Businessmirror october 31, 2016

“It is pretty strange to put something like that out with such little information right before an election.”—Hillary Clinton, on the FBI’s handling of a new e-mail review, leading a chorus of Democratic leaders who declared the bureau’s actions just days before the election “unprecedented” and “deeply troubling”. AP

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“Now it’s reported that the Department of Justice is fighting with the FBI. That’s because the Department of Justice is trying their hardest to protect the criminal activity of Hillary Clinton.”—Donald Trump, accusing the Justice Department of doing everything it can to protect the Democratic nominee in another example of what he claims is a “rigged system”. AP

Defense Secretary Delfin N. Lorenzana said on Sunday the return of Filipino fishermen to the Scarborough Shoal was “a most welcome development”. Lorenzana said aerial surveillance shows Chinese coast-guard ships are still guarding a disputed shoal but Filipinos were seen fishing there “unmolested” for the first time in years. AP

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Monday, October 31, 2016 Vol. 12 No. 19

Chicken supply ample for the holidays–Ubra P 37,000 MT

By Jasper Emmanuel Y. Arcalas

Continued on A2

The functionsrisks-costs-tariffsrewards correlation PPP Lead Alberto C. Agra

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n public-private partnerships (PPPs), what is the correlation between and among functionsrisks-costs-tariffs-rewards? Who assumes the functions and bears the risks in PPPs? What happens if most of the functions and risks are borne by the private-sector proponent (PSP)? How do we avoid “white elephants”?

One of the hallmarks of a PPP is exchange of resources, sharing of responsibilities and allocation of risks. In a collaborative arrangement for a PPP project, the financing, designing, building and operations thereof are typically assumed by the PSP. This is not without consequence.

The current inventory of dressed chicken in cold storage

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China’s overseas takeover spree meets growing resistance

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oultry growers assured the public that there will be no shortage of chicken during the Yuletide season, when demand picks up considerably.

2016 ejap journalism awards

Continued on A2

CHINA STILL GUARDS SHOAL, BUT ALLOWS FILIPINOS TO FISH e4

BLOOMBERG

WHY SAMSUNG’S NOTE 7 CRISIS WON’T HURT ITS BRAND

SY

ANG

Ang-Sy face-off for Manila’s new international airport in the offing P T

Filipino fishermen no longer experience encounters with Chinese coastguard members off the Scarborough Shoal, like in this September 23, 2015, file photo. AP

monday morning

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cocaine, alcohol found in fernandez’s system

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he Philippines’s richest man has joined a contest to build a new airport near Manila, breathing life into the long-delayed project and drawing an immediatte response from fellow billionaire and competitor Ramon S. Ang. Belle Corp., part of Henry Sy’s SM Group, will become an almost equal partner in Solar Group-led All-Asia Resources & Reclamation Cor p.’s $20-billion proposal to construct an airport and seaport, said Edmundo Lim, the venture’s vice chairman.

While Lim declined to specify how much Belle would invest, he added that China Communications Construction Co.’s dredging unit is set to be both an

PESO exchange rates n US 48.5150

investor and technical partner. Ang, after being told of Sy’s proposal, said in a text message that it’s now going to be a “beauty contest”.

All-Asia plans to reclaim 2,500 hectares (6,180 acres) of land near a naval and air base at Sangley Point, south of Manila, as the Philippine capital struggles to cope with a rising number of flights and increasing road traffic.

The proposal competes with Ang’s San Miguel Corp., which offered to build an alternative airport two years ago.

While talk of a second airport has been around for years, President Duterte’s new administration has vowed to boost spending on infrastructure and speed up projects.

“Sy’s interest is an indication of this project’s potential returns, and we could see more interest from other big business groups,” said Manila-based Astro del Castillo, managing director at First Grade Holdings Inc., a financial- and investment-advisory firm. “We will have a fashion show on who can present the best plan. The reputation of an investor is important, particularly in big-ticket projects. The interest in this bidding could draw attention to other government infrastructure projects.”

Two billionaires

Sy—worth an estimated $14.4 billion, according to the Bloomberg

hilippine aerial surveillance showed Chinese coast-guard ships were still guarding a disputed shoal in the South China Sea, but they allowed Filipinos to fish “unmolested” for the first time in years, the defense secretary said on Sunday.

The return of Filipino fishermen to the Scarborough Shoal, which China effectively seized in 2012, was “a most welcome development,” because it brings back their key source of livelihood, Defense Secretary Delfin N. Lorenzana said.

China granted access to the tiny, uninhabited shoal 123 nautical miles (228 kilometers) from the northern Philippines, after President Duterte reached out to Beijing and met Chinese President Xi Jinping and other leaders this month. After his China trip, Duterte announced, without elaborating, that Filipinos may be able to return to the shoal soon.

A Philippine Navy plane spotted at least four Chinese coastguard ships around the shoal during a surveillance flight over the weekend, Lorenzana said, adding that an earlier report by the Philippine Coast Guard that the Chinese had left the area was incorrect.

“Flybys of our planes reported Chinese coast-guard ships are still there but our fishermen were fishing unmolested,”Lorenzana See “China,” A2

See “Ang-Sy,” A2

n japan 0.4608 n UK 59.0136 n HK 6.2560 n CHINA 7.1546 n singapore 34.7903 n australia 36.8132 n EU 52.8814 n SAUDI arabia 12.9366

Source: BSP (28 October 2016 )

News BusinessMirror

A2 Monday, October 31, 2016

Chicken supply ample for the holidays–Ubra Continued from A1

The United Broilers Raisers Association (Ubra) said there is an “oversupply” of chicken in the country, with the current inventory of dressed chicken in cold storage at 37 million kilograms, or 37,000 metric tons (MT), enough to supply two months’ worth of demand from Metro Manila.

“Frozen-chicken inventory is at a record-high of 37 million kg. To give an idea, about 85 percent to

China. . .

Continued from A1

told The Associated Press. It’s unclear how long China would keep the shoal open to Filipinos or if there were any conditions attached.

