BIR clarifies small online sellers are exempt from withholding tax

January 30, 2024 | 12:35 am

THE BUREAU of Internal Revenue (BIR) on Monday clarified that small online sellers are exempted from the payment of the creditable withholding tax imposed on online marketplaces but would still need to register their business.

“Small-scale online sellers are exempted from withholding tax. The BIR is sympathetic to small businesses in its approach to taxing online sellers/merchants,” BIR Commissioner Romeo D. Lumagui, Jr. said in a statement.

BIR Revenue Regulations No. 16-2023, which took effect on Jan. 11, imposes a withholding tax of 1% on one-half of the gross remittances by e-marketplace operators and digital financial service providers to the sellers or mer-chants for the goods and services paid or sold through their platforms or facilities.

The BIR said that the withholding tax is not imposed if the annual total gross remittances to an online seller for the past taxable year has not exceeded P500,000; if the cumulative gross remittances to an online seller in a taxable year has not yet exceeded P500,000 or if the seller is duly exempt from or subject to a lower income tax rate pursuant to any existing law or treaty.

“For those who are above the threshold of P500,000 annual gross remittance, it is only fair that they will be subjected to withholding tax. We have to be fair to the retail sector and brick and mortar stores who are regularly pay-ing their taxes,” Mr. Lumagui said.

The tax covers marketplaces for online shopping, food delivery platforms, platforms to book lodging accommodations, and other similar online service or product marketplaces.

E-marketplace operators and digital financial service providers were given a 90-day transitory period to comply with the order.

The BIR in a separate circular said all online sellers and merchants need to register with the BIR and submit documentary requirements, even if their annual gross remittance is below the P500,000 threshold.

The circular also noted that sellers and merchants are not allowed to receive payments through a personal account and instead must use a BIR-registered account.

“If you have a business, you have to register and pay your taxes. It doesn’t matter if it’s an actual store or an online store. It is your responsibility to pay taxes like everyone else,” Mr. Lumagui said.

In a press conference last week, Mr. Lumagui told reporters that the measure will help the BIR better gauge the impact of the digital economy.

“We gave the online platforms a grace period of 90 days. With that, we are still checking on which are already capable of complying… During our discussions with online platforms, they’re cooperative. With this development, we’re hoping to get the entire picture on online transactions,” he said.

In 2022, the digital economy contributed P2.08 trillion or equivalent to 9.4% of the gross domestic product.

A report by Google, Temasek Holdings and Bain & Company showed that the Philippines’ digital economy is projected to reach as high as $150 billion by 2030.

The BIR also earlier clarified that the withholding tax is not a “new” tax as it is just a measure that will allow for an advance payment of income tax.

“The BIR has a friendly and approachable stance as regards the taxation of online sellers. We know that most of our online sellers do not have the intention to evade taxes. They just need guidance in the registration and pay-ment processes,” Mr. Lumagui said.

He also said the BIR is working to provide guidance to online sellers and online platforms on their tax obligations. — Luisa Maria Jacinta C. Jocson

About the deepfake tech behind the bogus Taylor Swift images

January 30, 2024 | 12:09 am

THE WORLD is awash in deepfakes — video, audio, or images that make people appear to do or say things they didn’t, or be somewhere they weren’t. Many are devised to give credibility to falsehoods and damage the reputations of politicians and other people in the public eye. But most deepfakes are explicit videos and pictures concocted by mapping the face of a celebrity onto the body of someone else. That’s what happened in late January, when fake explicit images of pop star Taylor Swift cascaded across social media. Now that artificial intelligence (AI) allows almost anyone to conjure up lifelike images and sound with a few taps on a keyboard, it’s getting harder to tell if what you see and hear online is real.

1. What happened to Taylor Swift?

The phony images of Swift were widely shared on social media sites, drawing the ire of her legions of fans. One image shared on X, the site formerly known as Twitter, was viewed 47 million times before the account was suspended, the New York Times reported. X said it was working to remove “all identified images” and would take “appropriate action” against those who posted them. Ms. Swift was also among the celebrities whose voices and images were manipulated into appearing to endorse commercial products — a popular brand of cookware, in Ms. Swift’s case.

