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Analysts: More EDCA sites to deter Chinese encroachment

CHINA COAST GUARD VESSEL 5901, nicknamed the “monster ship,” off the coast of Capones Island, Zambales on Jan. 4, 2025. — PHILIPPINE COAST GUARD

By Kenneth Christiane L. Basilio, Reporter

MANILA should consider setting up more joint military bases with Washington under their Enhanced Defense Cooperation Agreement (EDCA) as China levels up its encroachment on Philippine waters, according to security experts.

Philippine President Ferdinand R. Marcos, Jr. should reconsider his rejection of calls to create more EDCA bases, said Joshua Bernard B. Espeña, who teaches international relations at the Polytechnic University of the Philippines.

“Mr. Marcos should consider adding more EDCA sites to further enhance intelligence, surveillance and reconnaissance and force projection capabilities,” he said in a Facebook Messenger chat. “This is direly needed if Manila is serious about operationalizing the comprehensive archipelagic defense concept.”

“We must develop more EDCA sites while there is still time,” he added.

Mr. Marcos in 2023 gave the US access to four more military bases under the EDCA. These were on top of the five bases that US troops had access to.

Mr. Marcos has since said his government has no plans to open more joint military bases.

China and the Philippines have been at loggerheads over disputed features in the South China Sea, Claims the waterway almost in its entirety.

Manila has accused China’s coast guard of aggression, while Beijing is furious over what it calls repeated provocations and territorial incursions.

China is expected to ramp up its “aggression” under its sweeping South China Sea claim this year, said Raymond M. Powell, a fellow at Stanford University’s Gordian Knot Center for National Security Innovation.

Beijing asserts its sovereignty claim over the South China Sea through an armada of coast guard ships, despite a United Nations-backed court ruling in 2016 that voided its claim for being illegal.

“China’s aggression in the West Philippine Sea is likely to only increase,” Mr. Powell said via Messenger chat. “It has shown both the will and capability to push its sovereignty claims.

The Chinese Embassy in Manila did not immediately reply to a Viber message seeking comment.

The sea dispute between the Philippines and China started escalating in 2012 after a standoff at Scarborough Shoal, but tensions boiled as early as the 1990s when Beijing and Manila were engaged in a naval skirmish at Mischief Reef, according to US think-tank Council on Foreign Relations. The reef is just 250 kilometers off the major Philippine island of Palawan.

Beijing would likely escalate its claim through “swarming methods” while leveraging diplomatic tactics and propaganda to strengthen its hold and legitimize its claim in the waterway, Mr. Espeña said.

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Setting up more joint bases with the US could result in “new airstrips, berthing areas, ports and logistic centers to sustain operations and cover the large swathe of the South China Sea,” he added.

“At the strategic level, this may provide the Philippines with a thicker shield to defend itself and a sharper sword to draw against China,” he said.

But efforts to increase EDCA military bases should not be communicated in a manner that would antagonize China, said Chester B. Cabalza, founding president of Manila-based International Development and Security Cooperation.

Instead, the bases should be a means to enhance interoperability between US and Philippine forces for the sake of “peace and order in the region,” he said via Messenger chat. “Otherwise, China will retaliate against our hawkish anti-Chinese defense policy. And it will become a vicious cycle of vengeful attitudes toward each other.”

Philippine authorities should also empower the Philippine Navy and Philippine Coast Guard to boost their presence in the South China Sea, said Don Mclain Gill, an international studies lecturer at De La Salle University in Manila.

“Maritime law enforcement agencies such as the Philippine Coast Guard (PCG) and Navy [need to be supported so they could] actually monitor and enforce our maritime space,” he said in a voice message via Facebook Messenger.

Manila should acquire more ships to increase sea patrols within the country’s exclusive economic zone, he added.

