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By Bernadette Therese M. Gadon, Researcher
PHILIPPINE INFLATION climbed to a six-month high in March as food, utilities, and transport costs rose due to the spike in global oil prices after Russia’s invasion of Ukraine.
Preliminary data from the Philippine Statistics Authority (PSA) showed annual headline inflation accelerated to 4% last month from 3% in February, but slightly slower than the 4.1% print in March last year.
The March inflation was fastest since the 4.2% inflation in September 2021. It matched the 4% print in October last year and the 4% median in a BusinessWorld poll conducted last week.
It was also near the upper end of the 3.3-4.1% forecast range of the Bangko Sentral ng Pilipinas (BSP) for March.
Inflation, meanwhile, picked up by 0.9% on a monthly basis.
For the first quarter, inflation settled at 3.4%, within the 2-4% central bank’s inflation target band for 2022 but below the full-year forecast of 4.3%.
The central bank said the average inflation this year could breach the upper end of its target band due to surge in global crude oil prices.
However, it projects that inflation will decline and settle within the target band at 3.6% by next year.
“Inflation expectations have likewise risen, but continue to be anchored to the 2-4% target band,” BSP Governor Benjamin E. Diokno said in a Viber message to reporters.
The BSP chief noted Russia’s invasion of Ukraine is now a “significant headwind” to the global economic recovery.
“The Russia-Ukraine conflict could affect the Philippines through slower world GDP (gross domestic product) growth, higher crude oil prices, higher world non-oil prices, and potential second-round effects on inflation through transport fares, wages, and food prices,” he said.
“Under these circumstances, the BSP will closely monitor the emerging risks to the outlook for inflation and growth, and remain vigilant against possible second-round effects from supply-side pressures or any shifts in the public’s inflation expectation,” Mr. Diokno said.
Global crude oil prices have surged above $100 a barrel since Russia invaded Ukraine in late February due to supply concerns. Russia is the world’s second-largest exporter of crude oil.
Since the start of the year, local prices of gasoline, diesel, and kerosene posted a net increase of P16, P26, and P24.10 per liter, respectively.
PSA data showed inflation of heavily weighted food and non-alcoholic beverages picked up to 2.6% in March from 1.2% in February.
Housing, water, electricity, gas, and other fuels rose to 6.2% from 4.8%, while transport quickened to 10.3% from 8.8%.
The PSA also reported electricity and liquified petroleum gas (LPG) prices rose 18% and 26.5%, respectively, in March, from 13.5% and 17.6% in February, respectively.
Meanwhile, the inflation as experienced by the bottom 30% income households — at constant 2012 prices — quickened to 3.3% last month from 2.7% in February, but lower than 5.5% in March 2021.
Year to date, inflation as experienced by poor households settled at 3%.
The statistics agency targets to release the 2018-based inflation data for the bottom 30% by December 2022, as soon as it finishes conducting its commodity and outlet survey, National Statistician Claire Dennis S. Mapa said at a press briefing on Tuesday.
The nationwide commodity and outlet survey provides the basis for the identification of the market basket at different income levels — upper 70% and bottom 30%. It was last conducted in 2008.
The National Economic and Development Authority, for its part, said the government has taken steps to address the inflationary pressures brought by the Russia-Ukraine conflict.
“We have been proactively monitoring the impact of the Russia-Ukraine conflict,” Socioeconomic Planning Secretary Karl Kendrick T. Chua said in a statement.
Analysts said that March marks the start of a steady increase in consumer prices in the coming months.
Security Bank Corp. Chief Economist Robert Dan J. Roces said in an e-mail interview that the continued rise in fuel prices may spill over to fares and wages.
“Based on the current trajectory, headline inflation may exceed the central bank’s target band beginning this second quarter — which is likely the peak quarter — before tempering and remaining near the 4.0% area for the balance of the year,” Mr. Roces said.
“As there is scope for oil prices to continue to remain elevated with more forthcoming sanctions against Russia, this points to upside risks to the inflation outlook, which we currently see averaging 4.2% for the year,” he added.
China Banking Corp. Chief Economist Domini S. Velasquez said oil prices have been increasing even before the geopolitical tension between Russia and Ukraine.
“We suspect higher input costs, such as that of elevated fuel prices, have already trickled to food inflation, such as in the prices of meat, fish, and vegetables,” she said in a Viber message.
