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Hunting dinosaurs in the mall

HELP dig dinosaur bones or create fossils or take fun optical illusion photos at The Mind Museum Traveling Exhibition Tour at Robinsons Malls. The touring exhibit brings Dino Play and Science Circus to select Robinsons Malls around the country. Dino Play is an exhibit that features all things dinosaur. Dino Play is divided into four areas or “Nests”: the Dino Dig where kids can dig up fossils (photo); Dino Lab where kids can examine real fossils; Dino Fun where kids can make their own fossils and learn more about dinosaurs through the Dinosaur Family Tree; and the Dino Lookout Tower where kids can scope out the area for any dinosaur. They can also pretend to be a dino for a day at Dino Den. Guests can also take photos with a Sarao vintage jeep converted into a dinosaur world-exploring vehicle. Dino Play is at Robinsons Place Naga until Jan. 6, then will go to Robinsons Galleria South from Jan. 13 to Feb. 21, Robinsons Place Malolos from Feb. 25 to April 4, and finally at Robinsons Place Iligan from May 7 to June 15. Meanwhile, Science Circus interactive exhibits that deceive the senses and confuse the mind. There is a Perception Room which tricks the mind, the Floating Head Illusion, Benham’s Roleta and Color Spinners, Steady Hands, the Kaleidoscope Selfie contraption, Puzzle Play: Soma Cube and Balancing Shapes, and optical illusion exhibits, among many others. The Science Circus will start at Robinsons Place Ilocos from Jan. 26 to March 5, then Robinsons Place Tuguegarao from March 11 to April 19, Robinsons Place Antipolo from May 22 to June 30, Robinsons Metro East from July 4 to Aug. 12, then Robinsons Place Lipa from Aug. 16 to Sept. 24. For information on tickets and time slots, visit www.robinsonsmalls.com.

Summit Ridge Tagaytay wins tourism award

SUMMIT Ridge Tagaytay recently received the 2019 Award of Excellence at the annual Tourism Awards organized by the Cavite Tourism and Department of Tourism.

Summit Ridge Hotel is known for its “bird’s eye view” of the Taal Lake and Taal Volcano. It also has health and recreational facilities such as a spa, infinity pool, gym, indoor basketball and badminton courts, function rooms and ballrooms. The newly opened Café Summit offers Filipino fusion dishes.

Hong Kong Airlines given just one week to save its license — regulator

HONG KONG Airlines Ltd., the city’s only other competitor to Cathay Pacific Airways Ltd., is fighting for survival just as the busy Christmas season approaches.

The Air Transport Licensing Authority (ATLA) told the carrier that its finances had deteriorated so much that it needs to raise more cash or risk losing its license. The regulator will make a decision by Saturday, it said.

For Hong Kong Airlines, the ultimatum escalates a crisis that already forced the company to delay salary payments and cut flights to places such as Vancouver. More broadly, the move is the latest indication of how months of anti-Beijing protests in Hong Kong have roiled the city’s carriers — Cathay shares are trading near the lowest in a decade — as people avoid flying in and out of the Asian financial hub.

Visitor numbers in Hong Kong have plunged since the protests flared in June. Financial Secretary Paul Chan told lawmakers Monday that arrivals from mainland China tumbled a record 46% in October, a particularly important time because it coincides with the “Golden Week” holidays. Overall, visitors to Hong Kong fell 44%.

Though Hong Kong Airlines, backed by Chinese conglomerate HNA Group Co., doesn’t disclose its financials because it isn’t listed, the company has acknowledged it’s facing difficulties. On Friday, it said that protests have “severely affected” its business. The airline was already under strain as economic growth took a hit from the US-China trade war, and facing scrutiny from authorities, who’ve been requesting updates and improvements on its financial situation this year.

ATLA on Monday said it found the situation “extremely worrying” after meeting with Hong Kong Airlines’ senior management and requesting them to explain the company’s finances. The Civil Aviation Department and Transport and Housing Bureau have also both demanded the company worked to improve its finances.

