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Tolentino conferred honorary FIDE membership

PHILSTAR FILE PHOTO

FOR his “special contribution to the world of chess,” Philippine Olympic Committee President Abraham Tolentino was conferred the award as an Honorary Member recently by the International Chess Federation or FIDE.

The mayor from Tagaytay served as FIDE general secretary during his term as president of the FIDE Southeast Asian (SEA) Zone a few years ago while concurrently being the National Chess Federation of the Philippines (NCFP) secretary-general.

He gave up his spot in the NCFP to give way to younger blood.

Interestingly, the board spot went to his daughter, Cavite vice-governor Athena Tolentino, who was recently elected NCFP first vice-president under chairman-president Butch Pichay.

FIDE also recognized his service and accomplishment as head of the POC as well his presidency of the SEA Games Federation when the country hosted the games’ 30th edition in 2019.

It was the highest honor to be bestowed to anyone by the 195-member FIDE General Assembly.

The PhilCycling chief was quick to share the honor to the whole country.

“It’s an honor to be conferred such award from the FIDE, but this honor is not for me personally, but for Philippine chess, Philippine sports and the entire country in general,” said Mr. Tolentino. “It was also an honor to have served the FIDE, one of the international federations with the most number of member countries.”

The other FIDE awardees are professor Kurt Jungwirth of Austria, European Chess Union President from 1990 to 1998; Jorge Vega of Mexico, American Confederation President from 2002 to 2022; and Grandmasters Vlastimil Hort of Germany and Slim Bouaziz of Tunisia. — Joey Villar

Romanian Halep outlasts Haddad Maia for third Canadian Open crown

SIMONA HALEP — REUTERS

SIMONA Halep ended Beatriz Haddad Maia’s dream run in Toronto with a hard-fought 6-3, 2-6, 6-3 victory to claim her third Canadian Open title on Sunday.

Halep’s serving woes from her semifinal win carried over at the outset of the final as she produced four double faults and was broken in the opening game before quickly falling 3-0 behind.

But the Romanian responded by changing her tactics, drawing the Brazilian into longer rallies to reel off six straight games and she sealed the opening set when she blasted a forehand winner, pumping her fist as the supportive crowd roared their approval.

Haddad Maia dominated the second set but got tight in the decider, badly missing a forehand wide to hand Halep a 4-1 lead she would not relinquish.

The two-time Grand Slam champion sealed her ninth WTA 1000 title when Haddad Maia’s service return found the net on match point under sunny skies in the Canadian city.

“At the start, it was really tough,” Halep told reporters.

“She’s lefty, so it’s coming different, the spin. She’s very powerful. She’s solid. And it’s never easy to play against her.”

With the win, the former world number one will re-enter the top 10 next week at number six.

“I’ve been many years there, but now I feel like it’s a big deal to be back in top 10. I’m really happy with this performance,” she said.

The loss ended an impressive run at the tournament for Haddad Maia, who toppled local favorite Leylah Fernandez, world number one Iga Świątek and Tokyo Olympics gold medalist Belinda Bencic en route to the final.

Haddad Maia will debut in the top 20 for the first time next week and her success caught the attention of Brazilian soccer hero Pele. — Reuters

Carreño Busta downs Hurkacz for maiden Masters 1000 title

PABLO Carreño Busta rallied from a set down to defeat Hubert Hurkacz, 3-6, 6-3, 6-3, in Montreal to claim the biggest title of his career at the Canadian Masters on Sunday.

The unseeded Spaniard jumped for joy when he broke the eighth-seeded Pole to seal the win in front of a packed house, hitting peak form that will lift his world ranking to 14 from 23 with the US Open set to start on Aug. 29.

“Please don’t wake me up if I’m dreaming because I’m enjoying this a lot,” Carreño Busta said during the trophy ceremony.

It was no easy route to the title for Carreño Busta, who also notched wins over current world number 14 Matteo Berrettini and 12th-ranked Jannik Sinner in Montreal.

Hurkacz came out sharp, earning the first service break of the match and maintaining the lead to take the first set.

But Carreño Busta bounced back to take a 3-0 lead in the second that he would not relinquish to set up the winner-take-all third. The key moment of the decider came when Carreño Busta broke for a 2-1 lead after a Hurkacz drop shot failed to clear the net. Hurkacz responded by bouncing his racket off the court in frustration.

The point of the match came in the sixth game of the third set when Carreño Busta raced to track down a deep lob and hit a desperation shot over his head to extend the point, which he ultimately won with a leaping backhanded volley at the net.

“I don’t know how I did this,” a smiling Carreño Busta said of the epic exchange.

“I tried to be as fast as I can and put the ball inside the court again… after that, I think it was an incredible point. It’s just one point, but it was very, very good for the confidence.”

Hurkacz, who was denied in his quest for a second Masters 1000 title, tipped his hat to his opponent.