“Continued elevated global commodity prices, worsening of supply chain bottlenecks due to lockdowns in China, secondary round effects of fuel prices on food products and manufactured goods will push up inflation next month,” she added.
In a press release, Bank of the Philippine Islands said: “Upside risks to inflation continue to build up and most likely we have not seen the peak yet.” — with inputs from Luz Wendy T. Noble
By Luz Wendy T. Noble, Reporter
THE PHILIPPINE central bank is ready to take preemptive action if inflation expectations are at risk of being “disanchored,” its governor said on Tuesday.
“We are prepared to take preemptive action as needed if inflation expectations become at risk or disanchored,” Bangko Sentral ng Pilipinas (BSP) Governor Benjamin E. Diokno said at the Philippine Economic Briefing held in Pasay City on Tuesday.
He said they continue to be patient and will consider a rate hike adjustment by the second half of 2022.
Mr. Diokno said March consumer price index (CPI) data suggest that inflation will likely be elevated in the coming months.
Inflation jumped to 4% in March, near the upper end of the BSP’s projected range of 3.3-4.1% for the month and still within the 2-4% target band for the year.
“This means that the BSP must be prepared to take action to prevent price pressures from broadening and becoming more entrenched which could translate to second-round effects,” Mr. Diokno said.
In March, the BSP kept rates at record lows as it cited the need to keep supporting the economy at a time of increased uncertainties to the growth and inflation outlook. At the same time, it acknowledged that economic recovery has already gained traction.
The Monetary Board now expects inflation to breach the target at 4.3% for 2022 from 3.7% previously, citing the surge in oil and commodity prices due to the Russia-Ukraine war.
“Now, on the timing of the disengagement strategy, I think we are still on track despite the Russia-Ukraine crisis. We’re still looking at the second half of the year for our normalization [of rates] strategy,” he said.
Mr. Diokno said their eventual normalization of policy setting will be supported by firmer signs of a “durable economic recovery.”
The key policy rate is currently at a record low of 2%, and Mr. Diokno has earlier said this could reach 2.75% by 2023.
For UnionBank of the Philippines, Inc. Chief Economist Ruben Carlo O. Asuncion, a preemptive rate hike from the central bank could do “more good than harm.”
“I believe that it would be good for monetary policy to anticipate right away and hike rates, albeit gradually, to help tame the actual rise in prices,” Mr. Asuncion said in a Viber message.
Meanwhile, Security Bank Corp. Chief Economist Robert Dan J. Roces said non-monetary policy measures like fuel subsidies and wider food imports are crucial to respond to inflationary pressures.
“However, we think the BSP may also be standing ready to raise the benchmark rate earlier than planned as a form of preemptive strike to further moderate inflation should price pressures start to become too compelling to ignore,” he said.
The Monetary Board will have its next policy review on May 19. Its first policy-setting meeting in the second half is on June 23.
Meanwhile, Mr. Diokno said they have extended another P300-billion zero-interest loan to the National Government.
“They recently renewed it and it will be paid by June 12. So, by the time the new administration takes over, there will be no more advances from the central bank,” he said.
A decision on future direct advances will be made by the next administration.
This is the sixth time the BSP extended direct advances to the National Government since the pandemic. It is lower than the P540 billion which was extended thrice in 2021, reflecting the gradual withdrawal of the BSP’s budgetary support to the National Government.
Under Republic Act (RA) No. 11494 or the Bayanihan to Recover as One Act, the BSP is allowed to lend the National Government an equivalent of 30% of its average revenue or P850 billion. This is higher than the cap set at 20% of its average annual revenue provided by RA 7653 or The New Central Bank Act.
Mr. Diokno also said they have significantly reduced their purchase of government securities.
“It’s been declining significantly. Right now, we almost don’t trade anymore. There are days when we don’t buy it,” he told reporters in mixed Filipino and English.
By Tobias Jared Tomas
THE WORLD BANK trimmed its growth forecast for the Philippines to 5.7% in 2022 due to the impact of the war in Ukraine, warning that growth could further slow to 4.9% if conditions worsen.
At a briefing on Tuesday, World Bank East Asia and Pacific Chief Economist Aaditya Mattoo said the Philippine growth projection for 2022 was downgraded from 5.8% forecast given in October, which he said was already conservative.
