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Women’s work: time to recognize their critical role in agriculture — and invest in it!

TUAN ANH TRAN-UNSPLASH

DESPITE women’s significant contributions to our agrifood systems in the Asia-Pacific region, women continue to face persistent obstacles, including limited access to resources, services, and discriminatory practices all along the food value chain. As we gather to celebrate this year’s International Women’s Day (IWD), it is time for action, to fully recognize women’s indispensable role in the fields, in the factories, and those running small- and medium-sized companies, associations, and cooperatives — all of which produce the nutritious food we eat each day.

But recognizing and acknowledging this is not enough. In Asia and the Pacific, there is a critical need for financial investments to achieve gender equality in agrifood systems. This would play a huge role in the region’s agrifood systems transformation — now underway across the region — a transformation endorsed by 40 Food and Agriculture Organization (FAO) Member Nations at the recently convened FAO Regional Conference for Asia and the Pacific, in Colombo, Sri Lanka.

This year’s IWD theme, “Invest in Women. Accelerate Progress,” underscores the urgency not only to increase investments but also to ensure better investments for creating an enabling environment and sustainable results toward gender equality.

While the importance of investing in women’s economic empowerment is well-established, financial investments, specifically those geared towards gender equality within the economic and productive sectors, have remained inadequate. This underinvestment has contributed to insufficient progress in advancing women’s economic empowerment and hindering women’s opportunities in agrifood systems. According to FAO data from 2023, by narrowing the gender gap in farm productivity, and the wage gap in agrifood system employment, the world’s gross domestic product would rise by 1% (nearly $1 trillion). This would also reduce global food insecurity by about two percentage points, decreasing the number of food-insecure people by 45 million.

So, what can we, collectively, do to bridge this financial investment gap? In addressing this question, it is imperative to thoroughly review both traditional and innovative financial and policy instruments. Gender Responsive Budgeting (GRB) is a key approach, but it is essential to recognize the wide array of strategies available for investing in women. We need to hear more from women, we need to learn from their past successes and focus on impact by accelerating investment. This should create space for development partners, including rural women and their communities, to share experiences and join forces to create a realistic chance of achieving the 2030 agenda, where gender equality is essential.

While addressing visible gender gaps is crucial, efforts to promote the voice and leadership of women, and tackle the root causes of gender-based inequalities, are equally important for ensuring long-term results.

FAO TAKES ACTION TO ‘WALK THE TALK’
To “walk the talk,” at the FAO headquarters in Rome, the Director-General, Dr. QU Dongyu, recently announced the establishment of an Office for Youth and Women. Building on the work of the Women’s Committee, the Office will continue, among other things, to provide a “safe space” to discuss topics affecting women in the Organization, such as gender parity, sexual harassment, and parental leave provisions. The Office will also promote advocacy, communication, innovation, and outreach through regular dialogue forums to better connect female colleagues around the globe, exchange experiences on specific themes of common interest, and learn from successes from the FAO and other organizations in empowering women in the workplace and beyond. And it will further strengthen visible leadership and accountability of managers for gender mainstreaming through its “She Matters” initiative geared at fostering transformational leadership for women’s empowerment and the welfare of female staff at all levels of the Organization.

Worldwide, we see that discriminatory norms often expect women to take on most of the unpaid care work, exacerbating gender disparities in labor markets — both rural and urban. Globally, women dedicate 3.2 times as many hours to unpaid care work as men do. But in the Asia and Pacific region, the ratio is four-to-one. There is a need for acknowledgement, alleviation, and equitable distribution of unpaid care labor, as well as better and more accessible care systems. This will help to foster transformative changes to support families, urban as well as rural, in enhancing their livelihoods and wellbeing.

But we need to take that critical step beyond fostering and supporting. We need to invest in the technical and leadership skills of women to support their entrepreneurship and income generation, including the creation, and strengthening, of existing networking and learning platforms.

The FAO’s Regional Gender Strategy and Action Plan for Asia and the Pacific has identified the need to mobilize the participation of both men and women to transform our agrifood systems through an equitable distribution of responsibilities. Creating inclusive spaces for dialogue and reflection is vital for empowering women and reshaping power dynamics across different levels. Farmer Field Schools and relevant actions targeted at women are supported by the FAO in field projects as an inclusive approach to engage both men and women.

The FAO is committed to closely collaborating with its Member Nations and development partners in Asia and the Pacific to achieve gender equality in a sustainable agrifood systems transformation. Gender equality is indeed a collective endeavor, and we all have a part to play in advancing towards achieving gender equality and empowerment of all women and girls — one of the SDGs (SDG5). As we reflect on this International Women’s Day, let us not only recognize the challenges but also reaffirm our commitment to action. Let us unite our efforts, amplify our voices, champion change, and “Invest in Women. Accelerate Progress” towards a more equitable and sustainable agrifood systems transformation.

