax on Sugar-Sweetened Beverages, Alcohol, Tobacco Products, Heated Tobacco Products, and Vapor Product

(A) Revenues from Excise Tax on Sugar-Sweetened Beverages from Republic Act No. 10963 — The provisions of existing laws to the contrary notwithstanding, 50% of the total revenues collected from the excise tax on sweetened beverages shall be allocated and used exclusively in the following manner:

1.) Eighty percent to the PhilHealth for the implementation of Republic Act No. 11223, otherwise known as the “Universal Health Care Act” of 2019; and.

2.) xxx.

(B) Revenues from Excise Tax on Alcohol Products. The provisions of existing laws to the contrary notwithstanding, 100% of the total revenues collected from the excise tax on alcohol products shall be allocated and used exclusively in the following manner:

1.) Sixty percent for the implementation of Republic Act No. 11223, otherwise known as the “Universal Health Care Act” of 2019;…

C.) Revenues from Excise Tax on Tobacco Products. The provisions of existing laws to the contrary notwithstanding, the total revenues collected from the excise tax on tobacco products shall be distributed in the following manner:

1.) xxx

2.) Fifty percent of the total excise tax collection from tobacco products shall be allocated and used exclusively in the following manner:

a.) Eighty percent to PhilHealth for the implementation of Republic Act No. 11223, otherwise known as the “Universal Health Care Act” of 2019; and

b.) …

D.) Revenues from Excise Tax on Heated Tobacco Products and Vapor Products. The provisions of existing laws to the contrary notwithstanding, the total revenues collected from the excise tax on heated tobacco products and vapor products shall be allocated and used exclusively in the following manner:

1.) Eighty percent to PhilHealth for the implementation of Republic Act No. 11223, otherwise known as the “Universal Health Care Act” of 2019; and

2.) xxx

xxx

“Provided, further, That the allocation for Universal Health Care shall be based on the collection of the second fiscal year preceding the current fiscal year.”

Reading the amendment made under Republic Act No. 11467 into the Sin Tax Law into Section 37(a), the earmark made under Sin Tax Law as amended is earmarked for PhilHealth and should, like the Internal Revenue Allotment for the Local Government Units, be automatically appropriated and given to PhilHealth. This is supported by the last paragraph of Section 37 which states that the amount appropriated by virtue of subsections (a.) to (c.) must be appropriated in the GAA or otherwise known as the General Appropriation Act.

As a matter of fact, the law itself provides how the amount should be computed, and it is merely ministerial for the government to compute the same and include it in the GAA. The earmarked amount is mandated by law, and not a mere subsidy as used in its ordinary sense.

As a matter of fact, the law itself allows PhilHealth and/or the Department of Health to ask for more money; the supplemental amount is rightfully a subsidy which the government may or may not appropriate to support PhilHealth.

 

Kim S. Jacinto-Henares is the former commissioner of the Bureau of Internal Revenue. She has extensive experience in commercial/corporate, securities and tax law, governance, international dispute resolution, and digital transformation. Currently she is a commissioner with the international think tank, Independent Commission for Reforming International Corporate Taxation.

IC eyes measures to improve HMO regulation

BW FILE PHOTO

THE INSURANCE COMMISSION (IC) is pushing for measures to better regulate the health maintenance organization (HMO) sector to strengthen healthcare in the country, including a law covering the industry and possibly transferring its oversight or jointly regulating it with another agency, its top official said.

Insurance Commissioner Reynaldo A. Regalado told reporters on Thursday that the IC is working on rules to strengthen the HMO industry.

The IC on March 13 issued a draft circular scrapping the planned increase in existing HMOs’ minimum capital requirement.

The latest draft now only requires new HMOs to have a paid-up capital of at least P100 million and classifies companies into tiers based on their net worth, requiring them to maintain a net worth not lower than their capital base.

