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PSEi advances after positive factory output data

COURTESY OF PHILIPPINE STOCK EXCHANGE, INC.

PHILIPPINE shares climbed on Tuesday as positive April factory output data helped offset a report showing unemployment rose that same month and the World Bank’s lower economic growth forecast for the country.

The 30-member Philippine Stock Exchange index (PSEi) gained 45.80 points or 0.67% to close at 6,809.72 on Tuesday, while the all shares index went up by 17.51 points or 0.42% to end at 4,117.13.

“The PSEi inched higher despite the disappointing jobs data as well as reports that the World Bank, yet again, reduced its economic growth forecast on the Philippines,” AAA Southeast Equities, Inc. Research Head Christopher John Mangun said via e-mail.

“The increase in unemployment had almost no effect on the market as this is a temporary issue and was already expected and factored into valuations,” Mr. Mangun said, adding investors are still optimistic.

Data from the Philippine Statistics Authority (PSA) showed the country’s unemployment rate went up to 8.7% in April 2021, higher than the 7.1% recorded in the previous month.

Meanwhile, the World Bank cut its gross domestic product (GDP) growth forecast for the Philippine economy this year to 4.7% from its 5.5% estimate in March due to the reimposition of lockdowns following the renewed surge in coronavirus cases in the country.

“The local vaccination [drive] picking up speed and vaccine supply improving seem to be the focus of investors… [which] definitely raise hopes for [the] eventual reopening of the economy and greater GDP growth prospects,” First Metro Investment Corp. Head of Research Cristina S. Ulang said in a Viber message.

Diversified Securities, Inc. Equity Trader Aniceto K. Pangan added in a text message that factory output data released on Tuesday also boosted sentiment.

Preliminary results of the PSA’s latest Monthly Integrated Survey of Selected Industries showed factory output, as measured by the volume of production index, surged by 162.1% year on year in April.

Majority of sectoral indices posted gains on Tuesday except for mining and oil, which dropped by 16.51 points or 0.17% to 9,488.68.

Meanwhile, property improved by 32.69 points or 0.98% to 3,361.61; holding firms gained 61.85 points or 0.9% to 6,881.54; services increased by 4.10 points or 0.26% to 1,529.89; industrials rose by 19.57 points or 0.21% to close at 9,118.29; and financials inched up by 1.52 points or 0.1% to finish at 1,446.57.

Value turnover increased to P5.29 billion with 2.37 billion shares switching hands on Tuesday, from the P4.19 billion with 1.86 billion issues traded the previous day.

Advancers outnumbered decliners, 110 versus 93, while 49 names closed unchanged.

Foreigners turned buyers anew with P29.01 million in net purchases on Tuesday against the P96.13 million in net outflows seen on Monday.

“With… the rise in infection rates, we may see sideways movement with major support at 6,600 while major resistance at 6,900,” Mr. Pangan said. — K.C.G. Valmonte

Peso drops on labor data

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THE PESO dropped versus the dollar following the release of data showing unemployment climbed in April.

THE PESO retreated against the greenback on Tuesday following the higher unemployment rate in April, which was caused by the reimposition of lockdowns due to higher coronavirus cases.

The local unit closed at P47.72 a dollar on Tuesday, depreciating by six centavos from its P47.66 finish on Monday, based on data from the Bankers Association of the Philippines.

The peso opened Tuesday’s session at P47.65 a dollar and climbed to as high as P47.645 during the day. However, it succumbed to the dollar’s strength to close nearer to its intraday low of P47.73 against the greenback.

Dollars traded dropped to $650.7 million on Tuesday from $724 million on Monday.

The peso depreciated versus the dollar due to data showing a higher unemployment rate in April, a trader said in an email.

Preliminary results of the Philippine Statistics Authority’s April 2021 round of the Labor Force Survey released on Tuesday showed an unemployment rate of 8.7%. This was higher than the 7.1% reported in March but lower than the 17.6% jobless rate in April 2020.

In absolute terms, there were 4.138 million unemployed Filipinos in April versus the 3.441 million in March and the 7.228 million in April 2020.