 

Jong-Jin Kim is the assistant director-general and regional representative of the Food and Agriculture Organization (FAO) of the United Nations.

48 HOURS: Tokyo street eats with Shake Shack’s Randy Garutti

DONKI.COM

TORONTO — Randy Garutti knows street food: He been Shake Shack’s chief executive officer since its inception as a hot dog cart in New York’s Madison Square Park.

But when Mr. Garutti visits Tokyo, which boasts seven of the country’s 13 Shake Shack locations, he makes sure to sample all aspects of traditional Japanese cuisine.

The following interview with Mr. Garutti, who plans to retire in 2024, is edited and condensed.

Where I Go First

My favorite place to start my trip is going immediately to Tonki (1 Chome-1-2 Shimomeguro) in Meguro — a multi-generational restaurant specializing in tonkatsu (fried pork cutlets).

It’s kind of like going to Katz’s Deli (for pastrami) when you’re in New York: the simple dedication to one amazing product is a hallmark of Japanese food, and Tonki is such a pleasure.

Where I Stay

Tokyo hotels are notoriously expensive and small, so no matter where you want to stay, it’s always a struggle. The Marriott in Shinagawa (4 Chome-7-36 Kitashinagawa) provides the best value for a large hotel and business setting.

It’s not the most convenient location for central Tokyo, but it’s close enough and a quick Tokyo Metro ride gets you where you need to go.

Best Place For Team Meetings

Most people would say the large hotels. But I prefer to find a small coffee shop or, in good weather, a great park like Gaien (1-1 Kasumigaokamachi) or near the Emperor’s Palace. Do it outside.

Worthwhile Tourist Trap

Bill’s for pancakes. Crazy lines, but years of hype make it a fun experience (2-6-12 Okura House 12F, Ginza).

Getting Around

Metro is the only answer. It’s so easy, cheap, clean, respectful and fun. But don’t walk in the wrong direction — Tokyo is about respect. Following the rules on the Metro and in the stations is essential.

The same is true, of course, for the bullet trains when you travel outside of Tokyo. It’s almost never worth driving or taking a taxi if you can avoid it.

Coffee Spots

Find a back alley, small, independent coffee shop and you can’t go wrong. I like to head to Cat Street in Omotesando and see who’s brewing.

But I also must admit that Blue Bottle (4 Chome−1−6 NEWoMan Shinjuku 1F) does an incredible job in Tokyo.

Insiders Only

Many of the best restaurants are not open to the public and can be found on upper floors of random buildings. Some of the greatest yakitori (skewered chicken), teppanyaki (food cooked on a metal plate) and other favorites can be found in hidden places — you’ve got to have Japanese friends to help.

Dinner Splurge

Going all-in on sushi. The best places have eight seats at the sushi bar, and that’s it.

If you’re not into sushi, my favorite yakiniku (Japanese barbecue) is Kirakutei (Minato City).

For yakitori, go to Hachibei (Roppongi 7-4-5 B1F, Minato-ku).

Biggest Misconception

Tokyo can be wildly expensive, but it doesn’t have to be. Some of my favorite meals and experiences are neighborhood ramen restaurants where you can eat for a few bucks. 

Best Memory

I finally got to bring my family for a recent trip. Touring with my wife and children around Tokyo and then spending time in the mountains in Hakone, the temples of Kyoto and so much more are my favorite memories.

Favorite Souvenir

Unfortunately, the Tsukiji fish market moved to a new location years ago, but the old market neighborhood is still robust for great meals and for shopping. I always find amazing Japanese pottery, plates, bowls, tea sets, and knives to bring home in the side streets.

Can’t-Miss Treats

For cheap and fun snacks, Don Quijote (various locations). It is kind of like a dollar store, but so much more. They have every snack available, including every flavor of Kit Kat imaginable. You might even find the really hard-to-get Japanese whiskeys on the upper floors.

Another fun excursion is Harajuku. Get whatever crazy crepe, cotton candy or other trend is hitting Takeshita street.

Shopping

My go-to store is Akomeya (various locations) for incredible food, housewares, and other options.

After that, go to the basement of any of the large department stores in Ginza and other neighborhoods. There are hundreds of incredible food options, souvenirs, and, of course, fashion on the upper floors. But first be prepared to indulge downstairs. — Reuters

PLDT secures P1-B green loan for fiber upgrade, expansion

PLDT Inc. has secured its first green loan at P1 billion from HSBC Philippines to fund the expansion and upgrade of its fiber network, the telecommunications company’s chief financial officer said on Wednesday.

