Volatility to continue as COVID-19 cases climb

August 15, 2021 | 10:00 pm

PSE-BGC-board-102819 — PHILIPPINE STAR/KRIZ JOHN ROSALES

PHILIPPINE shares are expected to remain volatile, with the market closely watching the country’s coronavirus disease 2019 (COVID-19) infection rates and its progress on the vaccination program.

The bellwether Philippine Stock Exchange index (PSEi) shed 236.38 points or 3.6% to close at 6,320.19 on Friday, while the broader all shares index lost 82.99 points or 2.04% to end at 3,976.94.

Week on week, the PSEi likewise declined by 219.72 points from its 6,539.91 finish on Aug. 6.

“[The] market [reflected] the MSCi rebalancing adjustments ahead of the month-end implementation of the index weightlifting,” First Metro Investment Corp. (FMIC) Head of Research Cristina S. Ulang said in a Viber message on Friday.

“Market corrected substantially on rebalancing to take effect on Monday, Aug. 16,” Diversified Securities, Inc. Equity Trader Aniceto K. Pangan said in a text message on Friday, referring to the PSEi.

AC Energy Corp. and Converge Information and Communications Technology Solutions, Inc. will be replacing DMCI Holdings, Inc. and Emperador, Inc. in the PSEi following a review.

“Possible fears of a longer lockdown [also affected market sentiment] as infection rates remain high at five digits, while [the] healthcare system is overwhelmed from labor, as well as utilization,” Mr. Pangan said. “Market will continue to be volatile depending on the progress of infection rates, as well as vaccine rollout.”

On Saturday, the country recorded the second-highest daily COVID-19 tally since the pandemic began with 14,239 new infections and a positivity rate of 24.9%. This brought the country’s case tally to 1,727,231. A total of 98,847 are active.

Despite some areas being under the enhanced community quarantine until Aug. 20, the Health department has allowed vaccination programs to continue. Some vaccination centers in Metro Manila have begun operating 24 hours to speed up the country’s vaccination drive as infections continue to rise.

As of Aug. 8, 24,479,750 COVID-19 jabs have been administered in the country, with 11,391,969 fully vaccinated.

“The expected further increased rollout of COVID-19 vaccines in the coming weeks or months, especially in [the third quarter] and/or [the fourth quarter], towards population protection and then towards herd immunity, in able to better justify any further measures to reopen the economy eventually, thereby would help support better economic recovery prospects as well as investment valuations,” Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in an e-mail.

Diversified Securities’ Mr. Pangan expects the market to trade between 6,000 to 6,500 this week.

“Buying interest will again emerge when [the] market approaches [the] 6,100 to 6,200 [range],” FMIC’s Ms. Ulang said.

“It’s a market busy with the trading range of 6,200 to 6,600 spiced up with foreign buying and that’s what makes it profitable for traders and short-term investors,” she added. — Keren Concepcion G. Valmonte

Philippines detects Lambda COVID-19 variant

August 15, 2021 | 7:30 pm

PHILIPPINE health authorities on Sunday said they have detected the first case of the Lambda coronavirus variant that is more contagious and resistant to vaccines.

The patient was a 35-year-old woman who did not show symptoms and who had since recovered, the Department of Health (DoH) said in a statement.

The agency was tracing people who had close contact with the patient, who became well after being isolated for 10 days, it said.

“This variant of interest has the potential to affect the transmissibility of SARS-CoV-2 and is currently being monitored for its possible clinical significance,” DoH said.

Lambda is a variant of SARS-CoV-2, the virus that causes COVID-19. It was first detected in Peru in December. It is said to be more contagious than the original strain from Wuhan China. It is also more resistant to vaccines, according to studies.

DoH also reported 182 more infections from the Delta coronavirus variant from India, 41 from the Alpha variant from the UK, 66 from the Beta variant first detected in South Africa, and 40 from the local P.3 variant.

The Philippines now had 807 Delta, 2,232 Alpha, 2,483 Beta and 347 P.3 variant cases, it said.

DAILY TALLY
The Health department reported 14,749 coronavirus infections on Sunday, the second-highest tally since the pandemic started last year, bringing the total to 1.74 million.

