Category: Business Mirror

WITH the ‘-ber’ months now underway, the National Police (PNP) Chief, Gen. Jose Melencio Nartatez Jr., on Wednesday directed police units nationwide to step up presence and patrols in areas expected to draw larger crowds as the country transitions into its traditional long Christmas season.

In line with this, Nartatez ordered regional and city police offices to heighten police visibility, patrols, and monitoring in commercial establishments, transport terminals, markets, and other public places where people are expected to converge.

‘I have directed police units to strengthen visibility, patrols and monitoring in areas where people are expected to converge, particularly commercial establishments, transport terminals, markets, and other public places. Our priority is to prevent crimes before they happen and ensure a safe and peaceful holiday season,’ Nartatez said.

The ‘-ber’ months started on September 1, kicking off the Philippines’ long Christmas season when shopping, travel, family gatherings and other holiday activities are expected to increase.

Nartatez called on the public to remain alert against crimes that could take advantage of increased consumer activity, cash transactions, and travel.

‘The public should remain vigilant against theft, robbery, scams, and other crimes that may take advantage of increased shopping, cash transactions, and travel during the holiday season. We also remind everyone to secure their belongings, avoid sharing real-time locations online, and immediately report suspicious activities to the police,’ he said.

The PNP will also increase patrols in crime-prone areas and communities where holiday activities are expected to increase.

Police units are likewise expected to maintain close coordination with local authorities and other stakeholders to address emerging security concerns.

Nartatez said the police and the public must work together to keep communities safe throughout the Yuletide Season.

‘We want the people to enjoy the Christmas season with their families, but we also ask everyone to remain alert and take simple precautions. Crime prevention is a shared responsibility between the police and the community,’ he said.

GLORY (Philippines) Inc. (GPI) is planning to expand its Local operations, including manufacturing, logistics and other value-adding activities, as it seeks guidance from the Philippine Economic Zone Authority (Peza) on how to structure the planned expansion.

The company discussed with Peza possible ways to register activities such as quality inspection, packaging, warehousing, customization and logistics services within the agency’s investment framework.

GPI has operated in the Cavite Economic Zone since 1994, where it manufactures currency-handling machines for the global operations of its Japanese parent Glory Ltd.

The Philippine unit employs more than 1,300 Filipinos and serves as a manufacturing and export hub, supplying markets in North America, Europe and Asia.

GPI President Shoichi Onishi said the company has operated in the country for more than three decades with Peza’s support and is considering how to further integrate its Philippine operations into its global business.

‘GPI has continued its operations in the Philippines for more than 30 years with the support of Peza. Glory positions the Philippines not merely as a production base, but as a strategic partner supporting future global growth,’ Onishi said.

During an early August meeting, Peza Director General Tereso O. Panga said the agency would help GPI determine the appropriate structure for its planned activities under the Peza framework.

‘As you expand your operations, our role is to help you identify the most appropriate structure within the Peza framework so that your investments can remain competitive while contributing more to jobs, exports, technology, and our national economy,’ Panga said. ‘We want GPI to continue growing in the Philippines and to see the country become an even stronger part of your global operations.’ GPI is part of Glory Ltd., a manufacturer of money-handling solutions headquartered at Hyogo, Japan, with operations in more than a hundred countries.

THE House of Representatives has approved on third and final reading a measure renewing for another 50 years the legislative franchise granted to Philippine Airlines Inc. (PAL), allowing the country’s flag carrier to continue operating air transport services in the Philippines and abroad.

Voting 250 affirmative, 3 negative, and one abstention, lawmakers approved House Bill 10545, which seeks to extend PAL’s authority under Presidential Decree (PD) 1590 to establish, operate, and maintain domestic and international air transportation services, providing the airline with a longer-term framework to sustain its operations and pursue future expansion plans.

Under the franchise renewal bill, PAL will retain its authority to provide air transportation services for passengers, mail, and cargo through domestic and international routes. The measure also allows the airline to operate scheduled, non-scheduled, and charter flights, subject to existing laws, regulations, and government aviation standards.

The bill permits PAL, the primary operating subsidiary of PAL Holdings Inc., to maintain and develop the aircraft, equipment, facilities, and communication systems necessary for its operations. It also provides that the airline’s activities remain under the supervision and regulation of appropriate government agencies.

The renewed franchise includes provisions requiring PAL to comply with applicable laws and regulations, create employment opportunities, and observe labor standards. It also maintains that the franchise is non-exclusive and may be amended or revoked by Congress when public interest requires.