“HKA’s financial position has deteriorated rapidly,” ATLA said in its statement, which laid out two new licensing conditions: ensure a cash injection is made and that the company maintains levels of cash and equivalents determined by the regulator. It said if Hong Kong Airlines fails to improve its financial situation it could revoke or suspend the carrier’s license.

Hong Kong Airlines, which has a feet of 39 Airbus SE planes, said it acknowledged the new requirements and that it regularly updates authorities on its operations and financial improvement plan. “Our operation is still running normally and we remain committed to flying our passengers to their destinations safely,” it said in an e-mailed statement.

On the flight changes, the carrier said Friday it would focus on priority routes and that alternative travel arrangements would be offered to passengers holding tickets for discontinued routes to Vancouver, Ho Chi Minh and Tianjin.

“Hong Kong Airlines will continue to monitor the situation closely and adjust its business plan accordingly to ensure that it remains commercially viable and sustain its long-term growth,” it said.

Cathay hasn’t been immune to the unrest in Hong Kong. The carrier has issued profit warnings and plans to reduce capacity next year. — Bloomberg

The Podium West Tower welcomes new tenants

THE Podium West Tower will soon be home to companies from insurance, law, advertising, real estate, trading, entertainment, financing, coworking and consultancy sectors.

The 48-storey Podium West Tower is the tallest Grade A commercial building in Ortigas central business district (CBD). Offering 90,000 square meters (sq.m.) of premium office space, it hopes to attract local and multinational companies who want to have a presence in one of Metro Manila’s CBD.

“Over the years, the Ortigas Center has emerged as a key business hub within Metro Manila. Our expansion of The Podium development to include a bigger retail footprint and a new office component reflects our confidence in the long-term growth of the Ortigas Centre as a premier business hub,” Oh Lock Soon, president of Keppel Philippines Properties, Inc. (KPPI), said in a statement.

The Podium is a joint venture between KPPI, a subsidiary of Singapore’s Keppel Land Limited, and BDO Unibank, Inc.

A green building, the Podium West Tower is “designed to consume a minimum of 14% less energy and 30% less water than other standard buildings designs.”

The office tower and the Podium Mall are part of the Podium Complex, which was awarded the LEED Gold Mark (Core & Shell) pre-certification by the US Green Building Council. It is also the first building in the country to secure the provisional Green Mark Gold Award by the Building and Construction Authority of Singapore.

Volume, value of Filipinos’ digital transactions climb

ELECTRONIC PAYMENTS in the country are climbing. — PEXELS.COM

THE COUNTRY has seen a leap in moving towards a more digital economy with a significant growth in the volume of e-payments, according to a study cited by the Bangko Sentral ng Pilipinas, with Filipinos also becoming more trustful of online payments as the value of the transactions made have also inched up.

With more initiatives rolled out such as the EGov Pay facility as well QR Code PH, BSP Governor Benjamin E. Diokno is positive that the government is on track to meet its target to have 20% of transaction volumes done digitally.

In a press briefing held at the BSP on Monday, Mr. Diokno cited that the United Nations-based Better Than Cash Alliance report found that the volume of e-payments usage in the Philippines grew to 10% of total transactions in 2018 from just 1% in 2013.

The value of e-payments also rose, from comprising only 8% of total transactions in 2013 to 20% in 2018.

“As you can see, both usage and value increased indicating that it is not only being used more frequently, but also, it is trusted with bigger values,” Mr. Diokno said during the briefing.

The study also found that women (27%) have been using e-payments more than men (22%). Women also dominate men in terms of account ownerships as 39% of respondents said they own an account, while only 30% of male respondents own at least one account.

This finding may be attributable to underlying cultural norms in the country, according to BSP Managing Director for the Financial Technology Subsector Vicente T. de Villa III.

“Households are generally led by the woman of the house… In Filipino households, that would be the case. That could be a huge driver for that,” he said during the briefing.

The study looked into different user-cases that involved transactions between payers and payee from the government, businesses, and individuals from across the country.