National Statistician Claire Dennis S. Mapa attributed the higher jobless rate to the renewed restriction measures in Metro Manila and nearby provinces as cases surged from late March to April.

The underemployment rate — the proportion of those already working but still looking for more work or longer working hours — worsened to 17.2% in April from 16.2% in March. This translated to 7.453 million underemployed Filipinos, more than the 7.335 million in the previous month’s survey.

The latest figure was lower than April 2020’s 18.9% underemployment rate, although there were fewer underemployed Filipinos (6.398 million) as many left the labor force that time.

Another factor that may have caused the peso’s decline versus the dollar on Tuesday was market reaction to a planned global minimum corporate tax rate by the world’s wealthiest economies, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said.

In a landmark agreement, the Group of Seven (G7) advanced countries’ finance ministers agreed to pursue a global minimum tax rate of at least 15% and to allow market countries to tax up to 20% of the excess profits — above a 10% margin — of around 100 large, high-profit companies, Reuters reported.

In exchange, G7 countries agreed to end digital services taxes, but the timing for that is dependent on the new rules being implemented.

The deal could pave the way for broader buy-in by G20 countries and some 140 economies participating in international negotiations over how to tax large technology firms such as Alphabet, Inc.’s Google, Facebook, Inc., Amazon.com, Inc. and Apple, Inc. All are expected to be included in the new, broader mechanism, which is targeted for a final international agreement in October.

For Wednesday, the trader expects the local unit to move within P47.60 to P47.80 versus the dollar, while Mr. Ricafort gave a forecast range of P47.67 to P47.77. — LWTN with Reuters

PEZA flags ‘more restrictive’ import tax rules under CREATE

ANFLOINDUSTRIALESTATE.COM

THE Philippine Economic Zone Authority (PEZA) raised possible problems its locators might encounter with new import tax rules after the implementation of a new law that cuts corporate income taxes and rationalizes incentives.

The investment promotion agency foresees “certain issues” once the law is implemented, noting that it expects rules on the duty-free import of capital equipment and raw materials to be more restrictive, PEZA Deputy Director General for Operations Harriet O. Abordo said in a statement Tuesday.

The implementing rules and regulations (IRR) of Republic Act No. 11534 or the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Act have yet to be released after the lapse of the May 17 target date.

PEZA incentives for investors usually include the duty-free importation of raw materials, but the agency is expecting new limitations on the scope of exemptions.

“Certain issues in implementation are anticipated since the IRR is now more restrictive on the coverage of tax and duty-free importation of capital equipment, raw materials, supply, and VAT-zero rating,” she said, noting that the scope of items eligible for exemption has effectively narrowed.

PEZA in April also flagged the potential exit of registered investors after a provision that would have allowed them to apply for extended incentives for the same activity was vetoed. President Rodrigo R. Duterte called the provision  “fiscally irresponsible” and unfair to taxpayers and enterprises with no incentives.

PEZA has, however, welcomed the signing of CREATE.

“Now that the CREATE is here, we have to move forward, thereby, it is very imperative for us to make this work. After all, we have one overriding objective: to generate investments so we can create jobs for our countrymen,” Ms. Abordo said. — Jenina P. Ibañez

Subic Bay authorities say talks to conclude soon with US company seeking Hanjin yard takeover

HANJIN FACEBOOK PAGE

THE Subic Bay Metropolitan Authority (SBMA) said it is near the conclusion of talks with an unidentified US company seeking to take over the lease of a shipyard left behind by the collapsed Hanjin Heavy Industries and Construction-Philippines, Inc.

“We are nearing completion. Paperwork has already been laid out and done,” SBMA Business and Investment Department Manager Karen G. Magno said in a webinar Tuesday.

The previous operator, Hanjin Heavy Philippines, declared bankruptcy in 2019.

Ms. Magno did not discuss the status of the proposal put forward by Australia’s Austal Ltd., which said last month that its own negotiations with creditor banks were ongoing.