The death toll rose to 30,340 after 270 more patients died, while recoveries increased by 10,720 to 1.61 million, it said in a bulletin.

There were 102,748 active cases, 95.9% of which were mild, 1.1% did not show symptoms, 1.3% were severe, 0.93% were moderate and 0.8% were critical.

DoH said 364 duplicates had been removed from the tally, 360 of which were tagged as recoveries. Five recoveries were reclassified as active cases and 141 recoveries were tagged as deaths. Three laboratories failed to submit data on Aug. 13.

Meanwhile the OCTA Research Group from the University of the Philippines said COVID-19 cases increased by 29% last week. The virus reproduction number in the country was 1.49.

It added that the Philippines now had an average of 11,000 daily infections. “It is very likely that new cases will continue to increase next week,” it said in a report.

In the National Capital Region, the average daily cases hit 3,000, while hospital occupancy had breached 70%.

Ilocos Norte and Aklan were at critical risk in terms of their average daily attack rate, although their one-week growth rates have slowed.

Cebu City, Lapu Lapu and Mandaue, Cavite, Laguna, Pampanga, Batangas, Misamis Oriental and Cagayan have also reached above 70% healthcare capacity, while Misamis Oriental and Cagayan were above the critical level at 85% capacity.

Among the provinces in the country, Tarlac had the biggest one-week growth rate.

Health Undersecretary Maria Rosario S. Vergeire last week said it was too early to say whether the enhanced community quarantine in Metro Manila would be extended after Aug. 20.

The Financial Executives Institute of the Philippines said an extended lockdown would aggravate the hardship and suffering of people who have yet to recover from the ill effects of the pandemic.

The National Task Force against COVID-19 on Friday said the government would prioritize the vaccination of people in places under a strict lockdown.

The government would start using the two million doses of CoronaVac that arrived from China on Thursday and the Pfizer and Sinopharm doses donated by the United Arab Emirates that arrived on Wednesday. Almost 600,000 doses of the vaccine made by AstraZeneca Plc arrived on Friday.

The Food and Drug Administration (FDA) has said the vaccine made by China’s Sinovac Biotech Ltd. has been the most administered brand in the Philippines, hence the greatest number of COVID-19 resurgence is among those who got it.

FDA Director General Rolando Enrique D. Domingo said COVID-19 infections are not necessarily related to the effectivity of a specific vaccine brand.

The Health department earlier said the lockdown could get extended. — Bianca Angelica D. Añago

Gov’t takes delivery of half-a-million Moderna vaccines

August 15, 2021 | 7:29 pm

THE PHILIPPINES on Sunday took delivery of 469,200 doses of the coronavirus vaccine made by Moderna, Inc., according to the government.

The National government paid for about 319,200 doses while the private sector paid for the rest of the shipment that arrived via Singapore Airlines at the Ninoy Aquino International Airport.

More than 12,027,383 Filipinos have been fully vaccinated against the coronavirus, while 14.1 million people have taken their first dose, according to the government.

The Philippines seeks to vaccinate 58 million Filipinos in the capital region and other urban areas this year.

President Rodrigo R. Duterte placed Metro Manila under an enhanced community quarantine from Aug. 6 to 20 to contain a fresh surge in infections probably caused by the Delta variant from India.

Moderna has said its vaccine was about 93% effective four to six months after the second dose, showing hardly any change from the 94% efficacy reported in its original clinical trial.

It appeared to be more effective than the Pfizer vaccine whose efficacy rate had gone down to 84% six months after the second shot. Both the Moderna and Pfizer vaccines are based on messenger RNA (mRNA) technology.

The efficacy rate of Moderna’s vaccine was stable at 93% after four to six months, Reuters reported, citing a statement by Chief Executive Stéphane Bancel

Moderna’s second-quarter sales hit $4.4 billion, higher than the average estimate of $4.2 billion by analysts.

Its net income was $2.78 billion or $6.46 a share, beating expectations of $2.46 billion or $5.96 a share.

Medical studies have shown the coronavirus vaccine made by Pfizer, Inc. may be less effective than Moderna’s against the Delta variant.