“He definitely was playing really amazing this week,” he said.

“I congratulate him because that’s his biggest success so far. He definitely deserved it.” — Reuters

Perfect game bid by Rays’ Drew Rasmussen broken up in ninth

TAMPA Bay Rays right-hander Drew Rasmussen took a perfect game into the ninth inning of Sunday’s 4-1 victory against the Baltimore Orioles before yielding a double to Jorge Mateo on the first pitch of the inning.

Mateo ripped a cutter just inside the third-base line to end Rasmussen’s pursuit of perfection. Mateo later scored on a wild pitch to end the shutout.

“If you can find a way to complete it by making good pitches, then kudos,” Rasmussen said during a postgame television interview. “It’s one of those things that more likely than not you’re going to give up a hit — it would have been really cool not to — but it’s just how it goes.

“Jorge (Mateo) put a good swing on it.”

Rasmussen struck out seven in 8 1/3 innings. He was pulled after 87 pitches. Jason Adam recorded the final two outs.

Rasmussen, 27, retired Austin Hayes on a grounder to first to end the eighth and set up the opportunity.

“Once you start rolling and you realize the ball is coming out well, it’s about making one pitch at a time,” Rasmussen said. “We had some great results today.”

Rasmussen was looking to join Matt Garza (2010) as the only Rays’ pitchers to throw a no-hitter.

Felix Hernandez of the Seattle Mariners tossed the most recent perfect game in 2012.

Randy Arozarena hit a three-run blast in the third inning to lead Tampa Bay’s offense. — Reuters

The best time to borrow money for your business is now

MATHIEU STERN-UNSPLASH

Applying for a business loan is not the best experience for most Filipino small-to-medium enterprises (SMEs). Many SMEs complain about the lengthy application process, numerous documentary requirements, and narrowing likelihood of actually getting funding approval. Rather than go through these hurdles, business owners would rather dip into their savings, or borrow directly from family and friends.

However, if your business demands additional funding to grow, the best time to get a business loan is now. Money on hand means that you can prepare for — or even capitalize from — a mix of inflationary pressures and business opportunities coming up in the following months.

See the following reasons why a business loan now rather than later is the best move:

Another round of interest rate hikes will make borrowing more expensive.

Inflation is up worldwide — not just in the Philippines — largely due to multiple international factors that spilled over into the domestic economy. This drove up the lending interest rate to 3.25% in July.

In addition, the Bangko Sentral ng Pilipinas (BSP) has not ruled out further interest rate hikes at its next policy meeting on Aug. 18. Since most financial institutions turn to the BSP rates as a benchmark for loan and credit card rates, another interest rate hike will make loans even more expensive come August.

  You’ll get more out of business investments now rather than later.

While nothing is certain, the government fully expects the national inflation rate to rise — even increasing the 2022 forecast to 4.5%-5.5% in July. Based on that data, you’re better off making large business purchases sooner than later.

This is explained by the “time value of money” concept in economics, which simply means that the value of money decreases over time. P1 million in funding will buy more today than if you wait six more months. In addition, the sooner you invest that money in your business, the sooner you’ll earn returns. Since inflation will also lead to a future decrease in economic and consumer spending, these returns can offset a possible slump in sales.

Once you have a loan, which business investments should you prioritize? Real estate may be the most obvious, as it is a good inflation hedge — but if it won’t benefit your bottom line in the next few months, don’t force it. Instead, focus on expenses and investment that will increase your business revenue and relevance to clients. These can be increasing equipment, technology, or inventory to prepare for your busiest seasons; closing on business leads; or streamlining your business operations and processes to increase overall productivity and efficiency.

You can secure your business against further inflation shocks.

Financing assistance and tax breaks may have been available to SMEs during the worst of the pandemic lockdowns. But if inflation continues for the rest of the year, SMEs won’t be able to receive the same benefits — even if they will suffer the most due to higher prices of raw materials and labor, lower revenues, and the need to increase wages to retain employees.

Thus, it is in every business owner’s best interest to secure their business now, especially if you have a predictable cash flow gap coming up in the next few months. If you wait a few more months to borrow, that need may only become urgent — and you’ll be jockeying in line with other borrowers who are also suffering the same inflationary pressures on their business. This means you’ll also wait longer for your loan to get approved.

The good thing about getting a business loan now is that it doesn’t have to cost you anything. Instead of a term loan, consider a revolving credit line: upon approval, you are given a pool of funds to dip into whenever a business need arises. You’ll only have to pay for the amount you used plus interest, making it a zero-commitment way of securing your business.

A business loan is a big move, and it’s not always necessary to take your business further. It requires a lot of thought, research, and business planning to ensure that your funding will bring you more benefits than headaches.