2. Where else have deepfakes been in the news?

Earlier in January, Xochitl Gomez, a 17-year-old actress in the Marvel series, spoke out about finding sexually explicit deepfakes with her face on social media and not succeeding in getting the material taken down, NBC News reported. Deepfakes are also popping up in the 2024 US presidential election. New Hampshire residents received a robocall before the state’s presidential primary that sounded like President Joseph R. Biden urging them to stay home and “save your vote for the November election.” The voice even uttered one of Mr. Biden’s signature phrases: “What a bunch of malarkey.”

3. How are deepfake videos made?

They are often crafted using an AI algorithm that’s trained to recognize patterns in real video recordings of a particular person, a process known as deep learning. It’s then possible to swap an element of one video, such as the person’s face, into another piece of content without it looking like a crude montage. The manipulations are most misleading when used with voice-cloning technology, which breaks down an audio clip of someone speaking into half-syllable chunks that can be reassembled into new words that appear to be spoken by the person in the original recording.

4. How did deepfake technology take off?

The technology was initially the domain of academics and researchers. However, Motherboard, a Vice publication, reported in 2017 that a Reddit user called “deepfakes” had devised an algorithm for making fake videos using open-source code. Reddit banned the user, but the practice spread. Initially, deepfakes required video that already existed and a real vocal performance, along with savvy editing skills. Today’s generative AI systems allow users to produce convincing images and video from simple written prompts. Ask a computer to create a video putting words into someone’s mouth and it will appear. The digital forgeries have become harder to spot as AI companies apply the new tools to the vast body of material available on the web, from YouTube to stock image and video libraries.

5. What are some other examples of deepfakes?

Chinese trolls circulated manipulated images of the August wildfires on the Hawaiian island of Maui to support an assertion that they were caused by a secret “weather weapon” being tested by the US. In May 2023, US stocks dipped briefly after an image spread online appearing to show the Pentagon on fire. Experts said the fake picture had the hallmarks of being generated by AI. That February, a manufactured audio clip emerged with what sounded like Nigerian presidential candidate Atiku Abubakar plotting to rig that month’s vote. In 2021, a minute-long video published on social media appeared to show Ukrainian President Volodymyr Zelensky telling his soldiers to lay down their arms and surrender to Russia.

6. What’s the danger here?

The fear is that deepfakes will eventually become so convincing that it will be impossible to distinguish what’s real from what’s fabricated. Imagine fraudsters manipulating stock prices by producing forged videos of chief executives issuing corporate updates, or falsified videos of soldiers committing war crimes. Politicians, business leaders and celebrities are especially at risk, given how many recordings of them are available. The technology makes so-called revenge porn possible even if no actual naked photo or video exists, with women typically targeted. Once a video goes viral on the internet, it’s almost impossible to contain. An additional concern is that spreading awareness about deepfakes will make it easier for people who truly are caught on tape doing or saying objectionable or illegal things to claim that the evidence against them is bogus. Some people are already using a deepfake defense in court.

7. Is anything being done about it?

The kind of machine learning that produces deepfakes can’t easily be reversed to detect them. But a handful of startups such as Netherlands-based Sensity AI and Estonia-based Sentinel are developing detection technology, as are many big US tech companies. Intel Corp. launched a FakeCatcher product in November 2022, which it says can detect faked video with 96% accuracy by observing the subtle color changes on the subject’s skin caused by blood flow. Companies including Microsoft Corp. have pledged to embed digital watermarks in images created using their AI tools in order to distinguish them as fake. US state legislatures have moved faster than Congress has to tackle the immediate harms of AI. Several states have enacted laws that regulate deepfakes, mostly in the context of pornography and elections. A proposed European Union AI Act would require platforms to label deepfakes as such. — Bloomberg

Thai alt-pop duo SCRUBB wooing Filipinos’ hearts

January 30, 2024 | 12:08 am

AFTER over 20 years of filling Thai airwaves with indie pop music as the band SCRUBB, musicians Muey and Ball find themselves in the Philippines for their very first concert in the country.

SCRUBB: Live in Manila will take place at 123 Block in Mandaluyong City on Feb. 10.

Muey and Ball (which are the stage names of Thawatpon Wongboonsiri and Torpong Chantabubpha, respectively) started their music career in 2000 when they were still university students in Bangkok. After graduation, they produced their own music, sold it to record shops, posted it online, and sent demos to record labels — thus kicking off their journey into Thailand’s alternative scene.

