Tourists take photos at the so-called “Marlboro Country” in Mahatao, Batanes, March 29, 2025. — PHILIPPINE STAR/RYAN BALDEMOR
THE SHARE of the tourism industry in the Philippine economy rose to a five-year high of 8.9% in 2024, the Philippine Statistics Authority (PSA) said on Thursday.
Tourism direct gross value added (TDGVA) — an indicator of the economic contribution from tourism-related activities — jumped by 11.2% year on year to P2.35 trillion last year, preliminary data from the PSA showed.
However, TDGVA growth was slower than the 49.9% surge logged in 2023 and the slowest annual growth since the 10.3% expansion in 2020.
Despite the slower growth, the share of TDGVA to the economy rose to 8.9% in 2024, the highest share since the 12.9% recorded in 2019.
By industry, country-specific tourism characteristics goods – shopping accounted for 21.8% of the total with P512.68 billion. It was followed by miscellaneous services (20.2% share or P476.23 billion) and accommodation services for visitors (18.4% share or P432.9 billion).
Domestic tourism expenditure, which includes resident visitors’ spending within the country on a domestic trip or as part of an international trip, grew by 16.4% to P3.16 trillion last year.
Outbound tourism spending reached P345.68 billion in 2024, rising by 37.5% from P251.35 billion in 2023.
Inbound tourism expenditure, meanwhile, inched up by 0.4% annually to P699.99 billion.
Total employment in the tourism sector grew by 6.1% to 6.75 million in 2024. Tourism accounted for 13.8% of the total jobs in the country in 2024.
The majority of the tourism-related jobs were centered on miscellaneous activities. The health and wellness sector employed 1.83 million, accounting for a 27.1% share.
The accommodation and food and beverage sector had 1.69 million workers (25% share), while passenger transport had 1.67 million workers (24.7%).
Reinielle Matt M. Erece, an economist at Oikonomiya Advisory and Research, Inc. said easing inflation helped boost tourism spending last year.
“Lower inflation relative to 2023 and better economic conditions in the country may have encouraged tourists due to better prices,” he said in an e-mail.
Inflation averaged 3.2% in 2024, cooling from the 15-year high of 6% in 2023.
Last year, the Department of Tourism recorded 5.95 million visitor arrivals, falling short of its 7.7 million target.
“While Philippine tourism has made substantial progress — particularly in revenue generation — it hasn’t achieved full recovery in terms of visitor numbers, and the pace of recovery appears to be slowing in early 2025,” Leonardo A. Lanzona, Jr., an economics professor in Ateneo de Manila University, said in an e-mail.
Mr. Erece is optimistic that tourist numbers will improve this year.
“The strong domestic economy can also be a positive factor in improving local economies and their respective tourism potential,” he said. — LPQB
Any seasoned driver will tell you: driving is all about control. Whether you’re inching through a traffic jam or speeding through a highway, the more control you have — both over your vehicle and your own decisions — the safer and smoother the ride.
This principle is also steering the latest wave of innovation in automotive safety. As digital technology reshapes industries and regulations evolve in step with shifting driver behavior, car makers are responding with systems designed to put more control into the hands of drivers.
The most visible development is the pivot from passive to proactive safety.
For automobiles, Advanced Driver Assistance Systems (ADAS) have gone mainstream. Once exclusive to premium brands, features like lane-keeping assist, adaptive cruise control, automatic emergency braking (AEB), and 360-degree camera systems are now standard in mid-market vehicles. More advanced systems, powered by research into autonomous driving technology, are also being tested piecemeal and gradually rolled out on highways, with Tesla, BMW, and Honda leading deployments in the United States, European Union, and Japan.
Over the years, ADAS, which are basically a collection of intelligent safety and automation features designed to reduce human error, are introducing vehicle protection features in modern cars that are more about prevention than reaction. Instead of relying solely on seat belts, air bags, and the stringency of traffic laws, car makers are giving their vehicles features like automatic parking assistance, traffic sign recognition, and driver monitoring systems.
These systems are designed to enhance comfort and convenience of driving on the road, reducing driver fatigue and stress, and ensuring drivers can always make the best decisions.
Moreover, advancements in connected vehicle technologies, including Vehicle-to-Everything (V2X) communication and over-the-air (OTA) updates, create an environment in which vehicles can remain updated with the latest safety protocols and AI-powered driving enhancements.
Once the domain of luxury sedans and top-tier SUVs, ADAS that feature adaptive cruise control, blind-spot detection, even automatic evasive steering, have quietly become standard fare in many modern vehicles. The drop in sensor costs and the rise of smarter software have brought these features into even the most compact city cars, transforming the way everyday drivers experience safety.
Meanwhile, electric vehicle pioneers like BYD, NIO, and Rivian are raising the bar by pushing the boundaries of automobile innovation with AI-driven driver monitoring and seamless over-the-air updates.
Even vehicle tires are receiving upgrades. Automatic emergency braking systems (AEBs) are becoming an industry standard, and Goodyear’s SightLine smart tires can help drivers address blind spots in low-traction scenarios.
According to the company, it wanted to be able to detect obstacles on the road and when road conditions are dangerous. The automatic brakes would trigger with added braking distance to minimize collisions on the road.
“The AEB can be assertive way earlier,” Werner Happenhofer, vice-president of tire intelligence and e-mobility solutions at Goodyear, had said in reports. “They say, oh well, wait a minute, my maximum deceleration potential is probably just half a G because of the lower friction potential. Hence, the system would react way earlier if it spots a situation where a crash is imminent.”