Duterte made clear that the dispute over the shoal, which the Philippines calls Bajo de Masinloc or Panatag and the Chinese refer to as Huangyan Island, was far from over. He said he insisted in his talks with Chinese leaders that the shoal belonged to the Philippines, but that the Chinese also asserted their claim of ownership.

Since 2012, Chinese coast guard ships had driven Filipino fishermen away from the area, sometimes with the use of water cannons. Farther south

90 percent of the total are in the Regions 3, 4 and NCR [National Capital Region],” Ubra President Jose Elias Inciong told the BusinessMirror over the weekend.

“The demand for Metro Manila is 20 million kg a month, therefore, you have in cold storage a twomonth supply for Metro Manila,” Inciong added.

Inciong said there should be no shortage of chicken supply in the country, unless there would be a

typhoon that could greatly affect poultry production, or there is an unusual takeup in demand.

“Right now, there is an oversupply of chicken and, in fact, we are selling at a loss. It is possible that some industry players may stop producing or might underload their production,” Inciong said.

Inciong also said an additional 300 million heads of chicken is expected to be produced during the fourth quarter.

in the Spratly Islands, China went on to construct seven man-made islands in recent years despite protests from other claimants and the US, which insists on freedom of navigation in what it considers international waters.

The new development brought joy to the first Filipinos who ventured back to Scarborough in flotillas of small fishing boats. “We’re happy that we were able to sail back there,” said Gil Bauya, who returned on Saturday with a huge catch of red snappers and other fish to Cato village in the northwestern province of Pangasinan.

“They just let us fish,” Bauya said, referring to three Chinese coast guard ships fishermen saw at the shoal from a distance. “We were waiting what they would do, but they didn’t do anything, like deploying small rubber boats to

chase us like they used to do.”

After three days of fishing, Bauya said they ran out of ice to preserve their catch and had to sail back home for the All Souls’ Day holiday. Amid the festive air in Cato, where villagers helped them unload their bumper catch, Bauya said he and his crewmen plan to travel back to Scarborough in the coming week.

Deputy US Secretary of State Antony Blinken told reporters in Beijing on Saturday that China’s withdrawal from Scarborough Shoal would be welcomed

by Washington.

He said it would be consistent with an international arbitration ruling in July that invalidated Beijing’s sweeping territorial claims in the South China Sea. The ruling said that both Filipinos and Chinese can fish at the shoal, but China ignored it. AP

Latest data from the National Meat Inspection Service (NMIS) showed that as of October 17, total dressed chicken in cold storages reached 32,181.54 MT, more than double the 13,504.56 MT dressed chicken in storage recorded in the period last year. Of the inventory as of October 17, about 24,727.05 MT were locally produced, while the remaining 7,454.49 MT were imported chicken meat, according to NMIS data.

Ang-Sy. . .

Continued from A1

Billionaires Index‚ runs businesses, including SM Prime Holdings Inc., the nation’s biggest property company by market value, and BDO Unibank Inc., its largest lender. Solar, owned by the Tieng brothers, has investments in industries, such as TV networks, real estate and consumer goods.

San Miguel, the country’s largest food and drinks company, has expanded under Ang into nonallied industries, including tollroads and power.

While the International Air Transport Association says Ma-

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Food items. . .

Continued from A16

electricity, gas and other fuels; transport; communication; and recreation and culture.

T hey a lso spend more for education; hotels (accommo dation services); miscellaneous goods and services; durable furniture and equipment; and special family occasions.

The PSA said the average annual family income of Filipino families was approximately P267,000 in 2015, while the average annual family expenditure for the same year was P215,000. This results in an annual savings of P52,000 in a year on average.

Adjusting for the inflation for the two reference years using the 2006 prices, the average annual family income in 2015 would be valued at P189,000, while the average annual family expenditure would be at P152,000.

From 2012 to 2015, the average annual family income in all deciles increased, the average ranged from P86,000 for the first income decile (lowest 10 percent) to P786,000 for the 10th income decile (highest 10 percent) in 2015.

The average annual family income of the 10th decile in 2015 was about nine times that of the first decile, while it was 10 times that of the first decile in 2012.

All regions showed increases in the average annual family income at 2015 prices.

Families in the National Capital region, had the highest average annual family income for both years at P425,000 in 2015 and P379,000 in 2012. But, families in Davao Region, had the highest increase of P53,000 in 2015.

nila’s four air terminals have a combined designed capacity of 31 million passengers, government data show that 36.68 million passengers passed through last year.

Traffic congestion in Manila and other urban areas cost the Philippines P2.4 billion ($49.4 million) in productivity losses per day, or more than P800 billion a year, according to a bill filed in the Senate to provide Duterte emergency powers to solve the issues.

a day travel between the Manila port and industrial sites, he said.

The airport is also used by about 40,000 vehicles a day. “This is such a big project, and we need big muscles,” Lim said in a phone interview, adding that his company is open to other partners.

In his “beauty contest” text message, Ang said San Miguel has offered to build the new airport in Bulacan, north of Manila, in a revision from its 2014 proposal for a $10-billion airport on reclaimed land in Manila Bay. Cora Guidote, senior vice president at Sy’s SM Investments Corp., which has shares in Belle, declined to comment in a text message.

Traffic issues

Building a new port and special economic zone will help ease traffic in Manila, home of the nation’s largest sea-cargo facility, Lim said.

Between 6,000 and 7,000 vehicles

Cai U. Ordinario

Bloomberg News, Rizal Raoul Reyes

Economy

BusinessMirror Editors: Vittorio V. Vitug and Max V. de Leon • Monday, October 31, 2016 A3

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NG debt for Sept up 2.5% to ₧6.086T

By Rea Cu

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@ReaCuBM

he national government’s outstanding debt slightly increased to P6.086 trillion as of September, this was attributed to foreign-currency revaluation and domestic net issuance, according to the Bureau of the Treasury (BTr).

Based on BTr data, the national government’s outstanding debt rose by 2.5 percent to P6.086 trillion for September this year, compared to the registered debt of the same month the previous year with P5.935 trillion.

The outstanding debt for September is also higher compared to the registered P5.980 trillion in August, national government debt portfolio grew by P106.65 billion, or 1.8 percent, month-on-month due to foreign-currency revaluation and domestic net issuance.