Researchers found the effectiveness of Moderna’s vaccine against infection had dropped to 76% in July — when the Delta variant was predominant — from 86% in early 2021, Reuters said, citing researchers. During the same period, the effectiveness of the Pfizer vaccine had fallen to 42% from 76%, researchers said.

While both vaccines remained effective at preventing coronavirus disease 2019 (COVID-19) hospitalization, a Moderna booster shot may be necessary soon for anyone who got the Pfizer or Moderna vaccines earlier this year, according to Venky Soundararajan, a doctor at Massachusetts data analytics company Nference, which led the Mayo Clinic study.

In a separate study, elderly nursing home residents in Ontario produced stronger immune responses — especially to worrisome variants — after the Moderna vaccine than after the Pfizer vaccine.

The elderly may need higher vaccine doses, boosters, and other preventive measures, said Anne-Claude Gingras of the Lunenfeld-Tanenbaum Research Institute in Toronto, who led the Canadian study.

A Pfizer spokesperson said a third dose booster might be needed within six to 12 months after full vaccination to maintain the highest levels of protection against the coronavirus. — BADA

Lawmakers push for national vaccine database

August 15, 2021 | 7:29 pm

OPPOSITION SENATOR Leila M. de Lima has added her voice to growing calls for the executive department to get its act together on setting up a national vaccination database following authentication problems encountered by overseas Filipino workers (OFWs), particularly those bound for Hong Kong.

Ms. De Lima said the lack of a central database for the vaccination represents an “unforgivable oversight” on the part of President Rodrigo R. Duterte’s administration, especially the Department of Information and Communications Technology (DICT).

“The DICT must act on this national vaccine database at once. Our compatriots no longer have livelihood because we were forced to have ECQ (enhanced community quarantine, the strictest lockdown category) once again, even our OFWs will have their chance to work taken from them,” she said in English and Filipino in a press release.

The Hong Kong government declined to recognize the vaccination cards of inbound OFWs, citing a problem with authentication as it does not come from a single source.

Vaccination cards are currently distributed by local government units (LGUs) as the national government has yet to establish a centralized system.

Ms. De Lima said the Department of Foreign Affairs and the Department of Labor and Employment need to “exert all diplomatic efforts to come up with even temporary solutions that would allow our OFWs to return to work.”

At the House of Representatives, Quezon City Rep. Precious Hipolito Castelo filed House Bill 9957, which seeks to mandate the Health department to issue electronic vaccine cards to fully inoculated Filipinos.

It will contain details such as basic personal information, COVID-19 vaccination record, and date of the holder’s last reverse transcription–polymerase chain reaction test result.

The bill will serve as an amendment to Republic Act 11525, or the COVID-19 Vaccination Program Act.

“Unfortunately, the delegation of the printing of vaccine cards to local government units and private entities made it logistically difficult to implement the issuance of uniform vaccine cards throughout the country. For every LGU, there appears to be different format and design for the vaccine cards,” Ms. Castelo said in a statement on Saturday.

Under the proposal, the card can be accessed online and will be distributed free of charge.

YELLOW CARD
On Saturday, Bureau of Quarantine (BoQ) Deputy Director Roberto M. Salvador, Jr. said in a public briefing that the issuance of digital vaccination certificates would be launched in September. In the meantime, those who are scheduled to leave and urgently need certification may secure a yellow card.

The International Certificate of Vaccination or Prophylaxis, also known as the Carte Jaune or the yellow card, is a longstanding official document under the World Health Organization.

The BoQ, an agency under the Philippine Department of Health, is the country’s authorized distributor of the yellow card. These are usually issued to Filipino sea-based workers.

Mr. Salvador assured that the Foreign Affairs department plans to coordinate with other countries to ensure international recognition of the “official vaccination certificates.” — Alyssa Nicole O. Tan and Russell Louis C. Ku

Police chief backs policy vs booster shot despite high risk for frontline cops

August 15, 2021 | 7:28 pm

Vaccination-seniors-davao-DAVAO-CIO — DAVAO CIO

THE NATIONAL police head said they fully support the current government policy against giving coronavirus vaccine booster shots even as cops are among the frontliners in implementing measures to address the medical emergency.