The regulator in 2024 had sought comments on a possible hike in the sector’s minimum paid-up capital, which it had planned to implement over 10 years. Under the earlier proposal, from the current P10-million requirement, existing HMOs needed to have at least P50 million in paid-up capital by end-2024, which would be increased every three years to reach P500 million by end-2034.

Mr. Regalado said the new proposal was the result of “a more extensive discussion” with HMOs.

“There are HMOs that have been operating on a certain level whose responsibilities have been properly exercised the whole time. What we saw is they can still maintain the level and the quality of service that they can provide without actually having to go big [in terms of capital],” he said. “So, we thought, we don’t need to make them big. We just need to make them effective.”

The IC will focus on prudential regulation, including for HMOs’ expansion, Mr. Regalado added. “We’re putting focus on how we’re supposed to be handling HMOs.”

“We really need to have them properly regulated… That’s why we’re putting all these rules already. The next thing to consider… is to have a new HMO Code,” he said.

Mr. Regalado was referring to House Bill No. 8787 filed by Malasakit and Bayanihan Party-list Rep. Anthony T. Golez, Jr. or the HMOs Act of 2023, which seeks to provide a regulatory framework for the sector in recognition of these firms as “unique medical service providers combining financial management and the direct and indirect provision of health services.”

Under the proposal, HMOs will be regulated by a new agency attached to the Department of Health.

The IC chief said the agency remains open to handing over the supervision and regulation of the HMO sector or possibly jointly handling it with another government agency.

He said they are looking to discuss the matter with the Department of Health, especially state health insurer Philippine Health Insurance Corp. (PhilHealth).

“PhilHealth is like the HMO without competition. That’s how they operate to a certain extent,” Mr. Regalado said. “PhilHealth is improving their services, and that will have an effect on HMOs — positively in the first part, but later on, we will have to adjust. It could lead to better services and better offerings for HMOs.”

“We want to know where we can come in… I’m open to any arrangement that can help the bottom line, which is self-protection.”

The HMO industry booked a combined net income of P979.8 million last year, a turnaround from the P4.27 billion net loss recorded in 2023, latest IC data showed. — AMCS

Dongfeng offers buy-1-get-1 deal

PHOTO FROM DONGFENG MOTORS PHILIPPINES

DONGFENG MOTORS PHILIPPINES is offering a deal on the Aeolus Huge Hybrid until March 31. For P1.998 million, buyers of the electrified SUV will get the EX1 Pro BEV for free.

The Aeolus Huge Hybrid is powered by the brand’s Mach Power MHD system, featuring a 17-hp electric traction motor that works in sync with a turbocharged 1.5-liter gas engine delivering 175hp. The engine acts as a generator, charging the lithium battery while also powering the motor at low speeds. The SUV also comes with Level 2 driving assistance, including intelligent control, lane-keeping assist, and an advanced camera system that detects road signs, pedestrians, and vehicles — automatically adjusting the steering for added safety. It also gets a 360-degree camera with 3D assist, Apple CarPlay and Android Auto (via dongle), and a premium sound system by Danish audio expert.

Meanwhile, the EX1 Pro battery electric vehicle boasts a 27.2-kWh battery and a “practical” 300-km range on a full charge. DC fast charging can fill the battery from 30% to 80% in 30 minutes.

For more information, visit www.dongfeng-global.com or www.dongfengmotorsph.com; follow the official accounts of Dongfeng Philippines: Facebook (dongfengmotorsPH), YouTube (DongFengMotorsPh), and TikTok (dongfengmotorsph). Legado Motors, Inc. is the official Dongfeng Motors distributor in the Philippines.

Vietnam rice waste levels set as benchmark for PHL

PHILIPPINE STAR/MICHAEL VARCAS

By Kyle Aristophere T. Atienza, Reporter

POST-HARVEST RICE losses are expected to decline by at least nine percentage points following a P10-billion investment in upgrades to rice storage facilities, the Department of Agriculture said.

About 17% of the rice harvest is lost annually, against 8% for Vietnam, Agriculture Assistant Undersecretary Arnel V. de Mesa told BusinessWorld.

