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Germany’s Lipp, MPIC unit to build two biogas plants

Pineapple waste will be used to produce clean energy

GERMAN tank builder Lipp GmbH has tied up with a subsidiary of Metro Pacific Investment Corp. (MPIC) to build two industrial-scale biogas plants in Mindanao that will use farm waste to produce clean energy.

In a press release on Wednesday, the German-Philippine Chamber of Commerce and Industry said the German tank construction specialist is collaborating with MPIC’s wholly owned unit MetPower Venture Partners Holdings, Inc. for the two plants.

The biogas plants, which will process pineapple waste from a local canned goods firm to generate power, are seen to replace energy from fossil fuel.

“Lipp GmbH, in partnership with MetPower Venture Partners, is building the first industrial-scale biogas plants in Mindanao to process Dole Philippines’ pineapple waste and convert it into biogas. Once fully operational, the two plants will generate clean energy to replace fossil fuel for power, steam and heat generation,” the German business chamber said.

It cited the agricultural country’s potential in processing biowaste into biogas, adding that the technology is not yet widespread in the Philippines.

On its website, MetPower said that it was undertaking a P1-billion waste-to-energy (WTE) project with Dole Philippines. The project aims to extract biogas from the fruit waste of Dole Philippines canneries in South Cotabato.

The project is seen to provide 5.7 megawatts (MW) of clean energy for Dole, and contribute to the reduction of carbon dioxide emissions by 100,000 tons yearly. The target completion date of the facilities is in the first half of this year, the MPIC unit said on its website.

In May, the WTE project received the first tranche of subsidy, which is up to 50% of its qualified capital cost from the Japanese government.

On Tuesday, the German business chamber, Lipp GmbH and the German Biogas Association held a comprehensive training series on the use and maintenance of biogas systems as part of the German government’s initiative in adding biogas to the Philippine renewable energy mix.

“We see strong potential for biogas production in the Philippines,” said Manuel Lipp, managing director of Lipp GmbH, in a statement.

“To support our technology on the ground, we need to train the employees so they can safely operate and maintain the plants in the future,” he added.

Employees of Dole Philippines, participants from the Department of Science and Technology, and members of the academe attended the training program.

Martin Henkelmann, executive director of the German-Philippine business chamber, said his group “is proud to be part of this project to bring German biogas technology and experience to the Philippines.” — Angelica Y. Yang

SEC flags RGS World Marketing easy-money scheme

THE Securities and Exchange Commission (SEC) issued an advisory against investing in another unauthorized group, RGS World Marketing Corp., which also operates under the names RGS Online Shop, RGS Online Marketing, and RGS Online Foundation.

The groups are said to be headed by Rodolfo Garcia Salarda, Jr., Henje Noble Cuadra, and Engie Esteves.

RGS Online Shop/RGS Online Marketing is registered with the Department of Trade and Industry (DTI) under Business Name No. 2240745 on Oct. 14, 2020.

Meanwhile, RGS World Marketing is a corporation registered with the SEC under company registration No. CS202069716 on Dec. 10, 2020.

RGS Foundation is not registered with the commission.

RGS World Marketing’s main offering involves a scheme wherein investors can easily earn money.

“Investigation disclosed that the lynchpin of RGS World Marketing Corp.’s scheme is its First In First Pay Out Policy and No Invite No Pay Out Policy, which means an investor is no longer required to do anything, [for example], sell RGS Soap and RGS Liniment Oil among others, except to wait for the return of his or her money,” the corporate regulator said in an advisory.

The entities are in multi-level marketing, which involves chain distribution or pyramid sales, the SEC said, as it reminded the public that the scheme is “prohibited by the Republic Act No. 7394 or the Consumer Act of the Philippines as the company relies heavily on recruitment of potential members rather than selling its products.”

The commission also said that RGS World Marketing’s multi-level marketing is a front for its unauthorized investment collection activities.

The entities are reportedly offering a scheme called “complans,” where investors are grouped according to the plans they choose.

Those lured in the scheme are promised a return of at least 250% within a month or so, depending on the plan and the payout schedule they sign up for.

Investors can put in as low as P1,000, with a promise of a guaranteed growth to P3,500; while investments worth P5,000 are promised P17,500.