The measure further provides that PAL cannot transfer, lease, or assign the franchise or its controlling interest without approval from the government. It also retains government authority to temporarily take over or operate the airline’s facilities during times of war, national emergency, calamity, or public danger.

With the proposed 50-year extension, PAL will continue to hold the authority to operate air transport services while complying with the conditions and responsibilities provided under the renewed franchise.

Deputy Speaker Francisco Paolo P. Ortega V, one of the authors of the bill, emphasized that air transportation remains a vital contributor to economic growth, tourism, trade, and employment. Citing industry data, he highlighted that aviation contributes significantly to the Philippine economy and supports millions of jobs, demonstrating the importance of maintaining a strong national aviation sector.

According to Ortega, while PAL’s franchise under Presidential Decree No. 1590 remains valid until 2034, the proposed early renewal of its legislative franchise reflects Congress’ recognition of the airline’s broader role in national development.

Ortega said the measure recognizes PAL’s role as the country’s flag carrier, providing international connectivity, opening routes, supporting underserved areas, and contributing to tourism and commerce.

He also cited PAL’s public service efforts during the COVID-19 pandemic, including repatriation flights for stranded Filipinos, transport of essential medical supplies, and support for national recovery efforts.

THE death toll attributed to tropical cyclones Luis, Maymay, and Neneng, and the southwest monsoon or habagat, has climbed to 39, the National Disaster Risk Reduction and Management Council (DRRMC) reported on Wednesday.

This, as Typhoon Pilandok continues to induce rain, aggravating the monsoon rains that continue to drench some parts of Luzon, the state weather bureau reported.

The inclement weather, characterized by nonstop rains that trigger landslides and flash floods and cause severe flooding in low-lying areas in Luzon, including the National Capital Region, injured 20 persons. Three other persons remain missing.

In its Wednesday 6:00 a.m. report on the combined impacts of the three tropical cyclones and the southwest monsoon, NDRRMC said the affected population has also to 2.7 million families or 9.4 million persons.

Various government agencies led by the Department of Social Welfare and Development (DSWD), together with concerned local governments (LGU) continue to assist affected families in 968 different evacuation centers, providing them with family food packs, water, medicines, tents, clothing, and bedding.

As of Wednesday, 20,279 families or 71,364 persons remain in evacuation centers.

Despite improved weather in some areas, the number of affected barangay affected by flood has also increased to 6,328 across most of Luzon.

The government has so far spent around P1.85 billion to assist the affected families.

The NDRRMC said it is monitoring 711 different flooded areas across Luzon.

About 178 LGUs are still under a state of calamity.

The NDRRMC said the flooding and landslides have damaged 3,900 houses.

Because of the flooding, damage to public and private infrastructure has ballooned to P6.27 billion, while crop damage is now estimated at P2.84 billion.

In its 11 a.m. Tropical Cyclone Bulletin issued on Wednesday, the Philippine Atmospheric, Geophysical and Astronomical Services Administration (Pagasa) reported that Pilandok is now moving northwestward over the Philippine Sea.

Gale-force gusts

OWING to the southwest monsoon, strong to gale-force gusts are threatening most of Luzon and Visayas, Zamboanga del Norte, Misamis Occidental, Lanao del Norte, Misamis Oriental, Camiguin, Dinagat Islands, Davao Occidental, and Davao Oriental.

Ilocos Norte, Ilocos Sur, La Union, Pangasinan, Abra, Benguet, and Zambales are experiencing 50 to q00 mm or moderate rains today and will continue until September 5.

Meanwhile, moderate to heavy rainfall is forecast over Occidental Mindoro on Friday and Saturday.

Pagasa said heavy rainfall and severe winds may still be experienced in localities outside, but near the storm-affected areas.

Pilandok is forecast to remain as a tropical storm as it moves northwestward throughout the forecast period and will remain far from the Philippine landmass, the weather bureau said.

At midday on Wednesday, Pilandok was located at 1,205 kilometers east of extreme Northern Luzon and is moving northwestward at 10 kilometers per hour and is packing maximum sustained winds of 65 kph near the center and gustiness of up to 80 kph.

Pilandok is forecast to exit the Philippine Area of Responsibility on Thursday, September 3.

PAF launches relief ops

THE Air Force (PAF) on Wednesday said its S-70i ‘Black Hawk’ helicopters conducted airlift operations for southwest monsoon drenched communities in Zambales on Tuesday.