“Reaching Vietnam’s 8% benchmark — the difference would be 9 percentage points — would be a big achievement,” he said.

Fitch Solutions BMI said in a recent report that rice yields in the Philippines are lower than those in Vietnam but are very close to those in the largest exporter, India, and higher than those in Thailand.

BMI called it a “significant concern” that the Philippines is importing so much rice, and will account for 9.7% of global rice imports in 2024/25 based on US Department of Agriculture forecasts, given that 19.5% of the population had insufficient food consumption as of September 2024.

The National Food Authority (NFA) earlier this month said it is undertaking a P10-billion modernization program aimed at enhancing rice storage, building new rice mills, and upgrading drying facilities to improve the rice harvest recovery rate.

The program is funded through government allocations, with half of the budget granted late last year and the remaining P5 billion earmarked for rice mills, drying facilities, and other infrastructure projects included in the 2025 national budget.

The NFA said P1.5 billion will be allocated for repairing existing warehouses, while the remaining P3.5 billion will be used to add 800,000 metric tons of storage capacity by next year, doubling the NFA’s current capacity of 1 million metric tons.

NFA procurement is hindered by variations in rice quality and age of the inventory.

The main problem with the current warehouse network is congestion, due to the inability to manage stocks, according to retired agriculture professor Roy S. Kempis, currently director of the Center for Business Innovation at Angeles University Foundation.

The congestion is worsened by inability to correctly time the release of stocks to ensure supply stability and minimal price disruption.

“In the meantime, decisions to bring in imports and the timing of such shipments are very tentative. They also affect the amount of rice that needs to be stored in the warehouses,” he added.

Mr. Kempis noted that domestic production and supply varies by the season.

“In view of these problems, decision makers are faced the dilemma of what predictive formula to set up and follow,” he said.

“Once there is congestion, the ambient temperature required to store rice becomes difficult to maintain,” he added.

Mr. Kempis said as warehouse temperatures and humidity rise, the risk of contamination from fungi also rises.

Raul Q. Montemayor, national manager of the Federation of Free Farmers, said dry palay can last from six to eight months.

He noted that palay is usually milled into rice within four months to make room for the next harvest. Milled rice, meanwhile, can last up to three months.

Mr. Kempis said milled rice, which is packed in sacks and stored in air-ventilated warehouses, can be stored for maximum of two years, “provided there is no congestion inside the warehouses.”

Philippine Chamber of Agriculture and Food, Inc. President Danilo V. Fausto said the NFA’s modernization program will boost its ability to buy more palay from farmers at a better price.

“Palay will have a longer shelf life than rice since rice is at risk of spoilage after two months and/or weevil infestation,” he said.

Rice growers are currently facing low farmgate prices as traders opt to deal in imported rice.

The farmgate price has fallen to as low as P15-16 per kilo for freshly harvested grain, according to industry reports earlier this month.

On March 18, Malacañang urged farmers to work with local government units in bringing their palay harvests to NFA buying stations to bypass traders, who often seek to influence prices.

The NFA’s modernization projects are expected to be operational by the end of next year, in time for the dry season harvest of 2027.

The full upgrade program will include silos in major rice-producing areas such as the Cagayan Valley and Central Luzon, allowing the NFA to store rice for up to two years, far longer than the usual six months to one year for bagged rice.

Something old, something new

Avon reformulates lipstick

AVON is solving the problem of accurate lipstick color matching with a reformulation of its Ultra Lipstick, featuring 25% more pigment than its previous formulation.

Ari Eusebio, Avon Philippines’ head of marketing said in a speech at an event in Makati’s Poblacion on March 13, “We’ve spoken to 3,000 women to learn about the truth. What’s the most important thing about your lipstick?”

The study brought them the answer that the color they see on the lipstick bullet must look the same once its been placed on the lips (accuracy).

“We’ve taken that to heart,” said Mr. Eusebio. “With the new Avon Ultra lipstick, we’ve added 25% more pigment to make sure you get the color that you deserve in just one swipe.”