“The availability of sustainable financing facilities will help PLDT’s commitment to ensuring long-term profitability by doing business responsibly,” Danny Y. Yu, PLDT’s chief financial officer and chief risk management officer, said in a stock exchange disclosure.

“We are pleased to start this journey with HSBC and anticipate further expanding our sustainable financing portfolio with other sustainability projects,” he added.

The project aims to support the company’s internet delivery platforms like fiber fixed broadband, mobile data services, and carrier-grade Wi-Fi, PLDT said.

Green loan is a form of financing allowing borrowers to use the proceeds to fund eligible green projects.

“The intended use of loan proceeds aligns with the Green Loan Principles, specifically on achieving energy efficiency. Studies show that compared with previous technologies, fiber cables generate less heat and no longer require cooling systems, thus, very minimal energy is lost to the environment,” PLDT said.

The listed telecommunications company said the fiber upgrade and expansion will help PLDT to reduce its carbon emissions, moving closer to its decarbonization goal.

Fiber technology generates less energy thus allowing the company to lessen its power requirements.

“PLDT’s first-ever Green Loan facility is affirmation that our efforts to pursue the twin goals of energy efficiency and reduced carbon emissions are appreciated and supported by the financial community. We are thankful to HSBC for helping PLDT carry out our commitment of stewardship of the planet for the next generation,” said Melissa Vergel De Dios, chief sustainability officer of PLDT.

To date, the company has a total of 1.1 million cable kilometers of fiber infrastructure.

At the local bourse on Wednesday, shares in the company closed P9 or 0.7% higher to end at P1,290 apiece.

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has a majority stake in BusinessWorld through the Philippine Star Group, which it controls. — Ashley Erika O. Jose

‘Buy Now, Pay Later’ to spur gadget sales this year — UnaCash

LAZADA
LAZADA

ELECTRONICS AND GADGETS bought online are expected to grow by 7.9% to P397.7 billion this year, partly driven by banks’ “Buy Now, Pay Later” (BNPL) promotions, financial solution provider UnaCash said on Wednesday.

Food and beverage items are alco expected to benefit, with sales projected to increase by 11% to P114.1 billion, followed by appliances at P100 billion (10%) and fashion and beauty at P93.5 billion (8.5%), it said in a statement.

“The development of BNPL in the Philippines will be closely tied to e-commerce,” Erwin G. Ocampo, UnaCash product head, said in the statement.  “Online purchases of electronics, gadgets, furniture and home appliances reflect the dynamic nature of the online retail sector, making 2024 seem like a fruitful time for solution providers like UnaCash.”

The company 12% of Filipino internet users avail themselves of BNPL promos when shopping online.

It said fashion dominated the products bought online by Filipinos at 65%, followed by beauty and personal care (47%) and food and beverage (35%).

Electronics, gadgets and physical media had the largest market share at 45%, followed by food and personal hygiene (25%), furniture and appliances (16%) and fashion (10%).

UnaCash noted that as of February, 70.17% of purchases made through it were for electronics and gadgets.

This matched a Visa survey that showed 61% of respondents had used BNPL to buy electronics and gadgets, while 55% used it to buy fashion products.

“This matches with the key online shopping categories, displaying the natural synergy between BNPL and e-commerce,” UnaCash said.

It added that the growth of BNPL use will continue to be aligned with consumer preference for online shopping. — Aaron Michael C. Sy

Meta’s Facebook, Instagram back up after global outage

UNSPLASH

META-OWNED Facebook and Instagram were back up on Tuesday after a more than two-hour outage that was caused by a technical issue and impacted hundreds of thousands of users globally.

The disruptions started at around 10 a.m. Eastern Time, with many users saying on rival social media platform X they had been booted out of Facebook and Instagram and were unable to log in.

The White House National Security Council was monitoring the incident and not aware of any specific malicious cyber activity at this time, a spokesperson said.

At the peak of the outage, there were more than 550,000 reports of disruptions for Facebook and about 92,000 for Instagram, according to outage tracking website Downdetector.com.

“Earlier today, a technical issue caused people to have difficulty accessing some of our services. We resolved the issue… for everyone who was impacted,” Meta Spokesperson Andy Stone said in a post on X, without elaborating on the issue.

Meta, whose shares were down 1.2% in afternoon trading, did not immediately respond to a request seeking more details on the technical problem.

The company has about 3.19 billion daily active users across its family of apps, which also includes WhatsApp and Threads.

Its status dashboard earlier showed the application programming interface for WhatsApp Business was also facing issues.

However, the outage for Whats-App and Threads was much smaller, according to Downdetector, which tracks outages by collating status reports from several sources including users.