“We have been reporting to the National Government. We were supported by the Department of Finance. We were even talking to the Philippine Navy, because as we already know they are going to be a tenant of this American company.”

SBMA Chairperson Wilma T. Eisma said in a mobile message that a court overseeing the shipyard’s rehabilitation will have a say in the final settlement.

Ms. Eisma added in response to a query that the SBMA’s involvement with the US company is as Hanjin Heavy’s lessor.

Hindi po kasali ang SBMA sa discussions na ‘yon kasi lessor lang po kami ng Hanjin (The SBMA is not a party to the bank discussions because we are just the lessor to Hanjin),” she said, referring to separate talks with Hanjin’s creditors for the collapsed company’s assets.

The Philippine Navy recently announced that it has signed a preliminary term sheet committing 100 hectares of the yard for the use of its ships.

Hanjin started operating the shipyard at the Subic Bay Freeport Area in 2006, becoming one of the biggest shipbuilders in the Philippines before collapsing in 2019. — Jenina P. Ibañez

Private schools ask court to void BIR bid to impose 25% tax

PHILIPPINE STAR/ MIGUEL DE GUZMAN

PRIVATE SCHOOLS filed a petition with the tax court Monday to halt the implementation of the Bureau of Internal Revenue’s (BIR) Revenue Regulation 5-2021, which bars for profit educational institutions from availing of a 1% tax rate. 

The Philippine Association of Colleges and Universities, the Coordinating Council for Private Educational Associations and 27 Proprietary Educational Institutions, claimed that the BIR mistakenly applied the taxation rule for “non-profits” which only refers to hospitals in the National Internal Revenue Code, as amended by the Corporate Recovery and Tax Incentives for Enterprises (CREATE) law. 

The BIR regulation “went beyond the language of Sec. 27 (B) of the Tax Code as amended by the CREATE Law, as the term “non-profit” (covers) only qualified hospitals,” the petitioners’ lawyer Joseph N. Estrada said in a Viber message. 

Mr. Estrada added that “(t)he issuance violates Sec. 4, Article XIV of the 1987 Philippine Constitution, which completely exempts non-stock non-profit schools, and allows preferential treatment, like the lower 10% rate, to Proprietary Educational Institutions.” 

The CREATE law allows eligible companies to avail of reduced corporate income tax rates as a form of economic relief. It reduced the rate for proprietary educational institutions to 1% from 10% for the three years to July 2023. 

However, the BIR issued Revenue Regulation 5-2021 on April 9, claiming that the CREATE law is applicable only to “non-profit” organizations, and that the applicable rate for private schools is 25%. 

On June 3, Senator Juan Edgardo M. Angara filed Senate Bill 2272 to amend Section 27 (B) of the National Internal Revenue Code to remove any ambiguity about its application to private schools. On Tuesday, seven senators signed on as co-sponsors. 

In a letter from Mr. Angara to the Senate Bills and Index Service on Tuesday, he said Senators Ralph G. Recto, Juan Miguel F. Zubiri, Emmanuel Joel J. Villanueva, Maria Lourdes Nancy S. Binay-Angeles, Sherwin T. Gatchalian, Mary Grace Natividad S. Poe-Llamanzares, and Richard J. Gordon Sr. “would like to be made co-authors of (the bill).” 

“At times like these when so many Filipinos are having a hard time due to the pandemic, it is not timely to impose high taxes, particularly to private schools that are currently having a very hard time with the crisis they are facing,” Mr. Angara said in Filipino in a statement Tuesday. 

Mr. Angara added: “The intention of CREATE was to provide tax relief to industries affected by the pandemic and not to place an additional burden on them just like what this BIR issuance has ended up doing to the private educational institutions.” — Bianca Angelica D. Añago

MGB says automatic renewal looms for exploration periods

THE Department of Environment and Natural Resources (DENR) is expected to release an administrative order that will allow for automatic renewals of the period set for mining exploration, according to an official of the Mines and Geosciences Bureau (MGB).