The lipstick contains sesame oil as well as Vitamin E, for lip nourishment.

During the event, new Avon endorser, singer-actress Maymay Entrata said in a speech, “What you see is what you get.”

She prefers the Red Supreme hue, while her fellow Avon endorser and singer-actress Kyline Alcantara said that she prefers Iced Coffee, layered with BFF Nude.

Ms. Alcantara said about being chosen as an Avon endorser: “It’s like a full-circle moment for me,” she said, noting that her mother was once an Avon Lady — that is, a salesperson selling Avon products under its direct-selling model.

Avon was one of the pioneers for the direct selling model, starting in the 1800s, providing employment to women back when women’s career choices were limited.

In a tribute, and just in time for Women’s Month, Mr. Eusebio said, “Even before we relaunched this whole campaign, we’re committing to share the profits of our bestsellers to everyone in order to help (with) women empowerment.” Every purchase of Ultra Matte Lipstick contributes P10 to Luna Legal Resource Center, GWAVE, and IMA Foundation — partner organizations dedicated to empowering women, advocating for gender equality, and fighting to end gender-based violence. Sol Ocampo, Avon Philippines’ head of color told BusinessWorld, “Through this initiative, we are really helping women to speak out more.”

Avon celebrates Women’s Month with a series of mall pop-ups this March. They are in SM Makati until March 31, SM Mall of Asia until March 26, and SM Southmall until April 30, and will be at SM Megamall from March 27 to April 2, SM North EDSA from March 27 to April 2. — Joseph L. Garcia

‘Humpty Dumpty had a great fall’

FORMER PRESIDENT RODRIGO R. DUTERTE — INTERNATIONAL CRIMINAL COURT / COUR PÉNALE INTERNATIONALE

“On 12 March 2025, Mr. Rodrigo Roa Duterte (‘Mr. Duterte’), born on 28 March 1945, was surrendered to the custody of the International Criminal Court (ICC or ‘the Court’). He was arrested by the authorities of the Republic of the Philippines (‘the Philippines’) in accordance with an arrest warrant issued by Pre-Trial Chamber I (‘the Chamber’) for charges of murder as a crime against humanity.

“On 10 February 2025, the Office of the Prosecutor of the ICC (‘the Prosecution’) applied for an arrest warrant against Mr. Duterte for the crimes against humanity of murder, torture and rape. The Chamber, composed of Presiding Judge Iulia Antoanella Motoc and Judges Reine Adélaïde Sophie Alapini-Gansou and María del Socorro Flores Liera, assessed the material submitted by the Prosecution and found reasonable grounds to believe that Mr. Duterte is individually responsible as an indirect co-perpetrator for the crime against humanity of murder, allegedly committed in the Philippines between 1 November 2011 and 16 March 2019.

“The Chamber found that there was an attack directed against a civilian population pursuant to an organizational policy while Mr. Duterte was the head of the Davao Death Squad (DDS), and pursuant to a State policy while he was the President of the Philippines. Moreover, there are reasonable grounds to believe that this attack was both widespread and systematic: the alleged attack took place over a period of several years and resulted in thousands of deaths. In the arrest warrant, the Chamber focused on a sample of alleged incidents to facilitate its analysis.

“Concerning Mr. Duterte’s alleged role as the head of the DDS and subsequently as the President of the Philippines, the Chamber found reasonable grounds to believe that he, jointly with and through other persons, agreed to kill individuals they identified as suspected criminals or persons having criminal propensities, including but not limited to drug offenders, initially in Davao and subsequently throughout the country.

“A hearing will be scheduled in due course for Mr. Duterte’s initial appearance before the Court. During this hearing, the Chamber will confirm the identity of the suspect and the language in which Mr. Duterte is able to follow the proceedings. The Chamber will also satisfy itself that Mr. Duterte has been informed of the crime which he is alleged to have committed, and of his rights under the Rome Statute (‘the Statute’), which is the Court’s founding treaty.

