Filinvest plans Clark district cooling system

July 1, 2021 | 12:01 am

A SUBSIDIARY of Filinvest Land, Inc. (FLI) is set to develop a district cooling system for its Mimosa Plus Leisure City inside the Clark Freeport Zone in Pampanga.

The property developer said in a statement on Wednesday that its subsidiary, Filinvest Clark Mimosa, Inc., partnered with Philippine DCS Development Corp. (PDDC) to develop the system for property.

PDDC, formed in 2013, is a joint venture between FLI and France-based multinational firm ENGIE, which developed and operated another district cooling system at Northgate Cyberzone in Filinvest City, Alabang.

According to FLI, a district cooling system “distributes cooling capacity in the form of chilled water or other medium from a central source to multiple buildings through a network of underground pipes for use in space and process cooling.”

“The system is more efficient than conventional air conditioning and has a significant positive environmental effect by reducing carbon dioxide emissions and pollution,” FLI said.

Ana Venus Mejia, chief finance officer of FLI unit Cyberzone Properties, Inc., said the company is continuously looking for better building designs and methods that consider cost efficiency and environmental impact.

“A cooling system is our foremost priority as it has a significant impact, not only in terms of capital expenditure and maintenance, but because of the significant energy savings we generate and its environmental impact,” Ms. Mejia said.

The district cooling system has been able to cool buildings in the 18.7-hectare Northgate Cyberzone and lowered its greenhouse gas emissions. The system has a 10,000-ton refrigerant plant, a 42.2-megawatt cooling capacity, and a 3.4-kilometer underground distribution network of steel pipes. It also improves water efficiency by removing the use of makeup water and chemical treatment of cooling towers.

“The district cooling system is an essential solution to cool cities efficiently and will play a critical role in fighting climate change in Southeast Asia,” ENGIE Southeast Asia CEO Thomas Baudlot said.

Meanwhile, FLI said that Cyberzone Properties is set to be renamed as Filinvest REIT Corp. (FILREIT) pending regulatory approval.

Based on FILREIT’s registration statement filed with the Securities and Exchange Commission, the company’s portfolio includes 17 office buildings, consisting of one office tower with a retail component in Cebu and 16 office buildings at Northgate Cyberzone, Alabang.

During the first quarter of 2021, FLI posted a 45% decline in its attributable net income to P736 million from P1.35 billion a year ago.

Gross revenues fell 20% to P4.54 billion as residential revenues went down 20% to P2.47 billion.

On Wednesday, shares of FLI at the stock exchange fell 0.90% or one centavo and closed at P1.10 apiece. — Revin Mikhael D. Ochave

‘Smart cane’ brings tech advances to visually impaired

July 1, 2021 | 12:01 am

BARCELONA — White sticks used by the visually impaired to help them get about have had a hi-tech makeover, with a “smart cane” that doesn’t just detect obstacles but can also give users information about the shops and restaurants they are passing.

The device is the brain-child of Kursat Ceylan, a Turkish inventor who was born blind and had an accident three years ago that left him scarred as he struggled to navigate while pulling luggage and checking GPS directions through his smartphone.

He helped to set up WeWALK, a tech company that has created an electronic handle for the top of a cane. It uses ultrasound to detect obstacles, can be paired with a smartphone and gives voice feedback to help keep the user safe and informed.

“We are providing an opportunity to visually impaired people to be a part of the social life,” Ceylan, aged 35, told Reuters at the Mobile World Congress in Barcelona, where the company is pitching for the title of “best impact startup.”

He said the foldable cane, priced at $599, was already being used by thousands of visually impaired people in 59 countries, and WeWALK was working with companies including Microsoft to add more features.

“As you know, we are thinking about fully autonomous vehicles… WeWALK is a device to provide a fully autonomous blind journey to visually impaired people.” — Reuters

Foreign currency loans down as of March

July 1, 2021 | 12:01 am

BANKS’ foreign currency loans declined as of March as the economic downturn meant less need for working capital. — BW FILE PHOTO

FOREIGN CURRENCY loans extended by local banks dropped at end-March as muted economic activity amid the pandemic resulted in a decline in working capital requirements.