Several employees of Meta said on anonymous messaging app Blind that they were unable to log in to their internal work systems, which left them wondering if they were laid off, according to posts seen by Reuters.

The outage was among the top trending topics on X, formerly Twitter, with the platform’s owner Elon Musk taking a shot at Meta with a post that said: “If you’re reading this post, it’s because our servers are working.”

X itself has faced several disruptions to its service after Mr. Musk’s $44-billion purchase of the social media platform in October 2022, with an outage in December causing issues for more than 77,000 users in countries from the US to France. — Reuters

Motoring and the judiciary

PHILIPPINE STAR/MIGUEL DE GUZMAN

The Supreme Court has ruled that Metro Manila cities cannot cite motorists for traffic violations using their own “tickets,” and that they cannot confiscate driver’s licenses, unless they were “authorized” to do so by the Metro Manila Development Authority (MMDA). Also, local governments must use only the MMDA’s single-ticketing system for citing traffic violations.

The court decision was reportedly dated July 2023, but was released only recently. The court prohibited traffic enforcers of local government units (LGUs) in Metro Manila from issuing local violation receipts and confiscating licenses, claiming that under the MMDA charter, Republic Act 7924, the agency has exclusive power to do this.

In this line, LGUs must follow the MMDA’s Joint Metro Traffic Circular No. 12-01 issued in 2012, which details the uniform ticketing system. The MMDA intended the use of a unified ordinance violation receipt that would be recognized by the MMDA, the Land Transportation Office (LTO), and all Metro Manila LGUs as a valid traffic citation receipt and temporary driver’s license.

The MMDA circular was issued in 2012, but it took the court system 12 years to resolve the matter with finality. In a way, it has been overtaken by events as only a few cities continue to issue their own traffic tickets. People who petitioned against the uniform ticketing system have probably lost interest in the matter as well.

And this is where Filipinos’ tendency to be litigious creates complications for policymakers and regulators. Instead of moving forward on several things, presumably for the public’s benefit, government agencies take pause and step backward because of some perceived slight against a party, a perceived violation of law, or perhaps a misunderstanding in legal interpretation.

Take the case of the No Contact Apprehension Policy or NCAP, where motorists are cited for traffic violations through the use mainly of technology like traffic cameras and monitoring stations. The NCAP has been in use in other parts of the world for many years now. Over here, however, questions arose whether no-contact apprehension is “constitutional.”

This was after hundreds, if not thousands, of motorists all over Metro Manila were “apprehended” by computers and cameras and subsequently fined thousands of pesos for traffic violations. Mounting complaints led to a court case, and the use of the NCAP by the MMDA and LGUs has been on hold since 2022 because of a restraining order from the Supreme Court.

And then there is the LTO problem with its license card supplier. A restraining order in 2023 stopped the LTO from awarding the license card supply contract. Meantime, the LTO has not been issuing plastic license cards and instead opted for digital licenses. The funny part, in my case, my license card was “signed” by one LTO chief but the digital version of the same was signed by his successor.

Also last year, the Supreme Court dismissed the petitions filed by drivers and transport groups questioning the constitutionality and fairness of higher fines set for traffic law violations. That case took nine years to resolve, with the court eventually ruling that higher fines were necessary to promote public safety and welfare.

It also took the court 12 years to finally resolve the legal question on the use of a single-ticketing system. One can only guess how long it will take the judiciary to finally resolve the legal questions on the NCAP and license cards. The issue of license plates was with the courts for some time as well. Prior to this, years back, the LTO use of RFIDs went to court, too.

And then there are the looming issues involving motorcycle taxis and electric vehicles running on two and three wheels. As Congress moves to deliberate on a proposed law on two-wheel taxis, expect legal questions to arise. Already, UV Express operators have gone to court questioning the legality of motorcycle taxis. Expect legal questions on two-wheel and three-wheel electric vehicles as well.

From law to regulations, and then to implementation, it can take years if not over a decade before something can be executed. The MMDA’s unified ticketing system policy dated back to 2012 but the legal issues hounding it were resolved only this week. The issue regarding higher fines took nine years to resolve. The NCAP issue dates back to 2022, while the license card issue dates back to last year. Both are still pending in court.

The public, by now, cannot help but be disappointed by how cumbersome government works. And for some reason, the LTO continues to be party to many of these lawsuits. Perhaps this is unsurprising considering that other than the shortage of license cards and license plates, we were also reliably informed that many new car buyers now wait for as long as two months for the release of their new car registration.

As I have written in a previous column, people, in general, are willing to pay for good service. What is important to them is that service is delivered efficiently, whether water or electricity service, internet, public transportation and mass transit, public housing, permitting and inspection, etc. Obviously, there is always a price to pay for efficiency.