Those who invest P10,000 in the scheme are promised a growth of 250% to 300%, with returns ranging from P35,000 to P40,000.

A P20,000 investment, meanwhile, may earn up to P80,000.

RGS World Marketing also offers investors three different ways of earning: through referral bonuses, board bonus or payouts, or through direct selling.

Those who opt to earn via direct selling will receive RSG products for use or for sale for every P1,000 worth of membership.

The SEC maintains that the entities do not have a license to collect investments from the public. It noted that the offer of MGS World Marketing resembles a Ponzi scheme, where investors earn through the investments of new recruits.

“Please be informed that although RGS World Marketing Corp. is a registered corporation under the Revised Corporation Code of the Philippines, and while RGS Online Shop/RGS Online Marketing are registered with the DTI, nonetheless, all of them are not authorized to solicit investments from the public as they did not secure prior registration and/or license to solicit investments from the Commission as prescribed under Section 8 of the Securities Regulation Code,” the commission warned.

The SEC said the advisory against RGS World Marketing is the 10th warning the commission issued on illegal investment schemes this year. — Keren Concepcion G. Valmonte

PSE wants mineral reporting to include environment, health plans

By Revin Mikhael D. Ochave, Reporter

THE Philippine Stock Exchange, Inc. (PSE) has proposed changes to the 2007 Philippine Mineral Reporting Code (PMRC) to meet international reporting standards.

In a memorandum dated March 2 uploaded on its website, the stock market operator said it proposed to include a discussion on the mitigation and remediation plans to address environmental, social, and health and safety impacts.

Another proposal is the addition of a statement that verifies the compliance of an accredited competent person or the report with the 2020 PRMC version.

The PSE also recommended other revisions such as the accredited competent person’s consent to the public disclosure of the report; editorial revisions; and the disclosure of any potential conflict of interest with the issuer’s related parties as defined in the PSE’s consolidated listing and disclosure rules.

According to the PSE, the 2007 mineral reporting code outlines the minimum standards needed to be followed by stakeholders for the public reporting of exploration results, mineral resources, and ore reserves.

However, the Philippine Mineral Reporting Code Committee (PMRCC) initiated the review of the reporting code in Feb. 2019 to make it compatible with global reporting standards.

The PSE said the proposed 2020 code was “modeled substantially after the 2019 International Reporting Template of the Committee for Mineral Reserves International Reporting Standards and the 2012 Australasian Code for Reporting of Exploration Results, Mineral Resources, and Ore Reserves of the Australasian Joint Ore Reserves Committee.”

Meanwhile, the committee has also proposed changes to the 2007 code such as changing the term “competent person” to “accredited competent person”; modifying reporting terminology from ore reserve to mineral reserve; requiring the reporting of metal equivalents; prohibiting of in ground valuations; and introducing technical studies, including the scoping, pre-feasibility, and feasibility.

“Another proposed revision is the inclusion of a transitory provision, which states that the 2020 PMRC shall be fully implemented two years after SEC approval and that during said two-year transitory period, the reporting company shall comply with the 2007 PMRC but may choose to comply with the 2020 PMRC,” the memorandum said.

Ronald S. Recidoro, executive director of the Chamber of Mines of the Philippines, said in a mobile phone message that the group fully supports the proposed amendments to the PMRC.

He said the chamber is working closely with the PMRCC and lead professional associations to upgrade the country’s mineral reporting code and match it with leading global reporting codes.

“Once approved, the PMRC will give due recognition to the work being done by Filipino geologists, mining engineers, and metallurgists in determining and reporting on mineral resources and reserves,” Mr. Recidoro said.

In a mobile phone message, PMRCC Chairperson Ciceron A. Angeles, Jr. said he is hopeful that the 2020 PMRC will be approved as soon as possible.

“Our current PMRC 2007 edition is no longer compatible with the international mineral reporting codes recognized by stock exchanges other than the PSE,” Mr. Angeles said.

BusinessWorld sought the comment of Mines and Geosciences Bureau regarding the proposed revisions, but it has not responded as of press time.

The PSE is asking concerned parties to send their comments on the proposed amendments until March 16.