Danilo D. Deleña, MGB Mining Tenements Management Division OIC-chief, said during the first day of an MGB stakeholder forum Tuesday that the guidelines for the automatic renewal of the exploration period in potential mining areas are laid out in the Administrative Order.

Mr. Deleña said the order, “Guidelines for the Automatic Renewal of the Exploration Period and the Timely Declaration of Mining Project Feasibility (DMPF) under the Exploration Permit (EP), Mineral Production Sharing Agreement (MPSA), Financial and Technical Assistance Agreement (FTAA), and similar mining tenements” is nearing publication.

“I checked with the DENR, and it said that the administrative order is in the process of publication in a newspaper of general circulation and likewise for publication in the UP Office of the National Administrative Register,” Mr. Deleña said.

“We are hoping that in the next couple of days, the administrative order will be released,” he added.

According to Mr. Deleña, the administrative order seeks to ensure the continuity of exploration activities by all permit holders, contractors, and other parties to mining tenement concessions. 

He added that the order also aims to ensure the timely filing of the DMPF and that all permits are moving mining tenements.

“The administrative order shall cover all EPs, MPSAs, FTAAs, and similar mining tenements under exploration stage,” Mr. Deleña said.

Previously, Section 22 of DENR Administrative Order 2010-21 or the Revised Implementing Rules and Regulations of Republic Act No. 7942 or the Philippine Mining Act of 1995 provides for two-year effectivity of exploration permits from the date of issuance. 

The restriction on renewals is that they be “renewable for like periods but not to exceed a total term of four years for non-metallic mineral exploration or six years for metallic mineral exploration.”  

Meanwhile, Mr. Deleña said the decision to allow automatic renewal has been studied extensively in the wake of consultations that yielded complaints about the difficulty of the renewal process.

He also assured that the government has the power to take action if the mineral exploration is taking longer than needed.

“They should be financially and technically capable to conduct exploration activities. In cases that a problem occurs, there is no other way but to take action and can be one of the possible grounds for cancellation,” Mr. Deleña said.

In April 14, President Rodrigo R. Duterte issued Executive Order No. 130 that lifted the ban on new mineral agreements and allowed the review of current mining deals for potential renegotiation.

After the law’s signing, MGB disclosed that revenue amounting to P21 billion can be generated by the 100 mining projects in the pipeline, which can be used to help support the economic recovery. — Revin Mikhael D. Ochave

Senator calls for amendment to remove listing requirement for generating firms

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SENATOR Sherwin T. Gatchalian, who chairs the chamber’s committee on energy, has proposed a measure to do away with the initial public offering (IPO) requirement for power generation companies (gencos) to increase the sector’s attractiveness to potential entrants.

“The initial purpose of the public offering requirement for generation companies in the EPIRA (Electric Power Industry Reform Act) has been rendered irrelevant given all the developments in the electric power sector. If we were to encourage more investment in generation to meet our demand needs in the next 20 years, it is crucial to eliminate this additional barrier to entry,” Mr. Gatchalian said in a statement Tuesday, citing the bill he filed last month.

Senate Bill No. 2217 seeks to remove the IPO requirement for gencos, amending a section of the EPIRA.

Under the EPIRA, gencos and distribution utilities which are not publicly listed must offer and sell not less than 15% of their common shares to the public.

“For existing companies, such public offering shall be implemented not later than five years from the effectivity of (the Renewable Energy) Act. New companies shall implement their respective public offerings not later than five years from the issuance of their certificate of compliance,” according to EPIRA.

Mr. Gatchalian said new entrants will encourage competition in the sector.

“In order to promote competition and encourage market development, we have to relax some policies such as the public listing which proved to be burdensome to generation companies especially to small renewable energy (RE) gencos that have difficulty in complying,” he said. 

The generation sector needs to attract additional investment since the Philippines will require an additional 71,817 megawatts (MW) of installed capacity in the next 20 years, he said.

Of the added capacity, some 9,508 MW or 13.24% must come from RE plants in order to meet the renewable portfolio standards requirement under the RE Act of 2008, he said.