Since then, SCRUBB has released six albums and have achieved extreme popularity in their home country thanks to hits like (“Everything”) from 2003,(“Close”) from 2005, and (“Smile”) from 2013.

In 2020, the Thai duo’s global fame skyrocketed when they contributed 18 songs to the official soundtrack of 2gether The Series. The “boy’s love” (BL) hit series stars young celebrities Vachirawit “Bright” Chivaaree and Metawin “Win” Opas-iamkajorn as college boys who fall in love.

“Though we started in the 2000s, the soundtrack for the BL series gave us a fresh following of young people. Now, we have renewed motivation to continue writing songs,” Muey said during an online press conference on Jan. 25.

“We never expected fans outside of Thailand, so we consider ourselves lucky to have the opportunity to perform in places like the Philippines,” he added.

As the lead singer who writes the lyrics to SCRUBB’s music, Muey also said that he is excited to teach Filipino audiences at the concert a few basic Thai words so that they can better understand the songs.

For Ball, who comes up with the rhythm to the music, the most important part about performing to a crowd — whether Thai or not — is that they are pumped up and excited.

“The great reception from Filipino fans keeps us going,” he said. “During the pandemic, when we had a collaboration with the talented Filipino band Ben&Ben, we were happy with the positive reactions.”

The collaboration was an online jam session where Muey on vocals and Ball on guitar performed their song “Everything” while the various Ben&Ben members provided percussion by scrubbing and tapping household items.

“After that, many [people] were sending us messages asking for a concert in the Philippines. Our heart is filled with happiness that we get to do it,” Ball said.

While in Manila, Muey is hoping to find somewhere to go for a morning run while Ball is looking forward to discovering good coffee shops.

Muey added that the language barrier may be daunting, but it hasn’t posed a problem as far as their music is concerned. Their songs are “written to reach people’s hearts,” he explained.

“Our approach to making music is like writing a diary of experiences and recording it for others to hear. We hope that people, no matter what their situation, can feel the love and compassion we’re putting out.”

Tickets for SCRUBB: Live in Manila are now available via Ticketmelon, with ticket prices ranging from P1,800 to P5,200. Local musicians Elijah Canlas and TONEEJAY will be performing as guest acts. The concert is presented by GNN. — Brontë H. Lacsamana

Razon-led ICTSI awarded 25-year Iloilo port contract

January 30, 2024 | 12:08 am

Iloilo-Port-set-for-modernization-as-ICTSI-secures-25-year-concession — ILOILO PORT set for modernization as ICTSI secures 25-year concession.

THE Philippine Ports Authority (PPA) has awarded International Container Terminal Services, Inc. (ICTSI) a 25-year contract to operate the Iloilo Commercial Port Complex in Western Visayas.

The contract includes a concession fee of P750 million, covering a period of six to 10 years, excluding taxes, PPA General Manager Jay Daniel R. Santiago said in his notice of award to ICTSI. This amount is 50% higher than the P500 million minimum fixed fee set by the agency in its bid invitation.

“You are hereby instructed to formally enter into contract with us… within 30 calendar days from the signing of the port terminal management contract,” he said in the letter.

Razon-led ICTSI, the sole bidder for the project, will assume control of the facility after the contract signing and once the PPA has issued the notice to proceed.

“ICTSI will focus on improving terminal productivity and service quality by investing in the development and rehabilitation of the terminal infrastructure and the deployment of cargo-handling equipment,” the listed company said in a statement.

“Capacity efficiency constraints have hampered its full potential. ICTSI’s involvement aims to tackle these challenges head-on, unlocking the port’s economic engine,” it added.

The Iloilo Commercial Port Complex, which will be named Visayas Container Terminal after the handover, has approximately 627 meters of operational quay length and 20 hectares of land for container and general cargo storage, warehous-ing, and other cargo-handling activities.

“We recognize the port’s pivotal role in driving Iloilo’s economic and social growth,” Christian R. Gonzales, ICTSI executive vice-president, said in a statement.

The facility caters to Iloilo province and the entire Panay Island. Situated apart from older port facilities on Panay Island’s southern coast in Panay Gulf, it benefits from being one of the country’s safest harbors, according to ICTSI.