Year-to-date, national-government debt has increased by P132.14 billion, or 2.2 percent, with December figures for 2015 reaching P5.954 trillion.

The national government’s domestic debt amounted to P3.904 trillion, seeing an increase of 0.5 percent, or P21.292 billion, from the P3.883 trillion recorded yearon-year. When compared monthon-month, the national government’s September 2016 stood at P20.75 billion or still at a 0.5-percent increment from the previous month’s level of P3.883 trillion.

“The growth in domestic debt portfolio was a combined effect of government securities net issuance amounting to P19.79 billion and the upward adjustment in the peso value of onshore dollar securities by P0.96 billion due to peso depreciation,” a statement from the BTr said.

From end-2015 level, domestic debt has climbed by P20.07 billion, or 0.5 percent, with domestic debt for December 2015 reaching P3.884 trillion.

The national government’s external debt stood at P2.182 trillion for September 2016, increasing by 6.3 percent, or P129.694 billion, year-on-year from the P2.05 trillion recorded in September of 2015.

Month-on-month, the national government’s external debt was still higher by 4.1 percent, or P85.99 billion, compared to the end-August 2016 level of P2.096 trillion. “ T he mont h- on-mont h change was attributed to the depreciation of peso against United States dollar, almost P2 depreciation, and third currencies that raised the peso value of US dollar and third-currency denominated indebtedness by P86.91 billion and P2.39 billion, respectively,” the BTr added.

This offset the effect of net repayments amounting to P3.48 billion. National government external debt increased by P112.07 billion, or 5.4 percent, since the

beginning of the year.

Total national government guaranteed obligations amounted to P564.95 billion, rising by 26.9 percent of P119.754 billion, compared to the September 2015 guaranteed obligations, which amounted to P445.200 billion.

The national government total guaranteed debt still increased by P10.93 billion, or 2.0 percent, relative to the August 2016 level of P554.024 billion.

“The adjustment is due to the combined effect of US dollar—of P12.93 billion and third-currency adjustments of P3.27 billion that increased the peso value of external guarantees offsetting the effect of net redemptions on both domestic and external guarantees, amounting to P3.20 billion and P2.07 billion, respectively,” the statement said.

Year-to-date, national government guaranteed obligation increased by P19.86 billion, or 3.6 percent, from the end-2015 level of P545.092 billion.

Domestic guaranteed debt totaled P239,020 billion for September 2016, an increase of 75.3 percent, or P101.238 billion, yearon-year with September 2015 levels reaching P137.782 billion.

External guaranteed obligations reached P325.934 billion, increasing by 6 percent, or P18.516 billion, compared to the September 2015 level of P307.418 billion.

Tourism biz eyes govt support for PIPs effort

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By Cai U. Ordinario

@cuo_bm

OURISM establishments nationwide are seeking government assistance in their efforts to adopt Productivity Improvement Programs (PIPs), according to the Philippine Statistics Authority (PSA).

Data from the PSA showed that 4,611 tourism establishments out of a total of 6,297 businesses in the tourism industry said the government must extend help in providing trainings for employees and information dissemination about PIPs. “[They] believed that some forms of assistance should be provided by the government to encourage more establishments to adopt PIPs,” the PSA said.

Of these tourism-focused businesses, majority or 73.1 percent—three of every four establishments—said the government should assist in the provision of trainings on PIPs to establishments.

Fu r t her, over t hree -f if t hs

(61.7 percent, or 2,845) said the government should help in the dissemination of information m ater i a l s to est abl i sh ment s about PIPs. The data also showed that over a third, or 33.9 percent, or 1,561, of the establishments believe the government should provide consultations on PIPs. “A great majority [85.3 percent, or 3,547], of establishments reported that the reduction of customer complaints is the main objective of their productivity programs,” the PSA said.

The PSA said other reasons tourism companies conducted PIPs include increasing profits, reducing wastage and prevent-

ing and reducing work-related accidents and injuries.

Around 4,158 establishments in the tourism industry implemented various PIPs in 2013 and two-thirds of these firms conducted PIPs on good housekeeping.

Around 65.2 percent, or 2,710, of tourism establishments with PIPs conducted efforts to improve housekeeping ser v ices, while nearly half—49.7 percent or 2,065—provided Client Satisfaction Measurements.

These included around 2,047 tourism establishments, or 49.2 percent, who instituted “suggestion/ feedback schemes.”

The PSA data showed that significant majority at 75.8 percent, or 4,775, of tourism establishments were engaged in hotel and restaurant business.

Tour ism-related fir ms employed a total of 445,754 workers and a little over-one-half at 56.2 percent, or 250,611, of which were engaged in accommodation and food-service activities.

The data was based on the findings of the 2013 to 2014 Integrated Survey on Labor and E m p l o y m e nt — a n a t i o n w i d e sample survey covering 8,399 establishments with 20 or more workers.

The Nation

A4 Monday, October 31, 2016 • Editor: Dionisio L. Pelayo

BusinessMirror

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DU30 switches on electrification projects in ARMM

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By Lenie Lectura

@llectura

HE government, led by President Duterte and Energy Secretary Alfonso G. Cusi, switched on last Saturday its electrification projects in the provinces comprising the Autonomous Region in Muslim Mindanao (ARMM).

On-grid electrification projects include the Department of Energy’s (DOE) Nationwide Intensification of Household Electrification (NIHE) and ER1-94 Electrification Funded Projects, and the National Electrification Administration’s Sitio Electrification Program and Barangay Line Enhancement Program.

For Maguindanao and Lanao del Sur, a total of P371.71 million worth of electrification projects were identified from 2015. Next year P4.84million electrification projects will benefit 166 households.

For Tawi-Tawi, a total of P91.62 million worth of electrification projects in 2015 to 2016 will benefit 1,620 households. For 2017, a P18.31million electrification project will benefit 2,263 households.