A good environment, nourishment make for happy pigs

… and pretty happy cows too

THE EMERALD Isle is renowned for its lack of snakes (thanks to St. Patrick), leprechauns (and their pots of gold), people with the gift of gab (it is, after all, the home of the Blarney Stone), and music (Enya, The Cranberries, and U2). And if Bord Bia market specialist Jack Hogan has his way, it will be renowned for its meat.

Bord Bia, the Irish Government Food Board, with co-funding from the European Union (EU), held an Irish Pork and Beef Masterclass with Grand Hyatt Manila’s Executive Chef Mark Hagan. Mr. Hagan made Confit Pork Belly and Grilled Beef Striploin for the class, while Bord Bia’s Mr. Hogan explained how Irish cows and pigs are raised to create excellent meat.

First, he promotes Ireland’s geography —  “Our island with 1,500 kilometers of coastline is a strong and natural defense against the spread of viruses and diseases, such as Asian Swine Fever,” he said. Furthermore, Ireland has no wild boar population (thus protecting the gene pool), and strict EU regulations give Ireland what he calls “world-leading biosecurity standards.”

Up to 80% of the land in Ireland is used for agricultural purposes. “We are a non-industrialized island which means we have a clean environment free from pollution,” said Mr. Hogan. The pigs are also free from growth hormones and promoters, ensuring a healthy product. They’re also processed at six months; the younger animal yielding more tender meat. Animal welfare regulations in the EU, meanwhile, ensure a good living environment for the animals. “Irish pigs are raised in controlled environments with plenty of clean, open space and nourishment. Irish pigs are some of the happiest pigs in the world,” said Mr. Hogan.

If the pigs are fed grain, the cows are fed grass. “It is produced as nature intended,” said Mr. Hagan. What’s good for the sow is also good for the cow (paraphrasing a popular adage), and Mr. Hogan underscores Ireland’s environment and agricultural culture in ensuring happy (and therefore, delicious) cows. Their lifestyle gives them an edge: according to Mr. Hogan, their beef has higher levels of Vitamins A, B1, D, and E, as well as Omega-3.

WHAT TO LOOK FOR IN MEAT
Mr. Hagan, meanwhile, started the demonstration by slicing open the striplon, still wrapped in plastic. “Like butter!,” mused host Issa Litton in the kitchen, as we participants (who had been sent meat to cook along with the class) all watched via Zoom. Mr. Hagan neatly and fluidly sliced the thick striploin with nary any struggle. With this, Mr. Hagan quickly grilled it, but not before demonstrating how he made the sweet chili glaze to go with it.

Meanwhile, Mr. Hagan gave tips on what he looks for in a cut of beef: “Definitely the fat on the outside. A tinge of yellow, not too much over there. You want it to be yielding as much as possible.”

As for the pork, Mr. Hagan patted the slab of pork belly, about to be turned into confit, and said, “The fat content in this animal is a dream come true for a chef. It’s just right.”

Based on the cut of pork I received (which was turned into a pork pot roast and not a confit), it has a thin, but not too-thin, layer of fat, about the width of a pinky finger. While pork fat is much appreciated in these islands, it becomes not only too rich and cloying after some time, but also a dangerous health hazard.

Healthy animals might make healthy meat, but do they make for good-tasting meat?

While acknowledging his own biases as an Irishman himself, Mr. Hogan explained how a healthy living environment actually affects the final product. “If animals have open spaces, they’re free from stress. They’re grazing in their natural environment, eating what they should be eating, and moving freely about the land. There’s very little cortisol and stress hormones that come in within their lives, which makes for a more tender product.”

So, happy animals become tasty food.

Below are the recipes prepared by Grand Hyatt Manila’s Executive Chef Mark Hagan. —  Joseph L. Garcia

CONFIT PORK BELLY
Ingredients:

Pork Belly

400 gm of Irish Pork Belly

3 gm of Rosemary

100 gm of Rock salt

4 gm of Garlic

White Onion Puree

1 kg of White onion

500 ml of Milk

500 ml of Cream

25 gm of Butter

Salt

Olive Oil

Braised Shallots

100 gm of Shallots (peeled)

1 knob of Butter

200 ml of Chicken stock

1 clove of Garlic

1 sprig of Fresh rosemary

Honey Mustard Sauce

30 gm of Dijon mustard

30 gm of Grain Mustard

85 gm of Honey

30 gm of Apple cider vinegar

10 ml of Soy sauce

Salt

Pepper

Preparation:

1. To prepare the pork belly, first make a curing salt by blending the rosemary, garlic, and rock salt in a food processor until coarse. Rub the portioned pork belly with curing salt. Line a perforated pan with cling film, then transfer the cured pork belly. Let it sit for six hours covered in chiller.