Typical AEB systems are tuned for high-friction surfaces like dry asphalt, but Goodyear’s smart tire technology aims to prevent collisions even in low-friction environments like rain, snow, or ice.
“We follow the automotive embedded software standards,” Mr. Happenhofer said, “so we can integrate very easily with any of the OEMs and Tier 1 systems.”
macrovector | Freepik
Even for motorcycles, with their reputation as higher-risk vehicles because of their design and exposure to the elements, innovation is catching up. New models are coming out with features commonly found on cars such as blind spot, tailgate, and rear collision warnings. In luxury two-wheelers like the Ducati Multistrada, advanced assistance systems are enhancing rider safety levels via sensor technology, including radars.
Air bag jackets and smart helmets equipped with accelerometers and gyroscopes add an extra layer of real-time defense, some now paired with AR displays for safer navigation and communication.
A new era of risks and dangers
Yet, with all these developments that reduce physical risks come all new digital ones. Across the industry, reliability is becoming more defined by software as much as it is by hardware. As even roads and vehicles are now intertwined with digital technology, the need for cybersecurity becomes paramount.
For instance, the UNECE R-155 cybersecurity framework and Euro NCAP safety ratings are now influencing the industry’s development. Driver monitoring systems will be required in Europe by 2026, and it is expected that similar policies are emerging globally.
Moreover, software and digital connectivity are notoriously fallible. According to the annual dependability study conducted by global analytics, software, and consumer intelligence firm J.D. Power, drivers are becoming increasingly frustrated by connectivity problems and are citing it as the top issue concerning vehicle dependability.
Android Auto and Apple CarPlay connectivity was recorded as the top problem in the industry for a second consecutive year, with built-in Bluetooth systems (4.6 PP100) and Wi-Fi (2.4 PP100) also being cited among the top problems related to software defects this year.
“While software defects comprise only 9% of the total problems owners experience, as vehicles become more software-reliant, this risk becomes more prominent,” J.D. Power’s report said.
“Of the top 10 problems industry-wide, half are related to smartphone integration, usage or connectivity. Keeping pace with the rate of change in smartphone technology is a challenge for the auto industry. Over-the-air (OTA) updates provide automakers the opportunity to overcome out-of-date software, with 36% of owners indicating they performed an OTA on their vehicle during the first three years of ownership. However, only 30% of these owners say there was an improvement after the update, while 56% of owners say there was no noticeable improvement.”
J.D. Power’s “2025 U.S. Vehicle Dependability Study” is based on responses from 34,175 original owners of 2022 model-year vehicles after three years of ownership. The study was fielded from August through November 2024.
“While the increase in problems this year may be a thorn in the side of automakers and owners, it’s important to remember that today’s three-year-old vehicles were built during a time when the industry was grappling with major disruptions,” Jason Norton, director of auto benchmarking at J.D. Power, said. “Supply chain issues, record-high vehicle prices, and personnel disruption in the wake of the pandemic were problematic.”
As automakers continue to innovate and move past the disruptive effects of the pandemic, the industry will doubtless create new solutions to these lingering issues. Even in this new era of mobility, no matter how smart or fast or connected the world gets, the goal of modern vehicle design hasn’t changed: keeping the driver in command. — Bjorn Biel M. Beltran
While some car enthusiasts prefer quicker, flashier, and sturdier cars, some look for vehicles that focus on safety, reliability, and, most importantly, comfort.
When discussing what makes a car comfortable in the past, the conversation often began with how plush the seats are, the storage capacity and legroom of the vehicle, and the car’s overall smoothness in travel. In a sense, comfort was considered a matter of physical support and basic cabin ergonomics.
By these standards, most cars nowadays will be deemed comfortable. With regards to seats, contemporary models offer multi-way power adjustments, memory settings, lumbar support, and even built-in massage functions, especially in premium and executive-class vehicles. Some automakers even go the extra mile by using sustainable yet luxurious materials, like vegan leather or temperature-regulating textiles, to attract customers who are both environmentally conscious and seek comfort in their automobiles.
Legroom and storage space have also taken on greater significance as elements of a more flexible cabin design. As cars got bigger and accommodating to more passengers throughout the years, many models now feature modular seating, sliding second rows, and configurable cargo areas that allow owners to adjust the cabin based on their needs.
Meanwhile, engineering has made rides smoother through suspension systems, chassis tuning, and better tires. These features help vehicles absorb road imperfections, such as potholes in the city or undeveloped roads in rural areas, and adjust damping force in real-time, making sure that passengers feel fewer bumps and jolts.
However, as technology advanced, the demand for comfort in a vehicle became more complicated. Once cars became smooth and spacious, passengers sought more immersive, customizable, and even emotionally soothing in-car experiences. Car manufacturers then added what are now considered essentials and improved the atmosphere, convenience, and sensory engagement of vehicles.
More and more people began listening to music while driving to work or doing errands. As a result, what used to be a simple FM radio or CD player is now a fully integrated entertainment hub complete with high-fidelity sound systems. Manufacturers even configured the shape and acoustics of each cabin to deliver a rich, immersive sound experience. Additionally, with the rise of Apple CarPlay, Android Auto, and built-in streaming apps in most vehicles, passengers can instantly access their playlists, podcasts, or audiobooks, making the ride feel more personal and enjoyable.