For Basilan, a total of P60.6 mil-

China, Russia considered as alternative energy source

By Butch Fernandez @butchfBM

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HE Duterte administration is being asked to consider tapping China and Russia as alternative sources of natural gas when the Malampaya gas field dries up, Sen. Sherwin T. Gatchalian said.

Both countries are keen to supply the Philippines’s energy requirements, he said.

“Big countries, like China and Russia, are really advanced in terms of energy source,” said Gatchalian, chairman of the Senate Committee on Energy.

He said Russia is known to have a long experience in natural gas “so that is one potential source we can tap.”

The senator said Russia runs an expansive natural-gas industry “so we can tap them.”

HecitedfindingsthatMalamapaya will run out in 2024, giving the government limited options. “So, we will not have any choice, but to import natural gas, unless we can find other alternative sources of natural gas within our territory.”

Gatchalian added, however, that he does not foresee hitches in tapping Russia.

“I think there would be no problem asking Russia to export natural gas [to the Philippines],” he said.

The senator confided the issue “will be a next topic when the President gets to visit Russia.”

Another option, Gatchalian said, is to tap China as a potential source of renewable energy.

“China right now is investing heavily on renewable energy as a source; and renewable energy as an industry,” he said, noting China’s plan to “limit the number of coal coming in the energy mix, meaning they will invest heavily on nuclear, as well as in solar.”

The senator said this was why China is now manufactur ing cheap solar panels that can be used in the Philippines.

“In fact, one of the ideal industries we can bring into the country from China is the manufacturing of solar panels because advance na sa China and mura na sa kanila,” he said.

lion worth of electrification projects in 2015 to 2016 will benefit 889 households in the province. For 2017, a P2.81-million electrification project will benefit 270 households.

For Sulu, a total of P50.3 million worth of electrification projects will benefit 2,628 households. In 2017 a P10.88-million electrification project will benefit 1,345 households.

For off-grid electrification, the DOE has initiated the Household Electrification Program (HEP) where electrification projects worth P610 million will be implemented by electric cooperatives in ARMM until 2017.

Moreover, 30 units of photovoltaic (PV) solar-home systems were turned over to ARMM. The DOE completed a total of

3,868 PV solar home- system units in the provinces of Tawi-Tawi, Basilan and Sulu under its HEP. Next year, the DOE will deliver a total of 3,878 units of the PV solar-home system in Tawi-Tawi (2,263 units), Basilan (270 units) and Sulu (1,345 units).

The government also donated a total of 30 units of 30-watt PV solar-home system to ARMM. This was received by ARMM Gov. Mujiv S. Hataman on behalf of household beneficiaries in the three provinces.

The President’s last stop was the ceremonial awarding of a check worth P13.833 million to Maguindanao Electric Cooperative Inc. (Magelco) for the implementation of the NIHE program that will benefit 3,689 households within its franchise area.

Under the NIHE program, the DOE provides assistance amounting to at least P3,750 as subsidy to each eligible household for the cost of house-wiring and additional service drops per housing unit.

The NIHE program will be implemented by Magelco in the municipalities of Ampatuan, Buldon, Matanog, Barira, Datu Abdullah Sangki, Datu Odin Sinsuat, Datu Piang, North Upi, Parang, South Upi, Sultan Kudarat, Sultan Mastura, Sultan Sa Barongis, Rajah Buayan, Talayan, Guindulungan and Talitay.

The check was received by Magelco General Manager Sultan Ashary P. Maongco.

FEEDING THE GOATS

A resident of Barangay Paratong Norte in Bangar, La Union, pulls down the branch of a kakawate tree to give them fresh, nurtritous leaves for lunch. EFLEDA P. CAMPOS

Labor group hails new DOLE policy on asbestos

By Jonathan L. Mayuga @jonlmayuga

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HE Associated Labor Unions (ALU) commended the Occupational Safety and Health Center of the Department of Labor and Employment (DOLE) for introducing a policy protecting asbestos workers and communities from direct and indirect exposure to cancerous asbestos and asbestos- containing materials.

The DOLE has issued Department Order (DO) 154 series of 2016, otherwise known as Safety and Health Standards on the Use and Management of Asbestos in the Workplace.

The DO was issued on April 21 and enforced beginning October 21.

“The ALU’s critical, but constructive, collaboration with government and industry players has helped produce this comprehensive policy that guarantees protection, treatment and rehabilitation of asbestos workers and minimize

exposure of communities from the risk of direct and secondary exposure to highly toxic asbestos dust and asbestos-containing materials.

We are grateful that our trademark union perseverance in the dialogue platform has paid off exponentially for the sake of workers and their families,” said Gerard Seno, national executive vice president of the Associated Labor Unions (ALU).

Seno also gave credit to Labor Secretary Silvestre H. Bello III and OSHC executive director Dr. Tess Cucueco for pushing through with the order amid strong counter-lobby efforts being exerted by the local Association of Chrysotile Industry in the Philippines (Acip) and international industry lobby group.

DO 154 is a byproduct of thorough tripartite consultations dialogue between ALU representing the workers’ sector, and government’s Occupational Safety and Health Center-DOLE, Bureau of Working Conditions-DOLE, Departments of Environment

and Natural Resources, Trade and Industry, Science and Technology and Employment Compensation Commission, including the asbestos industry players and business owners.

DO 154 contains 10 key components that address problems and challenges faced by workers in the manufacturing, construction and demolition of buildings and infrastructures with asbestos and asbestos-containing materials.

The order also puts the occupational exposure limit of asbestos workers close to zero, but in no case shall exceed Threshold Limit Value of 0.1 fiber per cubic centimeter of air in an eight-hour work period.

The policy also requires all asbestos employers to develop and implement an Asbestos Safety and Health Program (ASHP) in the workplace and a designation of a competent and accredited safety officer trained on the safe management of asbestos to carry out the program.

The ASHP includes hazard iden-

tification and risk assessment and control; information, education and training; diagnosis and treatment through access to occupational health/medical services; medical examination shall be provided by the employer upon retirement or transfer of employee to another non-asbestos company; postretirement medical monitoring; reportorial requirements; compensation and rehabilitation; compliance monitoring; and periodic review and update of the guidelines.