BSP Deputy Governor Chuchi G. Fonacier said the central bank is looking towards an inclusive growth in e-payments from across the country.

“The more the growth could be observed also outside Metro Manila, the better,” she said.

In the next few years, the BSP is banking on new initiatives that could support the growth of both the volume and value of digital payments.

“There would be many cases… Taxpayers paying BIR, merchants, government giving grants to 4Ps (Pantawid Pamilyang Pilipino Program), that will also be electronic. The private sector buys [through e-payments…] also with the transport system… You can now pay tricycle in QR or jeepney with your QR code…,” Mr. Diokno said, noting that such transactions will buoy the growth of e-payments.

Both the EGovPay Facility — which will soon onboard more government agencies into the scheme aside from the Bureau of Internal Revenue which already offers online tax payments — and the QR PH were launched in November.

With these, Mr. Diokno thinks the central bank’s target for the Philippines to become a cash-lite society is within reach.

“That also has an impact by the way [because] from a cash-heavy society we intend to be a cash-lite society. We don’t need to print as many peso bills as before or come up with many coins as before because people will be using their cellphones,” he said.

The BSP is eyeing to make 20% of transaction volumes digital by 2020.

Meanwhile, they target to have 30% of transactions online, showing that people are already banking on the credibility of doing transactions digitally. — Luz Wendy T. Noble

Light Shows (12/3/19)

Ayala’s Gallery of Lights


EVERY YEAR, thousands of people visit the Ayala Triangle Gardens for a spectacular show of dazzling lights, music, projections, and illuminated art installations. This year Ayala Land lights up six of its estates: The Ayala Triangle Gardens in Makati, Bonifacio Global City in Taguig, Ayala Center in Cebu, Centrio in Cagayan de Oro, Abreeza Mall in Davao, and Capitol Central in Bacolod. The Gallery of Lights is a combination of new design concepts and classic staples. Polygon clouds form a canopy of lights, while bright-colored noodle light line tree trunks and branches designed by lighting direction Voltaire de Jesus and Luther Gumia. Tivoli and laser lights dance to festive music composed of three medleys starting with the techno-inspired number by Tris Suguitan, a Big Band medley by Mel Villena, and a Filipino medley by Von de Guzman that showcases Pinoy Christmas tunes and a mix of sentimental melodies. Spectators in Makati will have something extra as the Carol of Lights, a 3D video mapping show, is being done for the first time. The images are projected at the dome of Tower One and Exchange Plaza. It is inspired by church ceilings and stained glass windows from select Filipino and international churches. The Gallery of Lights shows run from 6-10 p.m. nightly until Jan. 12.

Greenhills’ Laser Light Symphony


GREENHILLS has launched its first Laser Light Symphony, a show featuring two expert laser dancers. The laser show runs every half hour from 6 to 10 p.m. nightly until Jan. 5 at the G-Strip Parking area. The laser show is a unique accompaniment to the Christmas Night Market at the same spot, allowing holiday shopping right up to midnight. For even more choices, there’s also the Wonderland Bazaar at the VMall Lobby and the Holiday Tiangge Fair at the Center Mall, both open until 10 p.m. Meanwhile, Greenhills has partnered with Mastercard and Zomato for Holiday Feast with Treats, where diners with a single receipt worth P2,000 and using their Mastercard debit, credit, or prepaid card can enjoy special treats at participating food establishments. Santa Claus will be around to meet kids every Saturday at the VMall while carolers will serenade guests every Sunday in the run-up to Christmas. Simbang Gabi masses will be held nightly from Dec. 15 to 23 at the Chapel of the Holy Family in the mall.

How PSEi member stocks performed — December 2, 2019

Here’s a quick glance at how PSEi stocks fared on Monday, December 2, 2019.

 

US FTA could upend market for imported CBU autos, DTI says

A FREE Trade Agreement (FTA) with the United States could disrupt the market for automotive imports by making US automobiles more attractive to ship in than competing products from Asia, the Department of Trade and Industry (DTI) said.

