Patient safety is at the heart of COVID‑19 vaccine development

April 7, 2021 | 12:01 am

In a previous column, we talked about the four types of COVID-19 vaccines and how they work (“No one is safe unless everyone is safe,” BusinessWorld, Feb. 24, 2021). In today’s column, we will discuss how vaccine manufacturers and regulatory agencies work together to make these all-important vaccines safe and effective.

Patient safety is central to the research and development of every vaccine. Vaccine makers must follow very strict scientific and health authority processes to bring a new vaccine to the public, even during the current pandemic. With vaccine development moving so quickly, it is understandable why some people are asking whether a vaccine for coronavirus disease 2019 (COVID-19) will be safe and effective.

Like all vaccines, the COVID-19 vaccines go through many stages of approval, including exploratory “proof of concept” stage, pre-clinical stage, clinical development (which include human clinical trial phases 1 to 3), health authority review, authorization or approval, and finally, manufacturing and quality control.

COVID-19 vaccines are only authorized or approved for use with the general public after a rigorous process. Clinical trials thoroughly test candidate vaccines on tens of thousands of people. An independent group of experts work with health authorities to carefully review all the scientific and clinical trial data results. They will only authorize said vaccine for use with the general public if the benefits of the vaccine far outweigh the known and possible risks of getting a COVID-19 infection.

Clinical trials also help find adverse events that may happen shortly after getting a vaccine. The health authorities also check for very rare side effects, or side-effects that may become apparent only after long-term use. This is why researchers and health authorities will continually monitor that use to check that no safety concerns surface and the vaccines continue to work well in different groups of people over time.

Health authorities review all the scientific and clinical trial data and decide if the vaccines can be authorized or approved for use in their region or countries. They review all the preclinical, clinical, and manufacturing process data, including the safety and efficacy (i.e., how well it works) data. These health authorities include regional regulatory authorities like the European Medicines Agency (EMA) in the European Union, and national regulatory authorities such as the Food and Drug Administration (FDA) in the US and the Pharmaceuticals and Medical Devices Agency (PMDA) in Japan. In the Philippines, scientific and clinical data are reviewed by the Food and Drug Administration and expert panels convened by the government.

COVID-19 vaccines follow international standards for vaccine development and approval. Like all new medicines or treatments, vaccines must pass a thorough set of tests that show their quality, safety, and efficacy in tens of thousands of volunteers before being approved or authorized by independent, scientific experts who work for health authorities.

Due to the public health emergency, the authorization and manufacturing of COVID-19 vaccines have been quicker than with previous vaccines. There has been a unique level of preparation and collaboration among researchers, vaccine makers, governments, and health authorities, as well as unprecedented funding for vaccine development and manufacturing. These partnerships accelerated the safe and effective development and authorization of COVID-19 vaccines, without compromising on any of the safety or authorization processes.

There were other factors as well that shortened the development timeline. Vaccine makers carried out clinical trials and making vaccines in parallel instead of doing one after the other. This avoided long wait times between trials. Given the high spread of the virus, it has been easier to have clinical trial volunteers and easier to test the efficacy of vaccines. Vaccine makers gave health authorities access to the clinical trial results throughout the process (“a rolling review”), rather than waiting until the end, to help them carry out ongoing reviews of results. Even before final authorization, vaccine makers started manufacturing preparations to shorten the time it would take to distribute vaccines.

Vaccine makers have worked around the clock to update facilities and hire and train more staff to make the huge number of vaccines needed. Suppliers making vials, syringes, and stoppers are working overtime and in close partnership with the vaccine makers. Health authorities set up dedicated task forces made up of independent experts and rapid review processes to evaluate high-quality applications from vaccine makers. This allows the shortest possible timeframes while ensuring robust scientific opinions.

Teodoro B. Padilla is the executive director of the Pharmaceutical and Healthcare Association of the Philippines (PHAP). PHAP and its member companies represent the research-based pharmaceutical and healthcare industry. For more information about vaccine development, please go to teamvaccines.ifpma.org. #TeamVaccines

Financial firms told to guard vs risks from payments, e-money companies

April 7, 2021 | 12:01 am

FINANCIAL INSTITUTIONS must practice risk management in doing business with e-money and payment players to ensure financial stability and security against “dirty money” activities, the Bangko Sentral ng Pilipinas (BSP) said.