The program encourages the use of alternative or replacement materials for asbestos when feasible.

ALU Spokesman Alan Tanjusay said, in the Philippines, the DOLE estimates in 2012 there are 1.3 million construction, manufacturing and automobile and motor pitstop workers are exposed daily to asbestos dust.

Asbestos awareness in the country heightened after 1,542 of the more than 10,000 workers from the US Naval base in Subic were screened

from 1992 to 1996. During this period alone, 587 workers were already found to have already contracted various incurable asbestos exposurerelated diseases.

The ALU, along with the global union federation Building and Woodworkers International (BWI), is pushing in the Philippines for the implementation of the World Health Organizations and the International Labour Organization’s tripartite National Programmes for the Elimination of AsbestosRelated Diseases, a program designed to progressively eliminate asbestos usage and manufacture in the country.

According to the International Ban Asbestos Secretariat, 58 countries have already banned asbestos due to its deaths and incurable diseases it causes to humans. The ALU and BWI had also been lobbying in both the Senate and the House of Representatives for a bill totally banning asbestos in the country.

House to hold final deliberation on bill extending maternity leave to 100 days

By Jovee Marie N. dela Cruz @joveemarie

A

GONG FESTIVAL

Students from different universities in the Cordillera region don their colorful indigenous costumes as they dance their way along the central business district of Baguio City, as they celebrate the Gong Festival on October 30. LAILA AUSTRIA

BILL seeking to increase the maternity-leave period to 100 days is now ready for plenary deliberations when session resumes on November 7, a leader of the House of Representatives said.

This developed after the House Committee on Women and Gender Equality, chaired by Party-list Rep. Emmeline Y. Aglipay-Villar of DIWA, approved House Bill 4113 for plenary considerations.

Aglipay-Villar, main author of the bill, said the measure seeks to increase the maternity-leave period to 100 days with pay and an option to extend to an additional 30 days without pay for female workers in the government service and private sector.

Currently, the allowable maternity leave is 60 days to 78 days.

Aglipay-Villar said House Bill 4113, a substitute measure for 15 bills, aims to protect the maternal health and postnatal health care of women employed in both the government service and private sector, as well as the welfare of the child.

The bill reached second reading in the House and a version of the bill from

the Senate was passed and transmitted for concurrence during the 16th Congress,” Aglipay-Villar said.

The bill grants the same coverage to female workers in both government and private sector regardless of civil status, miscarriage, or abortion after termination, female workers in the informal economy,thosewithpendingadministrative case and those who are nonmembers of the Social Security System (SSS).

The measure also assures security of tenure to female workers and emphasizes that maternity leave shall not be used as basis for demotion in employment or termination, and allows transfer to a parallel position or reassignment from one organizational unit to another in the same agency provided that it shall not involve a reduction in rank, status or salary.

Another provision states that a female SSS member who has paid at least three monthly contributions in the 12-month period immediately preceding the semester of her childbirth or miscarriage shall be paid her daily maternity benefit, which shall be computed based on the average monthly salary credit, for 100 days, regardless if the delivery was normal or caesarian and subject to conditions as provided in the bill.

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Indonesia plans talks on nickel export ban

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ndonesia’s Energy and Mineral Resources Ministry said it will discuss its export policy with nickel miners and smelters in the country next week. The government has been considering revising regulations to allow semiprocessed metal to be shipped beyond 2017.

“The nickel market has been dominated by geopolitical risks in mid2016 from the Philippines and Indonesia,” Nicholas Snowdon, a London-based Standard Chartered Plc. analyst, said in a report.

“These risks could have important effects on the outlook for market balance.”

Standard Chartered sees an average price for 2017 of $11,275 a ton.

“It is basically up on the back of strong Chinese fundamentals, which are consistently telling us that we are forming a solid foundation,” said Naeem Aslam, chief market analyst in London at ThinkMarkets UK Ltd. Bloomberg News

AseanMonday BusinessMirror

Monday, October 31, 2016 A5

Huge crowd fills Grand Palace to pay respect to King Bhumibol

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he first day of the opening of the throne hall of Thailand’s Grand Palace saw a total of 29,480 mourners pay respect to the late King Bhumibol Adulyadej, the Bureau of the Royal Household (BRH) said on Saturday.

As Thailand entered into third week of mourning its late king, who passed away on October 13, tens of thousands of mourners flocked to Bangkok’s Sanam Luang, the 30-acre open field in front of the palace where the late king’s body is placed. They are being allowed to enter the throne hall to pay tribute before the funeral urn of the deceased king.

The bodies of high-ranking Thai royals are reportedly used to be kept in a golden urn. However, the palace officials are no longer planning to uphold the tradition. Instead, the late king’s body would be placed in a coffin with the symbolic urn nearby.

Black-clad crowds have streamed into the capital from provinces across Thailand since Friday. They began to occupy spaces at the tents arranged

29,480

The number of mourners who gathered at the Grand Palace on Saturday by authorities for rest with hope to get the first queue for entry to the throne hall.

The BRH has planned to allow only 10,000 people daily to enter the throne hall from 8 a.m. local time onward. The plan has to be changed, since the tremendous crowd of mourners unceasingly poured into the field.

A Thai woman cries as she holds a picture of the late King Bhumibol Adulyadej, as others clasp their hands to pay their last respect to a passing van carrying the body of their king outside Grand Palace in Bangkok. AP

The first group of 1,600 people were granted entry with no queue numbers since 4 a.m.. Later at 8 a.m., queue numbers were applied.

Free rides of shuttle buses to the palace were offered. Hundreds of

volunteers also worked tirelessly, offering ammonia and balms for weakened queuers and collecting garbage around the tightly crammed field.

The death of the 88-year-old King

Bhumibol, the world’s longest reign, has plunged the country into sorrow.

The government has set a mourning period of one year for the passing of the late king. Mourning ceremonies are held across the country. PNA

A rare collection of BusinessMirror

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When I Was 25, Generations, Executive Views, Model Executive, Envoys & Expats, The Broader Look, BM Reports Extra, etc.

The BM Extra Magazine is a must-have publication that you’d surely want to see in your office, library, coffee shop, restaurant, living room, anteroom, etc.