The Philippine economy expanded by 5.6% in 2021.
For 2023 and 2024, the World Bank expects the country’s gross domestic product (GDP) to grow by 5.6% on average.
However, these new projections are below the Philippine government’s 7-9% target for 2022, and 6-7% for 2023.
“Growth will draw strength from the domestic environment with declining COVID-19 (coronavirus disease 2019) cases, looser restrictions, and wider reopening. The strong domestic condition will help compensate for the weak external environment, reeling from a global growth deceleration, rising inflation, and geopolitical turmoil,” the World Bank said in a report released on Tuesday.
Consumption growth would be higher if not for the Russia-Ukraine conflict, which pushed up prices of fuel and food.
Mr. Mattoo said the Philippines is vulnerable to the impact of the Russia-Ukraine war since it is a net importer of fuel. Oil prices have surged since Russia’s invasion of Ukraine, which began on Feb. 24.
The World Bank said Philippine poverty incidence is estimated at 18.3% in 2021, and this is expected to decline to 16.2% this year as the economy recovers. However, the drop in poverty may be affected by the spike in inflation.
“In the Philippines, we have done a simulation that showed if food prices increased by say, 10%, it would lead to an increase in the poverty head count by 1% or another million. The fuel price increase will have an impact of one-third as large if it’s about 10%. There’s a big adverse effect on poverty reduction goals, and will hurt growth,” Mr. Mattoo said.
The World Bank said the Philippines faces significant external risks from the global policy tightening and rising commodity and energy prices, while domestic risks emanate from the upcoming May elections.
“The political transition risks policy discontinuity that may undermine market confidence,” it said.
Threats from new COVID-19 variants also loom, but the World Bank noted the Philippines has adopted systems to allow increased mobility and localized responses to fresh outbreaks that reduce the impact on the economy.
‘TRIAD OF SHOCKS’
Meanwhile, the Washington-based lender said developing East Asia and Pacific (EAP) region’s GDP is now expected to grow by 5% this year, lower than the 5.4% forecast given in October.
Mr. Mattoo said the region is facing a “triad of shocks which threaten to undermine its growth momentum,” citing the Russia-Ukraine war as the biggest risk.
“Shocks emanating from the war in Ukraine are disrupting the supply of commodities, increasing financial stress, and dampening global growth, which will mean lower economic growth and higher poverty in developing EAP,” the World Bank said.
Growth in the region, which includes China, may slow to 4% “if global conditions worsen and national policy responses are weaker,” it added.
Other risks include the ongoing coronavirus pandemic, the financial tightening in the United States, and China’s economic slowdown.
The US Federal Reserve raised its policy rate for the first time since 2018 last month to combat decades-high inflation. It also signaled more aggressive hikes in the coming meetings.
China is battling the biggest surge in COVID-19 cases since the start of the pandemic, as it continues to stick to a “zero-COVID” strategy.
The World Bank sees China, which accounts for 86% of regional output, growing by 5% this year in a baseline scenario and 4% in a lower-case scenario.
The EAP region, excluding China, is forecasted to grow by 4.8%, while growth in ASEAN+5 countries is projected to expand by 4.9%.
“The succession of shocks means that the growing economic pain of the people will have to face the shrinking financial capacity of their governments. A combination of fiscal, financial and trade reforms could mitigate risks, revive growth and reduce poverty,” Mr. Mattoo said.
The World Bank recommended four types of policy action to help economies mitigate the risks and revive growth. This includes providing efficient and targeted support to households and firms, instead of price regulations; and “stress-testing financial institutions could help identify risks that fester behind the veil of regulatory forbearance.”
It also proposed reforms of trade-related policies in goods, and improving skills to strengthen the capacity to adopt new digital technologies.
THE BUDGET deficit is expected to start narrowing this year, with borrowings likely to decline and revenues seen to rise as the economy rebounds from the coronavirus pandemic, Finance Secretary Carlos G. Dominguez III said at the Philippine Economic Briefing on Tuesday.
For 2022, Mr. Dominguez said the budget deficit is expected to hit P1.65 trillion, slightly lower than 2021’s actual deficit of P1.67 trillion.