Guimaras Island protects the port from storms, making it suitable for docking ships and vessels, the company noted. — Ashley Erika O. Jose

Climate change activists aim soup at Mona Lisa in Paris Louvre

January 30, 2024 | 12:07 am

PARIS — Two climate change activists hurled soup at the protective glass in front of the world-famous Mona Lisa painting in Paris’ Louvre museum on Sunday.

Video footage showed two women flinging red soup at Leonard da Vinci’s masterpiece, to gasps from onlookers.

“What is more important? Art or the right to have a healthy and sustainable food system?” shouted the activists, speaking in French. They had ducked under a security barrier to get as close as they could to the painting and were led away by Louvre security guards.

The activists represented the French organization Riposte Alimentaire (Food Response), which issued a statement saying the protest sought to highlight the need to protect the environment and sources of food.

In recent years, many activists have targeted art to raise awareness about climate change.

The glass in front of the Mona Lisa was smothered in cream in a protest in May 2022.

Other attempts have included throwing soup at Vincent Van Gogh’s Sunflowers at London’s National Gallery in October 2022, and in the following month campaigners glued themselves to Goya paintings in Madrid’s Prado museum. — Reuters

CNN Philippines to cease operations starting Jan. 31

January 30, 2024 | 12:07 am

TELEVISION network CNN Philippines will cease operations beginning Jan. 31 due to significant financial losses, its operator Nine Media Corp. (NMC) announced on Monday.

“It is with deep regret that the management of Nine Media Corp. announces the discontinuation of its news and production operations on all media platforms, branded as CNN Philippines (CNNPH),” the company said in a statement.

Despite efforts to adapt to the changing media landscape, financial losses prompted this move, according to the company.

CNN Philippines started operating on free TV in March 2015 through an airtime deal with Radio Philippines Network, costing P8.2 million monthly. NMC reported a financial loss of P5 billion.

Toby Allan C. Arce, head of sales trading at Globalinks Securities and Stocks, Inc., said that CNN Philippines’ closure will likely impact listed media companies if the shutdown is deemed as a broader trend in the media industry and may lead to risk for some investors.

“If the shutdown is perceived as an isolated incident due to specific issues faced by CNN Philippines, it may not have a significant impact on the overall media industry,” he said in a Viber message.

For his part, Juan Paolo E. Colet, managing director at China Bank Capital Corp., said: “It reinforces the notion that if you are a media-oriented investor, it is best to bet on an established media business with a good track record of making money.”

“The exit of CNN Philippines will favor the major news media companies, especially GMA, TV5, and ABS-CBN. The shutdown shows just how tough it is to run a profitable broadcast media business in the Philippines,” he also said in a Viber message.

“Profitability prospects in the media industry are currently challenged by the rising adoption of digital channels and growing traction of content creation,” China Bank Securities Corp. Research Associate Stephen Gabriel Y. Oli-veros said in an e-mail.

The broader reach of advertising in social media has also become a challenge for media giants like CNN Philippines, he said, noting that advertisers are using digital channels for ad placements.

“These factors could have reduced demand for the intermediary services of traditional media companies, which in turn, adversely affected one of their primary sources of income — advertising revenues,” he added. — Ashley Erika O. Jose

SM Prime Holdings eyes P100-B capex for 2024

January 30, 2024 | 12:06 am

SM Prime Holdings, Inc. plans to allocate up to P100 billion for its capital expenditure (capex) budget this year, the Sy-led company said.

“I think we’re looking at close to [the P80 billion we had in 2023] or about P100 billion,” SM Prime President Jeffrey C. Lim told reporters on the sidelines of The Business Manual CEO Awards in Taguig City late Sunday.

The company is also awaiting “more favorable market conditions” before proceeding with the planned initial public offering (IPO) of its real estate investment trust (REIT), Mr. Lim said.

“We’ll have to study and look at the market, so we just have to wait a bit,” he added.

SM Prime Vice-President for Investor Relations Alexander D. Pomento said in a separate interview that the company could proceed with its IPO as early as the second quarter if market conditions improve.