“Let’s not be greedy for vaccines. Many of us are still not vaccinated, even the first dose, due to the limited supply reaching the country,” national police chief Guillermo T. Eleazar said in Filipino in a news release on Sunday.

As of Aug. 15, there were 32,364 members of the police organization who have contracted coronavirus disease 2019 (COVID-19), of which 1,959 were active. Of the total, 30,314 have recovered while 91 died.

There are 221,782 police personnel, of whom 77,735 or 35% have been fully vaccinated against COVID-19 while 90,230 or 40.68% have received their first dose.

Metro Manila mayors are looking to create their respective ordinances that would penalize individuals who will get additional shots of COVID-19 vaccines following reports of persons getting a booster jab by registering in another locality.

On Friday, the Metro Manila Council also unanimously approved Resolution 21-18, which penalizes individuals who will administer unauthorized inoculations with a fine of P5,000 and/or imprisonment of one to six months.

“This is also for everyone’s safety because we are not sure if the booster shots have a bad effect on the body especially if different brands have been injected into us,” Mr. Eleazar said.

Local health authorities are still undertaking studies, parallel to those of their foreign counterparts, on the effects of getting inoculated with different brands of the COVID-19 vaccines.

SENIOR CITIZENS
Meanwhile, a congressman who advocates for the rights of senior citizens called on the national government to take additional measures to have more senior citizens inoculated with COVID-19 vaccines.

The World Health Organization reported on July 30 that only 25% or 2.1 million elderly Filipino citizens have been fully vaccinated based on registrations by local government units.

Senior Citizens Party-list Rep. Rodolfo M. Ordanes said in a statement on Sunday that there is a need to support local governments with tools and incentives to convince the elderly to get inoculated as most registration methods are not easily accessible to them.

“The much better ways are mobile street level vaccination, text-only methods of pre-registration, and giving incentives like rice, medicines, and cash,” he said.

Mr. Ordanes highlighted the need for persuasion from caregivers and the entire household to get their senior members vaccinated as it “creates… real tiny bubbles of protection.”

He also said persuading the elderly to get vaccinated should be done in their mother tongue, must clearly communicate the benefits of getting the jab, and allay concerns over side effects. — Russell Louis C. Ku and Bianca Angelica D. Añago

Human trafficking convictions in 1^st half 2021 down from last year

August 15, 2021 | 7:28 pm

delegates-end-human-trafficking-PHILSTAR — PHILSTAR

THE JUSTICE department recorded 25 convictions on human trafficking cases in the first half of 2021, a 73% decrease from 92 convictions in the same period last year.

Justice Undersecretary Emmeline Aglipay-Villar, however, said the data in the department’s mid-year report is still expected to increase as “some courts don’t submit data mid-year.”

Most courts, she said, send reports on convictions towards the end of the year.

“Some even submit very late,” Ms. Villar said, citing that the Department of Justice actually received some 2020 data just in March this year.

Of the 25 convictions from Jan. 1 to June 30 this year, a total of 28 traffickers were involved.

The number of victims in these cases total 73, of whom 57 were minors while 16 were adults.

In last year’s 92 convictions, a total of 85 human traffickers were imprisoned for victimizing 207 females and 24 males, of whom 149 were minors and 82 adults. — Bianca Angelica D. Añago

Davao City seeks guidance from DENR for the construction of WTE project

August 15, 2021 | 7:28 pm

landfill-DavaoCity-DAVAOCITY.GOV.PH — DAVAOCITY.GOV.PH

DAVAO CITY’S waste-to-energy (WTE) project, planned in partnership with its sister city Kitakyushi in Japan, has been reverted to the Department of Environment and Natural Resources (DENR) upon the recommendation of the Davao Regional Council.

“As of the moment, the WTE project is with the DENR because… there is a new discussion at the Regional Development Council (RDC) 11,” Davao City Mayor Sarah Duterte-Carpio said in mixed English and Visayan over the local government-run radio last week.