The PCG is set to acquire 49 new ships from France and Japan by 2027, Commandant Ronnie Gil L. Gavan said last year. Two corvette warships and six offshore patrol programs are in the pipeline for the Navy acquisition, Rear Admiral Roy Vincent T. Trinidad said last month.

“That would allow us to increase our patrols within our exclusive economic zone,” Mr. Gill said.

The Philippine government should “mix and match” its defense capabilities to better project deterrence, such as buying missile systems and investing in “asymmetric technologies,” he added.

Frequent joint patrols and exercises with allies in “key flashpoint” areas are also needed to bolster Philippine presence in the South China Sea, a key conduit for $3 trillion of annual ship-borne trade, Mr. Gill said.

US President-elect Donald John J. Trump might be interested in consolidating forces in the South China Sea via the Philippines given his tough stance against Beijing and the assembly of China hawks in his cabinet, Mr. Espeña said.

Marcos restores tourism marketing budget

PHILSTAR FILE PHOTO

PRESIDENT Ferdinand R. Marcos, Jr. on Wednesday ordered the Department of Budget and Management to use P400 million from his office’s contingency budget to fund the Department of Tourism’s (DoT) marketing campaigns this year, citing the need to boost the industry, according to the Presidential Communications Office.

“Restore the P400-million branding budget of DoT to sustain the momentum,” he said during a meeting with Tourism Secretary Ma. Christina G. Frasco, based on a statement from the presidential palace.

The President said the Philippines should not lose the momentum in promoting tourism programs to boost the country’s image and attract more foreign visitors.

Mr. Marcos earlier approved a proposal from his private sector advisers for a nationwide shopping festival and to ease visa access to foreigners, according to the palace.

In December, he signed into law a measure allowing foreign tourists to claim value-added tax for purchases worth at least P3,000. This is expected to boost tourist spending by at least 30% and benefit mostly micro, small and medium enterprises.

Based on Tourism data, the Philippines earned about P760 billion from international visitor receipts last year.

The Philippines received 5.95 million international visitors in 2024, up 9.15% but below the 7.7-million target. — John Victor D. Ordoñez

PhilHealth told to fix system for hospital reimbursements

PHILIPPINE STAR/MIGUEL DE GUZMAN

THE Philippine Health Insurance Corp. (PhilHealth) should improve its reimbursement claims system for hospitals to prevent their closure from financial strain due to unremitted payments, a legislator said on Wednesday.

The state health insurer owes hospitals about P21 billion as of end-2024, PhilHealth Senior Vice-President Renato L. Limsiaco, Jr. told lawmakers during a House of Representatives hearing.

“PhilHealth’s so strict in denying claims that we’re squeezing the liquidity of hospitals, which in the end, forces them to close,” Marikina Rep. Stella Luz A. Quimbo said in Filipino at the same hearing.

Philippine hospitals file reimbursement claims to PhilHealth for the accrued costs of medical services provided to Filipinos, which is then deliberated by the state health insurer to determine its validity for compensation.

Processed claims which PhilHealth finds worthy of repayment are tagged as a “good claim,” according to a 2021 PhilHealth memorandum; while reimbursement requests seen as “deficient” are categorized into return-to-hospital (RTH) and denied claims, which leads to it being unpaid.

Most denied PhilHealth claims are due to the 60-day deadline limit for the filing of reimbursement requests, Department of Health (DoH) spokesman Albert Francis E. Domingo told lawmakers.

He said the Health department proposed to the PhilHealth board to extend the 60-day limit, allowing “denied claims to become good claims.”

“The Department of Health found that most of the denied claims were due to exceeding the 60-day deadline stipulated by law. However,… it was noted that the 60-day period may be extended due to reasonable reasons,” he said in mixed English and Filipino.

PhilHealth Chief Executive Officer Emmanuel R. Ledesma, Jr. said his agency would implement an “opinion” from the Office of the Government Corporate Counsel (OGCC) allowing them to pay hospitals if hospital claims are filed within 60 days.