“It’s really just waiting for the market conditions to improve because we’re talking about a big-size company. Given the liquidity of the market, it’s a big constraint right, but the program’s still there. It’s a question of when, not if,” he said.

In August of last year, SM Prime’s parent company, SM Investments Corp. (SMIC), announced that the planned IPO had been deferred due to market headwinds such as higher interest rates, inflation, and market sentiments. The listing was initially targeted for the second half of last year.

The company’s planned real estate investment trust offering is likely to be valued at around $3.5 billion to $4 billion and will initially consist of 12 to 15 assets, drawn from the 82 malls it currently owns.

SMIC, through SM Prime, is developing a 360-hectare reclamation project in Pasay City directly connected to the Mall of Asia Complex worth around P100 billion.

For the first nine months, SM Prime recorded a 37% increase in its consolidated net income to P30.1 billion from P22 billion a year ago, carried by higher revenues from its mall and residential businesses.

On Monday, SM Prime shares closed unchanged at P33.70 apiece while SMIC stocks fell P3 or 0.32% to P922 each. — Revin Mikhael D. Ochave

Entertainment News (01/30/24)

January 30, 2024 | 12:06 am

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Mitski releases short film for ‘I’m Your Man’

SINGER-songwriter Mitski has unveiled a short film for “I’m Your Man,” a song from her latest album The Land is Inhospitable and So Are We. Filmed by music video production company La Blogothèque in Paris, the Aelred Nils-directed film follows Mitski wandering the halls of a 100-year-old concert hall while playing an acoustic rendition of “I’m Your Man.” Another track, “My Love, Mine All Mine,” has resonated with Southeast Asian fans, being the most streamed track for Mitski in the region. The short film is now available on YouTube.

Radwimps to perform in QC for world tour

Japanese rock band Radwimps has announced their upcoming world tour, The way you yawn, and the outcry of Peace, which will have a stop in Quezon City. Following the success of their sold-out world tour in 2023, the band has decided to return to Asia this April and May to perform for fans who were unable to secure tickets the previous year. This time, they will be playing at larger venues. In Manila, Radwimps will perform on the stage of the Smart Araneta Coliseum in Quezon City on May 1. Tour details can be found here: radwimps.jp/en/live/14715/.

Araneta City to show BTS B VERSE exhibition

Korean superstars BTS will be giving its Filipino fans a different experience, this time on the virtual reality (VR) stage. Together with The Fact Music Awards, Araneta City is staging the “B VERSE “BTS, Singing the Stars” VR Exhibition.” It is a show that will allow ARMYs (the name of BTS fans) to witness the evolution of the Korean pop group through VR technology. It had been presented previously in Malaysia, Japan, and Thailand, and is now set to be held in the Philippines from May 17 to Aug. 15, at Level 4 of the New Gateway Mall 2 in Quezon City’s Araneta City. Tickets will be available soon on Ticketnet Online.

Instituto Cervantes holds Juan Mariné online film series

THIS February, Instituto Cervantes will showcase an online film series Juan Mariné, Goya de Honor, to celebrate the renowned Spanish cinematographer. Four of his films will be available for streaming through the Instituto Cervantes channel on Vimeo (vimeo.com/institutocervantes) and will be freely accessible for four days (96 hours) from their start date and time. It kicks off on Feb. 2 with the tension-filled romance of Orgullo (1955), then continues on Feb. 9 with the comedy Un millón en la basura (1967) set amid city lights and the Christmas atmosphere. The third film, El astronauta (1970), will be available on Feb. 16, as Mariné’s photographic work centers on the stars. The film series will conclude on Feb. 23 with La grieta (1991), which ventures into science fiction and horror, For more information, visit Instituto Cervantes’ website or Facebook page.

Justin Timberlake drops new single and video

MULTI-AWARDED musician Justin Timberlake has released his new single “Selfish” alongside its music video via RCA Records/Sony Music Entertainment. The pop-infused offering is driven by Mr. Timberlake’s soulful vocals and was co-written by the singer, Louis Bell, Cirkut, Theron Thomas, and Amy Allen. It is also the first taste of his solo music since his 2018 album Man of the Woods. The video, directed by Bradley J. Calder, pulls back the curtain on the production process and blends the line between performance and reality. “Selfish” teases Timberlake’s sixth studio album, Everything I Thought It Was, which will be out on March 15. The song is available on all streaming platforms.

