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Philippine Defense dep’t studying proposal to escort drilling ships

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THE DEPARTMENT of National Defense (DND) on Wednesday said it is studying a proposal for US ships to escort Philippine vessels during resupply missions at Second Thomas Shoal.

“It is a possibility,” Defense Undersecretary Irineo C. Espino told a Senate foreign relations hearing. “We are exploring all possibilities and options on the rotation and resupply of personnel at Second Thomas Shoal and as of now, we can still handle the situation.”

He was responding to Senator Rafael “Raffy” T. Tulfo’s question on the feasibility of ex-Supreme Court Justice Antonio T. Carpio’s suggestion.

The former magistrate on Tuesday said Manila should hold joint patrols with the United States and seek the help of the Philippine Navy when it launches exploration activities at Reed Bank.

He said it is urgent for the country to explore oil and gas deposits at Reed Bank amid rising energy costs and the drying up of the Malampaya natural gas field.

“We have no choice but to get the gas in Reed Bank [otherwise] our economy will suffer tremendously,” Mr. Carpio said.

The Philippines and US are set to hold joint patrols in the South China Sea this year.

The late President Benigno S.C. Aquino III ordered a halt on exploration activities at Reed Bank in 2012 amid rising tensions with China.

His successor, Rodrigo R. Duterte, lifted the suspension in 2020, resuming drilling activities in the disputed water, including Reed Bank, and advancing a 2018 deal with China for joint oil and gas exploration.

Reed Bank may hold as many as 5.4 billion barrels of oil and 55.1 trillion cubic feet of natural gas, according to a 2013 report from the US Energy Information Administration.

At the hearing, Senator Ana Theresia “Risa” Hontiveros-Baraquel asked Mr. Espino whether China could have informants on Philippine resupply missions at Second Thomas Shoal, as claimed by Philippine Coast Guard spokesperson Jay Tristan Tarriela.

“We are thinking that when we load our supplies to our ships, there are already informants present,” Mr. Espino said.

He said there are as many as 200 Chinese militia ships at Second Thomas Shoal. “Even if we escort our vessels for resupply at Second Thomas Shoal, we can hardly counter the number of vessels from China.”

China’s coast guard last week released a video of its ship shooting jets of water at a smaller Philippine boat near Second Thomas Shoal, saying it had handled the incident according to law.

The Aug. 5 video showed the water barely hitting the makeshift Philippine boat that was trying to deliver food and other supplies to Filipino troops stationed at the shoal.

Mr. Tarriela on Monday said China had every intent to block the supply mission, dismissing claims that the Chinese Coast Guard had allowed one of the two Philippine boats to reach its outpost.

A handful of Filipino troops are stationed on a rusty World War II-era US ship that the Philippines intentionally grounded at the shoal in 1999 to assert its claims.

China claims more than 80% of the South China Sea, which is believed to contain substantial oil and gas deposits and through which billions of dollars in trade passes each year. A United Nations-backed arbitration court in July 2016 voided China’s claim to more than 80% of the sea based on a 1940s map.

China has ignored the ruling, which has failed to stop its island-building activities in areas also claimed by the Philippines, Vietnam, Brunei, Malaysia and Taiwan.

Meanwhile, Foreign Affairs Assistant Secretary Jose Victor C. Gonzaga told the same hearing the agency had talked to the US Embassy about a US aircraft that landed at the Ninoy Aquino International Airport unannounced in June.

“We have already called the attention of the US embassy to this,” he said. “They have provided us assurances that they will try, as much as possible, not to make this happen again.”

The Foreign Affairs official said the Boeing C-17 had a landing permit but failed to coordinate with the ground handler and the airport. — John Victor D. Ordoñez

Locsin named special China envoy

PHILSTAR

PRESIDENT Ferdinand R. Marcos, Jr. has appointed former Foreign Affairs Secretary Teodoro L. Locsin, Jr. As his special envoy to China, Malacañang said on Wednesday.

He would continue in his role as Philippine ambassador to the United Kingdom, Presidential Communications Office Secretary Cheloy Velicaria-Garafil told reporters in a Viber message.

The appointment of Mr. Locsin, ex-President Rodrigo R. Duterte’s top diplomat, comes amid China’s increasing assertiveness in the South China Sea.

Mr. Duterte led a foreign policy pivot to China in 2016 in exchange of investment pledges, few of which had materialized.

He met with Chinese President Xi Jinping last month, during which he reportedly asked the Chinese leader to look kindly on the Philippines.