Outstanding loans granted by the foreign currency deposit units (FCDU) of banks inched down by 1.9% to $16.337 billion as of March from $16.652 billion at end-December 2020.

FCDU loans also fell by 10.58% from the $18.271 billion seen as of March 2020.

As of March 2021, the maturity profile of FCDU loans was mostly medium- to long-term debt, or those payable in more than a year, representing 79.1% of the total.

FCDUs are BSP-approved bank units that perform transactions involving foreign currencies, such as accepting deposits and handing out loans.

The lower FCDU loans may be attributed to the economy remaining in recession, which translated to lower capital requirements among borrowers, the central bank said.

Banks’ reluctance to lend and the availability of other funding sources may have also caused the decline in foreign currency loans at the end of the first quarter, the BSP added.

The economy remained in recession in the first quarter as gross domestic product (GDP) contracted by 4.2%. Last year, the economy shrank by a record 9.6%.

Metro Manila and its surrounding provinces were placed under strict lockdown in March as infections surged anew. Restrictions were gradually eased starting April.

Central bank data showed about two-thirds (67.7%) of FCDU loans as of March or $11.066 billion were extended to Philippine residents, with 63.8% of this or $10.42 billion going to private entities.

Among industries, the largest chunk of loans went to power generation companies (27.1%), followed by merchandise and service exporters (21.7%) and public utility firms (11.4%).

Meanwhile, the remaining 32.3% of FCDU loans or $5.271 billion went to non-resident borrowers.

By source, local banks extended 88.1% or $14.387 billion of the FCDU loans recorded as of March, while $1.949 billion or 11.9% were from foreign bank branches and subsidiaries.

At end-March, gross loan disbursements increased by 13.5% to $15.8 billion from the end-December 2020 level due to the increase in the funding requirements of an affiliate of a branch of a foreign bank.

Meanwhile, FCDU deposit liabilities slipped by 1.2% to $44.508 billion in the same period due to the appreciation of the peso during the period.

The overall FCDU loans-to-deposit ratio stood at 36.7% as of March, down from the 37% logged as of December 2020 and the 42.4% seen a year earlier. — L.W.T. Noble

Dining In/Out (07/01/21)

July 1, 2021 | 12:01 am

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Rico’s Lechon offers Lechon Baka

RICO’S Lechon’s newest offering is Lechon Baka. Roast beef that is hand-sliced, keeping its juiciness and tenderness in the meat. Intensify the flavors even further by dipping the Lechon Baka in Rico’s Lechon’s homemade vinegar, SukaLami. Rico’s Lechon Baka is available in Junior Size (serves one to two persons (P350) and Fiesta Size (serves six to eight persons (P1,350). It also comes in Rico’s iconic spicy variant, which is priced at P380 for the Junior Size and P1,460 for the Fiesta Size. Launching on July 1, customers can avail of Rico’s Lechon Baka in select stores: Rico’s Lechon BGC, Tiendesitas, and U.P. Town Center, and soon in all Metro Manila and Cebu stores. Customers can pre-order for pick-up and delivery by contacting the Lechon Fulfillment Center at 0917-814-4678, 0918-888-0555, and 7799-0810. Frozen Rico’s Lechon Baka will soon be available in supermarkets nationwide. For more information, visit www.ricoslechon.com.

KFC opens the KFC Pride-Thru

PRIDE Month is about to end but the celebration of and fight for Pride goes beyond June. On June 26, KFC transformed its Bonifacio Triangle Branch into a one-of-a-kind march to support Metro Manila Pride. The fast-food restaurant is a corporate sponsor of the non-profits behind the annual Metro Manila Pride March. But with no large physical gatherings allowed, KFC instead turned its drive-thru branch into a safe space for LGBTQIA+ members and allies. There were posters at the venue saying “Love is the Original Recipe” and “Drive out the hate.” Rainbow posters fill the wall at the KFC Pride-Thru which became a venue for people to show their solidarity with the LGBTQIA+ community as they had their own Pride march from inside their cars. Each car was given a special-edition rainbow Pride Float as part of the day’s festivities. To learn more about LGBTQIA+ issues and support Pride efforts, visit mmpride.org.