Depending on the climate, cars nowadays have air-conditioning or heating adjustable to the user’s preferred temperature. In more advanced vehicles, ventilated and heated seats, automatic dehumidifiers, and cabin air filters have become must-have features as they enhance both physical comfort and overall health. Furthermore, air purification systems and scent diffusion technology are available in premium cars and turn cabins into serene, spa-like environments, ideal for long drives or stressful traffic here in the country.
Comfort features in vehicles have catered to the consumerist behavior of Filipinos as well, like snacking on-the-go, grabbing coffee during a commute, or even enjoying meals during breaks on long road trips. Cupholders with cooling and heating functions, center console chillers, or foldable tray tables have begun to spring up in cars as more people have begun using their automobiles as extensions of their daily lives.
Comfort redefined
Amidst the rise of modern lifestyles, which integrate the use of smartphones and artificial intelligence to make daily tasks easier, the definition of what makes a vehicle comfortable has begun to shift once again. Comfort in vehicles has transformed from physical convenience to sensory engagement to what is currently happening: the integration of intelligent systems that anticipate needs, reduce stress, and create a calm, cocooned environment inside the cabin.
One key advancement is the rise of smarter vehicle technologies that actively enhance the riding experience and make driving easier and safer. Cars now come equipped with adaptive cruise control, lane-keeping assist, and traffic jam assist, which help reduce the fatigue of navigating congested urban roads, especially in metro areas like Manila. Features such as automatic seat adjustments based on driver profile, pre-set ambient lighting themes, and predictive navigation have also made driving more intuitive and tailored.
Some newer electric vehicles (EVs) and hybrids, while already revolutionary due to their sustainability, have also contributed to the change with their unique features like one-pedal driving, regenerative braking, and silent electric motors that significantly cut down on noise and vibration inside the vehicle. Combined with improved insulation materials and active noise cancellation technology, some of today’s most advanced models offer an interior so quiet, passengers can hold conversations in hushed tones even while cruising quickly.
These quieter cabins not only reduce auditory fatigue but also complement the sophisticated sound systems and personal entertainment experiences passengers now expect. Some high-end models even feature sound zones that let different passengers listen to separate media without disturbing each other.
Additionally, vehicle intelligence and connectivity have also brought peace of mind to drivers. With real-time diagnostics, automatic emergency alerts, and smartphone integration for remote access that can be seen in their entertainment systems, cars can now inform owners when maintenance is due, when tire pressure drops, or even when an object is detected in the blind spot. These features make owning and driving cars hassle-free, less confusing, and more comfortable.
This shift towards more intelligent, comfortable, and relaxing vehicle can be observed in Toyota Motor Philippines Corp.’s much-anticipated reintroduction of the iconic Tamaraw. Once known as the rugged workhorse of Filipino families and small businesses, the Tamaraw is returning to combine its well-known reliability with modern-day comfort and intelligence.
The vehicle comes equipped with a touchscreen infotainment system with Apple CarPlay and Android Auto, where passengers can play music or navigate while on the go. Some models also feature rear air-conditioning systems, allowing passengers to stay cool during long drives. Likewise, it’s built for a smoother, quieter ride thanks to better suspension and insulation.
With the many features that come with any vehicle today, comfort has become a given. Modern vehicles are made to offer the kind of ease and calm that turns every drive into a more pleasant experience. As car manufacturers continue to push forward, car enthusiasts and prospective car owners can expect the vehicles of tomorrow to be safer, faster, and more comfortable. — Jomarc Angelo M. Corpuz
Road accidents continue to claim more lives each year, with official data showing a sharp rise in fatalities. From January to November 2024, the Metropolitan Manila Development Authority (MMDA) recorded 62,723 incidents. These crashes killed 332 people.
Four-wheeled vehicles remain the most involved in road accidents, making up 54% of total cases, followed by motorcycles at 22.03%, and trucks at 7.41%. Traffic-related deaths remain the top cause of mortality among those aged 15 to 29, according to the Philippine Statistics Authority (PSA).
Beyond the human cost, road crashes create a major economic burden. In fact, the World Health Organization (WHO) estimated that road traffic injuries cost the Philippines about 2.6% of its gross domestic product, which includes medical expenses, emergency services, loss of productivity, and vehicle damage.
With the current pace of road-related deaths and injuries, the government and the private sector face growing pressure to address the issue not just as a transport challenge, but as a national public health and economic problem that demands urgent attention.
The government is taking a big step to make roads safer with the Philippine Road Safety Action Plan that aims to reduce road traffic deaths by 35% by 2028. The Department of Transportation (DoTr) is leading the rollout from how roads are built to how crash victims are treated.
The DoTr is currently strengthening its coordination across government agencies through road safety management. The department wants to improve how crash data is collected and analyzed while supporting more research on traffic incidents.
The government also intends to push for better land-use planning and improve access to public transport. Part of the plan involves aligning policies with international safety standards and involving more stakeholders in both planning and execution.
The government is also putting safety when planning, constructing, and maintaining roads. Future road designs are mandated to give equal attention to all road users, not just cars, to make streets more accessible and safer for the most at-risk groups.
Under vehicle safety, the DoTr is tightening the rules on vehicle registration and inspection to make sure all units meet proper safety requirements. Public utility vehicles and private fleets are undergoing stricter monitoring by a new audit team.
On road user behavior, government agencies are launching larger information drives to promote safer driving and raise awareness about traffic rules. At the same time, enforcement of existing laws will be stepped up, with particular attention to issues such as speeding, driving under the influence, distracted driving, and the use of helmets by motorcyclists.