The sea dispute between the two nations was never brought up during the meeting, Senate President Juan Miguel F. Zubiri said last week, citing Mr. Marcos.

The President met with Senate leaders early this month after meeting with Mr. Duterte at the presidential palace, the senator said.

There were proposals from his Senate allies to make him a special envoy to China, citing his “good standing” with Beijing.

Mr. Locsin filed a number of diplomatic protests against China as chief of the Department of Foreign Affairs (DFA) from October 2018 until the end of Mr. Duterte’s term in June 2020.

In 2021, he tweeted expletives against Beijing after DFA protested the “illegal presence of hundreds of Chinese vessels inside the Philippines’ exclusive economic zone.”

Last week, Manila protested against Beijing after its coast guard blocked and fired water cannons at Philippine boats on a resupply mission at Second Thomas Shoal, which the Philippines calls Ayungin.

Mr. Locsin is the son of the late journalist Teodoro Locsin, Sr., who was among the thousands detained during the late dictator Ferdinand E. Marcos’ martial rule in the 1970s.

The younger Locsin served as a speechwriter and legal counsel of the late President Corazon C. Aquino, who rose to power after a popular uprising in February 1986 forced the Marcoses to go into exile in the United States. — Kyle Aristophere T. Atienza

House expels Teves for ‘disorderly behavior’ 

PHILIPPINE STAR/ MICHAEL VARCAS

THE HOUSE of Representatives expelled on Wednesday Negros Oriental Rep. Arnolfo A. Teves, Jr. for “disorderly behavior,” citing his continued absence without permission in Congress. 

With 265 yes votes, zero no votes, and three abstentions, the lawmakers adopted Committee Report No. 717 of the House Ethics and Privileges panel.  

“The main basis for this recommendation is his continuous absence without leave in the House of Representatives by his persistent pursuit of political asylum in Timor Leste,” House ethics panel chairman, party-list Rep. Felimon M. Espares, told the plenary. 

Mr. Espares said Mr. Teves violated Section 141 of the House rules or the Code of Conduct. 

The committee also reprimanded Mr. Teves for a video posted in his Facebook page showing him dancing only in undergarments, “which reflects discredit on the House of Representatives and diminishes the stature of the position,” Mr. Espares said.  

“As a public officer and legislator, Rep. Arnolfo A. Teves, Jr. is held to higher ethical standards especially when the acts… violates the very same laws our Congress has arduously passed,” he added.

The committee also said it considered the government’s terrorist designation of Mr. Teves in its decision, drawing a negative reaction from his camp. 

In a statement, Mr. Teves’ lawyer Ferdinand S. Topacio said: “The final recommendation shows that there was never a bona fide intention to consider the evidence in favor of Mr. Teves.”

The Anti-Terrorism Council (ATC) designated Mr. Teves and 11 others as terrorists under Resolution No. 43 issued on August 1. 

Prosecutor General Benedicto A. Malcontento reiterated on Tuesday that murder charges have been filed against Mr. Teves for three killings that happened in Negros Oriental in 2019. 

Meanwhile, the committee report mentioned that the Office of the Secretary General has not received any request for travel authority or any extension from Mr. Teves since its expiration in March 2023.   

Although Mr. Teves never publicly disclosed his whereabouts, the Department of Justice said in May that he had sought asylum in Timor Leste. 

Mr. Teves has repeatedly sought to justify his refusal to go home by citing supposed threats to his life. — Beatriz Marie D. Cruz 

Marcos travel expenses 10 times bigger 

PHILIPPINE STAR/KRIZ JOHN ROSALES

THE OFFICE of the President’s (OP) traveling expenses increased by tenfold in 2022, the Commission on Audit (CoA) revealed in its audit report released last Tuesday.  

State auditors said the OP spent P403.09 million for traveling expenses in 2022, from only P36.79 million in 2021, increasing by over P366 million.  

“[The] significant increase… is due to the official travels related to the foreign summits and state visits in Singapore, Indonesia, United States, Cambodia, Thailand, and Belgium,” the CoA said.   

Local travels, though, decreased by 6.26% to P10.78 million in 2022 from P11.54 million in 2021.  

In a statement, Presidential Communications Office chief Cheloy Velicaria-Garafil said travel expenses in 2021 were expected to be lower due to pandemic restrictions.   

Last December, the Marcos administration justified that the President’s foreign trips has earned the country $23.6 billion in investment pledges. 