OUT SOON!

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Monday, October 31, 2016

A7

On the new ‘unprecedented and deeply troubling’ e-mail issue raised by the Federal Bureau of Investigation

Clinton’s strategy to blunt FBI’s damage carries risks

H

illary Clinton’s campaign hopes its unusually swift response to revelations about a fresh Federal Bureau of Investigation (FBI) investigation into messages in connection with a past probe of her private e-mail server will blunt the political damage amid concern about the fate of close Senate races, as well as the presidential election.

With nine days to go until the election, Clinton and her aides went on the attack, intensifying criticism of James Comey as word emerged that the FBI director defied US Attorney General Loretta Lynch by informing lawmakers of newly discovered e-mails that may relate to its investigation of the Democratic presidential nominee Clinton’s aggressive strategy contrasts with her bunker mentality in previous episodes of the controversy over her e-mail practices at the State Department.

Her campaign is taking a calculated risk in publicly criticizing Comey and pressing him to quickly release more detail. Should new information contradict past statements or call into question the judgment of Clinton or any of her advisers who migrated from the Obama administration to her campaign, it could be damaging.

Her rival Donald Trump told an audience in Phoenix the “only reason” Comey must have felt the need to tell lawmakers of the newly discovered e-mails is that “very, very serious things must be happening and must have been found. Very, very serious. Very, very serious.”

Fundraising boost

Clinton’s campaign has seen no evidence of the FBI letter having a negative impact on early voting or turnout and thinks it will motivate supporters, a Clinton aide said on Saturday. The number of volunteers has increased, and the campaign had its best Saturday of fundraising, the aide said. The campaign didn’t know that Comey

had acted over Lynch’s objections until it read press accounts about it, the aide said.

Clinton surrogates, including running mate Tim Kaine, campaign chairman John Podesta and campaign manager Robby Mook will appear on the Sunday news shows to argue her case.

On Saturday Clinton herself attacked Comey’s approach on the campaign trail. That followed her decision on Friday night to hold an unusually speedy news conference and take questions on the matter.

Also on Saturday, Podesta and Mook organized a conference call with reporters to get across the idea that Comey had not offered evidence of wrongdoing by Clinton, but that by acknowledging any new review and then being vague about the details, he had allowed Republicans to damage Clinton with unsupported innuendo.

Within 24 hours of being blindsided by Comey’s revelation to Congress that the FBI had come across new e-mails he believed could be pertinent to the Clinton probe, Clinton’s campaign sent a memo to dozens of its surrogates.

It detailed talking points and suggested wording for casting doubt on Comey’s decision and Republicans’ spin, and spreading the idea that the e-mails may simply be duplicates of those already reviewed or have nothing to do with the nominee.

Daytona Beach

Clinton’s supporters rallied behind her at an event in Daytona Beach, Florida, booing as

A Clinton donor, who also spoke on condition of anonymity, said on Saturday that Comey’s actions were outrageous and that Clinton is right to aggressively push back. The donor said he is not worried that Comey’s disclosure of a new review will change minds about Clinton, but remains concerned it will de press t u r nout a nd i mpac t ballot races in Florida, Nevada, Missouri and North Carolina.

Clinton supporter

Democratic presidential candidate Hillary Clinton arrives to speak at a rally at Dickerson Community Center in Daytona Beach, Florida, on Saturday. AP/Andrew Harnik

she mentioned the letter from the FBI director.

“If you’re like me, you probably have a few questions about it,” Clinton said. “It is pretty strange to put something like that out with such little information right before an election. In fact, it’s not just strange, it’s unprecedented and it’s deeply troubling.”

With such a short window between now and Election Day, Clinton and her top aides have concluded there will be no big revelations and that there is no other course than full pushback.

And that seems to have heartened some Democrats who were reeling in the initial hours after Comey’s letter was released.

Democratic senators, in a letter on Saturday, asked Attorney Gen-

eral Lynch and Comey to provide more detail about the investigation and the e-mails by Monday to minimize any impact on the presidential election.

The senators wrote that Comey’s letter has been “misunderstood” and misused by Clinton’s opponents for political purposes.

Worries easing

One Democratic strategist said that by Saturday evening he and other surrogates were considerably less worried about the impact of Comey’s letter in large part because Clinton’s response had boosted their confidence.

The strategist, who spoke on condition of anonymity, said while Democrats still aren’t sure what Comey is up to and whether there’s

anything new or damaging in the e-mails, the impact for Clinton may be minimal. Still, it could complicate the Democrats’ ability to win back control of the Senate.

He said there remains residual anger among Democrats about Clinton’s use of the private e-mail server while Secretary of State and her slow handling of the controversy in the first place. The shift in approach now has helped offset that anger, he said.

Voters decided

He also said there is a pervasive sense that most voters have made up their minds about the e-mail scandal and that the key for Clinton now is to keep energizing Democrats to turn out to vote, not to win over undecided voters.

A voter attending the Daytona Beach event for Clinton liked her approach. “W hat’s the director of the FBI doing to himself and his agency when he backtracks and he’s less than clear?” said Warren Shingle, 68. “I think it’s extremely detrimental to the entire political process, the entire legal process.”

Still, David Axelrod, President Barack Obama’s former strategist, said that “it’s not yet clear” what the impact of Comey’s approach, or Clinton’s response to it, will be, and that it likely will be on Tuesday or Wednesday before the picture becomes clearer. C l inton took the news about the FBI letter “ like a champ” and a lways expected it wou ld not be smooth sa i l i ng i nto E lec t ion Day, a campaig n aide said. T he campaign, which has been war ning about complacenc y for days as pol ls showed Clinton ex panding her lead nationa l ly and in batt leground states, is hoping the issue angers supporters and spurs tur nout.

The FBI found the Clinton emails during an unrelated investigation into text messages to an underage girl in North Carolina from Anthony Weiner, the estranged husband of longtime Clinton aide Huma Abedin.

Lewd online behavior caused Weiner to resign from Congress in disgrace in 2011. The Washington Post, citing an unidentified source, reported that Abedin told people she was not sure how e-mails could have ended up on her husband ’s computer.