However, if you’re already in the market for business financing — and you’re getting it to protect or grow your business — then take the next few days to consider your finances and narrow down your business loan options. Waiting longer will cost you more.

This article reflects the personal opinion of the author and does not reflect the official stand of the Management Association of the Philippines or MAP.

 

Benedict S. Carandang is a member of the MAP. He is the vice-president for External Relations of First Circle, a fintech provider that helps SMEs grow through long-term partnerships, flexible financing, and free tools to help them find government opportunities. This article is co-written with Jess Jacutan, First Circle’s content marketing lead.

map@map.org.ph

benedict@firstcircle.ph

A model for climate change response

On Aug. 5, Makati City Mayor Abby Binay declared a state of climate emergency in the city in response to the crisis brought about by climate change. “As temperatures and sea levels continue to rise, low-lying coastal areas in cities like Makati have become more vulnerable to strong typhoons that bring floods and landslides. This will result not only in the disruption of public services but also the displacement of families and even entire communities,” Binay said during a webinar organized by Makati Disaster Risk Reduction and Management Office (MDRRMO).

Legend has it that in one of his upriver expeditions after torrential rain, the Spanish conquistador Miguel Lopez de Legaspi stopped over in one of the barangays of Manila. When he came ashore, the tides were rushing up the river banks. Legaspi asked the barangay chief what the place is called. Not understanding Spanish, the chief pointed to the fast receding waters, saying “Makati na, kumakati na,” which means “The tide is ebbing.” Legaspi took the chief’s words as the answer to his question. So, he wrote down “Makati” as the name of the barangay.

My father taught me how to drive on the runways of the abandoned airport in Makati in 1955. The town was marshland then. Behind Makati Medical Center in 1969 were rice paddies. The Asian Institute of Management moved to its new campus on Paseo de Roxas, Makati in 1970. While a group of faculty members were having coffee in the Faculty Lounge, one professor said to us, “Look out the window, many years from now you will be talking about it.” The scenario was of the operator of the tractor answering the call of nature. What used to be rice paddies had been filled up and was being graded. That is now Legaspi Village.

I relate all this to point out to the generation born after 1980 that Makati is a low-lying area and prone to floods. CNN reported every day last week that Arctic and Greenland glaciers are melting four times faster than those in other parts of the world. Scientists project that if emissions continue to rise unchecked, the Arctic could be ice free in the summer as soon as the year 2040 as ocean and air temperatures continue to rise rapidly. The rise in the sea level could threaten low-lying cities like Makati with perennial floods.

Since the early 1900s, many glaciers around the world have been melting at a rapid pace. Carbon dioxide and other greenhouse gas emissions have raised temperatures higher in the poles, resulting in the rapid melting of glaciers. According to the data from the Philippine Atmospheric, Geophysical and Astronomical Services Administration (PAGASA), there has been a 0.75 degrees Celsius increase in the country’s annual temperature over the past 70 years and by 2050, the temperature increase is expected to reach as high as 1.8° Celsius.

Even if emissions are reduced significantly in the coming decades, scientists predict more than one third of the world’s remaining glaciers will melt before the year 2100. Melting glaciers raise sea levels, which in turn increases the rate of erosion of coastal communities and elevates storm surges as warm air and ocean temperatures create more frequent violent typhoons.

As glaciers melt and oceans become warmer, ocean currents will continue to alter weather patterns worldwide. Countries that consider fisheries a major industry will be affected as warmer waters will kill certain species of fish. The flood caused by the rise in sea level and the increased salinity of the flood waters call for raising crop yields significantly to offset the loss of agricultural land and to increase the income of farmers.

Violent typhoons and wide-scale floods will wreak tremendous damage on coastal towns, even on whole provinces, as they have done in recent years. Climate change has also caused changes in seasonal rainfall patterns and droughts, resulting in considerable losses to the farming sector.

Scientists consider it reasonable to assume that the sea level will rise by 30 to 40 centimeters in the next 50 years. That means not only a loss of land for farming and housing but the increased susceptibility to floods as already being experienced in many parts of Metro Manila and in many towns of the Central Plain provinces of Bulacan and Pampanga.

Climate change demands well-thought-out action plans such as preparing communities for impacts that are already being experienced now. It also means looking to the future, like reducing gas emissions. Last Saturday, the CNN anchor asked the scientist studying the situation in Greenland what his message is to the people in their homes. His curt message: “Clean the air.” It calls for the support and involvement of every sector of society, businessmen, professionals, academics, the youth, ordinary folks, and even Indigenous People.

Makati Mayor Binay’s programs and initiatives intended to mitigate greenhouse gas emissions in the city include the purchase of electric vehicles (e-vehicles) to be used by the city government, installation of solar panels in public schools and government offices to minimize energy consumption and to ensure continuity of services during calamities.