Private companies and nongovernment organizations are also stepping up efforts to make the country’s roads safer. For instance, Toyota Motor Philippines is teaming up with nonprofit group ACTION to push for safer roads through “Tamang Ride,” a road safety advocacy program designed to educate the public and improve driving behavior across the country.
The initiative aims to tackle long-standing safety issues on Philippine roads by backing programs that teach proper road use and responsible driving. Toyota will fund the development and production of safety materials and driving education programs under the campaign.
In some cases, Toyota is offering a free vehicle safety inspection. The inspection typically includes checking of lights, tires, brakes, and fluids. — Mhicole A. Moral
GOKONGWEI-LED property developer Robinsons Land Corp. (RLC) is infusing nine malls into its real estate investment trust, RL Commercial REIT, Inc. (RCR), under a P30.67-billion property-for-share swap.
The malls, with a combined gross leasable area (GLA) of 324,107.75 square meters (sq.m.), will be exchanged for 3.83 billion primary common shares of RCR priced at P8 apiece.
The malls to be infused include Robinsons Dasmariñas, Robinsons Starmills, Robinsons General Trias, Robinsons Cybergate Cebu, Robinsons Tacloban, Robinsons Malolos, Robinsons Santiago, Robinsons Magnolia, and Robinsons Tuguegarao.
The transaction, supported by an accredited appraiser and a third-party fairness opinion, is subject to regulatory approvals and will be presented during a special shareholders’ meeting on Aug. 13.
RLC and RCR approved the transaction in separate board meetings on Thursday, the companies said in separate disclosures.
Trading of RCR shares was suspended for one hour on Thursday afternoon following the announcement of the asset infusion.
The transaction will add to RCR’s existing portfolio, which currently consists of 828,000 sq.m. of GLA — comprising 12 mall assets with 289,000 sq.m. of GLA and 17 office assets with 539,000 sq.m. of GLA.
In 2023, RLC infused 13 mall and office properties worth P33.9 billion into RCR.
DragonFi Securities, Inc. Equity Research Analyst Jarrod Leighton M. Tin said in a Viber message that the transaction will expand the geographic footprint of RCR’s mall portfolio.
“With this addition, RCR’s mall count will rise from 12 to 21, and its mall GLA will grow 112% to over 613,000 sq.m. — now exceeding its office GLA,” he said.
“This marks another step in RCR’s transformation into a multi-asset REIT, bringing in high-yielding retail assets to support long-term dividend-per-share growth,” he said.
Mr. Tin said the infusion may bolster RCR’s prospects for inclusion in the Philippine Stock Exchange Index (PSEi), which features the 30 most actively traded and capitalized local stocks.
He added that the P8 share price in the transaction reflects a 13.3% premium over RCR’s last traded price of P7.06 per share as of Thursday.
“The enlarged asset base and public float further strengthen RCR’s case for PSEi inclusion. RCR is optimizing its portfolio with more retail exposure instead of office exposure, which has been facing some weakness with the office oversupply,” Mr. Tin said.
China Bank Capital Corp. Managing Director Juan Paolo E. Colet said the asset infusion will diversify RCR’s portfolio and reinforce its position as “one of the country’s top REITs.”
“Mall assets are seen as attractive given favorable consumer trends. The valuation is fair and we expect the deal to be dividend-accretive,” he said in a Viber message.
AP Securities, Inc. Research Analyst Cholo Miguel C. Ramirez said the transaction is expected to lead to higher rental income and dividend payouts for RCR.
“The continued dividend growth supports the management’s goal of tripling its market cap from P100 billion to P300 billion. The current market capitalization is at P112 billion, from P92 billion by end-2024,” he said in a Viber message.
Meanwhile, Unicapital Securities, Inc. Research Head Wendy B. Estacio-Cruz said in a Viber message that RCR’s public float will increase to 34% following the transaction, exceeding the 33.33% minimum public ownership requirement under the law.
“Given the strong earnings growth of shopping malls over the past two years, malls are expected to make up the bulk of RLC’s future asset infusions into RCR,” she said.
Last month, RLC said it is targeting P25 billion in net income by 2030 as part of its Vision 5-25-50 roadmap, which coincides with its 50th anniversary. One of the roadmap’s key strategies is to leverage RCR to grow its portfolio.
For the first quarter, RCR’s net income rose by 47% to P1.66 billion, supported by steady occupancy rates and last year’s asset infusion. RLC’s attributable net income increased by 4% to P3.48 billion, driven by the growth of its malls, offices, hotels, and logistics segments.
On Thursday, RLC shares rose by 1.57% or 20 centavos to P12.96 apiece, while RCR shares gained 0.86% or six centavos to close at P7.06 each.
VIVANT CORP. plans to invest around P46 billion to expand its renewable energy (RE) capacity portfolio by 2030, the company’s top official said.
“Looking ahead, we aim to significantly expand our generation portfolio with a substantial portion coming from renewable energy sources. To date, we remain on track to reach our target of 30% RE capacity by 2030,” Vivant Chief Executive Officer Arlo G. Sarmiento said during the company’s annual stockholders’ meeting on Thursday.
“To bring this portfolio to life, we are projecting a cumulative project investment of roughly P46 billion between now until 2030,” he added.
The planned investments will support project development, joint ventures, and the continued expansion of the company’s clean energy footprint, he said.
Among its pipeline projects, Vivant expects its 22-megawatt-peak (MWp) solar power project in San Ildefonso, Bulacan to commence commercial operations within the year. Mr. Sarmiento said major construction activities are underway at the site.