Memorandum No. M-2021-021 signed by BSP Deputy Governor Mamerto E. Tangonan on April 5 said the central bank’s directive to impose sound risk management policies when dealing with operators of payment systems (OPS) and nonbank electronic money-issuers (EMIs) is in line with their mandate under Republic Act 11127 National Payment Systems Act.

BSP-supervised financial institutions (BSFIs) were told to limit their transactions to only OPS and nonbank EMIs that have secured licenses with the central bank.

The central bank also reminded BSFIs to assess observable business activities and transactions of OPS and EMIs and to ensure they perform customer due diligence measures when dealing with them.

“Where a BSFI is unable to comply with the relevant customer due diligence measures, it shall not open the account, not commence business relations, business relations, refuse to perform the transaction or terminate the business relationship; and consider filing a suspicious transaction report…,” the memorandum said.

Transaction monitoring of personal accounts of beneficial owners of OPS or nonbank-EMIs is also expected from BSFIs that have business relationships with these firms.

Financial institutions are likewise expected to have systems in place to trace unusual movements of funds and transactions of the OPS or nonbank EMIs, as well as appropriate risk assessment and due diligence of these firms. This includes assessing their risk profile and other factors, including business, operations, customer profile, activities rendered, distribution channels, and exposed jurisdictions.

Financial institutions are also expected to establish policies and guidelines with criteria on anti-money laundering and counter-terrorism financing obligations, covered and suspicious transaction reporting.

The central bank last year put in place a new system for assessing dirty money and terrorism financing risks which uses a four-point rating scale to gauge risks ranging from low to high. The move was done as part of reforms to strengthen the country’s guard against money laundering and terrorism financing. — LWTN

China asks major lenders to curtail credit growth this year

April 7, 2021 | 12:00 am

THE PEOPLE’S Bank of China asked banks to curtail loan growth for the rest of this year amid bubble risks. — *REUTERS*

CHINA’S CENTRAL BANK asked the nation’s major lenders to curtail loan growth for the rest of this year after a surge in the first two months stoked bubble risks, according to people familiar with the matter.

At a meeting with the People’s Bank of China (PBoC) on March 22, banks were told to keep new advances in 2021 at roughly the same level as last year, said the people, asking not to be identified as the matter is private. Some foreign banks were also urged to rein in additional lending through so-called window guidance recently after ramping up their balance sheets in 2020, one of the people said.

The comments give further detail to what the central bank stated publicly after the meeting, when it said it asked representatives of 24 major banks to keep loan growth stable and reasonable. In 2020, banks doled out a record 19.6 trillion yuan ($3 trillion) of credit, with about a fifth directed to inclusive financing such as small business loans. Lending the same amount this year would bring the outstanding balance to about 192 trillion yuan, an annual increase of about 11%, the slowest pace in more than 15 years.

“On the one hand, there will be slowdown in loan growth, and on the other hand, the slowdown is quite moderate,” said Lu Ting, chief China economist at Nomura Holdings Inc., adding that the pace is line with the PBoC’s stance of making no sharp policy turns.

With the coronavirus largely contained and the economy rebounding, Chinese policy makers have renewed a campaign to curb risks, especially in the financial and real estate sectors. Even if credit growth eases, the prospect of higher interest rates and fewer soured assets may boost the profitability of banks, which saw earnings slump after they were enlisted to help borrowers obtain cheap financing during the pandemic.

The PBoC didn’t immediately comment.

Chinese banks advanced 4.9 trillion yuan of new loans in the first two months, 16% more than the same period last year, official data show. The central bank told banks in February to keep new lending in the first quarter roughly at the same level as last year, if not lower, the Financial Times reported earlier.

Credit curbs will drain liquidity from the stock market and pressure sectors with high valuations, said Ken Chen, a Shanghai-based analyst at KGI Securities.

Kweichow Moutai Co., the Chinese liquor giant, led a sell-off in blue-chip shares on Tuesday, falling as much as 2.8%. WuXi AppTec Co. slid as much as 5.4%.

The PBoC wants banks to focus on lending to areas such as innovative technology and the manufacturing sector, it said at the March gathering. Earlier in the month, Guo Shuqing, chairman of the China Banking and Insurance Regulatory Commission, warned about bubbles in the property and financial markets, fueling concerns policy makers will begin tightening monetary policy.

China’s government is taking advantage of the economic recovery to deleverage, a long-standing goal shelved during the trade war with the US and further delayed by the pandemic. Last year’s stimulus pushed debt to almost 280% of annual economic output.