The program also strictly implements the Solid Waste Management Code, Makati Green Building Code, the plastic ban among households and business establishments, a ban on cigarette smoking, an Anti-Smoke Belching Ordinance, and the Greenhouse Gas Reduction Ordinance.

We bring our used plastic food packages and empty soft drinks bottles to a junk shop for recycling. My driver said, “Why don’t you save yourself the trouble by just throwing them away as many neighbors do.”

That brought to mind the time I was teaching in the Ateneo Graduate School of Business (AGSB). The International Labor Organization (the ILO) offered the school study grants on Environmental Management at the Centre d’Etudes Industrielles (CEI) in Geneva. The ILO specified that one of the grantees be a Marketing professor to reorient his thinking to environmental protection and preservation.

Marketing practitioners have the reputation of being spoilers of the environment. They are the ones who came up with the idea of plastic grocery bags and soft drinks bottles, throw-away styropor food packs, tetra packs, air fresheners, wet wipes, etc. Fr. Thomas Fitzpatrick, S.J., dean of the school, nominated me as I was then the chair of the marketing faculty. I was supposed to replicate the CEI program in Ateneo.

While in Geneva, I and the other attendees of the program were taken to a plant which converted solid waste into energy. The power generated was enough to light up half of Geneva at night. The residue from the process was something like asphalt.

Mayor Binay had announced previously that electric buses (e-buses) will soon be a part of the regular public transportation sector in the city following the signing of a Memorandum of Agreement between the city government and an international government organization on the establishment of a smart public transport system in the city. She said, “Apart from the Makati Subway, this new public transport system is in line with our efforts to transform Makati into a smart city. We need to upgrade our systems because smart transportation is more convenient, safe, and cost-effective for both the city and commuters than traditional frameworks.”

The city government will provide the land for the construction of the EV bus depot and parking area, oversee the implementation of the project, and secure a sufficient amount from its budget to cover the expenses required for the operation of the project, including the cost of proper storage, utilities for operation, and maintenance of ICT system and EV buses.

Laudable is Mayor Binay’s initiative. Many of the cities in Metro Manila — Navotas, Malabon, Manila, Pasay, Parañaque, and Las Piñas — lie on the shore of Manila Bay. The major port cities of Cebu, Iloilo, Cagayan de Oro, and Davao are vulnerable to the dangers of climate change, as are all the other coastal cities of the Philippines. Heads of these government units should emulate Abby Binay and imitate her initiatives.

In fact, Mayor Binay made this appeal: “We call upon everyone to come together and act now. We must ensure aggressive application of the whole-of-society approach in combating climate change. We heard the data. We understood the science, and we are feeling its impact. Now is a crucial time to act, and we need to act fast. We need thinkers, doers, and movers. The time for action is now. As the new breed of Makatizens and global citizens, it is our responsibility to take care of our city and ensure that it remains a liveable place for future generations. We must promote sustainability and climate consciousness in all our actions. We must be the change we want to see in our city and the world.”

That brings me back to the executive program on Environmental Management I was developing for Ateneo’s Graduate School of Business. After attending the program in Geneva, Fr. Fitzpatrick, Associate Director Lydia Echauz, a number of AGSB professors, CEI Environmental Management program director Michael Royston, and I went to a conference venue in Caliraya to develop the Ateneo version of the program.

Just as we had finalized the curriculum and I had written some teaching materials, Fr. Fitzpatrick asked to be assigned as a missionary, as was his original goal in joining the Jesuit order, in Africa. A lay person, an MBA from Stanford, replaced him. The new dean immediately scrapped the proposed course. He didn’t find it appropriate for graduate studies in Business.

Some heads of local government units very vulnerable to problems caused by climate change may not consider response to climate change challenges important. Philip Bowring, editor of the Far Eastern Economic Review, who has an across-the-board and objective view of the Philippine situation, points out in his book, The Making of the Modern Philippines, that many local government units are run by and for an elite of families and interests, provincial and central. To them, political interests come first before good governance.

Has the call of Mayor Abby Binay to come together to combat climate change fallen on many deaf ears?

 

Oscar P. Lagman, Jr. is a retired corporate executive, business consultant, and management professor. He has been a politicized citizen since his college days in the late 1950s.

Growth recovery, declining births, and rising power demand

This piece will cover six topics and events that occurred last week so we go straight to them.

1. GROWTH RECOVERY AND RISING INFLATION
Last week, the Philippine Statistics Authority (PSA) released the 2nd quarter (Q2) 2022 GDP growth and it was 7.4%, a bit lower than the Q1 growth of 8.2%. The PSA also released the July 2022 inflation rate last week and it was 6.4%, a bit higher than June’s inflation of 6.1%.

So, for Table 1, I averaged the GDP growth for Q1 and Q2 of selected countries and compared them with the Philippines’. Then I also averaged the inflation rate from January to July. The big East Asian economies with no Q2 GDP report yet, like Japan and Thailand, are not included in the table.