Century Park Hotel joins Manila Restaurant Week 2021

MANILA Restaurant Week is back until July 4. Century Park Hotel is once again supporting this endeavor by giving discounts to dine-in guests and customers who want to avail of the select dishes via takeout or delivery. Enjoy a 40% discount at the Atrium Lounge. For breakfast (8-10 a.m.) try the Korean Garlic Bun or Chocolate Croissant (reduced from P295 to P177). Each set comes with complimentary brewed coffee and a refill. For lunch (11 a.m. to 3 p.m.), order the Katsu Curry Udon, Gyu Curry Udon or Ebi Furai Udon (reduced from P695 to P417). Each meal comes with a glass of iced tea. Meanwhile, dinner (5-8 p.m.) options range from Century Park Hamburger (reduced from P505 to P303) to Inihaw na Pampano (reduced from P770 to P462) and Bistek Manileño (reduced from P770 to P462). For more information on how to avail of these offers, check Facebook (Manila Restaurant Week), Instagram (@manilarestaurantweekofficial) and the website (http://manila.gov.ph/manilarestaurantweek).

SaladStop! offers power salads

SALADSTOP!’s Iron “Wo”-man will be back for a limited time only in all Metro Manila stores from July 6 to Aug. 30, and in all Cebu stores from July 13 to Aug. 30. This light and refreshing salad is loaded with baby spinach, feta cheese, roasted pumpkin, yellow raisins, and roasted almonds, all lightly dressed with a Raspberry Vinaigrette. The salad is high in fiber and protein, and iron. This July, SaladStop! joins the Smart Bakuna Benefits program. As a perk for vaccinated individuals, they get a 10% discount for a minimum P500 single receipt purchase on dine-in or takeout from July 1 to Aug. 31. To avail, present your COVID-19 vaccination card and a valid ID. Valid in SaladStop! Metro Manila stores only. SaladStop! is located at Central Square, Power Plant Mall, Greenhills, Glorietta 2, Burgos Circle, Alabang Town Center, Salcedo Village, Ayala Center Cebu, SM Megamall, SM Mall of Asia, U.P. Town Center, Robinsons Cyberscape Gamma, Oakridge Business Park Cebu, TriNoma, and Ayala North Exchange.

Grab Ph, Kraver’s Canteen team up on cloud kitchens

GRAB Philippines has entered into a partnership with cloud-kitchen operator Kraver’s Canteen to set-up GrabKitchen facilities to help restaurants and brands reach new consumers and maximize operations while lowering overhead expenses. GrabKitchens allow brands and restaurants to open up delivery-only kitchen facilities within a central facility, with shared manpower. This allows brands to fulfill orders without having to spend capital on setting up physical store fronts and paying wait staff, enabling restaurant owners to focus on developing new menu items. What sets GrabKitchen apart is: consumers can mix and match their orders across different brands and restaurants located within the same GrabKitchen site and have them delivered while paying a single delivery fee. Through the partnership, Grab Philippines and Kraver’s Canteen will collaborate to manage key areas of the venture. Grab leads all the digital and customer-facing aspects of the partnership, utilizing historical data to identify opportunities in each market, and using the Grab app to drive marketing while Kraver’s will manage the physical and kitchen-facing aspects. There are currently three GrabKitchen branches: in Paranaque, Malate, and Sampaloc. Stay tuned for the opening of more GrabKitchen branches by following GrabFood on Facebook and Instagram.