The regional council, which covers the five Davao provinces and the city, is currently reassessing the urban masterplan for the proposed Metro Davao area.

Davao City started exploring WTE as a waste management option about three years ago as the existing sanitary landfill nears full capacity.

The city government has already purchased a 10-hectare lot for the project site.

“Here in the city, we already crossed that bridge (use of WTE) long time ago when we purchased the property… the discussion now is still with the RDC… we are requesting DENR’s support on this matter,” the mayor said.

Meanwhile, the city is also looking at purchasing the property in the immediate vicinity of the existing landfill for expansion.

Non-profit environmental protection group Interfacing Development Interventions for Sustainability (IDIS) has expressed anew on social media its opposition to WTE.

IDIS Executive Director Mark Peñalver said a more sustainable way of addressing the solid waste problem is ensuring strict implementation of existing policies, including the creation of materials recovery facilities and segregation at source.

IDIS and other environmental groups recently launched a signature campaign against the WTE project, which has been approved by the city council on second reading and will be included in the city’s 10-Year Solid Waste Management Plan. — Maya M. Padillo

COVID beds full

August 15, 2021 | 7:27 pm

Hospital-full-capacity-PHILSTAR-MICHAELVARCAS — PHILIPPINE STAR/ MICHAEL VARCAS

THE FAR Eastern University-Nicanor Reyes Medical Foundation in Quezon City is among the latest hospitals in Metro Manila to declare full capacity for beds dedicated to COVID-19 patients. A tarpaulin hanging outside the facility on Aug. 15 advises possible coronavirus patients to contact the national central hotline for other facilities while non-COVID services remain open.

‘Sin’ tax collections up over 40% on H1 quarantine easing, rates

August 15, 2021 | 7:02 pm

TAX COLLECTIONS from alcohol and tobacco products rose 40.8% in the first half due to the easier quarantine regime, as well as increased rates that took effect at the start of the year, according to preliminary data from the Department of Finance.

A document obtained by BusinessWorld indicates that duties and taxes collected by the Bureaus of Internal Revenue (BIR) and Customs (BoC) from these two so-called “sin” products grew to P127 billion in the first half from P90.2 billion a year earlier.

Taxes generated by tobacco products rose 40.2% year on year to P86.2 billion in the six months to June.

Collections from alcohol products rose 42.1% to P40.8 billion.

Easier lockdown rules helped buoy sales of such products and increased the tax take of the government, Assistant Secretary Maria Teresa S. Habitan said in a Viber message Friday.

“[We are on track to hit our sin tax collection target this year], barring any more prolonged ECQs (enhanced community quarantines) in the coming months,” she said.

While Metro Manila and other parts of the country continued to be placed in and out of lockdown in the first half, the restrictions imposed were less strict than those in force in 2020.

The capital region and other provinces reverted to ECQ for two weeks in August because of the rising coronavirus infections.

Liquor bans, however, were still implemented by various local government units for the period.

The scheduled tax rate hikes for cigarettes and alcohol in January also contributed to higher tax collections, Ms. Habitan said.

The tax imposed on cigarettes rose to P50 per pack this year from P45 last year as authorized by Republic Act (RA) No. 11346, which was signed in July 2019.

RA 11467, signed last year, increased the excise tax on heated tobacco products to P27.50 per pack from P25 in 2020.

For alcoholic beverages, the law hiked the specific tax on distilled spirits to P47 per proof liter this year from P66 previously, with an ad valorem tax at 22% of the net retail price.

The tax imposed on fermented liquors was also raised to P37 per liter from P35 last year.

The government has set a P297.8-billion collection target for “sin” taxes this year: P177 billion from excise taxes on tobacco products, P81.6 billion from alcoholic beverages, P39 billion from sweetened drinks and P200 million from electronic cigarettes.

Last year, the BIR and BoC generated P229.6 billion in sin taxes, up from P227.4 billion in 2019.

Including all kinds of taxes, the BIR generated P1.034 trillion in the first half, up 1.61% year on year. Customs, which has made its data available to July, collected P359.93 billion, 4.15% ahead of the year-earlier pace.