Trade Secretary Alfredo E. Pascual previously said that around $88 million (around P4.83 billion) worth of investment pledges are expected to materialize this year. — Beatriz Marie D. Cruz

Cotabato Airport still under repair 

BANGSAMORO officials inspect repairs on the Cotabato Airport runway on Tuesday, disputing some radio reports that flights are set to resume on Aug. 18.

COTABATO CITY — It will take about nine more weeks for commercial flights to resume in this city, the Bangsamoro region’s Ministry of Transportation and Communications determined last Tuesday after inspecting ongoing airport repairs.

Lawyer Paisalin Pangandaman Tago was among the members of the Bangsamoro parliament who expressed dismay over the slow pace of the runway repairs done by the Koronadal City-based construction company contracted by the Civil Aviation Authority of the Philippines (CAAP). “We are urging the contractor of this runway repair to work faster,” he said.

Since the airport was shut down in the last week of June, all travelers and goods in and out of the city have to be transported by land or diverted to the airports in General Santos and Davao Cities.

Yesterday, Harold Dimacisil Torres who chairs the Bangsamoro Business Council voiced out hopes that commercial flights connecting the city to other parts of the country could resume much sooner to help Central Mindanao’s economy bounce back. — John Felix M. Unson

Reclamation report out in 10 days 

PHILIPPINE STAR/EDD GUMBAN

THE DEPARTMENT of Environment and Natural Resources (DENR) will seek to submit a complete report on its review of reclamation projects in Manila Bay to the House of Representatives in 10 days. 

During yesterday’s hearing on the budget of the department, Environment Secretary Antonia Yulo-Loyzaga said: “There will be some deliberation and some investigation that will be required in order for us to complete. We hope to be able to complete the report within the next 10 days.”

Quezon City Rep. Salvador A. Pleyto had asked Ms. Yulo-Loyzaga for an update, citing the presidential directive issued on Aug. 4 that required the DENR and the Philippine Reclamation Authority to submit a status report on the compliance of the proponents within five days.  

President Ferdinand R. Marcos, Jr. earlier announced the suspension of all 22 reclamation projects in the Manila Bay area pending a review of their compliance with environmental regulations. 

Ms. Yulo-Loyzaga faced the House Appropriations Committee during its deliberations for the P5.768-trillion 2024 national budget. — Sheldeen Joy Talavera

Philippine patrols continue 

BAGUIO CITY — Territorial defense via air and surface patrols continue along the Philippine maritime borders north of the country, monitoring a total of 22,474 foreign and domestic vessels traversing the area since January, the Northern Luzon Command (Nolcom) reported.  

Lt. Gen. Fernyl Buca, Nolcom chief, said these findings were the result of 60 air patrols and 30 surface patrols conducted by the Area Task Force-North, an inter-agency coordinating body operating under the umbrella of the National Task Force-West Philippine Sea.

Mr. Buca said these routine patrols cover the resource-rich maritime area of Bajo de Masinloc (Scarborough Shoal) in the West Philippine Sea, the uncontested Philippine Rise (Benham Rise), and the Batanes Strait “to ensure the safety of our fellow Filipinos, especially our fishermen and protect our marine resources for the benefit of current and future generations.” — Artemio A. Dumlao

Bomb attack kills village chief 

COTABATO CITY — A bomb explosion rocked Shariff Saidona Mustapha town in Maguindanao del Sur Wednesday morning, killing a barangay chairman and wounding another village official.

The Shariff Saydona Municipal Police Station identified the fatality as Datu Manot Silongan, chairman of Barangay Penditen in nearby Datu Salibo town. The wounded victim was Salik Datua, a councilman in Barangay Ganta, Shariff Saydona Mustapha.  

Investigators believe the improvised explosive device (IED) was planted on the roadside near the Ganta Barangay Hall entrance and detonated from a distance using a mobile phone just as the two victims passed by.

They also theorized that Mr. Silongan was the target of the bombing, following the murder of his brother, Councilor Demson Silongan of Datu Salibo, who was gunned down within the premises of the municipal government center last April 17. — John Felix M. Unson

NEDA: Imports temporary, focused on raising output

OFFICIALGAZETTE.GOV.PH

THE National Economic and Development Authority (NEDA) said the government’s strategy for the economy is ultimately geared towards raising domestic production, adding that it is temporarily resorting to imports to stabilize prices.

NEDA Secretary Arsenio M. Balisacan, speaking before a Senate panel, was addressing remarks by Senators on the need to reduce reliance on imports.