The issue is that service efficiency, particularly in government, is always cyclical and never consistent. In some way, the cycles follow the changes in administration. Take the case of driving licenses, registrations, and license plates. Four administrations ago, we seemed to have resolved supply issues, with the public generally satisfied with the service. Since then, it has been a case of catch-up.

The thing is, while concerned agencies can find ways to be more efficient and to resolve many pending issues, this will be for naught if many policy changes or initiatives involving land transportation will just end up in court and wait for legal resolution for who knows how long. In a way, one cannot help but suspect that the judiciary is being used primarily to delay rather than resolve issues.

In this line, perhaps it is also time that we consider establishing traffic courts. Now that a unified ticketing system has been upheld, and higher fines have been validated, perhaps adjudication of violations can also be assigned to specially designated courts that deal mainly with traffic issues. This is in anticipation of more lawsuits in case the NCAP gets the judiciary’s nod as well.

 

Marvin Tort is a former managing editor of BusinessWorld, and a former chairman of the Philippine Press Council

matort@yahoo.com

Alternergy consolidates wind assets

ALTERNERGY HOLDINGS Corp. has transferred 60,060 shares in its subsidiary Alternergy Tanay Wind Corp. (ATWC) to another subsidiary Pililla A VPC Corp. (PACO) to consolidate its wind assets.

The listed energy company’s board of directors approved on Tuesday the sale of all of its shares in ATWC, it said in a regulatory filing on Wednesday.

“The transfer of the ATWC shares currently held by ALTER to PACO serves as a realignment of ALTER’s corporate entities so that ATWC, similar to other special purpose vehicles for wind resource development, will fall under PACO,” Alternergy said.

ATWC was its subsidiary focused on the development of the 86-megawatt (MW) Tanay wind power project in the province of Rizal.

PACO is Alternergy’s intermediate holding company for its project companies implementing wind resource development.

The company said that PACO will be changing its name to Alternergy Wind Holdings Corp., which will own current and future wind assets.

“The change is being effected so as not to run into valuation issues down the road when new capital has been infused in ATWC and construction works are underway for the Tanay Wind Power Project,” the company said.

Alternergy aims to develop up to 1,370 MW of renewable energy sources such as onshore and offshore wind, solar, and run-of-river hydropower.

At the local bourse on Wednesday, shares of the company closed at P0.76 apiece. — Sheldeen Joy Talavera

PHL tablet shipments hit 11-year-record low — IDC

THE PHILIPPINE tablet market saw a decline of 39.8% to 750,300 units in 2023, marking the lowest shipments since 2012, according to International Data Corp. (IDC).

“Tablet shipments dropped to pre-pandemic levels after averaging over a million units per year between 2020 to 2023,” IDC Philippines Senior Market Analyst Angela V. Medez said in IDC’s report on Feb. 29.

“This was the lowest annual shipment recorded since 2012,” she added.

In 2023, Samsung led the Philippine market with a 29.5% share, IDC said, citing data from its Worldwide Quarterly Personal Computing Device Tracker.

However, Samsung’s shipments decreased by 42.1% to 221,500 units in 2023 from 382,800 units a year earlier.

Cherry Mobile followed with a 14.1% share, selling 105,600 units, while Huawei and Xiaomi held 11.8% and 10% shares, respectively, shipping 88,700 and 74,700 units.

IDC reported a 35.1% increase in fourth-quarter shipments in 2023 due to multiple product launches by various brands.

Samsung’s new Galaxy Tab A9 & S9 FE series alone accounted for nearly 40% of the quarter’s 218,000 shipments.

IDC also anticipates a contraction in commercial tablet shipments this year as government agencies shift priorities away from procurement for distance learning programs during the COVID-19 pandemic.

“Until tablets can differentiate themselves from smartphones and PCs through innovation and unique positioning, they may not be consumers’ top choice for electronic purchases,” said Ms. Medez. 

Similar to the local trend, global tablet sales also dropped by 20.5% to 128.5 million units last year, marking the lowest sales since 2011. — Aubrey Rose A. Inosante

Champagne makers quietly woo King Charles to supply royal court

POLROGER.COM

WHEN King Charles III visited France in September, a lavish dinner in his honor at the Palace of Versailles featured Champagne Pol Roger’s Sir Winston Churchill cuvee.

The choice was a boost to the 175-year-old family-owned vineyard, one of nine champagne makers that enjoy special status as official suppliers to the United Kingdom (UK) royal household. Their royal warrants allow them to display the coats of arms on bottles and “By appointment to…” as well as reap the financial benefits that can come from the endorsement.