Timson Securities, Inc. Head of Online Trading Darren Blaine T. Pangan said that the proposed removal of the IPO requirement may allow some firms to venture into generation because of the easing of the entry criteria.

He told BusinessWorld Tuesday that new entrants hold the potential to “broaden the ownership base of the power or energy sector.”

The elimination of the public listing requirement for gencos will “reduce their administrative requirements,” Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in an e-mail.

He noted that companies incur costs and expend administrative effort to maintain a publicly listed company.

He noted, however, that the requirement for listed firms to disclose relevant information affords more protections to investors and the general public.

China Bank Securities Corp. Research Associate Zoren Philip A. Musngi also said in an e-mail that the removal of the listing requirement will make governance less transparent.

The President of BDO Capital & Investment Corp., Eduardo V. Francisco said he does not think that lifting the requirements for gencos’ IPO “will change or reduce interest” in companies interested in engaging in power generation.

“Why single out the sub-industry (of power generation),” he said, noting that the exemption from listing should also apply to power distribution and transmission. “Then all banks and other industries with BoI (Board of Investments) incentives (that) require listing, should be released from having an IPO,” he told BusinessWorld.

“I think this will be bad for the capital markets as investors won’t have a chance to own selected industries,” Mr. Francisco added. — Angelica Y. Yang

Book industry claims losses of P240 million from DepEd ‘modules’

PHILIPPINE STAR/ MICHAEL VARCAS

THE BOOK industry will sustain P240 million in losses from teaching materials reproduced by the Department of Education (DepEd) without a licensing agreement, a copyright organization said.

Filipinas Copyright Licensing Society, Inc. (Filcols) in a statement Tuesday said that the department’s Order No. 18-2020 directing teachers to reproduce learning modules during the pandemic represents lost income for authors and publishers.

Educators have turned to distance learning during the pandemic, with public schools also delivering printed learning modules to students.

“If DepEd will not sign an agreement with Filcols, we estimate a loss of P240 million,” Filcols said, adding that the basis for its estimate is an assumed license fee of P10 for 24 million students. 

Substantial portions of published books should not be reproduced without the author’s permission, Filcols Executive Director Alvin J. Buenaventura said.

A collective management organization that provides licenses for large-scale reuse of published work, Filcols said that DepEd has not taken out a license for the reproduction of works as it turned to distance learning during the pandemic.

“(The) department order resulted in market failure and loss of income for our authors and publishers,” Mr. Buenaventura said.

The organization, he said, is waiting for DepEd to agree to a fee for using the learning modules after starting talks in May last year.

DepEd had yet to respond to a request for comment at deadline time. — Jenina P. Ibañez

NWRB, DoST collaborating on water resource monitoring projects

PHILSTAR

THE National Water Resources Board (NWRB) is working with the Department of Science and Technology (DoST) on programs to improve the monitoring of the country’s water resources.

Sevillo D. David, Jr., NWRB executive director, said in a recent DoST virtual program that the NWRB is working with the department’s Philippine Council for Industry, Energy, and Emerging Technology Research and Development (PCIEERD) on the Climate Resilient Initiative program, which generates data for use in planning for critical infrastructure, taking into account the effects of climate change.

The program includes is a monitoring system using that allows the NWRB access to real-time data on water levels in aid of reservoir management.

Mr. David said sensors are installed at weather stations in Ambuklao Dam, Apuna Dam, Pitikan Dam, Bobok Dam, Toyongan Dam, Badayan Dam, San Roque Dam, and Filex Dam.

“We are continuing the development and updating our equipment and system in order to have more efficient ways of data collection which could result in better services to the public,” Mr. David said.

Mr. David said the NWRB and PCIEERD are teaming up on another project that aims to come up with a management plan for groundwater or aquifer resources.

“It can help to ensure the long-term sustainability of our groundwater resources through systematic and science-based management strategies for more effective and efficient management of our groundwater resources in the country,” Mr. David said.

Mr. David said the collaboration between the DoST and NWRB, along with private groups and academic organizations, has produced groundwater management plans for Zamboanga City and its surrounding areas, which included the construction of four monitoring wells and sensor stations.