“Our trade policy is used to enhance the workings of the economy in such a way that we can stabilize prices, create employment, and make our local products more competitive,” he said before the chamber’s finance committee as he delivered a Development Budget Coordination Committee (DBCC) briefing on the proposed 2024 budget.

“Looking longer-term and for the rest of this medium-term plan, our priority is to improve productivity,” he added.

Senators Ana Theresia N. Hontiveros-Baraquel, Maria Lourdes Nancy S. Binay, and Juan Edgardo M. Angara, who chairs the committee, had asked Mr. Balisacan to explain the government’s efforts to encourage domestic production.

Mr. Balisacan said the government supports enhanced research and is coordinating agency efforts to raise productivity.

“We need to supply our domestic producers with the equipment and farming materials they need,” Ms. Hontiveros-Baraquel said during the DBCC session before the committee.

“We just have to do it and take out the other blocks and exacerbating factors along the way including smuggling.”

She said the proposed P5.768-trillion national budget for 2024 should also incorporate “safety nets” for producers and those vulnerable to the effects of inflation.

Mr. Balisacan said the government must not see imports as a permanent solution, citing the need to invest in logistics and provide technological support to farmers.

“This is a time of crisis, and the 2024 national budget should reflect that fact in the form of greater assistance to our people,” Ms. Hontiveros-Baraquel said.

Finance Secretary Benjamin E. Diokno, also at the briefing, disputed Ms. Hontiveros-Baraquel’s characterization that the economy is in crisis.

“The International Monetary Fund and the World Bank admire the way we have handled the Philippine economy,” he said.

“The credit rating agencies, despite the massive downgrades of economies all over the world, have maintained the Philippines’ credit rating.”

Last week, Japan-based Rating and Investment Information, Inc. (R&I) upgraded its investment rating outlook on the Philippines to “positive” from “stable.”

According to R&I, the Philippine economy has been performing well in the face of global uncertainty. Gross domestic product grew 7.6% in 2022, and 6.4% in the first quarter of 2023.

The Philippines currently falls short of an “A”-level rating, with Moody’s Investors Service rating the country at “Baa2,” S&P Global Ratings “BBB+,” and Fitch Ratings at “BBB.”

Mr. Angara said the government should take advantage of its resources to empower its industries, especially agriculture.

In July, Senate President Juan Miguel F. Zubiri said Congress will focus on passing a measure that will devise a multi-year strategy enhancing the global competitiveness of Philippine companies.

The Tatak Pinoy Bill, written by Mr. Angara, is expected to help the Philippines achieve its goal of becoming a middle-class economy by 2040.

“Let’s use the government and its vast resources over markets to help industries be more competitive,” he told the same briefing.

Senator Cynthia A. Villar, who heads the Senate agriculture committee, called for the modernization of agriculture via collaboration with the farm machinery manufacturers.

“That’s the idea of mechanization; we have to modernize,” she said, calling the days of manual farming over. — John Victor D. Ordoñez

DoE: EV registrations could rise 30% this year 

Image via Ivan Radic/CC BY 2.0

REGISTRATIONS of electric vehicles (EVs) could rise 30% this year, the Department of Energy (DoE) said, citing projections from preliminary data.

Patrick T. Aquino, director of the DoE’s Energy Utilization Management Bureau, said at a briefing in Taguig City on Wednesday that according to Land Transportation Office data EV registrations totaled 9,666 in 2022.  

“We’re looking at the possibility of having EVs annually growing 30% based on rough estimates from preliminary figures,” Mr. Aquino said.

According to Mr. Aquino, 2022 registrations consisted of 8,105 motorcycles and tricycles, 1,168 sport utility vehicles and other utility vehicles, 347 cars, 44 buses, and two trailer trucks.

 He said the government has an EV registration target of around 100,000 by the end of the Marcos administration.

“We hope the number will be 100,000 more or less by 2028,” Mr. Aquino said, with most of the total consisting of electric motorcycles.

The Electric Vehicle Association of the Philippines (EVAP) reported that 2,536 EV units were sold during the first quarter, exceeding the 426 sold in the entirety of 2022.

EVAP President Edmund A. Araga estimated the current EV count at over 16,000 units.

“Right now, the A and B (consumer) markets are more inclined (to adopt the technology) because they really understand the benefits of EVs. And during the pandemic, they were the ones who had the purchasing power,” Mr. Araga said.

Mr. Araga said the needs of the C, D, and E segments are being addressed by the entry of more affordable EV models and more payment options.