“Last year, our revenue collection was already 5% higher than in 2020, signaling a return to robust economic activity. This year, we expect to bring back our revenue collections to pre-pandemic levels,” he said.
Domestic and external borrowings are also expected to drop to P1.65 trillion and P560 billion respectively, from local and foreign borrowings of P1.98 trillion and P568 billion respectively in 2021.
Mr. Dominguez said the Philippine economy is now recovering “strongly,” but has to deal with volatility arising from the Russia-Ukraine war.
“As the pandemic subsides, the Philippine economy is now well on its way to rapid recovery,” Mr. Dominguez said, citing the decline in coronavirus disease 2019 (COVID-19) cases and reopening of the economy.
Economic managers expect the economy to grow by 7-9%, after gross domestic product (GDP) expanded by 5.6% in 2021.
Mr. Dominguez said economic managers are keeping a close eye on the impact of the Russia-Ukraine war on the economy, particularly on fuel prices.
“Our optimism is, of course, tempered by the uncertainties introduced by the Ukraine conflict. We face a situation that will almost certainly raise inflation levels in all countries. This will be due primarily to the spike in oil and commodity prices,” he said.
The Finance chief emphasized there is no shortage of commodities, despite the spike in prices.
“There is no shortage of commodities, there is no shortage of fuel, of corn, of wheat. It’s actually the anticipation of shortages that are driving up prices,” Mr. Dominguez said.
“It’s affecting us negatively, but we’re confident that since our agricultural production in the Philippines, particularly for our staple food especially for rice, is constant.” — Tobias Jared Tomas
THE Securities and Exchange Commission (SEC) has revoked the certificates of incorporation of ScentKoWorld Corp. and Brendahl Cruz Holdings, Inc. for illegally selling securities to the public.
In its revocation order, the SEC found the two companies to have been promising the public a 400% return for investing in their “buy and earn” programs.
“Under its investment scheme, ScentKoWorld entices the public to buy perfume and beauty products in exchange for ‘cash sales rewards’ equivalent to 400% of the purchase price. Hence, their member was promised a return of P20,000 for simply buying a package worth P5,000,” the SEC said.
“Also, their members may receive the promised return in about 30 days, without having to resell the products, depending on how soon ScentKoWorld can recruit new members. Accordingly, the company encourages its members to recruit others as well. And lastly, ScentKoWorld promises a referral fee equivalent to 10% of the amount invested by the new member,” it added.
The SEC said the investment scheme has the characteristics of an investment contract, which must first be registered with the commission before it is offered and sold or distributed to the public.
The regulator found that ScentKoWorld and Brendahl Cruz Holdings have not registered any securities that would allow them to offer or sell securities to the public and that they are not licensed capital market professionals such as, among others, securities brokers.
In 2019, a cease-and-desist order was issued by the commission against entities affiliated with Brendahl Cruz, including ScentKoWorld and Brendahl Cruz Holdings.
“The said corporations did not pay attention thereto, and in fact, continued their investment-taking activities,” the SEC said.
“The department was able to prove that the entities involved therein were engaged in illegal activities of soliciting investments from the public without the requisite secondary license, and worse, the investment-taking activities are within the context of a Ponzi Scheme as there was nothing that would indicate that there is a lawful business activity from which to generate the supposed income to be distributed to their member-investors,” it added.
In 2018, ScentKoWorld registered with the commission with its primary purpose stated as “to engage in wholesale trading of goods and merchandise, provided that the corporation shall not solicit, accept or take investments and placements from the public neither shall it issue investment contracts.”
Meanwhile, Brendahl Cruz Holdings registered with the commission in 2019. It stated its primary purpose was to “acquire by purchase, exchange, assignment or otherwise, and sell, assign, transfer, exchange, lease, let, develop, mortgage, pledge, deal, in and with and otherwise operate, enjoy, and dispose of, all properties of every kind and description and wherever situated and to the extent permitted by law, including but not limited to real estate, whether improve or unimproved, and any interest or rights therein, as well as buildings, tenements, warehouses, factories, edifices and structures and other improvements, and shares of capital stock or other securities, among others.”
The SEC warned the public not to invest or stop investing in any investment scheme being offered by the two companies.
“Those who act as salesmen, brokers, dealers or agents in selling or convincing people to invest in [said entities] including soliciting investments or recruiting investors through the internet may be held criminally liable,” the commission said.