The company is also preparing for the development of the 206-megawatt (MW) Lihangin Wind Energy project in Northern Samar, which is scheduled to begin commercial operations by 2027.
The wind project is a joint venture among Vivant Energy Corp., Aboitiz Renewables, Inc., and Vena Energy.
“As we move toward 2030, our 30 by 30 target will support the country’s 50 by 50 energy transition, while enabling us to grow with responsibility and resilience,” Mr. Sarmiento said.
For 2024, the company has allocated P4.5 billion in capital expenditures, with the bulk of the funding intended for RE projects, including solar and wind developments.
Vivant has investments in power generation, power distribution, and the retail electricity supply business. It also has a presence in the water sector, with projects in bulk water supply, wastewater treatment, and water distribution.
The company posted a 3% year-on-year increase in attributable net income to P2.4 billion in 2024, driven by double-digit earnings growth in its energy business.
Consolidated revenues rose by 48% to P12.2 billion, primarily due to higher sales volumes from certain power generation assets, the retail electricity supply business, and solar rooftop operations. — Sheldeen Joy Talavera
Energy Regulatory Commission (ERC), through its Consumer Affairs Service—Mindanao Area Operations Division, conducted testing and calibration of the National Grid Corporation of the Philippines’ instrument transformers in Davao City. — www.facebook.com/ERCgovPH
Since being established in June 2001, under the Electric Power Industry Reform Act (EPIRA), the Philippine Energy Regulatory Commission’s (ERC) value to the Filipino people has been inestimable, guiding the nation’s electricity landscape toward competition, affordability, and sustainability, way before it was common practice.
For over 24 years, it has implemented landmark reforms and has authored crucial rulings governing today’s energy market while leading the digital transition at the energy sector.
Before the passing of EPIRA, the energy sector in the Philippines was operated and maintained by the Philippine government through the National Power Corp., which practically controlled the whole of the industry. From this, EPIRA divided the electric power industry into four, namely, generation, transmission, distribution, and supply. This led to the founding of three key institutions: the quasi-judicial ERC, the National Transmission Corp. (TransCo), and the Wholesale Electricity Spot Market (WESM).
Under the EPIRA, power generation was opened to competition and made accessible to the energy giants supplying power to Filipinos today. The transmission and distribution of electricity remained regulated activities, falling under the rate-setting authority of the ERC. Furthermore, supplying electricity to the contestable market was no longer classified as a public utility function, which meant that suppliers were not required to obtain a national franchise. In a sense, the founding of the ERC in itself laid the foundation for the competitive and highly sustainable energy sector in the present.
Once established as a regulatory body, the ERC began to promote competition, encourage market development, ensure customer choice, and penalize abuse of market power. One of the first regulatory acts carried out by the commission was to unbundle power rates and promulgate grid and distribution codes. These efforts created a more transparent and accountable energy sector by allowing consumers to see the true cost of electricity generation, transmission, and distribution.
In 2009, the ERC implemented a regulatory approach and procedure for resetting the rates of power distribution utilities and the National Grid Corporation of the Philippines (NGCP) based on a “performance-based regulation” (PBR) framework. At present, both distribution utilities and the transmission operator use this same framework when submitting applications for their revenue requirements or during rate reviews. Essentially, the PBR framework encourages regulated entities to operate more efficiently and competitively by tying their performance to the rates they are allowed to charge.
By 2010, the ERC rolled out the country’s first Feed‑in Tariff (FiT) rules pursuant to the Renewable Energy Act of 2008. FiTs are mechanisms designed to encourage the development and use of renewable energy sources by guaranteeing a set price, usually higher than the market price of electricity from conventional sources, for electricity generated from renewable sources like solar, wind, or hydro.
ERC Chairperson and CEO Atty. Monalisa C. Dimalanta joined one of the panels at the BusinessWorld Economic Forum last May. — The Philippine Star/Russel Palma
The mechanism laid out by the ERC 15 years ago enabled the country, in part, to become the second-most attractive emerging market for renewable energy (RE) investment, according to the 2024 Climatescope report by BloombergNEF. This also led to booming investments like the Northwind Power Phase II located in Bangui, Ilocos Norte and the MW Sevilla Mini-Hydro located in Bohol.
Three years later, the commission adopted ERC Resolution 09, Series of 2013, approving the Rules Enabling the Net-Metering Program for Renewable Energy. Another step toward sustainability, the resolution allowed customers of distribution utilities (DUs) to install an on-site RE facility, usually solar panels on roofs, not exceeding 100 kilowatts (kW) in capacity so they can generate electricity for their own use. Furthermore, any electricity generated that is not consumed by the customer is mandated to be automatically exported to the DU’s distribution system which is then converted to peso credits deducted to the customer’s electricity bill.
Right before the pandemic, the Supreme Court ordered the ERC to revise its methodology and calculations stemming from a petition filed by the National Association of Electricity Consumers for Reforms that sought the courts to assail ERC’s approval of Manila Electric Co.’s (Meralco) unbundled rates in 2003. The Court highlighted that determining “just and reasonable rates” involves striking a balance between the interests of consumers and those of investors.
Recently, challenges brought about by the coronavirus disease 2019 (COVID‑19) and urgent climate goals prompted the ERC to revamp regulations for modern sector demands. One of the immediate responses by the commission was to ensure continuous and reliable electricity service during lockdowns, while also protecting consumers from sudden rate hikes and service disruptions. This included issuing advisories on deferred billing, staggered payments, and ensuring that distribution utilities were providing the appropriate lifeline and subsidy rates to vulnerable customers.