Margarita Forés among chefs in La Germania’s Masterclass Series

APPLIANCE brand La Germania is hosting the Cooking with La Germania: Masterclass Series, a five-part virtual cooking class in partnership with well-known chefs and celebrities. During these online lessons, expert instructors will be present to guide viewers through the step-by-step process of how to cook their signature dishes from their restaurants. Attendees will have the opportunity to interact with the chefs. Among the instructors are award-winning restaurateur and founder of Cibo, Margarita Forés who will share her recipe for Penne al Telefono; chef Lau of Chef Laudico Guevarra’s and OK Cafe who will demonstrate Italian-style meatballs; Lee Jose, executive chef of Yabu and Ippudo who will teach his special recipe for the Japanese savory pancake Okonomiyaki; Kalel Chan, corporate chef of the Raintree Group, who will demonstrate how to make Chicken Namban; and, celebrity mom Saab Magalona-Bacarro and her husband Jim Bacarro who will prepare steak and mashed potatoes. Classes are limited to 10-12 participants per class to ensure that each attendee receives the guidance they need, except for Saab Magalona-Bacarro’s class which is free and open to the public. For the other classes there is a joining fee of P500. Interested parties may view more details and sign up through La Germania’s Facebook page.

Greenwich opens first delivery, take-out store, launches new flavors

GREENWICH has opened its first Delivery and Take-out store amidst the pandemic, increasing the brand’s accessibility, while adapting to the needs of the times using strict restaurant safety measures for customers’ off-premise consumption. While Delivery and Take-out services were already available in Greenwich’s over 270 stores nationwide even before the pandemic, there were not enough stores to service the huge demand. Aside from its first Delivery and Take-out only store located in Las Pinas City, Greenwich is planning to operate more Delivery and Take-out stores in locations all over the Philippines in the near future. Meanwhile, Greenwich is introducing its latest pizza line called the Extreme Overload. Available in the 12-inch barkada size and 15-inch party size, the four Extreme Overload flavors are: Extreme Hawaiian Overload, Extreme All-In Overload, Extreme Pepperoni Overload, and Extreme All Meat Overload. Prices for the pizzas start at P489. Order via greenwichdelivery.com, hotline #5-55-55, or by sending a direct message to Greenwich Barkada’s Facebook Messenger.

Max’s Group offers treats for the vaccinated

THE MAX’S Group of casual dining restaurants is supporting the local restaurant industry’s effort to help the country reach herd immunity through the Smart Bakuna Benefits program. Fully vaccinated customers can enjoy exclusive offers like free dishes, drink upsizes, discounts, or “buy one, get one” deals from brands such as Max’s Restaurant, Yellow Cab Pizza Co., Pancake House, Krispy Kreme, Teriyaki Boy, Sizzlin’ Steak, Dencio’s, and Jamba Juice. For a minimum purchase of P500, get a free solo Halo-Halo at Max’s. The promo is valid for dine-in transactions only and is available until Dec. 31 in all Max’s Restaurant branches nationwide. Not valid in conjunction with any other promos and discounts. For more information, visit: https://www.facebook.com/maxsrestaurant. Enjoy a free 9” Classic NY-Style Thin Crust Pizza (Pepperoni or Hawaiian) by presenting your vaccination card (1^st dose or 2^nd dose) with your P750 purchase of ala carte products at Yellow Cab. This promo is available in selected branches for dine-in transactions only until Nov. 30. For more information, visit: https://www.facebook.com/YellowCabPizzaOfficial. Enjoy a Buy 1, Get 1 offer for every order of two pieces of Classic Pancakes or Golden Brown Waffle. This offer is valid for dine in, single receipt transactions only in all stores until Dec. 31. Not valid with ongoing promos and discounts. For more information, visit: https://www.facebook.com/PancakeHousePhilippines. Get a free Original Glazed doughnut when you buy any 12 oz. Krispy Kreme Beverage. Offer is valid for in-store purchase only at select stores and is available until Dec. 31. For more details, visit: http://bit.ly/FreeOGVacc. Get a free five-piece order of Gyoza for a minimum single receipt purchase of P900 at Teriyaki Boy. This offer is only available in the following branches: Burgos, Cash n’ Carry, MOA, SM Trece, Shell Mamplasan, SM Lipa, Nuciti Batangas. Valid for dine-in only until Aug. 31. For more information, visit: https://www.facebook.com/TeriyakiBoyPh. At Sizzlin’ Steak, a minimum single receipt purchase of P900 comes with a free plate of Chicken Strips. This offer is only available in the following branches: SM Trece, Shell Mamplasan, SM Lipa, Nuciti Batangas. Valid for dine-in only until Aug. 31. For more information, visit: https://www.facebook.com/SizzlinSteak. At Dencio’s, get three sticks of Pork BBQ for free when you make a minimum purchase of P1,000. This offer is valid for dine-in transactions only until Aug. 31. For more information on the participating branches, visit: https://www.facebook.com/denciosph. Enjoy a free upsize (from 16 oz to 22 oz) at Jamba Juice for Strawberries Wild, Banana Berry, or Chocolate Moo’d drink orders. This offer is valid for in-store purchases only at select participating branches. Available until Dec. 31. For more details, visit: bit.ly/BoostUpWithJamba. Vaccinated customers only need to show their vaccination cards and a valid ID to avail of the promos.