“We just got the opinion from OGCC. So, we’re about to implement it,” he said.

PhilHealth has denied a total 483,000 claims from hospitals, totaling P4.7 billion for 2024 alone, according to Mr. Limsiaco.

“If we’re going to look into the RTH… for the year 2024, [it] reached 304,082, amounting to P4.2 billion,” he added. — Kenneth Christiane L. Basilio

House speaker meets with Hungarian MPs to advance bilateral ties

SPEAKER Ferdinand Martin G. Romualdez engaged in a cordial conversation with the delegation of Hungarian lawmakers, led by Mr. Zsolt Nemeth, chairman of the Foreign Affairs Committee of the Hungarian National Assembly, during their courtesy call at the House of Representatives Wednesday afternoon. — CONGRESS.GOV.PH

HOUSE of Representatives Speaker Ferdinand Martin G. Romualdez on Wednesday met with parliamentarians from Hungary, discussing “opportunities” for advancing bilateral relations.

In a statement, Mr. Romualdez said he met with Zsolt Attila Németh, foreign affairs chairman of Hungary’s parliament, and his delegation.

“It is a pleasure to meet Chairman Zsolt Németh and discuss the numerous opportunities to strengthen our partnership. Hungary has been a steadfast friend to the Philippines, and I look forward to further deepening our cooperation in the years to come,” he said in a statement.

“These visits reflect the strong diplomatic ties and mutual respect between our nations,” he added.

Mr. Németh said he’s optimistic that a Philippine-European Union free trade agreement (FTA) could be finalized this year, according to the statement. “Scoping meetings” for the FTA started in 2013, according to the Philippine Trade ministry.

The Hungarian lawmaker also proposed a possible conduct of joint training exercises between the two countries’ workforce, citing “high standard of work ethic” of Filipinos.

A “Philippines-Hungary Parliamentarians’ Friendship Group” between the two countries’ legislative chambers would also be established after the 2025 midterm elections, according to Mr. Romualdez. — Kenneth Christiane L. Basilio

Max SRP on all rice products eyed

PHILIPPINE STAR/WALTER BOLLOZOS

THE Department of Agriculture (DA) is looking at expanding a proposed maximum suggested retail price (MSRP) for all rice varieties in a bid to lower rice prices quicker.

But it will first assess how the initial proposed MSRP for imported rice would play out before implementing a wider peak retail price on the staple food, Agriculture Undersecretary Asis G. Perez said on Wednesday.

The DA had set the MSRP at P58 per kilogram for imported rice with broken-grain content of 5%. The price ceiling is expected to take effect on Jan. 20, initially in Metro Manila.

“That’s being considered,” Mr. Perez said when he was asked by lawmakers about the possibility of broadening the rice cap.

“We started at P58 because we didn’t have prior experience,” he added. “Since this is like a pilot, we wanted to look at it and then analyze further how we can improve. But that’s part of the strategy.”

The Agriculture department noticed that retail prices for some imported rice brands remain elevated despite lower import tariffs.

President Ferdinand R. Marcos, Jr. last year issued Executive Order No. 62 which slashed tariffs on rice imports to 15% from 35% previously until 2028.

The DA is also looking at possibly implementing a price cap for rice products if it finds the retail market prices to be “unreasonable,” according to Mr. Perez. “We’re even considering a price cap itself.”

In December, the Philippine Statistics Authority reported an average price for well-milled rice of P54.97 per kilo.

“However, right now, we’re not doing that yet. We only used what we call the suggested retail price,” he said.

Mr. Perez said they implemented an MSRP in the hopes of sparking a trickle-down effect on persistently expensive rice prices.

“The theory is, if there’s a cap on premium [rice], regular mills will follow,” he said.

Employing a MSRP for imported, premium rice could lead to cheaper rice, said Steven T. Cua, executive director of the Philippine Amalgamated Supermarkets Association, supporting DA’s assertions.