Violators may also face a penalty of a maximum fine of P5 million or imprisonment of up to 21 years. — Luisa Maria Jacinta C. Jocson
ABOITIZ Power Corp.’s joint venture with Norwegian firm Scatec will start this month the construction of a 20-megawatt (MW) battery energy storage system (BESS) located at the Magat hydroelectric power plant in Ramon, Isabela province, the listed energy company said on Tuesday.
In a disclosure, AboitizPower said the joint venture, SN Aboitiz Power (SNAP) Group, signed on March 25 the engineering, procurement and construction (EPC) agreement with Hitachi Energy for the development of the Magat BESS project.
“We are excited about technologies like BESS that complement our ambition of bringing forth an RE (renewable energy)-powered future, and continue to explore and assess other greenfield and brownfield opportunities beyond hydropower and floating solar. We also appreciate the support of our banking partners for project financing,” SNAP Group President and Chief Executive Officer Joseph S. Yu said.
The joint venture tapped Bank of the Philippine Islands and China Banking Corp. to provide financing for the project.
Early-phase activities for the Magat BESS project were completed in 2021 as part of the pre-construction stage, which included site surveys and basic engineering design, AboitizPower said.
Magat BESS, which is expandable to 24-MW, is planned to be used primarily for ancillary services or reserve power.
The project marks the first venture between renewable energy providers AboitizPower and Scatec after the latter acquired hydropower developer SN Power. It is targeted for commercial operation in the first quarter of 2024.
Scatec General Manager for Southeast Asia Torbjørn Elliot Kirkeby-Garstad said that building the BESS facility is the first step in the company’s ambition to work on more initiatives in the Philippines.
“The Philippines is an important market for Scatec, and we see several promising opportunities, especially in renewables,” he added.
AboitizPower said in line with the BESS project, grid operator National Grid Corporation of the Philippines is set to upgrade the 230-kilovolt Magat-Santiago transmission line.
“The upgrade will allow SNAP to continue adding capacities within the Magat area for additional projects,” it said.
On Tuesday, shares in AboitizPower rose by a centavo 2.78% to close at P37 apiece. — Ram Christian S. Agustin
METRO Pacific Tollways Corp. (MPTC) will be implementing a technology-based approach to help motorists manage their trips during the Holy Week, as traffic volume on its network is expected to climb between 10% and 15%.
The company’s enhanced customer journey services are reflected in MPT DriveHub’s traffic update function to help motorists anticipate traffic conditions ahead, officials said during a briefing on Tuesday, referring to the company’s all-in-one travel application.
The North Luzon Expressway (NLEX) currently has an average traffic flow of “about 410,000,” NLEX Corp. President and General Manager J. Luigi L. Bautista said.
“We are expecting that this will increase by about 10-15%, so expect that this number will be about 470,000 during the Holy Week,” he added.
As for the Manila-Cavite Expressway (CAVITEX), CAVITEX Infrastructure Corp. President and General Manager Roberto V. Bontia said: “We’ve been transacting roughly around 152,000 vehicles a day, so we are expecting a 10% increase.”
Meanwhile, the Cavite-Laguna Expressway (CALAX), which now averages 28,000 vehicles per day, is expected to reach an average daily traffic of over 30,000 during the Holy Week, he noted.
“As we return to some normalcy as compared to recent years, we have anticipated this increase in volume by fielding additional personnel and offering special roadside services,” said MPTC President and Chief Executive Officer Rodrigo E. Franco.
The MPTC will be implementing its “Safe Trip Mo Sagot Ko” motorist assistance program on NLEX, CAVITEX, CALAX, CAVITEX C5 Link, and Subic-Clark-Tarlac Expressway (SCTEX) from April 8 to 18.
“Included in this program are the increased deployment of patrol crews, traffic marshals, security teams, and toll plaza personnel to ensure safety, and provide immediate assistance to motorists,” the company said.
“As in the past, emergency medical services and incident response teams will also be augmented and will be stationed at strategic areas of the expressways,” it added.
The company will suspend lane closures and mainline road works during the period “unless safety repairs are necessary.”
There will be a free towing service at the nearest exit for Class 1 vehicles from 6 a.m. of April 13 to 6 a.m. of April 18.