A special dinner, tour promo from The Palacio

INDULGE in some “me time” or spend time with friends over a meal and private tour at Palacio de Memoria, the restored pre-war mansion at the heart of Metro Manila. Palacio de Memoria is now offering a special “Tour & Dine” promo which includes an Italian meal at The Loggia, Margarita Forés’ new al fresco restaurant and a tour of The Palacio. Promo packages start at P750 and includes The Palacio tour, as well as iced tea and tramezzini prosciutto with tomato and basil. There are also packages priced at P1,000, and P1,500 which includes additional dishes from The Loggia. If you’re going with family, friends, or out-of-towners, Palacio is also offering a package for a group of 10 people at P10,000. Located along Roxas Boulevard in Parañaque City, Palacio de Memoria was restored by the Lhuillier family as a showcase of Filipino culture, arts, and history. Palacio de Memoria strictly implements safety protocols. For more information, visit https://www.palaciodememoria.com or follow @thepalaciodememoria on Facebook and @palacio.de.memoria on Instagram

Crimson Hotel’s Baker J now open

CRIMSON Hotel’s Baker J is now open, serving all-day breakfast, lunch and dinner selections, gourmet tartines, freshly baked bread and pastries, paired with its signature coffee concoctions. The restaurant is open from 6 a.m. to 9 p.m. daily. Reservations are encouraged due to limited seating and social distancing protocols. Baker J is located at the Ground Lobby of Crimson Hotel Filinvest City, Entrata Urban Complex, Civic Drive, Filinvest City, Alabang, Muntinlupa City

Shell launches Batangas import terminal

July 1, 2021 | 12:01 am

PILIPINAS Shell Petroleum Corp. has launched its import facility in Tabangao, Batangas, which is seen to strengthen the firm’s capacity in meeting the fuel demands of Metro Manila, Southern Luzon and Northern Visayas.

The import terminal has a storage capacity of up to 263 million liters and features jetties with loading arms, which speed up product transfers from various sizes of vessels.

Previously, the firm shuttered its former refinery in Tabangao to transform it into a terminal.

“The transformation of our refinery into a world-class import facility demonstrates Shell’s commitment to provide sustainable energy to the Philippines despite the challenging conditions posed by the pandemic. We are now better positioned, operationally and financially, to serve the country’s energy needs as the economy reopens with the lifting of restrictions,” Pilipinas Shell President and Chief Executive Officer Cesar G. Romero said in a statement.

He said the import facility had given Pilipinas Shell a more balanced and competitive marketing portfolio, supported by the firm’s robust supply chain.

The terminal fully runs on solar, geothermal and hydropower energies provided by Shell Energy Philippines, a retail electricity supplier under the Shell companies in the Philippines.

On Wednesday, the company held the terminal’s inauguration ceremony, which was attended by officials from the Energy and Trade departments, and the Batangas government.