The economy accumulated much of its record debt pile after the global financial crisis, when it binged on credit to avoid the economic slumps ravaging the West. Efforts in 2017 to restrain debt growth, especially in the shadow-banking industry, led to higher money-market rates and a slump in government bonds. — Bloomberg

Headline inflation rates in the Philippines (March 2021)

April 7, 2021 | 12:00 am

INFLATION eased in March after five straight months of acceleration, as food prices increased at a slower pace, the government’s statistical agency reported on Tuesday. Read the full story.

How PSEi member stocks performed — April 6, 2021

April 7, 2021 | 12:00 am

Here’s a quick glance at how PSEi stocks fared on Tuesday, April 6, 2021.

Peso rebounds on decline in oil prices, inflation

April 6, 2021 | 9:00 pm

THE PESO rebounded versus the greenback on Tuesday as oil prices fell while inflation eased.

The local unit closed at P48.57 per dollar yesterday, gaining 6.5 centavos from its P48.635 finish on Monday, data from the Bankers Association of the Philippines showed.

The peso opened Tuesday’s session at P48.58 versus the dollar. Its weakest showing was at P48.60 while its strongest was at P48.53 against the greenback.

Dollars exchanged dropped to $559.3 million on Tuesday from $637.2 million on Monday.

The peso gained on the back a decline in oil prices, said Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort.

“[This] could help reduce the country’s oil import bill and the demand for dollars to pay for oil imports,” Mr. Ricafort said in a text message.

Reuters reported that global oil prices dropped 4% on Monday amid expected increase in output major exporting economies and with the threat of a new infection wave being a risk to recovery in the US. Brent crude for June was down by $2.71 or 4.2% to $62.15 per barrel on Monday. Meanwhile, the US West Texas Intermediate price fell 4.6% or $2.80 to $58.65 a barrel.

Meanwhile, a trader attributed the peso’s appreciation to data showing slower inflation in March.

Inflation eased in March after climbing for five consecutive months, the Philippine Statistics Authority reported on Tuesday.

Headline inflation was at 4.5% in March, slowing from the 4.7% print in February but faster than the 2.5% seen in March last year.

It fell within the 4.2-5% estimate given by the Bangko Sentral ng Pilipinas (BSP) for the month

Inflation averaged at 4.5% for the first quarter, beyond the BSP’s 2-4% target range as well as its 4.2% forecast for 2021.

For today, Mr. Ricafort expects the local unit to move within the P48.53 to P48.63 levels versus the dollar, while the trader gave a forecast range of P48.45 to P48.65. — LWTN with Reuters

Stocks climb as inflation eases slightly in March

April 6, 2021 | 9:00 pm

PHILIPPINE shares closed higher on Tuesday as market sentiment improved following the release of data showing that headline inflation eased in March.

The 30-member Philippine Stock Exchange index (PSEi) improved by 94.96 points or 1.46% to close at 6,590.11 on Tuesday, while the all shares index gained 55.54 points or 1.4% to 4,003.

“Local equities ticked higher after March 2021’s inflation print hit 4.5%, coming in slightly lower than the midpoint of the Bangko Sentral ng Pilipinas’ (BSP) projection range [of] 4.6% and BusinessWorld consensus of 4.8%,” China Bank Securities Corp. Research Associate Jason T. Escartin said via e-mail.

“In our view, downward valuation pressures from the inflation narrative started easing as pork imports ramped up in March,” Mr. Escartin said. “Market sentiment may improve further as the odds of higher quotas on pork imports increase in the next several weeks.”

Inflation eased in March after climbing for five consecutive months, the Philippine Statistics Authority reported on Tuesday.

Headline inflation was at 4.5% in March, slowing from the 4.7% print in February but faster than the 2.5% seen in March last year.

It fell within the 4.2-5% estimate given by the Bangko Sentral ng Pilipinas (BSP) for the month

Inflation averaged at 4.5% for the first quarter, beyond the BSP’s 2-4% target range as well as its 4.2% forecast for 2021.

Meanwhile, Philstocks Financial, Inc. Research Associate Claire T. Alviar said the PSEi’s close also reflected “positive sentiment from the US market overnight.”

“Other positive catalysts that have affected the trading were the continued expansion of PMI (Purchasing Managers’ Index) which stood at 52.2 in March and the statement of the Malacañang that the extension of ECQ (enhanced community quarantine) is unlikely,” Ms. Alviar added.