Trade Undersecretary Ceferino S. Rodolfo said at the US FTA workshop at Manila Polo Club Monday that the department’s view is a shift to US sources for the completely built-up unit (CBU) segment of the market.

“When it comes to an FTA with the US, what we are foreseeing is a diversion of current import sources to the US,” he said.

He added that the shift to the US could also be supported by the ongoing investigation into possible safeguard duties on current auto imports.

“If (the investigation) progresses and if for instance there is a positive determination on the part of the BIS (Bureau of Import Services) and the DTI Secretary, there could be provisional safeguard duty on auto.”

He said the combination of an FTA that lowers tariff rates for the US as well as safeguard duties on competing imports could produce “a situation wherein we can potentially not only level the playing field but in fact give it an even more preferential rate for CBU imports of autos coming from the US.”

He called the Philippines “the fastest-growing automotive market in this region. We are the biggest importer of SUVs in the whole of Southeast Asia.”

He said that the Philippines is currently waiting to start negotiations with the US, which is currently working on its trade deals with Canada and Mexico.

The Philippine Metalworkers Alliance has filed an application with the DTI for an investigation into possible safeguard measures on automobiles to protect domestic jobs, asserting a link between the surge in automobile imports and a decline in employment in the automotive industry.

World Trade Organization rules allow the imposition of safeguard duties if imports are found to have damaged domestic industries.

In his presentation, University of Asia and the Pacific economist and former tariff commissioner George N. Manzano said a US FTA represents an “asymmetry” because the Philippines needs it more.

“We see that there is disparity, asymmetry, difference that’s basically like Goliath versus David — but I would like to qualify that since FTA is a partnership, it is not really ‘versus’ but points of cooperation and mutual interest,” he said.

“But in terms of the lay of the land, we see that there is in fact a big disparity.”

He said Philippine exports to the US account for 14-16% of total exports. On the other hand, US exports to the Philippines represent less than 1% of its total.

He said such imbalances are typical of small economies negotiating trade deals with the US. — Jenina P. Ibañez

NGCP audit ‘only way’ to address China fears

THE DEPARTMENT of Energy (DoE) said the only way to achieve ”closure” on the issue of China’s alleged capability to remotely shut down the power transmission system is a audit of the National Grid Corp. of the Philippines (NGCP).

“Is the threat real or imagined? That can only be answered by us, the government, inspecting it and making sure… that the oversight function of the government is carried and we put in place whatever measures that would prevent it from happening,” Energy Secretary Alfonso G. Cusi said Monday.

He made the remarks in response to questions during a briefing at the DoE head office in Taguig City to launch the celebrations for the National Energy Consciousness Month and the department’s 47th anniversary.

Kaya ba nila i-shutdown (Can they shut it down)? In this digital age, anything and practically everything is possible remotely,” he said.

Mr. Cusi said when he assumed office in 2016, he asked that the grid facilities be inspected by National Transmission Corp. (TransCo), the government company that owns the transmission assets.

He said on many occasions NGCP refused inspection. He said his office “then and now” wanted to find out how the fiber optics at the transmission facilities are being used because of the government’s plan to use it for the national broadband network.

“So we asked, how is it being used then and now, who is using and what is the revenue?” he said, adding that revenue could have been used to reduce the transmission cost, which is part of electricity consumers monthly bill.

Mr. Cusi said he was giving China the benefit of the doubt that it would not shut down the Philippines’ transmission system, noting that the State Grid Corporation of China, which a 40% stake in NGCP, also operates in Australia.

“The only way that we can put a closure to this is that we inspect. We need to do our job,” he said.

Energy Undersecretary Felix William B. Fuentebella said the assessment of NGCP’s facilities was not meant to be a “blame game” but to allow the DoE “to see where we are we now and where are we going in the future” to improve the transmission system.

Melvin A. Matibag, TransCo president and chief executive officer, said the company as well as the government, including Mr. Cusi, will not resort to an action that is against the law or the concession agreement with NGCP.

However, he questioned whether the top official of NGCP has national security clearance to have access to the Virtual Private Network (VPN), which the grid operator said is disconnected from the Supervisory Control and Data Acquisition, the system that controls the grid.