The Philippines so far has the fastest growth recovery in first half 2022 with 7.8%, followed by Malaysia and Vietnam. The main explanation is low base effect — the Philippines had the deepest GDP contraction in Asia in 2020, followed by low growth in 2021, so high growth in 2022 is just trying to recover and slightly surpass the 2019 GDP size and level.

The Philippines inflation for January-July is 4.7%, within the inflation target of 4.5%-5.5% set by the Development Budget Coordination Committee (DBCC) or the economic team (Table 1). If GDP growth in the second half of 2022 is sustained at 7-8%, this column projects a full year inflation of 5-5.2%.

The DBCC growth target of 6.5%-7.5% in 2022 is attainable — and we will likely surpass it. The growth target from 2023-2028 of 6.5%-8% is also attainable and something that we should work collectively for. Fast growth automatically tempers inflation via a higher supply of goods and services in the economy.

Notice Europe and the US, their deep contraction in 2020 and anemic growth after, coupled with high inflation this year. Stagflation is becoming more real for them. Many businesses there will consider migrating to Asia, including the Philippines.

The Philippines just enacted many market-oriented reforms: the corporate income tax cut under the CREATE law, the liberalization of the Public Service Act, the Foreign Investment Act, the Retail Trade Liberalization Act, dynamic Public Private Partnership (PPP), and there are no planned major tax hikes on the horizon. These are good attractions for those foreign businesses to come in, and for those already here to stay put.

2. DECLINING BIRTHS
The PSA also released last week its update of vital statistics for 2021 — births, deaths, marriages. Births in the Philippines continue on a declining trend (Table 2).

There are three possible reasons for this trend. One, the Reproductive Health Law of 2012 (RA 10354), essentially state-sponsored population control dubbed as “pro-choice” family planning, has kicked in.

Two, lockdown scarring leading to fewer marriages plus less desire to have new babies. The average number of marriages per month was 36,000 in 2019, down to 20,060 in 2020 (only 866 and 4,135 in April and May 2020), and 29,740 in 2021.

Three, the effect of vaccination that may have affected some people’s fertility. Mass vaccination in the Philippines started in March 2021. The various COVID-19 vaccines were developed in just months, with no long-term study on reproductive health of people done, they were rushed as emergency use authorization (EUA).

The decline in births is bad, meaning fewer entrepreneurs and fewer workers in the future. The Marcos Jr. administration should pause mass vaccination for young and healthy people pending the results of big and multi-country studies on the impact of COVID-19 vaccines on fertility.

3. RISING POWER DEMAND
Also last week, the Independent Electricity Market Operator of the Philippines (IEMOP) held a media briefing which I attended. Among the highlights of the August briefing were:

One, rising peak demand in the Luzon-Visayas grids was 13,450 MW in 2019, 13,752 MW in 2021, 14,380 MW in 2022. This implies growth recovery.

Two, a rise in power reserves led to a lower price of P6.84/kwh in the August billing vs. P8.92 in June and P8.51 in the May billing.

And three, a rising share of coal power, a declining share of natural gas and intermittent renewables (Table 3).

The forced transition to “decarbonization” and to more intermittent renewables, and less coal power is dangerous. It can lead to more blackouts in the future and businesses will not come in or stay if they have to buy big gensets, meaning higher production cost and less profit for them. The dirtiest and most dangerous energy sources are candles and gensets, not coal. More candles mean more fires and destruction of property. More gensets mean more air and noise pollution. Dark streets at night mean more road accidents and more crime.

4. TRANSPORT LIBERALIZATION, NOT RESTRICTION
Also last week, noted consultant on infrastructure and public transportation Rene Santiago was interviewed on OneTV and he shared many good points. Among these: 1.) Cable cars are a technically viable option for urban commuting but only under special circumstances such as short trips, a hilly terrain, and narrow roads with no expansion possibilities; 2.) Public transportation will worsen with a shortage of buses and jeepneys, and the root causes are two flawed policies: re-franchising and a cap on fares; 3.) Service Contracting Scheme (SCS) is wrong, is not equitable nor is it sustainable, it spawned free rides on selected routes in a few urban centers, and more than 1,500 LGUs did not benefit from it.

I will add that the Land Transportation Franchising Regulatory Board (LTFRB) should abolish not only the fare cap, but also the cap on number of players in motorcycle taxis, and the cap on number of motorcycles per player. Have more competition in public transportation, give the commuters more choices, more options, more convenience and safety.

5. TV5-ABS PARTNERSHIP AND MEDIA ACCOUNTABILITY
A report last week in BusinessWorld says “ABS-CBN, TV5 sign landmark deal that includes SkyCable” (Aug. 11). ABS-CBN will acquire nearly 34% of TV5, and Cignal TV will acquire nearly 39% of SkyCable.