While some producers have held their warrants for more than a century — Queen Victoria first awarded one to Champagne Bollinger in 1884 and to Champagne Lanson in 1900 — all of them could lose the highly coveted designation. By Sept. 8, the second anniversary of Queen Elizabeth II’s death, King Charles is due to communicate which of the 800 or so current holders across all sectors will have their status renewed.

While the 75-year-old monarch has canceled his public engagements as he receives treatment for an unspecified form of cancer, he’ll continue “state business and official paperwork,” Buckingham Palace said on Feb. 5. A representative of the Royal Warrant Holders Association, which acts as an intermediary between the purveyors and the royal household, confirmed the review process “is ongoing” but declined to give any details.

Lanson, Bollinger and Louis Roederer are among the champagne maisons that have applied for a renewal. Luxury giant LVMH, which holds warrants for its Krug, Moet & Chandon, and Veuve Clicquot labels, declined to comment on whether it had sought a renewal, as did a Pernod Ricard SA spokesperson about the warrants held by its Mumm champagne and Dubonnet fortified wine.

SOFT MARKET
“The royal warrant is a big part of our history and a strong symbol,” said Julie Renault, head of marketing and communications at Lanson, whose biggest market is the UK. “It’s a guarantee of quality and for us it’s very important.”

Compared with other alcohol labels, the champagne houses hold an outsize number of warrants and a loss would come as a blow to at least some of them, especially at a time when the market has softened. Exports of the sparkling wine made in the Champagne region east of Paris dropped 8% last year.

Warrant holders also include multinational food brands like Coca-Cola, Heinz, Kellogg’s, and Nestle. British fashion label Burberry and luxury carmaker Bentley also enjoy royal favor, along with a broad swath of smaller businesses like butchers, tailors, a chimney sweep, and producers of umbrellas, candles, and horse bedding.

In the UK, warrants raise the profile of holders and confer bragging rights, although publicizing them is restricted. In a study last year, brand valuation consultancy Brand Finance said the warrants would deliver £212 million ($268 million) in economic benefits for the financial year based on the estimated commercial value that holders collectively place on having them.

“Royal warrant holders benefit from the strong brand equity associated with the royal family,” Managing Director Richard Haigh said by email. “This establishes greater awareness and prestige and grants them access to markets and consumers they may not otherwise reach.”

The champagne makers comprise a third of all of the producers of alcoholic drinks on the list, dwarfing makers of gin, port, and beer and even outnumbering the five Scottish whiskies: Famous Grouse, John Dewar & Sons, Johnnie Walker, Laphroaig, and Royal Lochnagar.

QUEEN VICTORIA
The choices reflect what is served during official functions and the tastes of the late Queen, who was reported to drink a glass of champagne every evening. In 2021 she granted a royal warrant to Dubonnet, which when mixed with gin and lemon was reputed to be her and the Queen Mother’s favorite cocktail.

Since Queen Victoria brought champagne to the royal court, some of the French houses have knit close ties with the UK, which would make any loss of a warrant particularly disappointing. Overall, the UK was the sector’s largest export market in 2022 after the US.

Bollinger has been James Bond’s favorite bubbly since the 1979 movie Moonraker thanks to an agreement between the family owning the vineyard and the one with the film rights. This has helped make the UK its biggest foreign market.

In the case of Pol Roger, Churchill struck up a friendship with family member Odette Pol-Roger at a post-war lunch in Paris and named one of his racehorses after the brand. The champagne house created its premium Churchill cuvee in 1975.

King Charles first granted Laurent-Perrier a warrant in 1998. He had visited the vineyard as a young prince in 1979 and was given the right to give out the distinctions in 1980.

The application process for renewal is long and complex, requiring all kinds of business details with a particular focus on sustainable agriculture, waste management, worker protection, and supply chains, according to representatives of champagne makers who asked not to be identified out of fear of harming their chances.

The King has long been a supporter of sustainable farming and some of the champagne brands holding warrants, including Louis Roederer, display the designation prominently on their websites. — Bloomberg

On the nuclear mission in Canada, the AP-MGen-SMC partnership, and electric cooperatives

TORONTO — It is my first time to set foot in Canada. Our plane from Hong Kong landed in the evening and I saw from the air how extensive the bright lights of Toronto are — amazing and fantastic! This is clear proof of a country’s level of development and industrialization — that it has a huge supply of power that is efficiently distributed at competitive prices to wide areas of the country.

I will be discussing four energy topics in this column.