In a statement the PAF spokesperson, Col. Ma. Christina Basco, said the mission was carried out through the Tactical Operations Wing-Northern Luzon, and the Air Logistics Support Command, in coordination with the Army.

‘[The PAF] continues to support humanitarian assistance and disaster response [HADR] operations by airlifting relief supplies from Clark Air Base, Pampanga, on September 1,’ she added.

Basco said PAF S-70i ‘Black Hawk’ helicopters airlifted 1,000 family food packs from the Department of Social Welfare and Development for delivery to affected communities in barangay Santa Fe, San Marcelino, Zambales.

”The operation underscores the PAF’s commitment, alongside its government and military partners, to ensuring the timely delivery of essential assistance to communities affected by disasters,’ she added. With Rex Anthony Naval

Even as the Department of Finance has warned that scrapping the 12-percent value-added tax on system loss charge would result in about P10 billion in revenue losses every year, a senator is pushing to remove as well the VAT on residential electricity, to bring relief to households.

At the recent Development Budget Coordination Committee briefing, Senator Paolo Benigno ‘Bam’ A. Aquino said the proposal could provide consumers with greater relief alongside efforts to remove system loss charges from their electricity bills.

‘If we remove the VAT from the electricity of residential [users]-not the businesses, or factories, but just residential, this could mean a bigger drop in the electricity bill of our citizens,’ Aquino told government economic managers.

MALACAÑANG said no company has formally applied to build a data center under the United States-led Pax Silica initiative, even as the government left open the possibility of such facilities being located outside New Clark City.

‘If they are talking about other locations not within New Clark City-there is no proposal for it yet, according to the DTI [Department of Trade and Industry],’ Palace Press Officer Claire Castro said in Filipino at a press briefing on Tuesday.

During a House Committee on Appropriations hearing last week, the DTI assured lawmakers that no artificial intelligence (AI) data centers would be built within the proposed 1,600-hectare advanced manufacturing hub in New Clark City, Tarlac.

‘Specifically, allow us to reiterate on the Clark Advanced Manufacturing part, there will be no data centers,’ Castro said.

The DTI, however, said such facilities could still be built elsewhere in locations with adequate power and water supply.

Last July, the Bases Conversion and Development Authority (BCDA) said around 30 companies had expressed interest in participating in the Pax Silica initiative, including one or two data center operators.

Several lawmakers, civic groups and other sectors have opposed the proposed Pax Silica initiative, which seeks to attract high-tech manufacturing investments to the country, amid concerns that it could include AI data centers with large energy and water requirements.

Citing the DTI, Castro assured that all locators participating in Pax Silica would be required to comply with government regulations.

The Department of Environment and Natural Resources (DENR), meanwhile, said it has yet to issue an environmental impact assessment for the proposed Pax Silica industrial hub in New Clark City.

The BCDA earlier said it is targeting the signing of a framework agreement for the implementation of the Pax Silica initiative by November, subject to the approval of President Ferdinand Marcos Jr.

THE need for roads, flood-control projects and other public infrastructure is becoming harder to ignore as extreme weather continues to test the country’s infrastructure, the Cement Manufacturers Association of the Philippines (Cemap) said.

Cemap President John Reinier Dizon said stronger government spending on public works is needed to address infrastructure gaps exposed by worsening weather conditions.

‘We do need construction and we need government to spend on public works. I don’t need to belabor that point,’ Dizon said in a televised interview.

‘Everyone feels that the need for better roads and what we’re experiencing with this climate that we’re having these days, it has to be addressed, the floods, et cetera,’ he added.

The call comes as cement demand remains subdued for much of the year. Dizon said construction activity declined by 14 percent in the second quarter, based on government data.

Meanwhile, the Philippine Statistics Authority (PSA) reported that the value of approved construction projects increased despite a 0.3-percent decline in the number of construction projects to 17,081 in the second quarter from 17,126 a year earlier.

The contraction was nevertheless slower than the 6.5-percent decline recorded in May.

Construction costs have also continued to rise. Wholesale prices of construction materials in Metro Manila accelerated in July, with cement prices increasing 1.9 percent year-on-year, faster than the 1.2-percent increase recorded a month earlier.

Government projects account for roughly 40 percent of cement and construction materials demand in the Philippines, per Cemap.

The timing of public spending is therefore critical for the industry, particularly as the country faces mounting infrastructure requirements from flooding and other weather-related risks.