James Arthur releases fifth studio album

BRITISH musician James Arthur has released his fifth studio album, Bitter Sweet Love, on Columbia Records. It presents 13 songs, including hit singles like “Impossible,” “Can I Be Him,” “Sun Comes Up,” “Naked.” “Empty Space,” and “Rewrite The Stars’.” The album is out now on all digital music platforms worldwide via Sony Music Entertainment.

Gov’t fully awards T-bill offering

January 30, 2024 | 12:05 am

THE GOVERNMENT made a full award of the Treasury bills (T-bills) it offered on Monday even as rates continued to rise amid hawkish signals from the Bangko Sentral ng Pilipinas (BSP) and before the release of 2023 Philip-pine gross domestic product (GDP) data.

The Bureau of the Treasury (BTr) raised P15 billion as planned via its offering of T-bills on Monday as total bids reached P38.137 billion, or more than twice the amount on the auction block.

Broken down, the Treasury made a full P5-billion award of the 91-day T-bills as tenders for the tenor reached P11.46 billion. The three-month paper was quoted at an average rate of 5.398%, 9.2 basis points (bps) higher than the 5.306% seen last week. Accepted rates ranged from 5.300% to 5.424%.

The government also raised P5 billion as planned from the 182-day securities as bids stood at P12.37 billion. The average rate for the six-month T-bill was at 5.81%, up by 4.4 bps from the 5.766% fetched last week, with accept-ed rates at 5.795% to 5.843%.

Lastly, the BTr borrowed the programmed P5 billion via the 364-day debt paper as demand for the tenor totaled P14.307 billion. The average rate of the one-year T-bill went up by 3.9 bps to 6.076% from the 6.037% quoted last week. Accepted yields were from 6.02% to 6.10%.

At the secondary market on Monday before the auction, the 91-, 182-, and 364-day T-bills were quoted at 5.422%, 5.7508%, and 6.0408%, respectively, based on PHP Bloomberg Valuation Service Reference Rates data provided by the BTr.

T-bill rates went up on Monday following hawkish signals from the central bank chief, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message.

“T-bill auction yields were higher ahead of the latest Philippine GDP data on Jan. 31, as a stronger GDP data could support hawkish monetary policy stance…,” Mr. Ricafort said.

“Awarded T-bill rates increased today amid growing prospects of delayed BSP policy rate cuts,” a trader said in an e-mail on Monday.

BSP Governor Eli M. Remolona, Jr. reiterated on Friday that a rate cut is unlikely within the first semester, and signaled that the Monetary Board could even increase rates if economic growth picked up in the last quarter of 2023.

The BSP hiked borrowing costs by 450 bps from May 2022 to October 2023, bringing the policy rate to a 16-year high of 6.5%.

Meanwhile, a BusinessWorld poll of 20 economists yielded a median estimate of 5.7% for fourth-quarter gross domestic product (GDP) growth.

If realized, this would be slower than the 5.9% growth in the third quarter and the 7.1% expansion in the same period in 2022.

For full-year economic expansion, the BusinessWorld poll yielded a median forecast of 5.5%, missing the Development Budget Coordination Committee’s 6-7% full-year target. This is also below the 7.6% expansion in 2022 and the slowest since the 9.5% contraction in 2020.

The Philippine Statistics Authority will release fourth-quarter and full-year 2023 GDP data on Wednesday.

Monday’s T-bill auction was the last one for January and brought the total amount raised from the short-tenored securities for the month to P81 billion, higher than the P75-billion program as the BTr held tap fa-cility auctions to accommodate strong demand for government debt.

Overall, the government raised P211 billion via T-bills and Treasury bonds (T-bonds) in January, above the P195-billion plan.

On Tuesday, the BTr will offer P30 billion in reissued three-year T-bonds with a remaining life of two years and 11 months.

The auction is part of its February borrowing plan, under which it plans to raise P210 billion from the domestic market, or P60 billion via T-bills and P150 billion through T-bonds.

The government borrows from local and foreign sources to help fund its budget deficit, which is capped at 5.1% of gross domestic product this year or P1.39 trillion. — A.M.C. Sy

ABS-CBN says Sky starts shift to dedicated internet provider

January 30, 2024 | 12:05 am

ABS-CBN Corp. said its subsidiary Sky Cable is embarking on its transition to becoming a dedicated internet service provider following its acquisition by Pangilinan-led PLDT Inc.