Data- and sustainability-driven governance
One of the few silver linings of the pandemic was that it accelerated the shift toward digital services across industries, including the ERC. In 2023, the commission launched “ERC LINKod,” an internal system designed to improve efficiency in processing applications and monitoring cases. This platform has helped streamline regulatory operations by providing automated updates, enabling better coordination among stakeholders, and increasing transparency in regulatory processes.
The ERC conducted a series of inspections, surveillance activities, and testing and calibration procedures last April to verify the compliance of several distribution utilities or electric cooperatives with technical standards and regulatory requirements. — www.facebook.com/ERCgovPH
To further its effort to digitalize services, the ERC unveiled a suite of new digital tools aimed at improving transparency and consumer empowerment just last year. Among these was the Energy Virtual One-Stop Shop (EVOSS) Dashboard, which consolidates critical data on compliance, licensing, and project status. This tool has reduced red tape and enabled investors and developers to track their applications in real time.
Additionally, the ERC Procurement PH platform was launched to give the public access to bidding information, procurement contracts, and notices, effectively reinforcing accountability within the organization. The dashboard provides data on procurement documents like bid bulletins, purchase orders, and notices of award, as well as ERC’s audit trail and project publishing.
Meanwhile, BuyYourElectricity (BYE), a consumer-facing platform, helps end-users compare power suppliers and understand their billing better, thus encouraging informed consumer choices in the retail electricity market. Launched just six months ago, the website aims to empower consumers with tools to make informed decisions about their Retail Electricity Suppliers (RES).
These digital advancements reflect ERC’s broader shift toward data-driven governance, which aligns with international best practices and the Philippines’ commitment to a cleaner, more inclusive energy future.
Another major area of regulatory innovation has been the implementation and expansion of Retail Competition and Open Access (RCOA). As mandated by EPIRA, RCOA allows eligible end-users to choose their own supplier instead of being limited to their local distribution utility. By enabling more competitive procurement of electricity, RCOA aims to lower electricity costs and promote efficiency among power producers.
Aside from feed-in tariffs and net-metering, the ERC has supported the rollout of other initiatives advancing sustainability in the energy sector, namely the Renewable Portfolio Standards (RPS) and the Green Energy Option Program (GEOP). While not a program directly under the commission, the ERC enforces compliance with these programs and ensures that the associated costs are fairly and transparently reflected in electricity rates.
Under RPS, electricity suppliers are required to source a specific portion of their energy from renewable sources. This creates a steady demand for clean energy and ensures a diversified energy supply. GEOP, on the other hand, allows eligible consumers to choose renewable energy as their power source from licensed suppliers.
With its ongoing digital transformation, deepening of technical expertise, and strengthened institutional independence, the ERC is well-positioned to steer the country’s power sector into a future that is cleaner, more competitive, and more inclusive. — Mhicole A. Moral
IN PHOTO (L-R): Ayala Corp. Head of Corporate Strategy and Business Development Mark Robert H. Uy, Treasurer Estelito C. Biacora, Chief Legal Counsel Franchette M. Acosta, Comptroller Josephine G. De Asis, Deputy CFO Juan Carlos L. Syquia, CFO Alberto M. de Larrazabal, SEC Commissioner McJill Bryant T. Fernandez, SEC Chairperson Francis Edralin Lim, PSE President and CEO Ramon S. Monzon, COO Roel A. Refran, PSE Head of Issuer Regulation Division Marigel Baniqued-Garcia, and PSE General Counsel Veronica V. Del Rosario. — Ayala Corp.
LISTED conglomerate Ayala Corp. raised P20 billion from a preferred share offering that was listed on the Philippine Stock Exchange (PSE) on Thursday.
The offering consisted of the re-issuance of five million preferred Class “B” shares, with an overallotment option of up to five million shares, both priced at P2,000 per share.
The preferred shares are payable quarterly with an initial dividend rate of 6.2903% per annum.
“The successful re-issuance and listing amidst global market uncertainties of our preferred Class ‘B’ shares reflects the enduring support of the investing public in both Ayala and the Philippine capital markets,” Ayala President and Chief Executive Officer Cezar P. Consing said in a pre-recorded message during the listing ceremony.
“The Ayala Group accounts for 24% of the total outstanding preferred shares in the domestic market,” he added.
Ayala Corp. will use the proceeds from the offering to repay short-term bank loans, fund general corporate purposes, and finance capital expenditures.
“This issuance underscores the continued ability of Philippine corporate issuers like Ayala Corp. to access capital markets effectively, supporting their growth and optimizing capital despite uncertain and volatile market conditions,” Ayala Corp. Chief Finance Officer Alberto M. de Larrazabal said.
Meanwhile, PSE President and Chief Executive Officer Ramon S. Monzon said during the listing ceremony that Ayala Corp.’s follow-on offering of preferred shares was oversubscribed by 1.87 times.
“This is a testament that offerings will continue to attract capital if the issuer is known and proven to be responsible, relevant, and sustainable, generating not only profit for its shareholders but creating value for all its stakeholders,” he said.
For the first quarter, Ayala Corp. reported a 4% decline in net income to P12.6 billion due to weaker contributions from its power and telecommunications units.
Shares of Ayala Corp. were unchanged at P558 apiece on Thursday. — Revin Mikhael D. Ochave
The ERC conducted testing and calibration of Instrument Transformers and Electronic kWh Meters for contestable customers transitioning to the Competitive Retail Electricity Market in Mindanao. — www.facebook.com/ERCgovPH
As a quasi-judicial and independent regulatory body, the Energy Regulatory Commission (ERC) is mandated to issue and approve rules, guidelines and policies that govern power rates, service quality and licensing. But more than technical regulation, the commission is focused on educating the public about their rights as consumers and ensuring they are not at a disadvantage in the electricity market.