2. Preheat Sous vide machine to 75 degrees Celsius. Wash the pork belly, pat dry and vacuum seal. Place in the sous vide machine for 12 hours. Once the pork belly is cooked. Remove from the bag, cut into portions and chill until required.

3. To prepare the white onion puree, melt butter in a pan then add the thinly sliced white onions and season with a good pinch of salt. Sauté until translucent. Add cream and milk, cover with a cartouche and simmer until soft. Drain the liquid into a large colander. Transfer into a blender, process until smooth and pass through a fine chinois. Put back the puree into a pot and reduce to consistency.

4. For the braised shallots, heat butter in a pan and sauté the shallots until soft. Add a clove of garlic, chicken stock, and a sprig of rosemary. Cover with foil and transfer into the oven and bake for 8 minutes.

4. To prepare the honey mustard sauce, transfer the Dijon mustard, grain mustard, apple cider vinegar, and soy sauce into a bowl, and whisk together until incorporated. Transfer the mixture into a sauce pot, heat the honey mustard sauce and season with salt and pepper.

To serve:

Place the pork belly on each plate and dot the white onion puree alongside. Scatter the braised shallots across the plates and drizzle with honey mustard sauce. Serve immediately.

GRILLED BEEF STRIPLOIN
Ingredients:

Beef Striploin

200 gm of Irish Beef Striploin

butter

Salt

Pepper

Chili Glaze

45 gm of Gochujang paste

225 gm of White sugar

112 ml of Mirin

25 gm of Garlic

250 ml of water

Lettuce Wrap

4 leaves of Lettuce

20 gm of thinly sliced red onions

30 gm of sliced Japanese cucumber

Black and white sesame seeds

Preparation:

1. To make the chili glaze, blend the garlic with water, mirin, and Gochujang paste until smooth. Place the garlic paste in a sauce pot with the sugar, then mix well. Simmer and reduce over a low heat, stirring frequently, until it reaches a thick consistency.

2. Heat a heavy bottomed pan until smoking hot and sear the beef on one side for one minute. Turn the beef onto the other side and leave for 20 seconds. Add the butter and paste the meat for a further 40 seconds. Remove the beef from the pan and place in a cooling tray and leave it rest. Cut.

To serve:

Fill the lettuce leaves with sliced beef striploin, drizzle the chili glaze sauce then garnish with thinly sliced red onion, cucumber, and black and white sesame seeds.

Maynilad plans to complete three sewage treatment plants in 2021

WEST ZONE water concessionaire Maynilad Water Services, Inc. is eyeing to finish the construction of its three new sewage treatment plants within 2021.

Maynilad said in a statement on Wednesday that the three treatment plants are capable of providing sewerage service to around 700,000 residents in Muntinlupa City and Valenzuela City.

According to the water provider, the treatment plants currently being established in barangays Cupang and Tunasan in Muntinlupa and Brgy. Marulas in Valenzuela are capable of treating 126,000 cubic meters of wastewater daily.

The water provider said that it had invested P7.15 billion for the three new sewage treatment plants and their accompanying conveyance systems. The plants will augment the 22 Maynilad wastewater facilities that are operating in its west zone concession.

The 22 wastewater facilities that are operated by Maynilad have a total treatment capacity of 664,000 cubic meters per day.

“We are glad that these new sewage treatment plants and conveyance systems are finally nearing completion. While pandemic-related constraints continue to hinder our manpower deployment, we will strive to get these new facilities running and serving communities within the year,” Maynilad President and Chief Executive Officer Ramoncito S. Fernandez said.