The company said motorists are encouraged to use RFID stickers (radio-frequency identification) for faster and safer transactions.
“Those who have no RFID sticker yet may have it installed for free in any of the Easytrip installation sites, and pay the initial load.”
“For the complete list of installation sites and reloading options, motorists may visit the Easytrip website www.easytrip.ph or download the MPT DriveHub app,” it also noted.
The mobile application integrates three key functions in one: RFID transactions, trip planning, and emergency roadside assistance.
“Motorists can check their RFID balance and reload their accounts within MPT DriveHub before they travel on NLEX, SCTEX, CAVITEX or CALAX. A toll fee calculator is also in the app to help users calculate how much load they need in their RFID accounts,” the company said.
MPTC is the toll road arm of Metro Pacific Investments Corp., one of three key Philippine units of Hong Kong-based First Pacific Co. Ltd., the others being Philex Mining Corp. and PLDT, Inc.
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. — Arjay L. Balinbin
By Olmin Leyba
THE battle lines are drawn, the missions are set and now it’s time for the combatants to fire the opening salvo in the awaited Barangay Ginebra versus Meralco IV.
In a now-familiar showdown for the Philippine Basketball Association (PBA) Governors’ Cup crown that’s been competitive through and through, both sides can’t emphasize enough the need to set the tone quickly and gain the head start.
“Try to get a winning start, that’s the most important thing,” Meralco coach Norman Black said on the eve of the 6 p.m. Game 1 before an expected huge crowd at the Smart Araneta Coliseum. “It’s not a guarantee that the team that gets off to the best start ends up winning the series, but it’s better to get that W immediately.”
Settling for bridesmaid honors in previous faceoffs in 2016, 2017 and 2019, the Bolts are fueled by that burning desire to get back at the Gin Kings and write a totally different ending with them on top. The defending champions are well aware of such.
“The past is the past and we want to stay more focused on what’s right in front of us,” said Ginebra mentor Tim Cone, confident his troops can match the Bolts’ motivation.
“We knew they’re going to be incredibly motivated; if we were in their shoes, we would be as well. But I don’t think you need a lot of motivation when you’re in the finals. The finals itself is motivation. Whether you lost the last three times or you won the last three times, it doesn’t matter.”
Justin Brownlee, Ginebra’s anchor in the previous conquests, is back for an encore. But this time, the resident import is up against a new opponent in Tony Bishop, the sniper who took over from the power-playing Allen Durham (AD).
Mr. Black said with Mr. Bishop’s presence, it will be “a different look for Ginebra.”
“In the past, they’ve always been able to shut down the paint against AD and force him to move out and take jump shots. This is a little bit different because Tony really takes jump shots so they’re going to have to find a way to slow his perimeter game down, find players who can actually defend and guard him from the perimeter,” he said.
On the other hand, the biggest problem for Meralco remains the same — Mr. Brownlee.
“It’s going to be tough especially with Justin (Brownlee) seemingly reaching his peak just at the right time. So Tony’s really got to play well for us to win this series, at least he’s got to try to equal the numbers of Justin as much as possible,” said Mr. Black.
For Mr. Cone, the Gin Kings should be at their sharpest on defense to enhance their chances against the defensive-savvy Bolts.
“I thought we played a great defensive series against TnT. It’s something we really had to do in order to get through them and that’s the kind of defense we’re hoping to bring to the Meralco series,” Mr. Cone said.
Both squads are dealing with injury concerns as Meralco’s Chris Banchero (back) and Ginebra’s Japeth Aguilar are both listed as “day-to-day.”
Best Player of the Conference contender Scottie Thompson, seasoned guard LA Tenorio, and Christian Standhardinger, who’s expected to suit up after a bout with “non-Covid-19 (coronavirus disease 2019) illness,” spearhead Ginebra’s potent local crew versus Meralco’s Chris Newsome, Raymond Almazan, Cliff Hodge, and Allein Maliksi.
PHARMACEUTICAL company Bayer AG announced on April 1 that it is investing more than €1.3 billion over the next three years in tackling “the challenges facing humanity” — including cancer, neurodegenerative disease, and agriculture’s environmental impact — through Leaps by Bayer, its impact investment unit.
“We stand at the dawn of a new age of innovation in the Life Sciences,” said Werner Baumann, chairman of the board of management of Bayer AG, in a statement.