The two agencies are tasked to collect P2.081 trillion and P620 billion this year, respectively. — Beatrice M. Laforga

AMLC: New government must continue reforms

August 15, 2021 | 7:01 pm

THE NEXT administration needs to be willing to tweak the National Anti-Money Laundering and Countering the Financing of Terrorism Strategy (NACS) to strengthen the Philippine case for exiting the gray list of the Financial Action Task Force (FATF) by 2023, a regulator said.

“A change in administration means the new administration must be briefed and convinced to approve the updated NACS to continue the momentum and to commit in the accomplishment of the action plan items until January 2023,” Anti-Money Laundering Council (AMLC) Executive Director Mel Georgie B. Racela said in a Viber message.

The current NACS was adopted in 2018 and is in effect until 2022. Mr. Racela said the AMLC is in the process of updating the NACS to take into account the action-plan items which the FATF said need to be addressed in order to leave the gray list.

AMLC Chairman and Bangko Sentral ng Pilipinas Governor Benjamin E. Diokno has said that the target to exit the FATF’s gray list was January 2023. The timeline takes into account the looming change of government.

In July, the AMLC opened a satellite office in order to extend its capabilities in compliance with FATF recommendations. Mr. Racela said the new office in Quezon City will be home to AMLC’s compliance and supervision group which focuses on conducting examinations for covered entities, and the litigation and evaluation group, which is in charge of filing freeze orders and bank inquiries, among others.

Mr. Racela said the council is currently hiring more financial intelligence analysts, investigators, lawyers, and other personnel.

“There will be an election ban on hiring. This is why we are preparing for it as early as now. We intend to fully fill vacancies in our Financial Intelligence Analysis Group even before the election ban,” Mr. Racela said.

Meanwhile, the AMLC will implement its revised registration and reporting guidelines in two stages, with most items in place by Aug. 8. Some of the rules will be mandatory for covered persons by Jan. 9, 2022.

In an advisory posted on its website, the AMLC said general provisions of the revised guidelines implemented this month include a new list of covered persons, particularly real estate developers and brokers, whose transactions are potential risks for money-laundering.

The guidelines delegate authority to Mr. Racela to require submission of all covered transactions of persons subject to AMLC oversight. New provisions on compliance-checking and administrative sanctions are also now in force.

This month, amendments to the reporting guidelines include an enumeration of red flags for suspicious real estate and virtual asset transactions, as well as industry guidelines for insurance companies on covered and suspicious transaction reporting.

By Jan. 9, amendments related to the easing of reporting requirements on loan payments categorized as a low-risk will be in force. Going into effect are a list of events that trigger suspicious-transaction report filing, the new format for reporting loans availed, the reporting procedures for the sale of real and other properties acquired held by financial institutions, and the updating of country and currency codes.

Mr. Racela said some amendments have been pushed back for enforcement to allow covered persons to modify their systems to comply.

“The AMLC also takes into consideration that some covered persons outsource or have external providers for their anti-money laundering and counter-terrorism financing systems. Thus, more time is necessary to carry out these enhancements,” Mr. Racela said.

The Philippines needs to show tangible progress in implementing anti-money laundering and counter-terrorism financing (AML/CTF) laws by addressing 18 action plans before exiting the gray list, which it re-entered in June.

Republic Act No. 11521 which amended the Anti-Money Laundering Law was signed into law on Jan. 29, days ahead of the Feb. 1 deadline set by the FATF to demonstrate effective AML/CTF measures. Republic Act No. 11479 or the Anti-Terror Act of 2020 was passed in July 2020 to address gaps in CTF regulation.

The first progress report to the FATF since joining the gray list is due in September. — Luz Wendy T. Noble

Power market automating process for flagging ‘unusual’ trading activity

August 15, 2021 | 6:59 pm

THE PHILIPPINE Electricity Market Corp. (PEMC), which oversees the wholesale electricity spot market (WESM), said it is automating the process for detecting “unusual” outcomes in the behavior of market participants.