Maynilad provides water to areas in the west zone of the National Capital Region such as Caloocan, Pasay, Parañaque, Las Piñas, Muntinlupa, Valenzuela, Navotas, Malabon, Manila, Makati, and Quezon City, as well as parts of Cavite province including Bacoor, Imus, Kawit, Noveleta, and Rosario.

Metro Pacific Investments Corp., which has a majority stake in Maynilad, is one of three Philippine units of Hong Kong-based First Pacific Co. Ltd., the others being Philex Mining Corp. and PLDT, Inc.

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has an interest in BusinessWorld through the Philippine Star Group, which it controls. — Revin Mikhael D. Ochave

Term deposit yields end mixed

YIELDS ON THE central bank’s term deposits ended mixed on Wednesday, with the two-week papers’ rate seeing an increase, amid the government’s ongoing sale of retail Treasury bonds (RTBs).

Demand for the Bangko Sentral ng Pilipinas’ (BSP) term deposit facility (TDF) reached P700.754 billion on Wednesday, beating the P600-billion program. It was also bigger than the P695.227 billion in tenders seen last week.

Broken down, the BSP made a full P200-billion award of the one-week debt papers it offered on Wednesday as tenders hit P283.031 billion, inching down from the P283.972 billion in bids seen at the Feb. 25 auction.

Banks asked for yields ranging from 1.6% to 1.675%, a higher band compared with the 1.59% to 1.656% range seen previously. This caused the seven-day papers to fetch an average rate of 1.6332%, inching down by 0.1 basis point (bp) from the 1.6342% logged in last week’s auction.

The central bank also raised P400 billion as planned via the 14-day securities from total bids worth P417.723 billion. Wednesday’s total tenders were slightly higher than the P411.255 billion recorded a week ago.

Accepted rates for the tenor settled between 1.6475% and 2%, a slimmer band than the previous range of 1.6-2%. The average rate of the two-week term deposits rose by 7.49 bps to 1.7804% on Wednesday from 1.7055% last week.

The BSP did not offer 28-day term deposits for the 20th straight week to give way to its weekly offering of bills with the same tenor.

The TDF and BSP securities are tools used by the central bank to mop up excess liquidity in the financial system and to better guide market interest rates.

BSP Deputy Governor Francisco G. Dakila, Jr. said in a statement that the uptick in the rate of the two-week term deposits may have been caused by a shift in preference for investors searching for higher returns.

“Moving forward, the BSP’s monetary operations will continue to be guided by its assessment of liquidity conditions and market developments,” Mr. Dakila said.

TDF rates ended mixed as excess liquidity in the markets have been siphoned off by the ongoing sale of three-year RTBs set to end on Thursday, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a mobile phone message.

The Bureau of the Treasury is currently offering three-year RTBs that carry a coupon rate of 2.375% until March 4. It sold an initial P221.218 billion in retail papers in its rate-setting auction on Feb. 9.

“Expectations of higher inflation at new two-year highs partly led to higher TDF auction yields in recent weeks,” Mr. Ricafort added.

“Despite mixed results, this still shows liquidity remaining strong and probably just a slight shift in appetite for the two-week debt paper. Although we have to see if this is sustained in the coming weeks,” Security Bank Corp. Chief Economist Robert Dan J. Roces said via Viber on Wednesday.

Headline inflation likely breached the central bank’s target for a second straight month in February, as food and fuel prices remain elevated, according to economists.

A BusinessWorld poll of 16 analysts last week yielded a median estimate of 4.8%, near the upper end of the 4.3% to 5.1% estimate range given by the BSP but beyond the 2-4% annual target.

If realized, the median estimate will be quicker than the 4.2% print in January and the 2.6% a year earlier. It would also be the quickest since 5.1% print in December 2018.

The Philippine Statistics Authority will report February inflation data on March 5.

The Monetary Board at its rate-setting meeting on Feb. 11 raised its average inflation forecast this year to 4% from 3.2% previously. — Beatrice M. Laforga

The London chef with three stars and 20,000 dinner cancellations

Clare Smyth, the first and only female chef to run a restaurant with three Michelin-stars in the UK. — COREBYCLARESMYTH.COM/

RESTAURANT bookings normally go crazy when a chef wins three Michelin stars.