Added Jürgen Eckhardt, head of Leaps by Bayer: “We will be able to continue on our successful path and provide funding for the brightest minds working on solutions that truly make a difference for people and the planet.”
Leap’s partners include Recursion, an AI (artificial intelligence)-focused company working to find drug treatments for lung fibrosis and other fibrotic diseases; and Mammoth Biosciences, which has CRISPR systems (molecular machineries that can change any letter in an organism’s deoxyribonucleic acid) that develop in vivo gene-editing therapies.
According to Jamie Metzl, a technology and healthcare futurist who spoke at the company’s Breakthrough Innovation Forum, human creativity is one of the strongest forces in the universe.
“We must all start to think a little like science fiction writers, because we live in a world that will increasingly feel like science fiction,” he said, citing technologies that are improving at exponential rates.
“We are at a transition point in human history, and are using our new capabilities in genetics and biotechnology revolutions to renegotiate our relationship with the world around us,” he continued. “Our species now has the ability to recast the code of life.”
A critical driver of this application is moving healthcare to a world of personalized or precision healthcare from the perspective of generalized medicine.
“We’ll move from our current system — which we call healthcare, but is oftentimes symptom-based sick care — to a truer model of prediction and prevention,” said Mr. Metzl.
Another driver of this application is agriculture, with its current reliance on chemical fertilizers and engineered water systems. Mr. Metzl pointed out that chemical fertilizers account for 2% of global energy use, and 1.5% of greenhouse gas emissions.
“We are reaching the limits on sustainable land and water use… clearly, we need to increase yields while lowering agriculture’s environment and carbon footprint,” he added.
Bayer, which invests €2 billion per year for research and development in its Crop Science division, launched a biotech defense against corn rootworm — a pest responsible for €1 billion in crop damage per year — while reducing the need for crop protection. It also plans to bring a more weather-resistant corn hybrid to the market in 2023.
“The question is not technology either-or, but how best. It is not technology yes-or-no, but technology how best to benefit our world,” said Mr. Metzl. — Patricia B. Mirasol
FILINVEST Land, Inc. (FLI) announced on Tuesday that it signed a memorandum of understanding with Filinvest-ENGIE Renewable Energy Enterprise, Inc. (FREE) to explore installing renewable energy generation facilities in its projects in Tarlac and Laguna.
“This partnership allows us to help bolster emerging sustainable, smart cities in the country. With these measures that improve energy efficiency and reduce carbon emissions, we, together with Filinvest Land, aim to deliver more impactful climate action,” FREE President and Chief Executive Juan Eugenio L. Roxas said in a statement.
The facilities are expected to be built in Filinvest Land’s latest industrial development, Filinvest Innovation Parks at New Clark City in Tarlac and Ciudad de Calamba in Laguna.
The New Clark City park is a 120-hectare sustainable business hub while the park in Ciudad de Calamba is a 25-hectare industrial development.
“The Filinvest Innovation Parks are poised to be a catalyst for progress. Our industrial developments are master planned for the needs of rapidly growing industries such as logistics, e-commerce, and data centers,” Filinvest Land Vice-President Francis V. Ceballos said.
The renewable energy project will be the first of its kind for Filinvest Land’s industrial and logistics business segment.
“We are excited to bring eco-efficient solutions to this business segment. This will not only create value for Filinvest Land but also for our partner tenants through competitive power rates and carbon footprint reduction,” Filinvest Land Chief Strategy Officer Tristan D. Las Marias said.
“This partnership will harness the combined expertise of Filinvest and ENGIE to develop sustainable energy solutions such as solar, district cooling, and facilities management to power smart, future-forward cities that drive and accelerate progress while reducing their carbon footprint. Through the collaboration, FREE and Filinvest Land will embark on their first phase of cooperation by developing renewable energy generation systems in ready-built factories within the two Filinvest Innovation Parks,” Filinvest Land added.
FREE is a joint venture company between FDC Utilities, Inc., the power utility arm of Filinvest Development Corp. (FDC), and ENGIE Services Philippines. It was established to finance, build and operate renewable energy projects across the country.
The company focuses on developing solar energy rooftop systems that saves up to 30% of its energy spending while reducing carbon footprint and increasing grid reliability.