Abedin, who was with Clinton on Friday when the news broke, did not travel with the campaign on Saturday. Bloomberg News

Comey ‘was going to be damned if he did, and damned if he didn’t’

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A SH I NGT ON — Eve r since federal agents concluded this summer that they had no case against Hillary Clinton over mishandling classified information, Federal Bureau of Investigation (FBI) Director James B. Comey has been in a bind.

He could either take the traditional approach of keeping mum or publicly explain his reasoning.

A man unafraid of the spotlight, Comey decided then to address the matter head-on, as he did again on Friday in telling lawmakers that agents were reviewing newly discovered e-mails that may be pertinent to the investigation.

Comey, confidants say, wanted to maintain transparency in the face of multiple pressures: from both political parties, agents, former agents and his bosses at the Justice Department. But by making such a move just 11 days before the election, he also thrust the FBI into a glare as harsh as klieg lights and influenced a presidential race more deeply than the bureau ever has.

“He has been trying to thread this need le bet ween keeping things close to the vest, like we typically do, and explaining matters to the public because this is such an unusual and public case,” said a colleague who requested

anonymity to speak freely. “It is a really narrow window. And he would acknowledge it hasn’t always worked out the way he hoped.

He was going to be damned if he did, and damned if he didn’t.”

And damned he was.

Democrats reacted with frustration and anger over the announcement and its vague nature. “It’s not just strange. It’s unprecedented, and it’s deeply troubling,” Clinton said on Saturday at a rally in Daytona Beach, Florida. “Voters deserve to get the full and complete facts.”

Four Senate Democrats, including Sen. Dianne Feinstein of California and Vermont Sen. Patrick Leahy, the ranking member on the Judiciary Committee, demanded a briefing from Comey by Monday.

Even some Republicans condemned Comey for stepping into the race, though most expressed glee that Clinton’s e-mails were suddenly a dominant topic again at this late stage.

“Hillary has nobody to blame but herself,” GOP nominee Donald Trump said before thousands at a packed livestock arena in Golden, Colo.

Comey, who served in Justice Department posts in the George W. Bush administration, learned of the new developments in the investigation into Clinton’s use of

a private e-mail server on Thursday from agents, law-enforcement officials said.

6

The number of years Federal Bureau of Investigation Director James B. Comey has left in his 10-year term He was told that investigators found a trove of e-mails related to Clinton’s server during their separate probe into whether Anthony Weiner, a former New York congressman and the estranged husband of Clinton aide Huma Abedin, had violated federal law while “sexting” a teenage girl in another state. The e-mails were on a laptop jointly used by Abedin and Weiner.

A cursory review indicated no e-mails were to or from Clinton, but some were forwarded messages from Abedin to herself, a law-enforcement official said.

To review their contents, agents told Comey they needed to obtain a court order, a request he granted. Such an order would also need approval from the Justice

Department, and officials there were weighing how to respond, a law enforcement official said.

It was not clear why agents sought a court order to read the e-mails, assuming they seized the laptop with a judge’s authorization. But they may feel it’s needed to review Abedin’s communications because they were discovered as part of the investigation into Weiner, or may want access to the contents of other e-mail accounts she has acknowledged using.

In briefing Comey, agents said they felt they needed to investigate further to determine whether classified information had ended up on Weiner’s device, a law-enforcement official said. No evidence has emerged that the e-mails had been withheld by Clinton or her aides, law-enforcement officials said.

Comey consulted with senior Justice Department officials and was urged not to disclose any developments in light of long-standing guidelines, according to two officials briefed on the matter.

Attorney General Loretta Lynch was not involved in the discussions, they said.

T he FBI and Justice Depar tment rarely discuss details of ongoi ng i nvest i g at ion s, a nd they are urged to avoid even the appearance of politica l ly motivated investigations.

“Law-enforcement officers and prosecutors may never select the timing of investigative steps or criminal charges for the purpose of affecting any election, or for the purpose of giving an advantage or disadvantage to any candidate or political party,” former Attorney General Eric Holder wrote in a 2012 memo.

But Comey conc luded he had to go publ ic because he had told the world in July that the probe was completed. He st rong ly e c ho e d t hose com ments in sworn congressional testimony and was concerned that if the bureau waited until after the election, it would be accused of playing politics and withholding information from the electorate.

“Of course, we don’t ordinarily tell Congress about ongoing investigations, but here I feel an obligation to do so given that I testified repeatedly in recent months that our investigation was completed,” Comey wrote in an e-mail to bureau employees on Friday. “I also think it would be misleading to the American people were we not to supplement the record.”

Comey’s step was set in motion months ago, some close to him suggested, when Lynch drew sharp criticism over allowing former President Bill Clinton to come

aboard her plane on an Arizona tarmac for a chat.

Lynch conceded the meeting “cast a shadow” over the department and announced she would accept the recommendations of career agents and prosecutors investigating the case, as well as the FBI director.

“That was the tipping point,” said a second Comey colleague.

“He didn’t have a choice after that. … He kind of had to take a bullet for her if the government had any chance to prove the case was not shaped or altered by politics.”

Although most agents, especially those investigating the Clinton case, agreed with Comey’s decision not to recommend criminal charges, they continue to grapple with him stepping so boldly into the public fray, according to interviews with current and former agents.

“I was shocked by it,” Ronald Hosko, a former top agent, said in describing Comey’s public approach to the case. “But I understand why he did it. In his mind, he had no choice. It was such an unusual and public case, and he had to be transparent. But by going public like that, being transparent, now he can’t stop doing that. He has to keep talking about it. I struggle with the decision he made. Was it the right call? I think so. But it wasn’t an easy one.” TNS

A8

Monday, October 31, 2016 • Editor: Lyn Resurreccion

The World BusinessMirror

Syrian govt forces launch counteroffensive on Aleppo

briefs

Moldovans elect president for 1st time in 20 years

CHISINAU, Moldova—Moldovans have begun voting for a president in an election that could move the former Soviet republic closer to Europe or push it back into Russia’s orbit.