“In May 2020, I was informed of the Tabangao shutdown which later led to its permanent shutdown in August. Despite this, Pilipinas Shell proved its resilience in its quick decision to transform the refinery into a world-class import terminal. [This is] a business call that would ensure continued fuel supply while enhancing the revenues and supply performances,” Department of Energy Secretary Alfonso G. Cusi said.

He added that the department will remain supportive of Pilipinas Shell’s endeavors, which will “bring our country closer to achieving energy security, independence, and sustainability.”

Pilipinas Shell reported a first-quarter attributable net income of P1 billion, swinging from the P5.5-billion loss it incurred in the same period the year before, despite a low sales volume. The company credited the profitable quarter “to its new supply chain strategy, higher premium penetration across all segments and continued cash conservation measures.”

Pilipinas Shell shares shed 2.44% or 50 centavos to finish at P20 apiece on Wednesday. — Angelica Y. Yang

Philippines places 61^st in global cybersecurity ranking

July 1, 2021 | 12:00 am

How PSEi member stocks performed — June 30, 2021

July 1, 2021 | 12:00 am

Here’s a quick glance at how PSEi stocks fared on Wednesday, June 30, 2021.

Stocks drop on lack of leads, Delta variant fears

June 30, 2021 | 9:00 pm

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

PHILIPPINE shares closed in negative territory on Wednesday amid a lack of catalysts and worries over the Delta variant of the coronavirus disease 2019 (COVID-19).

The bellwether Philippine Stock Exchange index (PSEi) dropped by 54.74 points or 0.78% to end at 6,901.91 yesterday, while the broader all shares index fell by 17.79 points or 0.41% to close at 4,244.58.

Philstocks Financial, Inc. Research Associate Claire T. Alviar said in a mobile phone message that the market fell on Wednesday amid the absence of leads and lingering concerns over the new COVID-19 variant.

“The sentiment was further pulled by the worries over the Delta variant and by the downgrade of the Philippine economic growth forecast to 6.4% this year by the ASEAN+3 Macroeconomic Research Office (AMRO),” Ms. Alviar said.

In its latest Annual Consultation Report released on June 29, AMRO revised its 2021 gross domestic product (GDP) for the Philippines to 6.4%, lower than its previous estimate of 6.9% growth.

Despite being lower, AMRO’s estimate is still within the 6-7% growth target of the government for 2021.

Darren Blaine T. Pangan, trader at Timson Securities, Inc., said in a mobile phone message that the bourse ended lower as investors remained cautious as they continue to monitor the progress of the government’s vaccination program.

About 10.07 million doses of COVID-19 vaccines have been administered since the start of the country’s inoculation program in March, the Health department said on Monday. Of the total, 7.54 million were first does while the remaining 2.53 million were second doses.

The government is eyeing to fully vaccinate as many as 70 million people against COVID-19 by yearend to attain herd immunity.

Sectoral indices were mixed at the end of Wednesday’s trading. Property went down by 59.12 points or 1.74% to 3,321.71; holding firms declined by 65.01 points or 0.93% to 6,920.49; and financials retreated by 12.92 points or 0.85% to 1,498.54.

Meanwhile, mining and oil improved by 86.96 points or 0.92% to close at 9,543.67; services gained 7.86 points or 0.49% to 1,590.80; and industrials rose by 3.09 points or 0.03% to 9,630.09.

Value turnover reached P6.38 billion on Wednesday with 1.85 billion issues switching hands, up from the P5.21 billion with 1.82 billion shares seen the prior day.

Decliners bested advancers, 109 against 94, while 47 names ended unchanged.

Net foreign selling amounted to P730.73 million, higher than the P379.35 million logged on Tuesday.

“6,800 is where support may be drawn, while 7,080 remains the PSEi’s immediate resistance area,” Timson Securities’ Mr. Pangan said.