“We are also targeting to install monitoring wells and stations with automatic sensors in various parts of the country — Iloilo, Manila, Cagayan de Oro City, and Angeles City — to measure the level and quality of water underneath and eventually the data collected will be shared and posted on the website of the NWRB,” Mr. David said.

“The DoST and NWRB can also work on exploring the new and affordable water-saving technologies to address our water demand in the near future,” he added. — Revin Mikhael D. Ochave

Confirmed ASF cases now contained within 19 barangays

FREEPIK

CONFIRMED cases of African Swine Fever (ASF) are now only detectable in 19 barangays in various parts of the country, the Bureau of Animal Industry (BAI) said.

“We are seeing a positive development in the country’s fight against ASF. As of now, areas that have existing ASF cases are 19 barangays,” BAI Director Reildrin G. Morales said in a virtual briefing Tuesday.

Mr. Morales did not identify the locations where ASF was still present. Overall, the outbreak had affected 2,787 barangays as of June 4.

He said that as of June 4, a total of 475,638 hogs have been culled to control the spread of the virus while 64,704 farmers were affected by the outbreak.

Mr. Morales added that 37,675 farmers have received indemnification amounting to P1.55 billion as of May 31.

In April, the Department of Agriculture (DA) announced that it has doubled its indemnification payout to hog farmers to P10,000 per animal.

The DA said the Philippine Crop Insurance Corp. increased its indemnification to encourage farmers to report affected hogs.

DA Spokesman Noel O. Reyes said pork products imported in response to the shortages caused by the outbreak amounted to 36,162 metric tons (MT) as of June 4.

Mr. Reyes said the total is equivalent to 67% of the old minimum access volume (MAV) quota for pork imports of 54,210 MT.

“The additional 200,000 MT MAV quota is still for approval by the MAV Advisory Council,” Mr. Reyes said.

On May 15, President Rodrigo R. Duterte issued Executive Order (EO) No. 134 that reset the tariff rates of pork imports within the MAV quota to 10% for three months and up to 15% over the following nine months.

Tariffs for out-of-quota pork imports were adjusted to 20% for the first three months and 25% in the succeeding nine months.

Before the EO, in-quota pork imports paid 30% while out-of-quota pork imports were charged 40%.

Mr. Duterte also signed EO 133, which raised the MAV allocation for pork imports to 254,210 MT from the previous 54,210 MT. Proclamation No. 1143 also placed the country under a state of calamity due to the ASF outbreak. — Revin Mikhael D. Ochave

Philippines to vaccinate 12-year-old children

REUTERS

By Kyle Aristophere T. Atienza, Reporter

PHILIPPINE drug regulators have approved the emergency use of Pfizer, Inc.’s coronavirus vaccine for children at least 12 years old, as the government’s vaccination drive breached six million people.

The use of the Pfizer shot was expanded under a May 28 memo issued by the Health department and local Food and Drug Administration (FDA) but released only on Tuesday. The Pfizer drug used to be prescribed for people aged 16 years and older.

FDA Secretary General Enrique D. Domingo earlier said the American drug maker had proposed to change its authorization to include younger people after the vaccine was found to be 100% effective for the age group.

The Philippines is set to receive as many as 40 million doses of the Pfizer vaccine this year. Vaccine czar Carlito G. Galvez, Jr. has said children could get vaccinated by the fourth quarter.

“While we welcome more vaccines that are approved for children and adolescents, due to limited vaccine supply, our vaccination strategy remains the same — prioritize the vulnerable and adhere to our prioritization framework,” Health Undersecretary Maria Rosario S. Vergeire told reporters in a Viber group message.

She added that the general consensus among local vaccine experts is to revisit child vaccination “once our vaccine supply has stabilized.”

Of the six million coronavirus vaccine doses given out as of Monday, almost 4.5 million doses were initial doses, while about 1.6 million doses were second shots, presidential spokesman Herminio L. Roque, Jr. told a televised news briefing on Tuesday.