NGCP had said that VPN access may be granted only to its Filipino chief executive officer in an emergency and only through a secure, confidential approval process.

Hindi naman… gagawin ng China (I don’t think China will do this). In fact, I want to make it clear we are not referring to China. We are referring to the concessionaire — the NGCP,” he said.

Meanwhile, Mr. Cusi gave a brief report on some of the DoE’s milestones for 2019, including the policies and programs on energy security such as the Philippine Conventional Energy Contracting Program and the issuance of a circular covering the general framework on ancillary services, or the contracting of reserve power.

He also said the DoE was able to issue an order allowing the direct remittance of financial benefits to hosts of power generation and energy resource development projects.

The department also initiated rules relating to the further development of renewable energy. — Victor V. Saulon

New Clark City deal properly awarded, reviewed — BCDA

THE Bases Conversion and Development Authority (BCDA) rejected claims that the deal to build the New Clark City sports complex in Tarlac won by Malaysia’s MTD Capital Bhd. was improperly awarded, amid reports that the contract was not bid out.

BCDA President and CEO Vivencio B. Dizon said in a briefing Monday that the joint venture (JV) agreement with MTD Capital for Phase 1A of the New Clark City was “legal, transparent, valid, above board and compliant with law.”

Government Corporate Counsel Elpidio J. Vega said the Office of the Government Corporate Counsel’s (OGCC) review of the JV contract authorized the BCDA to proceed, contrary to reports that the OGCC issued an unfavorable opinion.

Citing the OGCC’s comment on the January 2018 contract, Mr. Vega said, “We appreciate the feasibility, efficiency, and the financial soundness of the project… We have made our observations, comments, suggestions for the consideration of BCDA and subject there to BCDA may then give due course to the proposed joint venture agreement.”

Various media reports have claimed that the BCDA went ahead with the JV agreement with MTD Capital without securing a positive legal opinion from OGCC.

Mr. Dizon said that after the BCDA addressed and clarified the comments it received from the OGCC, the government counsel found that “provisions of the executed JV and the legal framework of the project are in compliance with the existing laws, rules and regulations,” in an October 2018 opinion.

Memorandum circular no. 2018-02 issued by Governance Commission for Government-Owned and Controlled Corporations (GOCC) requires all state firms to secure a favorable legal opinion or a contract review by the OGCC before signing agreements on major projects.

Mr. Dizon added that the project was awarded properly according to the rules for unsolicited projects, which features a Swiss challenge. A Swiss challenge permits competitors to submit improved bids, which can then be matched by the original proponent.

“It is not correct to say that this did not go through public bidding. It did. It went through the mode of competitive Swiss challenge under the JV guidelines of BCDA which we are empowered to have,” he said.

He the BCDA opted for a JV instead of a build-and-transfer (BoT) scheme, calling the latter non-viable because of the time element involved. One of the New Clark City components was a sports center currently in use for the Southeast Asian Games.

“We believe, together with our advisers that the JV mode was the best mode to do this, given the financials, the technical and the legal considerations for this project, and this is confirmed by both the ADB (Asian Development Bank), and later on by the OGCC,” he said.

New Clark City’s other components include satellite government offices, residential areas, and commercial establishments.

“The long-term plan for these sports facilities goes way beyond the Southeast Asian Games so BCDA was ready to invest in these facilities,” Mr. Dizon said. — Beatrice M. Laforga

Gold prices seen supported by trade tensions, Brexit

GOLD PRICES are expected to remain at about $1,450 per ounce (oz) in the next three to six months into 2020, supported by the precious metal’s safe-haven value in the face of the US-China trade war, Brexit, and unrest in various parts of the world, including major gold market Hong Kong, Fitch Solutions Macro Research said in its Commodity Price Forecast.

“We maintain our gold price forecast of $1,450 per ounce (oz) for 2020, and expect prices to average around current spot levels next year. We are also neutral towards gold prices in the next three to six months, from both technical as well as fundamental perspectives,” Fitch Solutions said in the report published Nov. 29. The price projection is 5% higher year-on-year.