“If the DA will come up with a statement saying that P58 for premium, I think everything below will go down,” he said.

Meanwhile, the National Price Coordinating Council is also looking at declaring that there is an “extraordinary increase” in rice prices, which would allow the Agriculture secretary to proclaim a food security emergency, said Cherryl G. Carbonel, a Department of Trade and Industry director.

“But we’re still working on the resolution,” she told lawmakers.

A food emergency declaration would allow Agriculture Secretary Francisco P. Tiu Laurel, Jr. to release rice stocks held by the National Food Authority (NFA), which would increase the market supply of the staple food in a bid to bring down its retail prices.

Also on Wednesday, NFA Administrator Larry R. Lacson said they are looking to sell aging rice buffer stocks at P33 to P38 [per kilo] to local government units.

“Our current stocks at the NFA total around 700,000 bags of milled rice. Out of those, 300,000 can be considered aging or non-regular stocks,” he told lawmakers. — Kenneth Christiane L. Basilio

Computerization fund falls short

STOCK PHOTO | Image by Compare Fibre from Unsplash

AN EDUCATION department official on Wednesday said the 2025 funding allotted for the Department of Education’s (DepEd) computerization program is insufficient.

“The present allocation of P2.4 billion would not even enable the DepEd to handle the mandatory need [for its computerization program], which amounts to P3.9 billion,” Marvin Dela Cruz, DepEd’s Technology Infrastructure Division chief, told lawmakers during a House of Representatives hearing.

It would cost the Education department P3.9 billion to fund “software and cloud subscription for all teachers and learners, capacity-building, [and] operation and personal expenses,” he added.

The Philippines Congress decided to cut DepEd’s computerization program fund for 2025 by about P10 billion, slashing it by 80.3% to P2.43 billion, according to Budget department documents.

The originally proposed P12 billion funding for this year would’ve been used to buy laptops and smart televisions (P7 billion), satellite-based internet devices (P1.5 billion), software subscriptions (P2.4 billion), and capacity-building purposes (P1.5 billion), according to DepEd’s presentation to the House basic education panel.

About P2.45 billion worth of laptops and smart televisions are now in the final process of procurement as of Jan. 13, owing to the agency’s “strategic use of early procurement activities,” the presentation stated.

“This alone would eat up the P2.4 billion appropriated for the whole ICT (information and communications technology) budget of the DepEd,” it added. — Kenneth Christiane L. Basilio

Calamity fund releases hit P24B

A VEHICLE is seen on top of a jeepney in Barangay Del Monte in Quezon City on Thursday, a day after torrential rains caused flooding in Metro Manila. — PHILIPPINE STAR/MIGUEL DE GUZMAN

THE Department of Budget and Management (DBM) on Tuesday reported that it has released P24.36 billion in calamity funds, as of end-December 2024.

According to its latest National Disaster Risk Reduction and Management Fund (NDRRMF) status update, P22.08 billion has been released to state agencies, while P520.14 million was allocated to government-owned and -controlled corporations.

The Department of Public Works and Highways received P12.09 billion while the Department of Social Welfare and Development got P8.14 billion.

Meanwhile, P374.97 million was given to the Department of Human Settlements and Urban Development, P557.34 million to the Department of Finance, and P345.16 million to the Department of National Defense.

Moreover, P450 million was released to the National Irrigation Authority, P50 million to the National Housing Authority, and P20.20 million to the Local Water Utilities Administration.

The DBM has yet to release P136 million out of this year’s P22.74-billion NDRRMF budget. — Aubrey Rose A. Inosante

Comelec may resume ballot printing on Monday

PHILIPPINE STAR/ MICHAEL VARCAS

THE Commission on Elections (Comelec) said it aims to resume reprinting ballots for the midterm polls on Monday, after the Supreme Court (SC) ordered the inclusion of five previously disqualified political aspirants in the ballots.