PHL NUCLEAR TRADE MISSION TO CANADA
I am participating in Canadian government-organized events in Ottawa, Toronto, and Saskatoon from March 4 to 12. The Philippine delegation is headed by Energy Undersecretary Sharon Garin, Science Undersecretary Leah Buendia, Energy Regulatory Commission (ERC) Chairperson Monalisa Dimalanta, Philippine Nuclear Research Institute Deputy Director Vallerie Samson, officials from the Philippine embassy in Ottawa, the Philippine consulate in Toronto, and officials from the Canadian embassy in Manila. There are also participants from Philippine private corporations: Aboitiz Power, Meralco, and Prime Metro BMD. And a few members from Philippines media, me included. But we will participate only in the Toronto leg, from March 6-8. The formal events will start today and I will write about them next week.

I believe that the small modular reactors (SMRs) will be viable in off-grid islands and provinces that currently have up to 99% of their energy needs provided by diesel/bunker oil gensets. They have frequent blackouts; their power cost is expensive and made “affordable” only via the subsidy that is the universal charge for missionary electrification (UC-ME) that is slapped on all on-grid consumers nationwide. Many potential investors fear blackouts and expensive energy and hence, job creation on these islands is limited.

There are many small industrialized countries which have big power supplies. They have been using nuclear power for many decades and have had no nuclear accidents (I list them in Table 1). Small countries like Slovenia, Slovakia, and Bulgaria generate 2,500+ kWh per capita from nuclear energy alone. Meanwhile, in 2022, the Philippines generated a total of only 1,000+ kWh per capita of power from all energy sources.

MGEN, AP, SMGP PARTNERSHIP
Last Friday, three of the largest power companies in the country — Meralco PowerGen Corp. (MGen), Aboitiz Power Corp. (AP) and San Miguel Global Power Holdings Corp. (SMGP) — launched the Philippines’ first and most expansive integrated liquefied natural gas (LNG) facilities in Batangas. AP and MGen will invest jointly in two of SMGP’s gas plants — the existing 1,278-megawatt (MW) Ilijan power plant and the new 1,320-MW combined cycle power plant which is expected to start operations by end-2024. See this report in BusinessWorld: “MGen, AboitizPower, and SMGP sign $3.3-B deal for Batangas LNG facility” (March 4).

I like this development as it further ensures our energy security, so I congratulate the companies. I like these quotes from the heads of the three power conglomerates from the press release that was issued.

“Apart from transforming the energy landscape of the Philippines, this symbolizes a milestone alliance among major players in the energy industry towards a more sustainable future. We are thrilled to have such reliable partners as we lay the foundation for a brighter, greener future,” said MGen Chairman Manuel V. Pangilinan.

AP Chairman Sabin M. Aboitiz noted, “Both LNG and renewables are needed to achieve a balanced energy mix and well-planned energy transition. Above all, this is a big win for the Philippines and the people. Economic development is impossible without energy security.”

SMGP Chairman and President Ramon S. Ang said, “For the first time, three leading power companies are working together to secure our country’s energy needs while transitioning towards cleaner power sources. This represents a major leap forward for our energy future, ensuring not just reliability but also cost-efficient power for many Filipinos.”

In a separate press release, AP President and CEO Emannuel Rubio was quoted as having said, “We continue to diversify our generation portfolio and increase our capability in energy security in the Philippines through a minority share in the first integrated LNG facility, to keep the lights on.”

For Table 2, I looked at the financial conditions of these three players and I included FirstGen as it is a big gas company too. I notice that the four big power companies have a combined gross revenue of about P1 trillion.

When converted to US dollars, that’s only $17.9 billion gross — “small” compared to most energy companies in the ASEAN-6 and developed East Asia.

THE VISAYAS’ TIGHT POWER SUPPLY
From the monthly operations report by the Independent Electricity Market Operator of the Philippines (IEMOP) one sees that the average power margin (supply minus demand) is about 2,500 MW in the Luzon grid, about 1,200 MW in the Visayas grid, and only around 300 MW in the Mindanao grid. Thin reserves and small margins mean the grid is courting yellow-red alerts or near-actual rotating blackouts, that prices are high, and consumers are forced to cut their electricity use — not good.

Of the roughly 1,850 MW average demand in the Visayas grid, about half of it goes to Cebu alone, and the other half is shared by the sub-grids in Negros, Panay, and Samar-Leyte. Expansion of a coal plant in Cebu is being planned, but instead of welcoming it, some blackout-friendly environmental activists are lobbying that it should be discontinued because… climate. When there are frequent blackouts, the poor use more candles while the rich use more diesel-powered gensets. More candles often lead to fires, the destruction of property and injury or death. Today, not decades from now.

The national and local governments, local businesses and consumers should prioritize 24/7 electricity and job creation, not scare people about what will happen to the climate 50 or 100 years from now.