“The Market Monitoring Trigger and Offer Pattern (monitors) real-time and post-market results that will aid in the analysis of generator behaviors, portfolios, and the entire market. It will identify unusual market outcomes from monitoring market participants’ behavior through analysis of the offers submitted in the WESM by the generators,” PEMC President Leonido J. Pulido III told BusinessWorld via the company’s communications department on Aug. 12.

He said the market surveillance committee, one of the WESM’s governance committees, is developing the tool.

The PEMC will promptly respond to any signs of anti-competitive behavior if so ordered by the Energy Regulatory Commission (ERC), Mr. Pulido said.

He said the non-profit entity regularly submits market trigger reports (MTRs) detailing unusual market outcomes to the authorities.

“For the period covering May 13, 2021 to June 18, 2021 during the yellow and red alert events, PEMC submitted a total of four (4) MTRs affecting 15 trading intervals to both DoE (Department of Energy) and ERC for their respective reference and perusal,” he said.

The grid operator placed the Luzon grid under a series of red alerts between May 31 and June 2 following forced plant outages, thinning reserves and high temperatures.

The Independent Electricity Market Operator of the Philippines (IEMOP) also started imposing the secondary price cap (SPC) in May after noting high prices during the start of the month’s billing period.

The SPC is a price mitigating mechanism which limits high spot prices when there are “sustained high prices” in the market.

In June, the market operator implemented the SPC during 103 trading intervals between June 1 to June 20. The month before, the IEMOP imposed the cap during 55 trading intervals.

Aside from the automated monitoring tool, Mr. Pulido said other projects include upgrades to an automated monitoring system which evaluates the market operator’s performance, and the creation of a database of market rules and manuals for easy reference.

MINDANAO SPOT MARKET SCHEDULE
He said there is no set schedule as yet for spot market trading in Mindanao as some requirements have yet to be fulfilled.

“The declaration of the commercial operations of the WESM (in) Mindanao is contingent on the completion of the participant registration and the resolution of collection efficiency issues of some participants,” Mr. Pulido said.

Last month, the Energy department ordered the power industry in Mindanao to carry on with the WESM central scheduling scheme until the department announces the commercial operations date of the spot market.

In a July 24 advisory signed by DoE Secretary Alfonso G. Cusi, trading participants in the region were ordered to adhere to the five-minute scheduling and dispatch of power scheme dictated by the market management system, and follow the “re-dispatch” instructions of the National Grid Corp. of the Philippines.

Mr. Cusi added that participants must complete their WESM registration within the central scheduling period, with those failing to do so subject to sanctions. — Angelica Y. Yang

PEZA to become PAF reserve unit for training ecozone workers

August 15, 2021 | 6:58 pm

THE PHILIPPINE Economic Zone Authority (PEZA) said it has been tapped by the Philippine Air Force (PAF) to as a reserve unit, with economic zones becoming venues for training exercises involving the employees of locators.

PEZA Director-General Charito B. Plaza said the agency expects President Rodrigo R. Duterte to approve the arrangement.

“We will be training our PEZA employees and ecozone locators who are Filipinos and our ecozone workers (in) military skills and police skills,” she said in a virtual event.

“Everybody can respond actively in times of disaster, calamities, emergencies in nation building and even in war.”

The agency has been pushing to institutionalize initiatives to train workers in ecozones as military reservists for rescue operations in case of calamities and terror attacks.

PEZA earlier this year also renewed its bid to have military reservations declared as defense industrial economic zones before the end of the Duterte administration. The agency plans to transform the reservations into industrial complexes for the manufacture of weapons and military equipment.

On Friday, PEZA also signed a partnership with the Philippine Red Cross to develop a disaster preparedness program in ecozones.

“This is also in line with our major program to keep the ecozones safe and secure, (in order) to attract and continue to enjoy the trust and confidence of our locators,” Ms. Plaza said.

The investment promotion agency approved P32.057 billion in investment pledges in the first half of 2021, up 8.5% year on year. In 2020, lockdown restrictions declared to curb the spread of coronavirus disease 2019 (COVID-19) dented investor confidence.

The investment promotion agency set a 7% investment growth target this year, expecting more interest from foreign firms after the passage of the law cutting corporate income tax and reforming the tax incentives system. — Jenina P. Ibañez