Chairman George Erwin M. Garcia, in a virtual briefing on Wednesday, said updated ballot faces featuring the names of the five candidates could be available by Sunday, Jan. 19.

He added that once these new faces are uploaded on the Comelec website, it signals the poll body’s readiness to resume ballot reprinting.

“This is the first time in our electoral history that the Comelec will order a reprinting, back to zero, of the ballots in compliance with the order of our Supreme Court,” he said in mixed English and Filipino.

About 6 million ballots for the national positions were wasted. Each ballot costs about P22, Mr. Garcia noted.

The poll body has yet to start printing local position ballots. “There’s no problem with the local positions since the ballots have not yet been printed,” he noted.

This comes after the high tribunal in full court issued five TROs against the poll body on Tuesday, allowing the names of five bets to be included in the ballots after Comelec barred them last year from participating in the upcoming national and local elections on May 12.

One of them is a senatorial aspirant and Moro leader, Subair Guinthum Mustapha.

The rest are gunning for local seats: three are eyeing seats in the House of Representatives and one for a gubernatorial position.

Before the poll body resumes its printing, Spokesman John Rex C. Laudiangco told BusinessWorld through Viber that they would first finish the changes in the candidates’ database, electronic management system, automated counting machines, consolidated canvassing system, online and voting counting system, and when they have uploaded the ballot face templates after generation and serialization.

Following this, they would also appeal to the Commission on Audit to have the 6 million ballots shredded to prevent them from being used in the actual election.

Despite the setback, Mr. Garcia said the election will go on as planned on May 12 as “they are in control of the situation.”

The Philippines will hold a midterm election next year. Filipinos will elect their congressmen, mayors, vice-mayors and members of city councils on May 12, 2025. Twelve of the 24-member Senate will also be replaced. — Chloe Mari A. Hufana

House OKs Camarines Norte economic zone bill on 2nd reading

PHILIPPINE STAR/KJ ROSALES

THE House of Representatives on Wednesday approved on second reading a bill establishing a special economic zone in the province of Camarines Norte.

In a voice vote, lawmakers agreed to House Bill (HB) No. 11200, which will create an economic zone in Jose Panganiban municipality in the province located southeast of the Philippine capital. A presidential proclamation would dictate the bounds of the Camarines Norte ecozone.

The bill would create the Camarines Norte Special Zone Authority (CNSEZA) to govern the province’s ecozone. It would have the power to supervise and regulate companies “in an efficient and decentralized manner.”

CNSEZA would have an authorized capital stock of P2 billion, with a minimum issuance price of P10 per stock. Its majority share should be subscribed by the national government and the local government units covering the ecozone.

HB No. 11200 authorizes CNSEZA to grant investor’s visas to foreigners who invest $200,000 “in a registered enterprise, either in case of equipment.” — Kenneth Christiane L. Basilio

Philippine Airlines boosts domestic operations with new Manila-Cauayan flight

BW FILE PHOTO

PHILIPPINE AIRLINES continues to expand its domestic operations with the launch of Manila-Cauayan route on Wednesday, the flag carrier said.

The new Manila-Cauayan-Manila flight will be operated daily starting on Jan. 15 via an 86-seater De Havilland Dash 8-400 Next Generation aircraft, Philippine Airlines said in a statement on Wednesday.

PAL Express President Rabbi Vincent L. Ang said the new domestic flight to Cauayan, Isabela is part of the airline’s goal to help boost tourism activities domestically.

“By opening this new route, we are also expecting the economic growth that it will bring to our city and our province,” said Cauayan City Mayor Caesar S. Dy, Jr.

Just last week, Philippine Airlines also announced the operation of new flights from Cebu.

The company is set to launch a flight from Cebu City to Catarman City, which will be offered three times a week starting March 1.

Currently, Philippine Airlines offers flights to Catarman City from Manila, four times a week.