They noted Public Works Secretary Vivencio Dizon’s efforts to address infrastructure gaps, saying the secretary is ‘also almost working 24 hours on that,’ referring to the need to improve roads amid current weather conditions.

The DPWH is seeking a P643.95-billion budget for 2027, about 20 percent higher than its allocation this year, according to its presentation before the House Committee on Appropriations in late August.

The proposed increase includes the return of locally funded flood-mitigation projects after the Executive department and Congress agreed to remove such allocations from the 2026 budget amid the flood-control controversy.

Cemap had earlier expected government agencies to begin releasing more infrastructure spending at the start of the third quarter, although Dizon acknowledged that stricter project implementation and budget-release procedures could affect the pace.

The outlook for cement demand, however, remains cautious. Dizon’s earlier projection that the industry could post flat to slightly negative growth this year remains in place, with the association still working to quantify the decline.

THE Department of Tourism (DOT) is working to expand the visa-free status of mainland Chinese tourists to allow them to arrive directly in select airports outside of Manila and Cebu.

In a press briefing on Tuesday, Acting Tourism Secretary Ma. Bernadita Angara-Mathay said the liberalized entry policy was able to ‘substantially impact’ on this year’s arrivals from mainland China. As per data from e-travel forms, arrivals from China jumped 69.15 percent, year on year (yoy), to 310,088 from January to August.

‘So we’re working on the visa-free arrangement with China to cover not only Cebu and Manila, but other areas such as Clark, Caticlan, Bohol, and Palawan,’ so tourists from China on chartered flights can easily enter there, she added.

Angara-Mathay intimated though that not all government agencies were in consensus with the expansion of the visa-free privilege, owing to ‘security’ concerns. While she didn’t identify where the concerns are coming from, published reports showed that the Department of National Defense currently has a word war with Beijing.

‘If there are reservations on opening up, we are prepared to suggest some safety measures. If you look at the statistics, because of the visa-free [policy], there was a 69 percent climb in [Chinese] arrivals. Can you imagine if we expand that to cover more areas?’ said the DOT chief.

Prior to the pandemic and before diplomatic tensions flared up anew between the Philippines and China, visitors from China reached 1.74 million, which made it the second top source market for tourists in the Philippines, after South Korea.

Some 4.11 million foreign tourists were welcomed in the Philippines in the first eight months of the year, 3.7 percent more than the 3.97 million who arrived in the same period in 2025.

DOT, Klook renew partnership

As this developed, the DOT signed a memorandum of understanding with Klook, an online travel platform, to help market the Philippines abroad and among local travelers.

According Klook Philippines General Manager Michelle Ho, the company will also help DOT regional offices and local government units to develop their tourism products especially from micro-, small, and medium-scale enterprises (MSMEs) and promote these on the travel platform. Initially, Klook will focus on the Cordillera Administrative Region, Panay, Negros, and Bukidnon.

The strategic partnership between DOT and Klook will leverage the latter’s global marketing reach and extensive network of local operators to drive tourism demand through campaigns such as ‘Discover More to Love,’ while developing curated experiences and helping local tourism businesses embrace digitalization.

‘As we continue to expand our partnership with Klook, we are placing greater emphasis on the participation of our tourism stakeholders,’ said Angara-Mathay. ‘We want to ensure that our experience providers, particularly MSMEs in the provinces, are equipped to participate meaningfully in the digital tourism ecosystem. By giving them access to platforms such as Klook, where their offerings can be made more visible and bookable, we can connect them more directly with travelers while making the booking process more seamless, convenient, and secure,’ she added.

For her part, Ho said, ‘We’re not just signing a new partnership, we’re renewing one that has already proved that it’s possible. And this time we’re going further: a multi-year commitment to grow Philippine tourism starting from home, to domestically, to inbound, catering to all foreigners around the globe.’

Top 10 source markets

Meanwhile, of the total inbound tourists from January to August this year, 3.7 million (91.35 percent) were accounted for by foreign nationals, while the rest, at 355,758, were overseas Filipinos defined as Philippine passport holders permanently residing abroad.

The United States topped the list of source markets for the period, from which arrivals reached 818,318, up 5.95 percent, yoy. This was followed by South Korea at 727,379 (-17.42 percent); Japan at 350,191 (+0.76 percent); China; and Australia at 234,156 (+9.1 percent).

Other top source markets for the reference period were: Canada at 231,972 (+13.23 percent); Taiwan 154,957 (+9.63 percent); the United Kingdom 132,370 (+0.53 percent); Singapore 126,812 (-2.04 percent); and India 77,883 (+32.2 percent).