COSTLY ELECTRIC COOPERATIVES
In my recent column “On electric cooperative cases at the ERC, renewables, and food inflation” (Feb. 29), I forgot to emphasize that many electric cooperatives (ECs) in the country are indeed abusing their consumers with expensive rates that have no regulatory approval, and that some of these ECs have already been penalized by the ERC but are still awaiting the implementation of fines and penalties. The ERC people might be over-worked since there are 120+ ECs to monitor monthly nationwide.

This is another reason why there should be mergers and consolidation of ECs nationwide. I wrote here before that in my province Negros Occidental, there are five ECs, plus another three in Negros Oriental, or eight ECs in just one island. Meaning that the ERC has to monitor and evaluate eight ECs every month in Negros Island. I believe there should be only one corporate distribution utility (DU) in Negros Island, another single DU in Panay Island, and so on. This would result in economies of scale for the DU, less work for the regulators, and lower electricity cost for consumers.

 

Bienvenido S. Oplas, Jr. is the president of Bienvenido S. Oplas, Jr. Research Consultancy Services, and Minimal Government Thinkers. He is an international fellow of the Tholos Foundation.

minimalgovernment@gmail.com

Atlas Mining income down 65% in 2023

LISTED Atlas Consolidated Mining and Development Corp. announced on Wednesday a net income of P1.12 billion for 2023, down 65% from P3.22 billion a year prior.

In a disclosure, Atlas Mining said that the decline was mainly due to the lower prices of copper in 2023 and a one-time gain on its early payment loans.

“Copper metal price this year averaged at $3.81 per pound, lower by 15% from the previous year’s equivalent of $4.51 per pound,” it said.

The mining firm said that revenues rose 13% to P19.91 billion from P17.68 billion in 2022.

Earnings before interest, taxes, depreciation, and amortization went up by 23% to P6.7 billion from P5.4 billion in 2022.

Meanwhile, the company’s subsidiary Carmen Copper Corp. recorded an increase in gold and copper production and shipments last year.

Its gold production went up by 20% to 26,818 ounces while copper output rose by 13% to 84.1 million pounds.

Carmen Copper saw a 9% jump in copper shipments to 83.57 million pounds.

The subsidiary’s gold shipments likewise increased by 20% to 25,366 ounces.

Carmen Copper is the operator of Atlas Mining’s copper mines in Toledo, Cebu, which produces and exports copper metal in concentrate, and gold and silver as the principal by-products. It exports 100% of the copper to smelters in China and Japan.

At the stock exchange on Wednesday, shares for Atlas Mining fell by 3.22% or 11 centavos to close at P3.31 per share. — Adrian H. Halili

Insurtech Igloo, Lazada team up for online shopping protection

SNOWING-FREEPIK

INSURANCE TECHNOLOGY firm Igloo has partnered with Lazada to introduce online shopping protection plans in response to the increasing number of e-commerce transactions in the Philippines.

“As the number of Filipinos engaging in online purchases continues to rise, it becomes increasingly imperative to provide them with protection throughout their entire shopping journey, extending support even after they’ve received their products,” Igloo Philippines Commercial Lead Roberto S. Vea said in a statement on Monday.

Customers shopping on Lazada’s platform may now assess eligibility for protection plans, review premium costs, and delve into policy specifics during the checkout process.

The insurance offerings on Lazada encompass electronic and gadget protection, merchandise protection, and product liability protection.

Electronic protection and gadget protection plans cover accidental damage, liquid damage, theft, and loss for electronic devices, accompanied by professional repair services at authorized centers.

Merchandise protection, in collaboration with Etiqa Philippines, safeguards non-electronic purchases against accidental damage and theft, enhancing consumer confidence in online transactions.

Igloo plans to introduce a fourth insurance plan in December, focusing on non-electronic products’ accidental and liquid damage protection, diversifying coverage options for shoppers.

Product liability protection, underwritten by Liberty Insurance, addresses adverse reactions from beauty products, ensuring customers have access to medical consultations, reimbursements, and emergency hospitalization if necessary.

According to Mr. Vea, the premiums for these protection plans typically amount to around 5-6% of the product cost, maintaining affordability while delivering comprehensive coverage.

In addition to the Lazada partnership, Igloo previously collaborated with GCash to extend insurance coverage to users for transactions across various online marketplaces, including Lazada, Shopee, Viber, and Facebook.

The surge in e-commerce activity is reflected in the 38.9 million current e-commerce shoppers in the Philippines, projected to reach 55.8 million by 2025, according to Locad.

GlobalData forecasts e-commerce sales to escalate to P968.9 billion ($19 billion) by 2026, highlighting the significant growth potential in the online retail sector. — Aubrey Rose A. Inosante