While new radio and TV networks are born, there is also the consolidation of broadcast media in many countries around the world. Consolidation means more visibility, more content, and more accountability and this will be good for media consumers.

Our home internet is Red Fiber with a Cignal TV subscription. The internet is really fast and Cignal TV has many channels on board — I am happy with our setup. The partnership would possibly mean more channels, more choices, at the same price. Good.

6. SUGAR IMPORTATION AND FREE TRADE
I am from Cadiz City, Negros Occidental and whenever I go back home, I am still fascinated by the wide sugar farms that stretch from the highway to the mountains. But there are also huge land conversions from sugar to commercial-residential.

The new Silay-Bacolod airport, with its long runway and wide access roads and the diversion roads, were previously sugar farms. The large Ayala subdivision in Talisay and other new big subdivisions in the province were once sugar farms.

With declining hectarage, domestic sugar output is either flat-lining or declining while demand keeps rising. We should have free trade in sugar, and there should have been no scandal over sugar importation because it is something that we should do yearly to protect consumers.

 

Bienvenido S. Oplas, Jr. is the president of Minimal Government Thinkers.

minimalgovernment@gmail.com

All I want for Christmas is a reality check

VALENTIN PETKOV-UNSPLASH
VALENTIN PETKOV-UNSPLASH

THE mayor of Vigo in Galicia, Spain, has already started preparing for the city’s annual Christmas extravaganza. This is in spite of the government’s attempt to reduce electricity consumption in cooperation with the European Union. Taking the lights down, the mayor argues, would hand Vladimir Putin a victory if the holiday spirit — and spending that comes with it — gets crushed by the war.

You’d think in the context of a looming energy crisis, setting up lights would rank at the bottom of the list of priorities. I love Christmas as much as anyone, I hope that this year it comes wrapped in a reality check — for everyone.

In Spain, energy-saving measures came into force last week: air conditioning will be set at 27 degrees Celsius (80.5 Fahrenheit), shop windows will have to go black from 10 p.m., and state buildings will have to dim their lights. This has sparked acrimonious debate among the central government, regional administrations, and tourist destinations like Madrid, where the nightlife only gets going after nine in the evening. It’s a microcosm of just how unprepared — emotionally and practically — Europeans in general are about what is potentially the darkest winter the continent will experience in decades.

The right-wing head of the Madrid region, Isabel Diaz Ayuso, is a leading voice against the new rules. She famously kept the city open for business during much of the pandemic. Now, she argues conservation will destroy jobs, scare tourists, and hinder public safety. She makes a couple of good points: the Spanish government rushed the measures out without consensus and without a convincing narrative to justify responding to a winter crisis in the middle of the summer. Prime Minister Pedro Sanchez’s symbolic move of going tieless during official business — to make up for shutting off aircon — came across as trivial. He was largely ignored.

Still, it would be silly and short-sighted for Diaz Ayuso and Madrid to go without restrictions. And the bickering goes beyond Spain’s borders. In France, President Emmanuel Macron is due to unveil a plan for “sobriété énergétique” that is virtually a clone of the Spanish measures. He is likely to encounter the same resistance. His nemesis, Marine le Pen, argues European sanctions on Russian energy have backfired and the French will be left footing the bill this winter. With electricity wholesale costs hitting fresh highs for Paris, Le Pen is looking to sway working class voters by presenting herself as the candidate of purchasing power.

Germany is likely to feel the brunt of the Russian winter, but Chancellor Olaf Scholz has played down fears of winter unrest voiced by the media even as the Federal Network Agency — the country’s power regulator — has called on consumers to reduce consumption and set aside money for cold weather bills. Corporations like Deutsche Bank AG are going farther than the voluntary measures set forth by the government.

In Italy, caretaker Prime Minister Mario Draghi caused controversy by saying Italians would have to choose between blasting the air conditioning or helping Ukraine. However, no candidate is talking about it during the campaign leading up to the Sept. 25 vote. That will make the reckoning even harder (or colder) when the winter comes — and the likely reaction from an unprepared electorate even more volatile.

For months, European officials have swept any discussion under the carpet. First, they wanted to save the summer tourist season, which is a cash cow providing much of the second quarter growth for many countries. Second, governments did not want to trigger panic among consumers. It wasn’t until July that the public discourse out of Brussels and national governments began to reflect behind-closed-door concerns. It’s a little late for the reality check — which politics still keeps suppressing.

The result: Ordinary European citizens have not fully internalized the abnormality of the coming winter. The fact that dimmed lights and limited air conditioning spark such a heated debate doesn’t bode well. Come December, the fuss will all seem paltry if Russia further weaponizes energy. It is daunting simply to imagine what the effect will be on lower-income families forced to choose between paying for food or heating.