Visa-free status was also extended to tourists from India, aiding the recent uptick in their arrivals in the Philippines. Prior to the pandemic, visitors from India reached 134,963.

MALACAÑANG rejected a proposal for the government to initiate a toll holiday on the North Luzon Expressway (NLEX), saying the move could worsen congestion as flooding caused by heavy monsoon rains rendered portions of the expressway impassable.

At a Palace briefing on Tuesday, Press Officer Claire Castro said any initiative to waive toll fees should come from NLEX operator Metro Pacific Tollways Corp. (MPTC).

‘NLEX is well aware of what happened here and what their responsibilities are; this directive should come from them,’ Castro said in Filipino.

Instead of a toll holiday, Castro urged motorists to avoid NLEX until floodwaters in affected portions of the expressway have subsided.

‘You shouldn’t pass through there for now; after all, if the vehicle can’t actually get through, what is the point of it being free [of toll]?’ Castro said.

‘The idea of making it free is noble, but if we do that, won’t more vehicles try to enter? And if more vehicles enter, traffic will only get worse. So, they really ought to avoid NLEX for the time being,’ she added.

Motorists endured severe traffic congestion along NLEX after flooding in San Simon, Pampanga, rendered a portion of the expressway impassable following heavy rains brought by the Southwest Monsoon over the weekend.

MPTC has apologized to motorists for the disruption.

Public Works Secretary Vivencio ‘Vince’ B. Dizon, a former transportation secretary, backed the proposed toll holiday as a form of relief for motorists affected by the massive congestion.

Dizon said the government could shoulder the cost of the waived toll fees.

Last April, the Department of Transportation (DOTr) and its attached agency, the Toll Regulatory Board (TRB), facilitated a month-long toll-free privilege on major expressways for truckers as part of government measures to cushion the impact of higher oil prices on food costs.

Asked whether the TRB would impose sanctions on MPTC over the flooding along NLEX, Castro said the matter had yet to be discussed by the Cabinet with President Ferdinand Marcos Jr.

She said the President was currently focused on assisting affected motorists.

‘When I am able to speak with the President, I will ask about that, because right now, the President is prioritizing the well-being of our motorists rather than imposing sanctions [against MPTC],’ Castro said.

Three firms, including subsidiaries of San Miguel Global Power, were declared as the ‘possible best bids’ to supply a total of 600 megawatt (MW) of baseload supply to the Manila Electric Co. (Meralco).

Mariveles Power Generation Corp. (MPGC), Sual Power Inc. (SPI), and GN Power Mariveles Energy Center (GMEC) offered 200MW each during the competitive selection process (CSP) for Meralco’s 600MW base load supply requirement for a total of 15 years.

MPG is operating a 600MW coal-fired power station in Mariveles, Bataan, while SPI operates the 1,200-MW Sual Power Station-the largest coal-fired power plant in the Philippines. Both are subsidiaries of the power arm of conglomerate San Miguel Corp.

The bid offers of MPGC and SPI are P5.3573 per kWh and P5.4357 per kWh, respectively.

GMEC, on the other hand, submitted a bid price of P5.5789 per kWh. GMEC operates a 600MW coal power plant in Mariveles, Bataan.

Meanwhile, the bid offers of Masinloc Power Partners Co. Ltd. at P5.6290per kWh and Therma Luzon Inc. at P5.6988 per kWh were declared as the ‘possible next best bids’ during the competitive auction.

‘The PSA [power supply agreement] will now proceed with the post-qualification of the best bids, and the bidders and observers are advised to monitor their e-mails for further updates, questions, and notifications in relation to the upcoming post-qualification evaluation,’ said Meralco Bids and Awards Committee for PSA Chairman Lawrence S. Fernandez

The competitive auction is meant to secure long-term PSAs, aiming to find the lowest-cost power sources to meet its customers’ needs. It is designed to ensure transparency and fairness in the selection of power suppliers.

Base load power facilities provide a continuous, reliable supply of electricity, such as those fueled by coal, nuclear, and geothermal plants. They run 24 hours a day.

Earlier, there were a total of nine interested bidders vying for a 15-year PSA with Meralco. The other three were Panay Energy Development Corp., Southwest Luzon Power Generation Corp. and Energy Development Corp.

Meralco’s 600MW base load supply requirement was recently cleared by the Department of Energy for the conduct of a CSP.