All sectoral indices closed in the green on Tuesday. Holding firms gained 132.8 points or two percent to 6,756.52; industrials went up by 169.24 points or 1.94% to 8,891.29; mining and oil increased by 97.14 points or 1.14% to 8,582.10; property improved by 28.86 points or 0.9% to finish at 3,231.41; services gained 7.38 points or 0.51% to 1,433.63; and financials inched up by 3.55 points or 0.25% to close at 1,384.74.

Value turnover went up to P5.85 billion on Tuesday with 2.42 billion shares switching hands, from the P5.36 billion seen on Monday with 1.85 billion issues traded.

Advancers outnumbered decliners, 159 versus 61, while 39 names closed unchanged.

Net foreign selling, however, grew to P551.88 million on Tuesday from the P267.25 million seen on Monday.

“Coupled with the prospects of a steady improvement in COVID-19 case counts, a manageable inflation trend may buoy markets towards the higher end of our current 6,300-6,600 trading range,” China Bank Securities’ Mr. Escartin said.

He said the market will monitor the BSP’s consumer and business expectations surveys and February remittances data for leads. — Keren Concepcion G. Valmonte

Palace asked to call special session to pass third stimulus

April 6, 2021 | 7:52 pm

THE PRESIDENT has been urged to call Congress in from its break to pass a third stimulus bill that will distribute more aid to those affected by the renewed quarantine following a surge in coronavirus infections.

“I urge the President to call a special session of Congress to pass the proposed Bayanihan III and expand the government’s cash subsidy program amid the spike in COVID-19 cases,” Senator Franklin M. Drilon said in a statement Tuesday.

He was referring to the third of the stimulus packages, known as Bayanihan III, for which legislation is pending in both houses of Congress. Legislators are currently on break until May 17.

Mr. Drilon said the strictest phase of the 2020 lockdown left millions out of work and without means to buy food, after unemployment spiked to 17.7%.

“This is the situation that we have to prepare for. We cannot let another 7.6 million Filipino families go hungry this year. Our inaction or delayed action can make another 7.3 million Filipinos lose their jobs again this month. We cannot let businesses permanently shut down,” he said.

In a radio interview Tuesday, Mr. Drilon said some funds in the national budget could be realigned to fortify the pandemic response, targeting in particular the P19-billion anti-insurgency fund and the P9.5-billion confidential and intelligence funds.

“Wala na raw extension dahilan wala nang pera. Sa akin, mali iyan. Dapat bigyan ng ayuda ang ating mga kababayan dahilan sa sila ay naghihirap dahilan naman sa hindi maayos na pagpapatakbo nitong pandemic response (There will be no more third Bayanihan because there is no more money. That’s a mistake. We need to aid people who are suffering because of the poor management of the pandemic),” he said in an interview with DZRH.

“Kailangan tugunan ito. Sa akin, kailangang tumawag ng special session ang Pangulo para po matugunan ito. Mag-realign ng mga items na hindi kailangan (This needs to be addressed with a special session, to realign funding from unnecessary programs),” he added.

Senator Panfilo M. Lacson said that the plan to call for a special session is positive but noted that the Department of Budget and Management has said there are no funds available.

“Our best option is to have a sense of urgency and allow the private sector more participation with better flexibility in the vaccination program — true to the government’s ‘whole-of-nation approach’ theme, which is turning out to be a platitude and lip service,” he said in a statement.

Mr. Lacson also said that if Bayanihan III is passed, both the national and local governments “must get their act together” to update the database of aid recipients.

Speaker Lord Allan Jay Q. Velasco said in a statement that the House will comply and convene a special session if the Palace certifies Bayanihan III as urgent.

He said the measures related to Bayanihan III are pending at the economic affairs and social services committee and the panel will have finished studying it by the resumption of session in May.

“However, if Malacañang certifies the bill as urgent, we will comply,” he said.

President Rodrigo R. Duterte initially placed Metro Manila and the provinces of Bulacan, Rizal, Laguna, and Cavite under enhanced community quarantine (ECQ) from March 29 to April 4 and extended it until April 11 to curb the spike in coronavirus infections.

The government’s current aid plan is to provide P1,000 per person and up to P4,000 per household in areas under ECQ.

The President’s spokesman Herminio L. Roque, Jr. said in an online briefing Monday that the subsidy is not enough, but cited Budget Secretary Wendel E. Avisado in describing it as a “one-time” aid measure.