“The local bourse will test the 6,900 support area, but given the lack of positive catalysts, it may fail to stay above that level. Investors will be monitoring the COVID-19 daily cases, as well as the new more infectious variant, the Delta Variant. Meanwhile, we may also see month-end window dressing, particularly in the index stocks,” Philstocks Financial’s Ms. Alviar added. — Revin Mikhael D. Ochave

Peso down on month-end dollar demand, virus concerns

June 30, 2021 | 9:00 pm

THE PESO weakened anew versus the greenback on Wednesday on month-end demand for the dollar and amid concerns over the Delta variant of the coronavirus disease 2018 (COVID-19).

The local unit closed at P48.80 per dollar yesterday, shedding 30 centavos from its P48.50 finish on Tuesday, based on data from the Bankers Association of the Philippines.

The peso opened Wednesday’s session at P48.60 versus the dollar, which was also its intraday best. Meanwhile, its weakest showing was at P48.83 against the greenback.

Dollars exchanged climbed to $1.105 billion on Wednesday from $763.08 million on Tuesday.

Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said the peso weakened amid corporate demand for the dollar.

“This may be used to pay for some end-month/quarter-end requirements for some imports,” Mr. Ricafort said in a text message.

Meanwhile, a trader attributed the peso’s depreciation to worries over the Delta variant of COVID-19.

The Philippines has so far reported 17 cases of the Delta variant. Data from the Department of Health showed COVID-19 infections rose by 4,509 on Wednesday to bring the total to 1.412 million.

For today, Mr. Ricafort gave a forecast range of P48.65 to P48.85 versus the dollar, while the trader expects the local unit to move within a slightly weaker band of P48.70 to P48.90. — LWTN

ERC alters basis for triggering price caps to 72-hour average

June 30, 2021 | 8:00 pm

THE ENERGY Regulatory Commission (ERC) has revised the formula that will trigger the imposition of price caps, which will now come into play based on power price movements over 72 hours rather than 120.

It said the new trigger event for price caps hopes to address price surges on the wholesale electricity spot market (WESM).

In a statement Wednesday, the ERC said the new trigger for price caps was effected by amending a 2017 resolution on pre-emptive mitigating measures in the spot market.

“The amendment (includes the) lowering of the rolling average period from 120 hours or five days to 72 hours or three days,” the commission said.

According to ERC Chairperson and Chief Executive Officer Agnes VST Devanadera, the implementation of such measures in May would have resulted in a lower average WESM price.

“Because of the imposition of the secondary price cap (SPC) in May 2021, (the) average price in WESM was at P7,428/MWh (megawatt-hour) instead of P8,120/MWh. That is for the five days’ rolling average. If reduced to three days’ rolling average, (the) resulting price would have been P6,338.66/MWh,” she said.

Asked to comment, the Philippine Rural Electric Cooperatives Association, Inc. (Philreca) said shortening the rolling average period “may not guarantee lower prices in the market nor reduce price spikes, but will protect the public from unreasonable high market prices.”

“We commend the ERC for looking after and protecting the welfare of the consuming public. (But) due to the volatility that is inherent to the market, price spikes may not entirely be avoided,” Philreca Executive Director Janeene D. Colingan told BusinessWorld by e-mail Wednesday.

She said that reducing the time for the SPC to kick in does not address the issue of the lack of reserves. “We believe that more need to be done by our government planning and regulating agencies to ensure stability and security of energy supply,” Ms. Colingan added.

The Independent Electricity Market Operator of the Philippines (IEMOP) has said that it imposes the cap when it observes “sustained high prices in the spot market for the past five days.”

Last week, the market operator said it implemented the SPC during 103 trading intervals from June 1 to June 20. The month before, the IEMOP imposed the cap during 55 trading intervals.

Another change in the ERC’s 2017 resolution is the setting of a regional or island SPC mechanism which will “have the same SPC value, CPT (cumulative price threshold) and rolling average period similar to that of the system-wide imposition and shall be applied during certain conditions.”

On Wednesday, the commission said that the amendments will be outlined in an updated resolution which will be released in a few days. It said that it held public consultations in November 2019 on the matter.