“The ICC Registrar, Mr. Osvaldo Zavala Giler, thanked the authorities of the Philippines for their commitment to upholding international accountability mechanisms, and the authorities of the Host State, the Netherlands, for their cooperation and support.” — all of the above, quoted verbatim from the International Criminal Court/Cour Penale Internationale Press Release, March 12, 2025).

‘HUMPTY DUMPTY SAT ON A WALL…’
“You do not scare me that you will jail me in the International Criminal Court. I will never allow myself to answer these whites,” then-President Duterte said in a speech to military cadets and reservists (Reuters, Dec. 20, 2019).

“The maverick former mayor has repeatedly taunted the ICC and threatened to slap or arrest its prosecutor, who in February 2018 announced a preliminary examination was being conducted into the drugs killings. Duterte responded by unilaterally cancelling his country’s membership of the court a month later, without legislative approval, saying it had deprived him of a presumption of innocence. Amnesty International called his move ‘misguided’ and ‘cowardly.’ The ICC’s prosecutor says jurisdiction applies to crimes committed while a country is a member,” Reuters reported (Ibid.).

Remember that Duterte was a last-minute candidate in the 2016 presidential elections. He had repeatedly said he was not interested in running for president despite calls from his supporters and party-mates. But after much to-and-fro, PDP-Laban party mate Martin Diño of the Volunteers Against Crime and Corruption (VACC) suddenly officially withdrew his candidacy for president in the 2016 elections and named Davao City Mayor Rodrigo Duterte as his substitute (GMA News, Oct. 29, 2015).

“Duterte had promised during a foul-mouthed campaign to change from a centralized system to a federal parliamentary form of government, a policy that has been popular in provinces far from ‘Imperial’ Manila,” the Guardian related (May 10, 2016). “He will push to rewrite the constitution and change to a federal system of government,” his spokesman said. Indeed, popular support from the regions for this promised decentralization of power, and Duterte’s claim to Davao City’s exemplary progress and sustained peace during his almost-uninterrupted three decades of ruling Davao directly and through his children Sara and Sebastian, made him win (mindanews.com, Oct. 16, 2024).

For the Philippines to be like Davao — that was Rodrigo Duterte’s template for his presidency. Did that include the notorious Davao Death Squad (DDS)? (Reuters, May 26, 2016).

“Mr. Duterte has shocked the political establishment in recent weeks, surging to a clear lead in opinion surveys before the May 9 election with a campaign full of swear words and promises to end crime by killing tens of thousands of criminals,” even foreign news noted (abc.net.au/, April 28, 2016). “Mr. Duterte has also boasted about running vigilante death squads during his many years as mayor of Davao, the biggest city in the southern Philippines. He once said the death squads had killed 1,700 people” (Ibid.).

‘HUMPTY DUMPTY HAD A GREAT FALL…’
“The ICC is alleging that Duterte is criminally responsible for two sets of killings:

“Murder of at least 19 persons, allegedly drug pushers or thieves, killed by members of the Davao Death Squad in various locations in or around Davao City, Philippines between 2011 and 2016;

“Murder of at least 24 persons, allegedly criminals, such as drug pushers or thieves or drug users, killed by or under the supervision of members of the Philippines law enforcement, sometimes with the assistance of persons who were not part of the police, at various locations in the Philippines between 2016 and 2019” (Philstar.com, March 14, 2025).

A timeline of case filed at the ICC against Rodrigo Duterte on extra-judicial killings in his “drug war” (from Inquirer.net, March 12, 2025):

2017: ICC Complaint Filed Against Duterte

April 24 – Lawyer Jude Sabio filed a case against Duterte at the ICC, accusing him of mass murder. Sabio represented Edgar Matobato, a self-proclaimed member of the Davao Death Squad, who alleged that Duterte orchestrated killings in Davao City as mayor.

June 6 – Former Senator Antonio Trillanes IV and then-Magdalo party-list Representative Gary Alejano also filed a supplemental complaint, linking Duterte to widespread drug war-related killings.