The ERC enforces consumer protection through the Magna Carta for Residential Electricity Consumers to ensure fairness, accountability, and transparency in the delivery of electricity services to households.
The charter guarantees that residential consumers have access to a continuous and secure power supply. It also sets clear rules for fair pricing, proper billing procedures, and the timely investigation of complaints.
Utility companies, on the other hand, must treat all customers with courtesy and without discrimination. Monthly billing statements are required to follow the ERC-approved format that must be itemized, delivered on time, and made payable at authorized payment centers.
The ERC mandates that all meters must be tested, certified, and sealed before installation. These meters must fall within an acceptable range of accuracy. Consumers are entitled to one free meter test every two years. Should the meter be found defective or fast, the consumer is entitled to a refund for any overbilling that occurred.
To avoid sudden service disconnections, utilities are required to issue a disconnection notice at least 48 hours before power is cut off. Power cannot be disconnected after 3 p.m., on weekends, or during holidays. In cases where a death occurs in the household or there are documented medical reasons, disconnections are not permitted.
The Magna Carta allows households to pay under protest while disputing their bill. This method ensures their electricity remains active while the issue is under investigation. Consumers may also file complaints directly with the ERC if their utility fails to address issues adequately.
In 2023, the ERC launched LINKod, a digital platform aimed at reducing delays in processing complaints and increasing transparency in the energy sector. The platform includes a Consumer Complaints Ticketing System (CCTS), an Online Filing and Application System (OFAS), and a Billing and Revenue System-Cashiering System (BRS-CS) to allow consumers and industry players to file documents, monitor complaints, and complete transactions without going to the ERC’s offices.
Electricity companies are also expected to benefit from LINKod, as the system provides an online channel for submitting regular reports and taking part in the Competitive Retail Electricity Market.
Last March, the commission officially adopts the Alternative Dispute Resolution (ADR) Policy through Resolution No. 5, Series of 2025 to allow more efficient options for resolving conflicts between consumers and providers. The ADR policy provides structured processes such as mediation, negotiation, arbitration, and expert evaluation to avoid lengthy legal proceedings.
Meanwhile, the ERC issued new omnibus rules to strengthen consumer choice and promote a more competitive energy market. These updated guidelines merge several key consumer programs under one framework, including the Retail Competition and Open Access (RCOA), the Retail Aggregation Program (RAP), the Green Energy Option Program (GEOP), and rules on Distributed Energy Resources.
Under RCOA, qualified electricity users can choose their power suppliers to create more competitive prices and better services. The RAP, on the other hand, allows two or more users within the same franchise area to combine their electricity demand and register as one customer.
The omnibus rules also revise the requirements for Retail Electricity Suppliers. To ensure financial stability, suppliers must now meet a minimum tangible net worth of P15 million before they can apply for a license. In addition, the ERC will evaluate license applications using performance indicators such as customer satisfaction, adherence to rules, and service efficiency. — Jomarc Angelo M. Corpuz
CITICORE RENEWABLE Energy Corp. (CREC) has completed a $120-million (P6.8 billion) share subscription agreement with Indonesia’s state-owned PT Pertamina Power Indonesia (Pertamina NRE), the renewable energy developer said on Thursday.
The transaction involves Pertamina NRE’s subscription to a 20% interest in CREC, the company said in a media release.
Under the partnership, the two companies will jointly explore renewable energy investments in Indonesia, including the potential development of solar and wind power projects, as well as collaboration on carbon credit development and trading.
“With Pertamina NRE, we can view the energy transition through a different lens and create responsive, collaborative solutions for clean energy in the Philippines and Indonesia,” CREC President and Chief Executive Officer Oliver Tan said.
CREC, directly and through its subsidiaries and joint ventures, manages a diversified portfolio of renewable energy generation assets, power project development operations, and retail electricity supply services.
At present, the company has a combined gross installed capacity of 287 megawatts (MW) from its solar facilities in the Philippines. It also has four wind power projects with a total planned capacity of 803 MW.
“We are leading the charge in Indonesia’s renewable energy transition, and our partnership with Citicore, with their expertise and experience in RE development, is a way to elevate our capability in RE development, as well as a big step in accelerating our clean energy goals,” Pertamina NRE Chief Executive Officer John Anis said.
Mr. Anis said the company is committed to supporting CREC and the Philippines with its “own expertise, technology, and best practices.”
Energy Assistant Secretary Mylene C. Capongcol, who witnessed the signing, said the partnership will not only help advance clean energy targets but also signals the need for active support for energy cooperation and sustainable development in Southeast Asia.
“Both Indonesia and the Philippines share common energy concerns, being dependent on coal-fired power plants and seeking an orderly transition to cleaner technologies,” Ms. Capongcol said.
“A heightened level of cooperation between our countries offers potential benefits across economic, environmental, and geopolitical dimensions through collaboration on energy transition and renewable energy,” she added.
Pertamina NRE is a wholly owned subsidiary of Indonesia’s state-owned energy company Pertamina. It is responsible for managing all power generation and new and renewable energy development, focusing on gas-based power generation, geothermal energy, other renewable sources such as solar and wind, and green initiatives such as nature-based solutions and carbon-related businesses. — Sheldeen Joy Talavera
ST. LUKE’S Medical Center (SLMC) plans to complete its P12-billion hospital in Parañaque City by 2030 as part of efforts to expand its portfolio of healthcare facilities in the Philippine capital.