Senator Ralph G. Recto in December filed Senate Bill No. 1953 or the proposed Bayanihan to Rebuild as One Act, calling for P485 billion to support the recovering economy and to mitigate the impact of the late-2020 typhoons. This was a counterpart measure to the bill filed by Marikina Representative Stella Luz A. Quimbo in November, providing some P400 billion.

The Senate bill proposes to allocate some P100 billion for wage subsidies to employers to keep their workforces employed, and P100 billion for capacity-building in hard hit sectors. It sets aside P70 billion for a further round of Social Amelioration Program cash handouts and P20 billion for households affected by the typhoons.

Senator Emmanuel D. Pacquiao last month filed a P335-billion stimulus bill, with P100 billion in aid earmarked for low-income individuals. — Vann Marlo M. Villegas

Payouts for hog farmers doubled to encourage swine fever reporting

April 6, 2021 | 7:51 pm

THE INDEMNIFICATION payout for hog farmers with herds affected by African Swine Fever (ASF) has been doubled to P10,000 per animal, to incentivize early reporting of infected hogs, the Department of Agriculture (DA) said.

Agriculture Secretary William D. Dar said in a statement Tuesday that increased payouts by the Philippine Crop Insurance Corp. (PCIC) will ultimately control ASF, repopulate herds, and stabilize pork prices.

“We are doubling the indemnification payout for every pig that contracts ASF from P5,000 to P10,000. With the increased indemnity, hog raisers are encouraged to report affected pigs, thus controlling the ASF from spreading,” Mr. Dar said.

PCIC President Jovy C. Bernabe said premium-free coverage will be offered to backyard hog raisers, while discounts on premiums will be extended to commercial hog raisers.

“For backyard farmers, the PCIC (normally charges a) 1.75% premium for fatteners and 3.5% for breeders, which are waived. Commercial farmers will pay the same rates, discounted from the regular rates of 2.25% and 4%,” Mr. Bernabe said.

Mr. Bernabe said the insurance policy pays out P10,000 per head for fatteners, P14,500 per head for breeders, and P34,000 per head for parent stock.

He also confirmed that the insurance program will cover local government units and state colleges and universities which run hog fattening and breeding programs.

“The hog farms must be registered with the local government unit, which in turn, must have organized (under) the Bantay ASF sa Barangay surveillance program. Also, their operations must be compliant with the biosecurity Level 1 standards or a level of farm biosecurity in compliance with minimum standards set by the Philippine College of Swine Practitioners (PSCP),” Mr. Bernabe said.

“The provincial and municipal governments that have jurisdiction over the farms of the beneficiaries must have adopted harmonized ordinances relevant to the prevention of ASF. Likewise, the municipal government must implement and regularly update the municipal ASF control and prevention plan, aligned with the initiatives of the DA regional field office,” he added.

DA Spokesman Noel O. Reyes said in a virtual briefing Tuesday that talks are ongoing on whether the department will recommend an extension of the price caps on pork and chicken, which are set to end on April 8.

“We are still studying it. The DA and the Trade Department will announce in the next few days updates regarding the price ceiling,” Mr. Reyes said.

Executive Order (EO) No. 124 was implemented on Feb. 8 that set price controls on pork and chicken products for 60 days.

Under the EO, the market price for pork shoulder (kasim) was capped at P270 per kilogram, pork belly (liempo) at P300 per kilogram, and whole chicken at P160 per kilogram. Retail prices had surpassed P400 per kilogram due to limited supply as a result of the outbreak. — Revin Mikhael D. Ochave

ARTA threatens sanctions over delayed PhilHealth payments

April 6, 2021 | 7:50 pm

THE Anti-Red Tape Authority (ARTA) said it is ready to sanction those found to have delayed the processing of health insurance claims against the Philippine Health Insurance Corp. (PhilHealth).

“There seem to be mounting requests from the hospitals to reimburse immediately, specifically (smaller) hospitals,” ARTA Director General Jeremiah B. Belgica said in a press release on Tuesday.

The Private Hospitals Association of the Philippines last month said that the health insurance agency failed to pay around P6 billion worth of reimbursements, forcing hospitals to downsize. PhilHealth has said that some P2.4 billion worth of claims last year were denied or returned due to deficiencies in hospital documents and late filing.

Mr. Belgica, in a mobile message, said that ARTA is not conducting a separate investigation, but will accept complaints and requests for assistance from those unable to collect from PhilHealth.

“Right now, we are supporting (PhilHealth) President (Dante A.) Gierran (if and when) he needs ARTA’s assistance in cracking the whip” on the agency’s bureaucracy, he said.