Fitch Solutions said central banks are expected to slow down in reducing interest rates, making gold more attractive “due to the fact that growth could be starting to stabilize.” The firm expects the Federal Reserve to hold off on rate cuts throughout 2020, after effecting 75 basis points worth of cuts in 2019.

In the long term, Fitch Solutions expects a mild appreciation to $1,525 by 2023, backed by cyclical pressures and imbalances, greater demand for gold by central banks, and political uncertainty across countries.

“Going forward, we expect trade developments and monetary policy to continue to be the main drivers of risk sentiment,” Fitch Solutions said.

With an improved trade environment between the US and China and tame inflation, gold could become less attractive. but if these do not take place, Fitch Solutions expects a stronger shift to gold.

“If we see a full yield curve inversion and a US equity market crash, this would naturally lead to a sharp rise in gold prices. Finally, we would change our long-term outlook of mild appreciation in gold prices if there is a technical break below $1,350 per oz in the coming years,” it added.

Chamber of Mines of the Philippines (CoMP) Executive Director Ronald S. Recidoro said the organization has a similar scenario for gold prices in the coming years, noting support from trade tensions between the US and China, as well as scarcity factors.

“We concur with that assessment. I think there is consensus that the gold price is general on the rise, owing to… US and China,” Mr. Recidoro said when asked for comment.

“Apart from that is scarcity because there has been a global slowdown in exploration, and so supply is becoming limited and the easily-mined deposits have been discovered and extracted, so it’s getting harder and harder to mine. We think in the long term gold will become more attractive as an asset,” he added. — Vincent Mariel P. Galang

Davao considers options for transport project P2.8-B counterpart funding

THE DAVAO City government is considering how to raise the P2.8 billion in counterpart funds for the P18.66-billion Davao Public Transport Modernization Project, which was among the six projects approved by the National Economic and Development Authority (NEDA) Board on Nov. 29.

Ivan C. Cortez, City Planning and Development Office coordinator who was part of the team that defended the project before the board, said the city will be considering funding it internally or taking a loan for the project, also known as the high priority bus system (HPBS).

Local governments are typically required to pay for a share of major projects to ensure they have a stake in its success.

“We can find other financing options or sources to get things going by 2020,” Mr. Cortez told BusinessWorld.

“The focus of the city mayor (Mayor Sara Duterte-Carpio) is really on the full implementation of the HPBS before her term ends (in 2022),” he said.

The first phase of the project is partially being implemented with the deployment of augmentation buses in identified priority areas, particularly in south-central Davao City.

In August, the city council also took tackled a proposed P100-million budget for the construction of two bus terminals, one each in the north and south of the city.

The HPBS was among the recommendations in a study undertaken by the Asian Development Bank, which has been working with the city government for the transport modernization program.

The bus system project, Mr. Cortez said, aims to replace about 7,500 public utility jeepneys (PUJ) with some 1,300 buses to decongest the main highways and improve the transport system.

In an earlier interview, he said the HPBS is expected to require a work force of up to 10,000, more than the current 7,200 PUJ drivers.

The HPBS will cover a core network of 137 kilometers (km) and 489 kms of feeder routes, based on a NEDA statement issued Friday.

The entire transport project will also involve strengthening institutional capacity, and a social development component.

NEDA has approved an implementation schedule of 2020 to 2023, with funding mainly from Official Development Assistance loans.

BRIDGE TO SAMAL
Another project in the Davao Region approved by the NEDA board is the P23-billion bridge that will connect the Island Garden City of Samal and Davao City.

“The project involves the construction of a toll-free four-lane (two-lane each direction) bridge with an approximate length of 2.80 kilometers, a width of 24.2 meters, and a vertical clearance of 45 meters that can serve around 25,000 vehicles a day,” NEDA said in the statement.

The construction period for the bridge, which has long been on the drawing boards, is targeted to start by 2021 and operations by 2025. — Carmelito Q. Francisco