“That’s why there is a model that is lower (priced). It is a small car for daily use priced at between P700,000 and P800,000. The dealers are now open and have come up with financing schemes. (Previously), e-tricycle and e-jeep buyers had to pay cash,” he added.

EVAP expects EV numbers to hit 6.61 million units by 2030, with two-wheeled vehicles accounting for 5.50 million units. — Revin Mikhael D. Ochave

PHL to issue permits for 35,000 MT worth of imported fish

BFAR.DA.GOV.PH

THE Department of Agriculture (DA) signaled plans to import 35,000 metric tons (MT) of fish by outlining the procedures for obtaining sanitary and phytosanitary import clearances (SPSICs) and certificates of necessity to import (CNI) in those volumes, which it intends to distribute to commercial fishing companies and fishing associations affected by closed fishing seasons in various parts of the country.

In a memorandum circular dated Aug. 15, the DA said that the species to be imported are frozen round scad or galunggong, bigeye scad, mackerel, bonito, and moonfish for sale in wet markets.

“The fish to be imported under the CNI 35,000 MT 2023 shall be reported to and consolidated by BFAR (Bureau of Fisheries and Aquatic Resources). All fish must arrive within the validity period of the SPSIC and in no case later than Jan. 15, 2024,” according to the memo signed by Agriculture Senior Undersecretary Domingo F. Panganiban.

Under the memo, importers were given seven working days to register with the Philippine Fisheries Development Authority and submit complete requirements to participate.

Some 28,000 MT will be allocated to commercial fishing companies, while the remainder will go to fisheries associations and cooperatives.

Only those whose operations are affected by the closed fishing season are qualified to participate.

The import clearances will be issued in two tranches in which the first 50% going out on Oct. 1-30 and the remaining half releasing on Nov. 6-30.

“The importer must have a cold storage facility or cold storage warehouse lease agreement before the issuance of SPSIC,” the DA said.

Asis G. Perez, former BFAR director and co-convenor of advocacy group Tugon Kabuhayan, said in a Viber message that “we think that the volume is reasonable and the process used in coming up with the decision is acceptable.”

The import plan comes on the heels of an 11% decline in fish production during the second quarter.

In a report, the Philippine Statistics Authority (PSA) said production was 1,082.22 thousand MT during the period.

“Annual declines in production were noted in commercial fisheries, marine municipal fisheries, and aquaculture subsectors,” the PSA said.

In the three months to June, production by the marine municipal fishery, which accounted for 21.7% of total output, fell 16.8% to 234.90 thousand MT.

Commercial fisheries output fell 14.5% to 235.24 thousand MT. This accounted for 21.7% of overall fisheries production. 

Aquaculture production, which accounted for 53% of total output, declined 8.3% to 573.85 thousand MT during the quarter.

Production by the inland municipal fishery rose 4.4% to 38.23 thousand MT. This accounted for 3.5% of the total.

Of the 20 major species, declines were noted in skipjack or gulyasan (49.3%), fimbriated sardines or tunsoy (42.2%), yellowfin tuna or tambakol/bariles (23.2%), milkfish or bangus (19.2%), and seaweed (4.9%). 

Higher production was recorded for round scad (30%) and tiger prawn or sugpo (0.9%). — Sheldeen Joy Talavera

Three agri terminals planned for NCR

DAVAO CITY AGRI OFFICE

THE Department of Trade and Industry (DTI) said it hopes to establish three agricultural terminals around Metro Manila which will consolidate produce from the hinterland and reduce the gap between farmgate and retail prices.

“We plan to establish these (agricultural) terminals around Metro Manila and we’re thinking of three of them now,” Trade Secretary Alfredo E. Pascual said at a briefing in the City of Manila on Wednesday. He said the terminals will address “the big gap between farmgate and retail prices.”

Mr. Pascual did not say where the terminals will be located.

The intent is to make the linkage between farms and consumers more direct by making available “terminals where farmers can bring their produce,” Mr. Pascual said.

According to Mr. Pascual, the Asian Development Bank (ADB) recently finished a study containing recommendations on establishing terminals for agricultural goods.

“We are assuming responsibility for implementing this because logistics, as an industry, falls within the mandate of the DTI. The purpose of the ADB study is to be able to benchmark with other countries… we need to study our own unique situation here and adapt whatever they have included in their recommendations,” Mr. Pascual said.

“We need to smoothen the supply chain (to make) delivery would be fast and efficient,” he said, thereby reducing logistics costs. — Revin Mikhael D. Ochave

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