But when Clare Smyth became the first British woman to be awarded that accolade in her own right last month, she didn’t sell a single table. Core by Clare Smyth was closed because of the lockdown, and it was only a few days ago she learned that the government plans to ease restrictions from May 17.

While it’s a date that couldn’t come soon enough, Ms. Smyth says she’ll be very careful about reopening. After all, she was forced to cancel or move 20,000 reservations over the course of last year because rules kept changing, leaving both Ms. Smyth and her customers frustrated.

Instead, Ms. Smyth has focused in recent months on a home-delivery service called Core at Home that the chef says has revealed pent-up demand from avid diners stuck at home. The basic menu costs £350 ($493) for two, plus delivery, and sells out almost immediately. Add-ons, such as 50 grams (1.8 ounces) of Royal Oscietra caviar with garnishes (£150); 50g Black Périgord truffle and slicer (£99); a cheese plate (£30); and a wine pairing (£75 per person) are popular, too.

“People have saved a lot of money this year and they want to spend it,” Ms. Smyth said. “They are at home and they are bored. People are buying caviar, they are buying truffles — they are desperate for those luxury experiences. They really want that entertainment.”

London restaurants have grappled with an ever-changing set of rules in the past year to contain the spread of the coronavirus. After the first lockdown early last year, a government-sponsored initiative in August to subsidize restaurant meals called Eat Out to Help Out was a success to bring diners back. But then hospitality venues across England faced a 10 p.m. curfew a month later before being forced to close down entirely as the outbreak worsened.

Even if the re-opening sticks this time around, restaurants will still need help to bounce back, said Smyth. She would like to see the government extend the current reduction of value-added-tax to 5% and continue a business-rates holiday for retail, hospitality and leisure businesses. 

“We’ve faced huge staff costs during the lockdown and the landlord is not giving me a penny off the rent,” she said.

Ms. Smyth grew up on a farm in Northern Ireland and moved to England at the age of 16 to become a chef. She trained with Gordon Ramsay at his restaurant in London before moving to Monaco to work under Alain Ducasse at his three-Michelin-star Louis XV.

After her return to London at the age of 28, she joined Gordon Ramsay’s flagship restaurant, becoming the guardian of its three stars. She left in 2016 and opened Core, in London’s Notting Hill, the following year.

Not surprisingly, she is looking forward to welcoming diners back after the lockdown.

“I am extremely optimistic,” Ms. Smyth said. “The economy is like a coiled spring. It can’t wait to get out.” — Bloomberg

Globe closes P10-B term loan facility with Metrobank

AYALA-LED Globe Telecom, Inc. said on Wednesday it had signed a term loan facility with Metropolitan Bank & Trust Co. for P10 billion.

“The loan shall be used to finance the company’s capital expenditures (capex),” the telco told the local bourse.

The company has said 80% of its P70-billion capex program this year will go to data network builds.

Last year, the company spent P60.3 billion. “The amount represented 41% of gross service revenues and 82% of EBITDA (earnings before interest, taxes, depreciation, and amortization),” it said.

“Majority of the capex or about 86% went to data-related requirements to meet the growing data demands of Filipinos nationwide,” it added.

The company noted its network rollout strategy for 2021 includes “aggressive” cell site builds, upgrade of sites to 4G/LTE, and nationwide fiberization.

The company intends to modernize its network to make 5G and fiber technology available to customers in more areas, Globe said.

The telco also announced on Wednesday that it now has a 5G roaming service in the United Arab Emirates, which is a top destination for overseas Filipino workers.

“Inbound roaming services, which allow subscribers of other operators to access Globe’s 5G network and services, are also set to commence this month,” it said.

The company recently reported an attributable net income of P15.87 billion for the first nine months of 2020, down 10.25% from a year earlier.

Globe Telecom shares closed 0.35% higher at P2,002 apiece on Wednesday. — Arjay L. Balinbin

SSS online transactions surge in 2020

SSS building
THE Social Security System saw digital transactions more than double last year to make up 75% of the total amid the coronavirus pandemic. — BW FILE PHOTO

STATE-RUN Social Security System (SSS) saw transactions done through its digital platforms more than double last year, with the number of online transactions making up for 75% of the total, amid the coronavirus pandemic.