Government workers found to have violated Republic Act 11032 or the Ease of Doing Business and Efficient Government Service Delivery Act can be suspended or dismissed from public service, imprisoned, or fined.

“I do not think the President of PhilHealth is the one slowing down the process. He is actually doing a good job. We are looking into the people who have been there for quite some time,” Mr. Belgica said.

He added that ARTA will assist the agency in simplifying and automating its processes. According to ARTA, the health insurer must streamline its processes before shifting to full automation.

PhilHealth was recently criticized for not covering coronavirus disease 2019 (COVID-19) patients in temporary isolation tents outside hospitals. Mr. Gierran has said the health insurer is currently reviewing its policies. — Jenina P. Ibañez

Indian firms exploring investment in jeepney, electronics projects

April 6, 2021 | 7:50 pm

THE DEPARTMENT of Trade and Industry (DTI) said it has received indications of interest for possible Indian investments in modern jeepneys and electronics manufacturing.

Trade Secretary Ramon M. Lopez met virtually with Indian Ambassador to the Philippines Shambhu S. Kumaran Monday to discuss trade and investment cooperation between the two economies.

“Ambassador Kumaran shared India’s plans to penetrate jeepney manufacturing and electronic manufacturing industry in the country,” the DTI said in a statement Tuesday.

“He stated that India is also interested to learn about geothermal energy from the Philippines as part of its objective to further renewable energy trade plans.”

At the meeting, Mr. Lopez reiterated his department’s pitch on the Philippines as a potential site to complement India’s Active Pharmaceutical Ingredients, vaccine, essential medicine, and biologicals industries.

India is one of the potential vaccine technology sources being considered by Philippine companies exploring the possibility of manufacturing coronavirus disease 2019 (COVID-19) vaccines domestically.

The Philippines and India could also work together in information technology infrastructure, including data centers, Mr. Lopez added.

The DTI is currently in talks with India for a potential preferential trade agreement. India backed out of the 15-country Regional Comprehensive Economic Partnership signed last year due to concerns about the deal’s possible repercussions on its farmers and small businesses.

The Philippine Economic Zone Authority in its own meeting with Mr. Kumaran last month pitched potential investment opportunities in pharmaceuticals and defense manufacturing in the Philippines. Indian companies registered under the investment promotion agency are in the information technology, outsourcing, and manufacturing industries. India was the Philippines’ 13^th top export destination last year, with goods valued at $548 million, according to the Philippine Statistics Authority. India was also the Philippines’ 13^th largest source of imports in 2020, with $1.5 billion worth of goods. — Jenina P. Ibañez

PSALM extends deadline for Malaya plant offers to May

April 6, 2021 | 7:49 pm

Malaya Thermal Power Plant — *BW FILE PHOTO*

THE Power Sector Assets and Liabilities Management Corp. (PSALM) has moved the deadline to submit offers for the negotiated sale of the 650-megawatt Malaya Thermal Power Plant to May 7 to allow for possible disruptions to bid preparation caused by the new Metro Manila lockdown.

Participants were previously required to submit their offers by April 23.

In a statement Tuesday, PSALM said that it is also moving the deadline for the submission of “documentary deliverables” to April 21 from April 7.

“These adjustments in the dates were done in recognition of the challenges that bid participants may face in securing necessary documents while Metro Manila is under Enhanced Community Quarantine (ECQ),” PSALM said.

Late last month, President Rodrigo R. Duterte placed Metro Manila and nearby provinces under ECQ, the strictest quarantine setting. It took effect on March 29, and was extended to April 11.

To date, there are three interested bidders participating in the privatization of the plant and its underlying land in Pililla, Rizal. These are AC Energy Corp., Fort Pilar Energy, Inc., and VBB Trucking, Trading and Consultancy Services, Inc.

PSALM has said that the minimum offer price for the Malaya site has been reduced to around P1.85 billion from P2.01 billion previously, which was the minimum price set for the second round of the negotiated sale.

In September, PSALM announced the failure of the third-round auction to sell the plant and its assets.

The Department of Energy, in its 37^th Electric Power Industry Reform Act Implementation Status Report, said that it costs around P1.2 billion a year to maintain the plant, with a sale needed soon due to “increasing substantial losses in the continuous maintenance of the plant.”

Proceeds of the sale will help settle PSALM’s assumed financial obligations. — Angelica Y. Yang