“We will start (building) in the latter part of this year or early next year, and we are hoping to open the door of that hospital to patients by 2030,” SLMC President and Chief Executive Officer Dennis P. Serrano told reporters on Thursday.
The planned St. Luke’s Aseana will be SLMC’s third hospital in Metro Manila. It currently operates facilities in Quezon City and Bonifacio Global City.
“The structure itself is going to be around P12 billion, that is just for the structure. It does not include the costs for the Magnetic Resonance Imaging machines, CT scans, or beds,” Mr. Serrano added.
He said the project was delayed to 2030 due to the need to integrate “smart readiness” into the hospital’s design. The original target for completion was 2029.
“Our need for smart readiness, we had to go back to the design,” he said when asked about the cause of the delay.
Mr. Serrano said the 500-bed hospital will be equipped with the latest technology to make patient care more convenient.
He said patients will be able to schedule blood tests via their mobile devices to avoid queueing.
“All the laboratory tests are automated, and giving out the results will also be automated,” he added.
He said patient monitoring will be centralized in the new facility, allowing doctors and nurses to monitor the vital signs of more patients simultaneously. — Adrian H. Halili
AFTER a two-year hiatus, the International Silent Film Festival (ISFF) in Manila will once again be bringing together cultural institutions, musicians, and film lovers in a celebration of cinema, music, and international collaboration.
Scheduled for July 11 to 13 at the Shangri-La Plaza in Ortigas, Mandaluyong City, the festival will showcase five films from Spain, Italy, Japan, Austria, and Germany. They have each been paired with five sets of Philippine musicians who will perform live scoring at the screenings.
This year’s edition has the exclamation point as its central symbol.
“In the spirit of silent film, where expression is everything and every gesture is heightened, the exclamation point becomes a fitting emblem for a festival that seeks to amplify its voice in silence,” said the festival’s film programmer, Eunice Helera, at the June 17 press conference.
“It signals a bold return, a shared declaration: we’re back,” she added.
UNIQUE COLLABORATIONS For the Spanish-language film this year, Instituto Cervantes selected Gigantes y Cabezudos (1936), which follows a young man returning from a war tour in the Philippines to meet his lover in Spain.
Its festive atmosphere, since it centers on the lovers at a folk parade, will be given a contemporary twist thanks to the scoring by jazz-hip hop-electronic-pop band Psychic Surgeons, delivering something “cinematically Spanish but musically Filipino,” according to Instituto Cervantes de Manila Director Francisco Javier López Tapia.
For Psychic Surgeons band member Gabriel Lazaro, the band’s style is “perfect for the film.”
“It’s visually stunning and very surreal, which is something we’re personally attracted to,” he told BusinessWorld.
Fra Diavolo (1925) is the selection provided by the Philippine Italian Association, specifically chosen by their musician collaborator, Pepe Manikan. He and his Progharmonic Orchestra also provided live music at the last ISFF in 2022.
“I chose the film because it’s fun and has a lot of action and adventure. We’ll also be doing live foley sound effects,” Mr. Manikan said. “The film is actually about trying to stop an invasion, which is a theme that’s very relevant now, that fight for sovereignty.”
He added that people can expect a “fusion of genres,” from jazz and progressive rock to more traditional film score elements.
Meanwhile, the Goethe-Institut Philippinen is bringing in Wie sich das Kino rächt (1912), a comedy about a film censor being pranked by various filmmakers. The live scorers for it will be experimental duo Ma.Ma, made up of sound artists Alyana Cabral and Joee Mejias.
INCLUSIVE SELECTIONS Japan Foundation Manila’s film this year is The Scent of Pheasant’s Eye (1935), about a high school girl who falls in love with her sister-in-law. It is adapted from Nobuko Yoshiya’s stories about romantic female friendships titled Tales of Flowers, published from 1916 to 1924, a pioneer of lesbian sexuality in Japanese literature.
“We found this film at the National Film Archive of Japan. A person told me about this and its relation to queer cinema, and I enjoyed finding out about its history and wanted to share it with more people,” said Eisuke Matsuda, assistant director of the Japan Foundation.
In line with the film’s themes, they invited three female Filipino musicians — Teresa Barrozo, Pat Sarabia, and Mariah Reodica — to do the live scoring for the film. They will also be joined by a female benshi, or Japanese silent film narrator, Nanako Yamaguchi, providing a rare cultural experience.
Finally, The Life of Beethoven (1927) is the selection from the Austrian Embassy. The biopic on Ludwig van Beethoven will be live scored by an orchestra assembled by Hearlife Verein, a non-profit foundation for deaf children in the Philippines.
Nina “Tosh” Jacob-Soliven, Hearlife’s program director, said that Mariel Ilusorio will lead the musicians, including a string quartet, teenage sopranos from the Association of Royal Schools of Music in the UK, and a partially deaf pianist who has a cochlear implant.
“Our NGO (non-governmental organization) works with deaf children, and we all know Beethoven himself became deaf. We have a deaf musician, and we’ll have a sign language translator for the deaf community we invited to come,” she said. “It’s a silent film, so it will be more inclusive in all aspects.”
The festival runs from July 11 to 13 at Shangri-La Plaza, with a pocket screening taking place on July 14 at Cine Adarna, UP Film Center, in Quezon City. Admission is free. — Brontë H. Lacsamana