The state pension fund saw the share of online transactions increase last year to 75% of the total from 35% in 2019, while manual transactions went down to 25% from 65% as more Filipinos used its digital platforms, SSS Vice- President Normita M. Doctor told a press briefing on Wednesday.

“There was really a surge in the number of online transactions last year brought about by the pandemic wherein there was limited mobility and our members can’t go to SSS branches and offices,” Ms. Doctor said.

She said registrations on the My.SSS portal jumped by 141% in 2020 to 10.6 million from 1.36 million in 2019. Around 99% of contribution payments were done through digital channels, the official said, while downloads of the SSS mobile application surged 265% to 11.4 million last year from 3.12 million the year before.

Meanwhile, in January, transactions done via the My.SSS portal surged to 70,590 transactions per day, while its mobile application posted an average daily usage of 254,288.

SSS ramped up its digitization efforts last year amid the pandemic, launching online applications for calamity and pension loans, as well as for retirement, unemployment and funeral claims. Simple corrections of existing data of members and the submission of sickness benefit reimbursement applications for employers can now also be done online, among other services.

The state-run pension fund said its digitization efforts aim to shorten the processing time of applications, claims, and disbursement of loan or benefit proceeds.

“For the past years, we have been gradually shifting our stakeholders’ way of transacting with us from face-to-face to online. The pandemic motivated us further to fast track our digital transformation initiatives, not only to provide our stakeholders with faster, more convenient, and more efficient means of transacting with us but also to ensure their safety,” SSS President and CEO Aurora C. Ignacio said in a statement on Wednesday.

For this year, Ms. Doctor said the state pension fund will continue to improve its digital platforms so members can make corrections to their existing information and to also include employers’ registration and submission of employment records.

Online filing of disability and death claims and maternity benefit applications are also targeted to be rolled out this year.

She said the SSS mobile application will also be improved so it can offer the other services offered in My.SSS online portal. — B.M. Laforga

International restaurants adapt to pandemic

Austria plans to let cafe, restaurant terraces reopen this month; waxfigures attract at NYC steakhouse

VIENNA/NEW YORK CITY — Austria plans to let cafe and restaurant terraces reopen this month in a further loosening of its coronavirus lockdown that will get an early start in a small Alpine province because of its lower infection rate, the government said on Monday.

Austria first loosened its third coronavirus lockdown three weeks ago despite stubbornly high infections, arguing that the economic, social, and psychological effect of keeping all of its restrictions in place would have been too great.

Non-essential shops, schools, hairdressers, and museums are now open but restaurants, bars, hotels, and theaters are not. Ski lifts have been open since Christmas Eve but with hotels closed they have almost only been used by locals and day-trippers. A nighttime curfew has replaced all-day restrictions on movement.

Infections have, however, risen since the lockdown was eased. Daily new infections are now regularly above 2,000, having hovered above 1,000 before, though they peaked at more than 9,000 in November before the second lockdown.

Warmer weather and accelerating vaccinations should help slow the spread of the virus after Easter, Health Minister Rudolf Anschober told a government news conference.

With infections per 100,000 people by far their lowest in the small, mountainous province of Vorarlberg that borders Germany, Switzerland and Liechtenstein, the next loosening will happen there first, on March 15, the government said. The rest of the country should follow on Mar. 27.

Vienna Mayor Michael Ludwig added that sport in schools would be allowed as of the same day.

The government hopes to take further loosening steps in the culture and tourism sectors in April, depending on how the situation develops, Chancellor Sebastian Kurz said.

AUDREY HEPBURN, JON HAMM WAX FIGURES AT NYC
As New York City restaurants reopened indoor dining rooms at 35% capacity on Friday, the Peter Luger Steak House and Madame Tussauds New York wax museum joined forces to welcome diners back in a fun way and to enforce social distancing guidelines.

Wax figures of Audrey Hepburn, dressed as her character Holly Golightly in Breakfast at Tiffany’s sitting in front of a Martini, and Jon Hamm as his character Don Draper in Mad Men  holding an Old Fashioned cocktail, greeted customers while waiters rushed by with plates of sizzling steaks.