2018: ICC Launches Preliminary Examination

February – The ICC initiated a preliminary examination into alleged crimes against humanity related to Duterte’s drug war.

March 17 – In response, Duterte announced the Philippines’ withdrawal from the ICC’s Rome Statute, arguing that the tribunal had no jurisdiction over him. However, under ICC rules, the withdrawal would only take effect one year later.

2019: Philippine ICC Withdrawal Takes Effect

March 17 – The Philippines’ ICC withdrawal became official, perceived as Duterte’s attempt to evade accountability. However, the ICC maintained jurisdiction over crimes committed from Nov. 1, 2011, to March 16, 2019 — the period when the country was still a member.

2020: Key Witness Withdraws Case

Jan. 15 – Jude Sabio retracted his ICC complaint, calling it “propaganda.” He claimed that former Senators Trillanes and Leila de Lima had influenced him.

Jan. 18 – De Lima, then in detention, denied Sabio’s claims and revealed that she had filed a separate ICC case against Duterte in October 2017.

2021: ICC Authorizes Full Investigation

Sept. 15 – The ICC’s pre-trial chamber approved a formal investigation, covering crimes allegedly committed between July 1, 2016, and March 16, 2019.

Nov. 10 – The Philippine government requested the ICC to halt its investigation, claiming the local justice system was addressing drug war-related killings.

Nov. 18 – ICC Chief Prosecutor Karim Khan temporarily suspended the probe to review the Philippine government’s deferral request.

2022: ICC Resumes Probe Amid Duterte’s Exit

June 24 – Dissatisfied with the Philippine government’s efforts, Khan requested to resume the ICC probe, citing inadequate investigations into drug war deaths, including those under Duterte’s tenure as Davao City mayor.

June 30 – Duterte’s six-year presidency ended, with Ferdinand Marcos, Jr. assuming office. Despite stepping down, Duterte remained a divisive figure in Philippine politics.

2023: ICC Investigation

Jan. 26 – The ICC pre-trial chamber officially reopened its investigation, stating that Philippine authorities failed to conduct sufficient probes into drug war killings.

Nov. 24 – President Ferdinand Marcos, Jr. announced that his administration was reviewing the possibility of rejoining the ICC.

2024: Key Testimonies Against Duterte

Jan. 31 – Retired police officer Arturo Lascañas, a self-confessed DDS member, revealed he had testified before ICC investigators. He accused Duterte of masterminding DDS operations and identified key figures involved in the bloody anti-drug campaign.

Nov. 14 – Marcos reiterated that the Philippines would not cooperate with the ICC investigation into Duterte’s drug war.

2025: ICC Arrest Warrant Looms Over Duterte

March 7 – Duterte traveled to Hong Kong, leading a PDP-Laban senatorial campaign sortie among overseas Filipino workers. He defended his actions as president, emphasizing that he acted for the Filipino people amid growing speculation about an ICC arrest warrant.

March 9 – The Marcos administration stated it was “prepared for any eventuality” should the ICC issue an arrest warrant for Duterte, according to Presidential Communications Office Secretary Jay Ruiz.

March 11 – Duterte was served a warrant of arrest from the ICC at the Ninoy Aquino International Airport upon his arrival from Hong Kong, and was flown to The Hague the same day.

March 14 – Duterte appeared for a pre-trial hearing virtually, with his former Executive Secretary and lawyer, Salvador Medialdea, serving as his legal counsel.

March 17 – The former President’s camp revealed the lawyers that will form part of his legal counsel, which will be led by British lawyer Nicholas Kauffman. Ex-Palace Spokesperson Harry Roque and Medialdea will serve as supporting lawyers.

Vice-President Sara Duterte said her father was forcibly taken — in a “warrantless arrest” — by the Philippine National Police upon his arrival in Manila from Hong Kong on March 11.