“FREE has multiple renewable energy projects in the pipeline with the end goal of promoting sustainable energy solutions to prospective industrial and commercial customers and supporting the Philippine government’s initiatives in reducing the country’s dependence on fossil fuels,” Filinvest Land said.
Filinvest Land is a full-range property developer, with over 200 residential developments across the country.
It is also developing two townships in the Clark Special Economic Zone, including an industrial and logistics park and mixed-use development at New Clark City and the Filinvest Mimosa+ Leisure City, which is in partnership with FDC.
At the stock exchange on Tuesday, Filinvest Land shares remained unchanged at P1.05 each. — Luisa Maria Jacinta C. Jocson
A SMALL house, a fisherman’s boat, 16 plastic bottles, and fishing nets are all found within the performance area of Layeta Bucoy’s Doc Resureccion: Gagamutin ang Bayan, Tanghalang Pilipino’s (TP) first production after two years of coronavirus pandemic lockdowns. This month, the Cultural Center of the Philippines’ (CCP) resident company returns with a filmed version of the one-act play.
Set in a poor fishing village, the play follows an idealistic young doctor, Jess Resureccion, who is running for mayor with the promise of helping uplift the status of its residents. But standing in his way is his cousin, Boy Pogi Resureccion, who was paid by the incumbent mayor to run as a nuisance candidate and hopefully spoil the votes for Jess. Jess tries to convince his cousin to withdraw his candidacy.
It was first staged in 2009 as part of the Virgin Labfest, the CCP’s festival of unproduced and unpublished plays. In 2012, it was staged by TP as part of its Eyeball production.
“Our country is currently looking forward to open a new chapter in its history as a nation. With renewed vitality and great hope, we Filipinos are aiming for a renaissance, or a ‘Resurreccion.’ Looking back, the pandemic that has adversely affected our physical and psycho-social being, compelled us to look inward and assess how we protect ourselves, our loved ones, and our fellowmen from the unseen killer virus,” TP’s artistic director Nanding Josef said in a statement.
“Moreover, the pandemic has triggered us to look farther into the political malaise that has continued to infirm us for many years. Politics and governance have deteriorated in our very midst. Thus, there is an urgent call for change,” he said.
Dennis Marasigan is directing the play’s filmed staging. Alongside Mr. Marasigan in the artistic team are Pong Ignacio as director of photography, TJ Ramos as musical director and composer, Daniel Gregorio as costume designer, and Ohm David as set designer.
Prior to a rehearsal on April 1, Mr. Marasigan told Businessworld that he aimed “to capture as much of what the audience is going to see if they were here live” and “enhance certain elements we can because of the medium.”
TP’s Marco Viaña stars as Doc Jess Resureccion, while Jonathan “Tad” Tadioan stars as Boy Pogi Resureccion. Joining the cast are Mr. Josef as Papang, Sherry Lara as Mamang, and Lhorvie Nuevo as Elsa.
The sole original cast member from the first staging in 2009, Mr. Tadioan is reprising his role as Boy Pogi. He noted the deeper understanding he has now in playing the same role.
“Nag-mature ka din, marami kang pinagdaanan through the years at mas lalo mong naintindihan ’yung human condition (You mature. You go through many experiences through the years, and you gain a deeper understanding of the human condition),” Mr. Tadioan said.
“Mas nakikita mo ’yung mga taong Boy Pogi. Nakakasalamuha mo. So, mas naiintindihan mo sila (You see more of the Boy Pogis in real life. You interact with them. So, you also learn to understand them),” he said.
With the remounting of the play online, Mr. Marasigan hopes first time viewers have a chance “to see yourself” and “become more critical of the things you see.”
“I think the play is very provocative in a way that it asks questions without necessarily giving you answers,” Mr. Marasigan told BusinessWorld. “It does not make you choose between the characters, but makes you examine the way you think about people running for elections, your neighbors, [your] relatives, and others that you know.”
Doc Resureccion: Gagamutin ang Bayan will stream from April 17 to 30 via www.ticket2me.net. Tickets are priced at P350 (general audience), and P550 (barkada promo for three tickets). Access to the show is for 24 hours on the buyer’s chosen date starting at 10 a.m. to 10 a.m. the following day. — Michelle Anne P. Soliman