The coronavirus pandemic hit New York establishments especially hard, where, the National Restaurant Association says, restaurants accounted for 9% of employment in the state in 2019 and brought in $51.6 billion in sales in 2018.

“It’s been rough,” said Michael Costa, manager at Peter Luger’s Brooklyn steakhouse. “We’re going to adapt to what’s going on. Right now we’ll take whatever they give us, 25 is good, 35, whatever they want to give us because we’re at the bottom,” Mr. Costa said. “But, we’ll survive.” — Reuters

BSP seeks comments on draft guidelines for FIST law

THE Bangko Sentral ng Pilipinas (BSP) has started asking banks and other concerned parties for their feedback on the draft guidelines of the law that would allow financial institutions to offload soured assets through asset management companies.

The BSP posted on Wednesday three separate draft circulars that will make up the implementing rules and regulations (IRR) of Republic Act No. 11523 or the Financial Institutions Strategic Transfer (FIST) Act. The law covers nonperforming assets (NPAs) until end-2022.

It will accept comments until March 8.

One of the draft circulars states that all sales or transfers of NPAs by financial institutions to asset management companies, referred to as FIST Corporations, should be in the nature of a “true sale.”

“True sale refers to a sale wherein the selling BSFI (BSP-supervised financial institutions) transfers or sells its NPAs to an individual, FIST Corporation, or special purpose vehicle (SPV) without recourse to cash or property in exchange for the transfer or sale, and without prejudice to the BSFI and the individual/FISTC agreeing on sharing profits,” the regulator said.

It said selling or transferring these NPAs will mean the seller or transferor will fully transfer the legal and beneficial title to the buyer or transferee and give up its control to the assets.

The transferred NPAs will also be “legally isolated” and should be placed beyond the reach of the seller and the creditors.

The BSP said financial institutions should neither have a direct nor an indirect control of the FISTC or the SPV that bought the NPAs and should not have more than 10% legal or beneficial ownership in the buyer.

The draft guidelines also allows banks to do staggered booking of losses from the discounted sale of NPAs to FIST Corporations.

“The guidelines recognize that BSFIs may need temporary regulatory relief, in addition to tax relief under the FIST Law, particularly on the timing of recognition of losses, so that they may be encouraged to maximize the sale of their NPAs even at substantial discount,” one of the draft circulars read.

The banks will have to state the impact when they avail of the regulatory relief on relevant financial reports for transparency, the central bank said.

The FIST law also exempts the transfer of NPAs to asset management companies from payment of documentary stamp tax, capital gains tax, creditable withholding income taxes and value-added tax (VAT), among other fiscal perks.

To apply for the tax exemptions, banks will have to obtain a certificate of eligibility from the central bank, which requires them to submit a master list of NPAs or real and other properties acquired (ROPA) that will be sold to FIST Corporations as one of the requirements.

The central bank will start accepting this month submissions of the master list for the period covering as of end-2020, according to one of the draft circulars. The BSP will have to issue the COE within 20 days of application. — B.M. Laforga

Cebu Air stock rights offer starts

CEBU AIR, Inc. (CEB), the listed operator of budget carrier Cebu Pacific, announced on Wednesday the start of its stock rights offer period.

The company intends to raise around P12.5 billion, partly aimed at addressing the impact of the ongoing global health crisis on its business.

In a disclosure to the stock exchange, the listed airline operator said a total of 328.95 million of “cumulative, non-voting, non-participating convertible preferred shares” will be offered from March 3 to March 9.

The company set the offer price at P38 per share. It set the dividend yield per annum at 6%.

“One entitlement right for every 1.8250 CEB common shares held as of record date,” it noted.

March 29 has been set as the tentative listing date.

Cebu Air said net proceeds from the offer should strengthen its balance sheet by providing liquidity to address its financial liabilities, including passenger refunds “in case cash inflows from operations become insufficient as a consequence of the pandemic’s impact on health and travel-related concerns.”

Cebu Air suffered a net loss of P14.69 billion for the first nine months of 2020 from the P6.77-billion profit it generated in the same period in 2019.

Cebu Air shares closed 4.09% lower at P43.40 apiece on Wednesday. — Arjay L. Balinbin

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