In a stock exchange disclosure on Monday, ABS-CBN said Sky will have its final broadcast on Feb. 26 and will discontinue its services starting Feb. 27. ANC, the ABS-CBN News Channel, will continue its operations, the media company said.

“Sky received from the National Telecommunications Communications various Certificates of registration as a value-added service provider to offer Internet Access services across the Philippines to allow it to be a dedicated and independent internet service provider,” the company told the stock exchange.

ABS-CBN’s Sky Cable has sold its broadband business and related assets to PLDT through the sale of its 100% combined issued and outstanding capital stock to the telecommunications company.

The transaction was approved by the Philippine Competition Commission on Jan. 22, pending a number of closing conditions.

Last year, PLDT announced its plan to acquire Sky Cable for P6.75 billion, as the company targets to expand its coverage and services.

The transaction involves the sale of about 1.38 billion common shares at P4.90 apiece, with the purchase price based on the agreed equity valuation of Sky Cable’s shares as of Dec. 31, 2022.

At the local bourse on Monday, shares in ABS-CBN fell by nine centavos or 1.96% to end at P4.51 apiece; while shares in PLDT closed P10 or 0.77% lower at P1,284 each.

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

Cost, complexity remain barriers to green buildings in the Philippines

January 30, 2024 | 12:05 am

SM-Offices SM-Mall-of-Asia-Complex — SM Offices is building resilient future-ready offices such as FourE-com Center in SM Mall of Asia Complex. -- Courtesy of SM Prime Holdings

COST and complexity remain the biggest barriers to the uptake of green buildings in the Philippines, according to the lead of the International Finance Corp.’s (IFC) climate business in the country.

“There is an additional cost to building green. For a lot of developers that we work with at the World Bank Group, many are in the low-income (residential) segment… This level of the market is more price-sensitive,” Angelo Tan, country lead for IFC’s climate business, said during the BusinessWorld Insights and Project KaLIKHAsan forum on The Shift to Green Development at Seda Manila Bay on Jan. 26.

There are currently 111 EDGE-certified projects in the Philippines.

Developers also have to deal with the additional costs of securing green certifications for their projects.

“Why do you need to certify? We want to avoid greenwashing. We don’t want a developer to just say a building is green without third-party validation… You may save a lot on green measures but there is an additional cost to verifying,” Mr. Tan said.

EDGE (Excellence in Design for Greater Efficiencies) is a green building standard and certification developed by IFC, a member of the World Bank Group. There are currently 41 EDGE-certified projects in the Philippines, primarily in low-cost housing.

Other green building rating systems include Leadership in Energy and Environmental Design and the Philippine Green Building Council’s Building for Ecologically Responsive Design Excellence.

In terms of complexity, Mr. Tan noted that green buildings require more technical expertise which may discourage smaller developers from pursuing such projects.

Gie L. Garcia, co-managing director and chief sustainability officer at NEO, noted that the limited supply of renewable energy is another barrier to the wider adoption of EDGE Zero Carbon buildings in the country.

NEO’s real estate portfolio in the Philippines is the world’s first to have secured EDGE Zero Carbon certification. An EDGE Zero Carbon certification means the project is carbon neutral, with 100% energy savings achieved through re-newables or carbon offsets, 20% savings in water and 40% energy savings onsite.

“There is a scarcity of renewable power in the Philippines. You cannot jump into that [immediately]… You optimize whatever you have,” Ms. Garcia said during a separate panel discussion on green buildings.

Mr. Tan said sustainable real estate is urgently needed in the Philippines given its growing greenhouse gas emissions and vulnerability to disasters.

The Philippines has the highest disaster risk among 193 countries, according to the WorldRiskIndex 2023 report by Bündnis Entwicklung Hilft.

However, the country jumped six spots to 6th out of 67 countries in the Climate Change Performance Index 2024 report by the Germanwatch, the NewClimate Institute, and the Climate Action Network. The country outperformed its peers in the Asia-Paciﬁc region with an overall score of 70.70, the highest in the region.