“There was a warrant of arrest, and it was issued by an international court, of which we were a member. So, this is not a warrantless arrest — because there was indeed a warrant covering the arrest of the former president,” Joel Butuyan, a lawyer accredited by the ICC, explained at a Palace press conference, saying the arrest was valid under Philippine laws even if the Philippines was no longer an ICC member.” (Inquirer.net, March 21)

Butuyan also pointed out that, “according to a 2015 ICC decision, an arresting country has no obligation to follow the entire procedure in Article 59, as long as the core provisions of the article are followed. So, it’s not necessary to go through domestic judicial authority, as long as the substance of Article 59 is complied with, which includes verifying the identity of the accused and ensuring the accused’s rights are respected. In the case of former President Duterte’s arrest, he was read his Miranda rights,” Butuyan said. This means a local court order was also no longer necessary to enforce the ICC-issued warrant (Ibid.).

“All the King’s horses and all the King’s men,

could not put Humpty Dumpty together again.”

 

Amelia H. C. Ylagan is a Doctor of Business Administration from the University of the Philippines.

ahcylagan@yahoo.com

BSP bills fetch mixed rates

BW FILE PHOTO

YIELDS on the Bangko Sentral ng Pilipinas’ (BSP) short-term securities ended mixed on Friday as the one-month tenor went undersubscribed.

The BSP bills fetched bids amounting to P181.216 billion on Friday, higher than the P150-billion offer and the P176.724 billion in tenders for the same volume auctioned off in the week prior. Still, the central bank awarded just P141.55 billion in securities as the one-month tenor was undersubscribed.

Broken down, tenders for the 28-day BSP bills reached P41.55 billion, below the P50-billion offer and the P58.659 billion in bids for the same volume auctioned off the previous week. The central bank accepted all tenders submitted for the tenor.

Accepted rates ranged from 5.82% to 5.8895%, a tad wider than the 5.825% to 5.89% band seen a week earlier. This caused the average rate of the one-month securities to increase by 0.58 basis point (bps) to 5.8628% from 5.857% previously.

Meanwhile, bids for the 56-day bills amounted to P139.666 billion, above the P100-billion offering and the P118.065 billion in tenders for the P90-billion offered by the central bank a week ago. The BSP made a full P100-billion award of the two-month securities.

Banks asked for yields ranging from 5.82% to 5.849%, lower than the 5.84% to 5.874% margin seen a week prior. With this, the average rate of the 56-day securities fell by 2.32 bps to 5.8344% from 5.8576% logged in the previous auction.

The central bank uses the BSP securities and its term deposit facility to mop up excess liquidity in the financial system and to better guide market rates.

The BSP bills were calibrated to not overlap with tenors of the Treasury bills and term deposits also being offered weekly.

Data from the central bank showed that around 50% of its market operations are done through the short-term BSP bills.

Short-term instruments offer more stability and predictability, the BSP has said. These are also considered high-quality liquid assets, giving banks more flexibility.

BSP securities can also be traded in the secondary market. — Luisa Maria Jacinta C. Jocson

Lazada sees double-digit growth continuing

PHILSTAR FILE PHOTO

E-COMMERCE platform Lazada Philippines said it is expecting to sustain double-digit sales growth this year as it pursues a strategy of tailored deals for a growing customer base.

“We continue to enjoy double-digit growth, and the aim is (to sustain that). Our proposition: we say to the buyers, we are trying to deliver always better, but even internally that is what we are pushing for,” according to Alvin Michael L. Ching, head of seller operations at Lazada.

“While I can’t detail exactly what we are doing in terms of the operation, there is a lot of work that will probably be very invisible, but it is meant really to be able to push better deals and better assortment to the buyers,” he added.

He said that the goal is to push the right deals and make smarter recommendations.

“We expect those to help us sustain the growth because it is hard to sustain growth if it is just about discounts and promotions,” he said.

“At some point it is going to be a price war, which at some point is not going to be sustainable. So we are going towards a different path of improving how we respond to the needs of customers,” he added.