The Department of Health (DoH) reported 4,777 coronavirus infections on Tuesday, bringing the total to 1,280,773.

The death toll rose by 95 to 22,064, while recoveries increased by 7,122 to 1,202,257, it said in a bulletin.

There were 56,452 active cases, 93.2% of which were mild, 2.5% did not show symptoms, 1.3% were critical, 1.7% were severe and 1.19% were moderate.

The agency said eight duplicates had been removed from the tally, six of which were reclassified as recoveries. Forty cases tagged as recoveries were reclassified as deaths.

About 12.9 million Filipinos have been tested for the coronavirus as of June 6, according to DoH’s tracker website.

Meanwhile, Senator Francis N. Pangilinan said the Senate would examine the additional spending on vaccines.

Budget Secretary Wendell A. Avisado earlier said the state needs P25 billion on top of the P82.5 billion allotted for vaccine orders under the second stimulus law.

“We need to examine this proposal so the public will be enlightened about the additional spending,” he said in an e-mailed statement in Filipino. “Why is the present budget not enough? Where is the money going?”

Mr. Pangilinan said the Senate Committee of the Whole should hold another hearing where the questions should be answered.

The committee had probed the government’s vaccination plan earlier this year. The lawmaker said it is time again to check on the progress of the government’s vaccination program.

“We wrote to the Senate President about this matter last March and he said that he is open to reconvening,” he said. “We hope we can do so even while in sine die adjournment so we can take necessary steps to further improve our vaccine rollout.”

Also on Tuesday, Senator Leila M. de Lima commended several Filipino-American groups of registered nurses, doctors and community advocates for asking the United States to send millions of doses of AstraZeneca Plc’s coronavirus vaccine to the Philippines.

The detained opposition senator, who is on trial for drug trafficking, issued the statement after US Senate Majority Leader Chuck Schumer vowed to write to US President Joseph R. Biden to give the Philippines five million doses of the AstraZeneca vaccine.

“The efforts of these Filipino-American leaders are truly commendable as they show that they do not forget their countrymen even though they are miles away from home,” Ms. De Lima said. “True Filipinos in heart and spirit.

“The five million vaccine doses that could be given to the Philippines can make a big difference because these can protect thousands of lives against the deadly COVID-19 (coronavirus disease 2019) virus,” she added.

Mr. Roque said the Philippines had received more than 9.3 million doses of coronavirus vaccines, about 6.5 million of which came from China’s Sinovac Biotech Ltd. and 2.5 million came from AstraZeneca.

The government had also received about 80,000 Sputnik V vaccines from Russia and 193,050 doses from Pfizer.

Mr. Galvez has said the country would take delivery of as many as 40 million vaccines from June to August.

The Philippines, which started its vaccination drive on March 1, seeks to inoculate as many as 70 million Filipinos this year to achieve herd immunity.

Duterte says gov’t to tighten rules against lockdown violators

PHILIPPINE STAR/ MIGUEL DE GUZMAN

THE GOVERNMENT is seeking to tighten the rules against lockdown violators, according to President Rodrigo R. Duterte.

“We might calibrate our response to the intransigence that you will show,” he said in a televised speech on Monday night.

In his report to the President, Interior and Local Government Secretary Eduardo M. Año said they have filed cases against six village officials who failed to prevent mass gatherings.

The tough-talking leader earlier ordered police to arrest village chiefs who fail to stop so-called super spreader events.

Mr. Duterte had placed Metro Manila and nearby provinces under a strict lockdown from March to mid-May amid a fresh surge in coronavirus infections.

The restrictions were eventually eased after the infection rate in these areas eased.

The Health department has cited a fresh surge in infections in the southern and central Philippines.

The country’s healthcare utilization rate stood at 50%, presidential spokesman Herminio L. Roque, Jr., told a televised news briefing on Tuesday.

He said about 48% of isolation beds had been used and about 49% of ward beds were occupied.

About 58% of intensive care unit beds have been used, he said. — Kyle Aristophere T. Atienza

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