By now, it is clear Putin wants to force a volte-face on the EU and its sanctions. That will happen most efficiently with discord, distrust, and misinformation among Europeans. This is not a time for petty party politics. What is required now is a sober assessment that cuts through party lines and brings about solutions. It’s getting pretty late for those reality checks.

BLOOMBERG OPINION

Modi says India aims to become developed nation in 25 years

People leave after offering prayers on the first day of the Muslim fasting month of Ramadan, amidst the spread of the coronavirus disease (COVID-19), at Jama Masjid in the old quarters of Delhi, India, April 14, 2021. — REUTERS/DANISH SIDDIQUI

NEW DELHI — India will aim to become a developed nation within 25 years, Prime Minister Narendra Modi said in a national day address on Monday, with policies to support domestic production in power, defense and digital technology.

Speaking from the 17th century Red Fort in Delhi as India celebrates its 75th year of independence from British colonial rule, Mr. Modi exhorted youth to “aim big” and give their best years for the cause of the country.

“We must turn India into a developed country in the next 25 years, in our lifetime,” said the 71-year-old Mr. Modi, wearing a turban in the colors of the Indian flag, in his 75-minute-speech in Hindi.

“It’s a big resolution, and we should work towards it with all our might.”

The World Bank currently categorizes India as a lower-middle income economy — meant for countries with a gross national income per capita of between $1,086 and $4,255. High income countries, like the United States, have a per capita income of $13,205 or more.

India is the world’s sixth-largest economy and is expected to grow at over 7% in the current fiscal year ending in March 2023 — the fastest among major economies.

Many experts say India’s economy could expand to become the world’s third-largest by 2050 after the United States and China, although per capita income, currently around $2,100, may remain low compared to many countries.

With about 1.4 billion people, India is expected to surpass China as the world’s most populous country next year.

Countries like the United States already see India as a future challenger to China’s dominating influence in Asia and beyond. US President Joseph R. Biden on Sunday congratulated India for its national day and said the United States and India were “indispensable partners” that would continue to work together to address global challenges in the years ahead.

India’s neighbor Pakistan, which was part of British India and became independent at the same time, celebrated its independence day on Sunday. — Reuters

Japan PM promises to never again wage war

REUTERS

TOKYO — Japanese Prime Minister Fumio Kishida pledged to never again wage war on the anniversary of Japan’s World War II surrender, while members of his cabinet marked the date with visits to a controversial shrine, moves set to anger China and South Korea.

With the Yasukuni Shrine seen as a symbol of Japan’s past militarism, Tokyo’s ties with China are already particularly strained this year after Beijing conducted unprecedented military exercises around Taiwan following the visit there by US House of Representatives Speaker Nancy Pelosi earlier this month.

During the drills, several missiles fell in waters inside Japan’s Exclusive Economic Zone.

The anniversary commemoration’s links to Yasukuni, a site that honors 14 Japanese wartime leaders convicted as war criminals by an Allied tribunal, as well as war dead, saw Mr. Kishida face a tricky balancing act on Monday.

On the dovish side of the conservative Liberal Democratic Party (LDP), his task was to avoid irking international neighbors and partners while still keeping the more right-wing members of the party happy — particularly after the killing of former premier Shinzo Abe last month.

Mr. Kishida sent an offering to the central Tokyo shrine without visiting, Kyodo news agency reported. He also sent offerings to Yasukuni during festivals last year and this spring.

“We will never again repeat the horrors of war. I will continue to live up to this determined oath,” Mr. Kishida told a secular gathering elsewhere in Tokyo, also attended by Emperor Naruhito.

“In a world where conflicts are still unabated, Japan is a proactive leader in peace,” he said.

Footage on broadcaster NHK showed the shrine being visited early on Monday by several cabinet ministers, including Economic Security Minister Sanae Takaichi. Earlier the site was visited by Koichi Hagiuda, the head of the LDP’s policy research council and a key ally of slain former prime Minister Shinzo Abe.

“It is natural for any country to pay respect to those who gave their lives for their country,” chief cabinet secretary Hirokazu Matsuno said earlier on Monday. “Japan will continue to strengthen its relations with its neighbors, including China and South Korea.”

A group of lawmakers that normally visit en masse on Aug 15 said last week they would not do so due to a recent surge in coronavirus cases.

Abe was the last prime minister in recent memory to visit Yasukuni while in office, in 2013 — a visit that outraged both China and South Korea and even drew a rebuke from its close ally the United States.

The United States and Japan have become staunch security allies in the decades since the war’s end, but its legacy still haunts East Asia.

Koreans, who mark the date as National Liberation Day, resent Japan’s 1910-1945 colonization of the peninsula, while China has bitter memories of imperial troops’ invasion and occupation of parts of the country from 1931-1945.