He said that Lazada’s strategy involves influencing the algorithm to respond better to users, which the company expects to translate into more sales and buyers.

According to Mr. Ching, the platform posted growth in electronics, especially for high average selling price items.

“We also have beauty, fashion, groceries, and the mother and baby categories. And if you think about those, these are women’s categories,” he said.

“There is a big push towards categories because we are betting on that part of our demographic to be able to drive the sales, not just now but in the future,” he added.

This year, he said the growth drivers will also include product assortment and artificial intelligence (AI).

“We are very deliberate in terms of bringing in quality assortment. We want to be able to have everything under the sun in Lazada while being very specific in terms of the quality of this assortment,” he said.

“What we want to be able to do is actually have sellers who bring in things that we don’t have in the platform,” he added.

He said that Lazada has also invested in AI to recommend items to the buyers via search or via LazzieChat.

“There are a lot of resources that are going into it (AI). And I am not just talking about Lazada Philippines but, in general, the Lazada group. This involves, I guess, millions of dollars of investment in trying to make this happen,” he added.

He said that there is a push to focus on LazMall.

“LazMall has always been a strength of Lazada, and it is very driven by two main things: electronics and branded fashion. These ones do drive the sales,” he said. 

This month, Lazada will offer up to 90% off branded deals, up to P2,000 off campaign vouchers, and 100% free shipping with no minimum spend as part of its Birthday Blowout Sale.

The sale will run between March 24 and 29 to celebrate Lazada’s 13th year in the Philippines.

“We are extremely grateful for the continued trust and support of our community. Lazada’s journey has been fueled by a commitment to helping entrepreneurs, brands, and partners thrive in the online marketplace,” according to Carlos Barrera, chief executive officer of Lazada Philippines.

“As we celebrate this year’s Birthday Blowout Sale to thank shoppers nationwide for making Lazada their go-to online shopping destination, we’re even more determined to continue providing everyone with exceptional experiences,” he added. — Justine Irish D. Tabile

PNOC eyes offshore wind port project in Batangas

STOCK PHOTO | Image by Insung Yoon from Unsplash

STATE-RUN Philippine National Oil Co. (PNOC) plans to develop an offshore wind (OSW) integration port to support power generation by 2028.

“PNOC has been actively exploring the most suitable, feasible, and fastest way to have the offshore wind port ready for use by OSW developers,” Ma. Rowena C. Raymundo, PNOC’s senior vice president for energy investments, said in a Viber message last week.

The state-run firm has signed a memorandum of understanding with the provincial government of Batangas to explore developing an offshore wind integration port in the province.

Under the agreement, the parties will conduct scoping and feasibility studies, technical assessments, and data-sharing efforts to evaluate the project’s viability.

“At present, we are considering another property, also in Batangas, which may be more suitable due to its larger and flatter area,” Ms. Raymundo said.

She added that PNOC is assessing whether to develop the port independently or through a private partner. The company is also considering a straight lease business model for purely commercial use.

“While PNOC can allocate its own funds for this purpose, we believe a partnership with private investors with a proven track record in OSW port development would be most ideal,” she said.

The Philippines aims to generate its first offshore wind output by 2028 as part of efforts to diversify its energy mix and reduce reliance on fossil fuels.

“PNOC is committed to supporting the national goal of having the first kilowatt-hour from OSW by 2028,” Ms. Raymundo said.

“Despite the challenges, the DoE’s (Department of Energy) implementing arm is pursuing all means to advance OSW port development, recognizing that this infrastructure is one of the most critical gaps in the country’s OSW development,” she added.

Developing an OSW marshaling or integration port — used as a staging ground for assembling wind turbines — would require an estimated $100 million, she said.

PNOC initially planned to repurpose its port in Mabini, Batangas, for offshore wind integration, with at least three firms expressing interest in investing.

To date, the DoE has awarded 92 offshore wind energy service contracts with a potential capacity of 69,056 megawatts. — Sheldeen Joy Talavera

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