“This is something we need to cheer for and support,” Mr. Tan said on continuing the integration of environmental advocacies in real estate.

As its outlook for the next five years, the IFC is keen on private partnerships for developing net zero buildings in the residential, industrial, and hospitality sectors.

GREEN DEMAND

David Leechiu, chief executive officer of Leechiu Property Consultants, Inc., said the demand for green office buildings is mainly driven by multinational companies.

“It’s really being driven by the multinational companies and the office sector because they have to cater to the demands of their tenants,” he said during the panel discussion on the “Backbone of Green Buildings.”

Mr. Leechiu noted that only 50% of the tenants would require that their office building is green certified.

“In my thirty years of doing leasing for tenants and landlords, they will never pay a [premium] price for a green building,” he said.

Ms. Garcia noted the need for developers to comply with the National Building Code before going into green development. This is given the practice of retrofitting, or adding and restrengthening properties for efficiency, that is seen as a more viable option among developers.

“The problem with most of the developers right now is they don’t have enough manpower that actually know how to go beyond just spending capital expense into retrofitting,” she said.

“Not all retrofitting works for the property, and for all you know, you don’t need to spend money to innovate,” she added.

Mr. Leechiu noted that the government should just keep its regulations “simple and practical,” enforce existing laws and implement better sewage treatment and waste management systems.

“You really have to believe in it, want to have it, and do it,” Alexis L. Ortiga, vice-president at SM Prime Commercial Properties Group, said.

“It’s important that we have a strict framework that the industry uses to comply and ensure the public that we have green buildings,” Mr. Ortiga noted on the vital role of third-party certification to combat greenwashing.

Jolan Formalejo, vice-president for inventory generation at Aboitiz InfraCapital Economic Estates, also noted the economic benefits of green building adoption.

“By producing these buildings, we elevate quality of life and also attract more investors because this is aligned with what the rest of the world is doing,” he said.

Mr. Formalejo said developers should make a continuous effort to integrate green values in corporate goals and have a dedicated team to sustain this.

“We have one chance to construct these buildings, so let’s do it right,” he said. — Miguel Hanz L. Antivola

Masters of the Air star Austin Butler hails WW2 pilots’ heroism

January 30, 2024 | 12:04 am

Austin Butler and Callum Turner in Part One — AUSTIN BUTLER and Callum Turner in Masters of the Air Part One. — IMDB.COM

LONDON/NEW YORK — The much-awaited World War Two series Masters of the Air makes its streaming debut on Friday.

Conceived and produced by Steven Spielberg and Tom Hanks, the Band of Brothers spin-off’s stellar ensemble cast includes actors Austin Butler, Callum Turner, Barry Keoghan, Ncuti Gatwa, and Raff Law.

The show is based on historian Donald L. Miller’s 2007 book of the same name and follows the US Air Force’s 100^th Bomb Group and their risky raids over Nazi Germany.

Elvis star Butler plays Major Gale “Buck” Cleven, who alongside his best friend, Major John “Bucky” Egan (Turner), leads the young men, who came to be known as The Bloody Hundredth, on their deadly missions.

“I felt a lot of responsibility bringing this to life. They’re the true heroes and their bravery is second to none,” said Butler.

“The psychological turmoil they were going through at such a young age, I’m just filled with this reverence and this feeling of immense gratitude to them because they made the world a safer place,” Butler, 32, said.

British actor Turner, fresh off his star turn in George Clooney’s The Boys in the Boat, said the series portrays both the hazardous situations and the range of emotions the squadron faced.

“You had a 23% chance of survival every time you went up into the plane,” said Turner.

“You get to see how volatile and violent it was every time they went up but you also get to experience them dealing with their grief and the effect on their mind, body and spirit.”

The sets were so realistic and detailed they made Irish actor Keoghan feel like he was part of the military, he said.

“You looked around and there were people just marching away and military cars driving down the runway, just people going about their business. I felt really brought back to that time period.”

Getting the show off the ground and ready to air was a huge task for all involved, said co-creator John Orloff.

“It was enormous. But that was the air war. My original intention was we only make this if we make it to scale and scale meant big,” he said.

The first two episodes of the nine-part series launch on Apple TV+ on Friday, with new episodes then released weekly through March 15. — Reuters