Philippine Airlines will also boost its flights from Cebu to Siargao by adding mid-morning flights on Wednesdays and Sundays bringing its Cebu-Siargao flights to a total of 18 flights a week, beginning March 1.

“The new Cebu hub services to Catarman and Siargao are part of our continuing commitment to enhance inter-island connectivity, boosting tourism and stimulating business,” Mr. Ang said. — Ashley Erika O. Jose

Cebu most searched destination for foreigners for the Lunar New Year

An aerial view of Cebu City. — PHILSTAR FILE PHOTO

CEBU emerged as the most popular destination among foreign visitors looking to travel in celebration of the Lunar New Year, according to digital travel platform Agoda.   

Based on data collected from Agoda’s platform, accommodation searches for Cebu jumped by an annual 15%. This was likely driven by the island’s famous beaches, marine life, and cultural heritage.

Ahead of the Lunar New Year, accommodation searches for the Philippines also rose by 19% year-on-year, with interested visitors mostly from South Korea, the United States, and mainland China.

Manila was the sought-after destination for domestic tourists, with a 50% surge in accommodations in the platform. The Philippine capital is home to one of the oldest Chinatowns in the world, where the Lunar New Year is celebrated with traditional dances and other festivities.

“The Lunar New Year holiday is one of Asia’s most popular travel periods and it’s great to see growing interest in the Philippines from international and domestic travelers alike,” Mike Hwang, country director, Philippines at Agoda, was quoted as saying.

Meanwhile, Hong Kong is the most favored destination for Filipinos celebrating the “Year of the Snake” abroad, with a 120% annual jump in accommodation searches, overtaking Tokyo.

Outbound accommodation searches increased by 67%, showing Filipinos’ interest to travel abroad for the holiday.

Other destination favorites for the Lunar New Year include Bangkok (Thailand), Osaka and Fukuoka (Japan), and Seoul (South Korea).

Rankings were made based on accommodation searches in Agoda’s platform from Dec. 1 to 25, 2024 for check-ins between Jan. 29 and Feb. 2. — Beatriz Marie D. Cruz

SC asked to reverse Comelec’s decision to allow Quiboloy to run

PCOO

THE Workers’ and Peasants’ Party (WPP) on Wednesday appealed before the Supreme Court (SC) to reverse the Commission on Elections’ (Comelec) decision to include an embattled preacher in the senatorial race this May.

WPP challenged Comelec’s decision that dismissed its plea to declare pastor Apollo C. Quiboloy a nuisance candidate.

The WPP said the Comelec’s ruling showed a double standard in enforcing procedural rules, undermining fairness, equal protection and the rule of law in the electoral process.

“We urge the Supreme Court to ensure that the electoral process upholds the principles of fairness, accountability, and equal protection,” the group’s leader Jose Sonny G. Matula said. “The future of our democracy depends on it.”

The 19-page petition slammed the poll body’s practice of splitting cases into separate issues, which it said delays justice and creates opportunities for respondents like Mr. Quiboloy to exploit these inefficiencies.

It added that while Comelec strictly enforced procedural requirements against the group, it has shown leniency toward the self-appointed son of God.

The WPP also said that Comelec’s decision reflects unequal treatment of candidates, favoring powerful figures like Mr. Quiboloy.

It argued this selective enforcement contradicts the constitutional guarantee of equal protection under the law.

Mr. Quiboloy’s legal counsel, Ferdinand S. Topacio, did not immediately respond to a Viber message seeking comment.

The embattled preacher, who is currently detained due to trafficking and abuse charges, filed his certificate of candidacy for the position last Oct. 8, through his lawyer.

The Comelec en banc did not disqualify him from the May 2025 race due to “lack of merit.”

He is facing numerous charges linked to his alleged actions and those of his organization, the Kingdom of Jesus Christ.

Among these is a non-bailable case of trafficking in persons filed in a Pasig City Regional Trial Court, where he entered a plea of not guilty. — Chloe Mari A. Hufana