The IEMOP has said high prices at the start of the May billing period triggered the SPC. The cap continued to be imposed until the following month as the Luzon grid underwent a series of yellow and red alerts from May 31 to June 2 due to thinning reserves, forced plant shutdowns and higher temperatures. — Angelica Y. Yang

Employers gearing up for million-job push

June 30, 2021 | 7:59 pm

PRIVATE SECTOR groups plan to organize job caravan events and identify job vacancies among member companies as part of their pledge to create a million jobs by the end of the year.

In an event organized by the Employers Confederation of the Philippines (ECoP), industry groups representing the export, hotel and restaurant, construction, and electronics sectors committed to a partnership with government agencies to source talent for their industries.

According to the groups’ manifesto, the private sector will help find jobs for qualified but unemployed Filipinos and make recommendations to the government’s National Employment Recovery Strategy (NERS) task force.

Unemployment surged last year as lockdown restrictions were put in place to contain the COVID-19 pandemic, peaking at a 17.6% jobless rate in April 2020. The unemployment rate by April 2021 was at 8.7%, higher than the 7.1% reported in March, according to a Philippine Statistics Authority preliminary survey.

The NERS task force for its part will provide worker profiles for job vacancy referrals, promote alternative work arrangements, train workers, and help facilitate vaccination for qualified workers.

“We have highlighted in the manifesto the specific responsibilities that we will undertake to achieve our goal,” Trade Secretary Ramon M. Lopez said at the ECoP conference.

“These include: creating a policy environment that encourages generation and improved access to employment, livelihood and training opportunities; improving employability, wellness, and productivity of workers by taking advantage of the opportunities in the labor market.”

Employers at the ECoP conference said that they commit to regular dialogue with the government to support reforms in the business environment and recover from the pandemic.

According to the conference resolutions, the employers recommended that the government “formulate effective national policies that would strike a balance between prioritizing lives and promoting livelihood.”

To do this, they said that the government should address vaccine hesitancy and ramp up the roll out of COVID-19 jabs. Employers added that the government should support small businesses through subsidies, mobilize private sector participation in infrastructure projects, and coordinate seamless social programs like cash transfer and other recovery packages. — Jenina P. Ibañez

Mental health problems weighing on PHL workforce, study finds

June 30, 2021 | 7:58 pm

More than half of Filipino workers have experienced mental health challenges during the pandemic, with many of them considering quitting their jobs, mental health firm MindNation said, citing the findings of a study.

According to the report released Wednesday on a study of 6,000 respondents, 53% said they worry about health risks and financial pressures.

“Now that the boundaries between personal life and work are blurred with people working from home, employees are working more than they did pre-pandemic when they were onsite with colleagues,” according to the report. Almost half of the respondents said that they have too much work.

The survey, conducted between September and April, found that respondents were experiencing weakened focus and low levels of self-confidence. Employees also reported sleeping problems and less pleasure in activities they normally enjoy.

Mental health challenges led 13% of respondents to consider more sick leave, while 35% believe their productivity has been impaired.

“The ones having productivity issues are losing an average of two hours every day. This means that these employees are losing one day per week, which translates into a loss of two months a year due to their productivity challenges,” it said.

Almost a quarter of the respondents said they are thinking about quitting due to mental health challenges.

“When we factor in the employees who are really challenged with mental health issues and think about quitting, it becomes 5% of the total employee base in every company,” the study found.

MindNation said that these concerns could cost companies at least P700,000 per 100 employees each year, based on a 262-day work a year and a $30 daily average salary.

“Losing talent is a significant failure to the company as it takes days to find a replacement for a vacated position. This also entails additional time and effort from the organization as a new hire requires onboarding and training,” MindNation said.

In countries like the US, resignations hit record numbers. More than four million Americans quit their jobs in April.

MindNation said that employee assistance programs in the Philippines have low usage rates and are not always accessible.

The firm said companies should increase the reach of mental health services for employees because they are usually made available to a small part of a company’s population.

“It is crucial to be proactive (instead of) reactive in mental health and wellbeing challenges, providing a safe space where employees can open up the moment they need it, rather than waiting until it is too late,” it added. — Jenina P. Ibañez