Kishida has pledged to substantially increase Japan’s defence budget, citing the increasingly tense regional security environment, but made no mention in a recent speech of one of Abe’s dreams — revising the country’s pacifist constitution — although he has spoken of it before. — Reuters

Iran says Rushdie and supporters to blame for attack

EN.WIKIPEDIA.ORG
EN.WIKIPEDIA.ORG

DUBAI — No one has the right to level accusations against Iran over Friday’s attack on Salman Rushdie, for which he and his supporters are solely to blame, the foreign ministry in Tehran said on Monday.

The novelist, who has lived under threat for decades since enraging clerical authorities in Iran through his writing, is recovering after being repeatedly stabbed at a public appearance in New York state.

In Iran’s first official reaction to Friday’s attack, ministry spokesperson Nasser Kanaani said freedom of speech did not justify Mr. Rushdie’s insults against religion. His 1988 novel The Satanic Verses is viewed by some Muslims as containing blasphemous passages.

“During the attack on Salman Rushdie, we do not consider anyone other than himself and his supporters worthy of reproach, reproach and condemnation,” Kanaani told a news briefing. “No one has the right to accuse Iran in this regard.”

Writers and politicians around the world have condemned the attack.

US Secretary of State Antony Blinken said on Sunday that Iranian state institutions had incited violence against Mr. Rushdie for generations, and state-affiliated media had gloated about the attempt on his life.

The Indian-born writer has lived with a bounty on his head since The Satanic Verses was published in 1988. The following year, Iran’s then Supreme Leader Ayatollah Ruhollah Khomeini issued a fatwa, or edict, calling on Muslims to kill the novelist and anyone involved in the book’s publication.

The Iranian government said in 1998 it would no longer back the fatwa.

But in 2019, Twitter suspended Iran’s Supreme Leader Ayatollah Ali Khamenei’s account over a tweet that said the fatwa against Mr. Rushdie was “solid and irrevocable”.

HARDLINE REACTIONS
Mr. Rushdie, 75, has lived relatively openly in recent years.

He was about to deliver a lecture at the Chautauqua Institution in western New York on the importance of the United States as a haven for targeted artists when police say a 24-year-old man rushed the stage and stabbed him.

The suspect in the stabbing, Hadi Matar of Fairview, New Jersey, pleaded not guilty to charges of attempted murder and assault at a court appearance on Saturday, his court-appointed lawyer, Nathaniel Barone, told Reuters.

An initial law enforcement review of Mr. Matar’s social media accounts showed he was sympathetic to Shi’ite extremism and Iran’s Islamic Revolutionary Guard Corps (IRGC), according to NBC New York. The IRGC is a powerful faction that Washington accuses of carrying out a global extremist campaign.

Ministry spokesperson Kanaani said Mr. Rushdie had “exposed himself to popular outrage by insulting Islamic sanctities and crossing the red lines of 1.5 billion Muslims.”

He said Iran had no other information about the novelist’s suspected assailant except what had appeared in media.

Hardline Iranian state media outlets celebrated the attack with headlines including “Satan has been blinded” and some Iranians voiced support online for the stabbing.

Matar was the son of a man from Yaroun in southern Lebanon, according to Ali Tehfe, the town’s mayor. Mr. Matar’s parents emigrated to the United States, where he was born and raised, the mayor said, adding he had no information on their political views.

The Iran-backed armed group Hezbollah holds significant sway in Yaroun, where posters of Khomeini and slain IRGC commander Qassem Soleimani, who was killed by a US drone strike in 2020, adorned walls at the weekend.

A Hezbollah official told Reuters on Saturday that the group had no additional information on the attack on Mr. Rushdie. — Reuters

BusinessWorld One-on-One: “Advancing Medical Innovations in the Healthcare Industry”

In line with BusinessWorld’s 35th anniversary celebration this year with the theme “Forward Faster”, the country’s most trusted business newspaper and multimedia content provider will be holding a BusinessWorld One-on-One series featuring some of the country’s topnotch thought leaders who will share with BusinessWorld Editor-in-Chief Wilfredo G. Reyes their expert insights about “Innovations Reshaping the Future of Key Industries”.

Learn from Dr. Diana Edralin, president of Pharmaceutical & Healthcare Association of the Philippines; and general manager of Roche Philippines, who will talk about “Advancing Medical Innovations in the Healthcare Industry” on #BUSINESSWORLDONEONONE this August 15 at 11 a.m. on BusinessWorld’s and The Philippine STAR’s Facebook pages.

#BUSINESSWORLDONEONONE is supported by Asia Society – Philippines, British Chamber of Commerce of the Philippines, Bank Marketing Association of the Philippines, European Chamber of Commerce of the Philippines, Financial Executive Institute of the Philippines, Management Association of the Philippines, Makati Business Club, Philippine Chamber of Commerce and Industry, Philippine Franchise Association, People Management Association of the Philippines, and The Philippine STAR.