It is the first time citizens have directly voted for their president in 20 years in an election where many are angry about high-level corruption.

Polls opened on Sunday at 7 a.m. and close at 9 p.m., with first results expected two hours later.

The favorite is Igor Dodon, a pro-Moscow head of the Socialists’ Party who has tapped into widespread dissatisfaction with the pro-European government.

Ex-World Bank economist Maia Sandu is the preferred option for those who want Moldova to join the European mainstream. If no candidate wins a majority, there will be a runoff on November 13.

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Powerful 6.6-magnitude quake rattles central and southern Italy ROME—A powerful earthquake with a preliminary magnitude of 6.6 has rocked central and southern Italy, sending already quakedamaged buildings crumbling after a week of temblors that have left thousands homeless.

There were no immediate reports of injuries or death. Residents already rattled by a constant trembling of the earth rushed into piazzas and streets after being roused from bed by Sunday’s 7:40 a.m. quake. Nuns rushed out of their church in Norcia as the clock tower appeared about to crumble.

The European-Mediterranean Seismological Center put the magnitude at 6.6 or 6.5 with an epicenter 132 kilometers northeast of Rome and 67 kilometers east of Perugia, near the epicenter of last week’s temblors. The US Geological Survey put the magnitude at 6.6. AP

U.S.report:Afghanistan’sroad system years from viability KABUL, Afghanistan—A US report says weak capacity, corruption, funding issues and insecurity are limiting the Afghan Ministry of Public Works’ ability to maintain Afghanistan’s road infrastructure.

In a new report released on Sunday, the US government’s Special Inspector General for Afghanistan Reconstruction (Sigar) says that without tangible Afghan government action to support needed reforms, the effective management of Afghanistan’s road infrastructure will remain an elusive goal.

Sigar says that since 2002, USAID and the Defense Department have spent approximately $2.8 billion to construct and repair Afghanistan’s roads and perform capacity-building activities.

Afghan officials have stated to Sigar that it would cost $100 million annually to carry out the necessary emergency and routine maintenance on Afghanistan’s road infrastructure. However, between 2011 and 2016, the Public Works Ministry received an average of $21.3 million annually. AP

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People walk between tents in a makeshift camp in Paris, France, on Friday. Thousands of migrants dispersed last week from the now-torched camp they had called home in Calais are struggling to adapt to unfamiliar surroundings in towns and villages throughout France. AP/Christophe Ena

French president vows to clear Paris streets of migrant camp

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ARIS—French President François Hollande vowed on Saturday to shut down a bulging migrant camp in Paris, after his government moved 5,000 people from a camp in northern France in an overdue effort to tackle the migrant crisis.

The makeshift camps in Calais on the English Channel and in the French capital have become v isible sy mbols of the country’s struggle to accommodate migrants and refugees seeking better lives in Europe.

Hollande also urged Britain to do more to help underage migrants in Calais, a port city that has long been a magnet for desperate travelers from the Mideast and Africa seeking to reach British shores.

“We cannot tolerate camps,” Hollande said, calling the street encampments “not worthy” of

19,000 The number of migrants who have been shifted to temporary housing since June 2015, according to Paris regimal authorities

France. “We will evacuate the camps in Paris, because it cannot be a long-lasting solution.”

He played down concerns that the closure of the Calais camp this week has driven its residents to the sidewalks of Paris, not ably nea r t he St a l i ng rad subway station. Most migrants recently amassing around the station are part of a “new migratory current coming from Libya these last weeks and months,” Hollande said.

Migrant camps routinely sprout up in Paris, are cleared out, and then sprout up again.

Paris regional authorities say 19,000 migrants have been shifted to temporary housing since June 2015.

Hollande insisted that France would shelter asylum-seekers and deport those without the right to asylum.

The migrants in Calais and Paris include war refugees, as well as people fleeing poverty and seeking jobs.

Hollande said 5,000 migrants were evacuated from the Calais camp this week and transferred to some 450 reception centers

around France. He met on Saturday with migrants taken to a center in Doue-la-Fontaine in western France.

About 1,500 underage migrants remain in Calais in a special shelter, and Hollande urged British authorities to “do their part” to settle them in Britain.

He said he spoke on Friday to British Prime Minister Theresa May about the issue.

T he d aug hter of a stoc kbroker n ic k n a med “ Br it a i n’s Schindler”for saving Jewish children from the Nazis also is appealing to the country to do more for today’s child refugees.

Barbara Winton said in remarks on the web site of the organization Help Refugees that the best way to honor her father’s memory is “to show the same concern and compassion he did then, for those in danger and in need now.”

Anti-immigrant sentiment in Britain and France has complicated efforts to address the longrunning Calais migrant drama. AP

EIRUT—Syrian government forces launched a counteroffensive on Saturday under the cover of air strikes in an attempt to regain control of areas they had lost to insurgents the day before in the northern city of Aleppo, activists and state media said.

Meanwhile, insurgents launched a fresh offensive on the city, a day after embarking on a broad ground attack aimed at breaking a weekslong government siege on the eastern rebel-held neighborhoods of Syria’s largest city.

The insurgents were able to capture much of the western neighborhood of Assad, where much of Saturday’s fighting was concentrated, according to the Syrian army and the Britain-based Syrian Observatory for Human Rights.

The Observatory said the new offensive by Syrian troops and their allies went under the cover of Russian and Syrian air strikes but government forces did not succeed in regaining control of areas they lost. The group said the fighting and air strikes are mostly on Aleppo’s western and southern edges.

The Syrian army command said troops and their allies are pounding insurgent positions with artillery shells and rockets adding that “all kinds of weapons” are being used in the fighting in the Assad neighborhood. The Aleppo Media Center (AMC), an activist collective, reported air strikes and artillery shelling of areas near Aleppo. The AMC and another activist collective, the Local Coordination Committees, said rebels entered the village of Minian west of Aleppo on Saturday afternoon after intense fighting with government forces.

Later Saturday, the rebels said they launched an attack on the Zahraa neighborhood in western Aleppo to try and capture it from government forces. The attack began with a massive explosion that struck government positions on the front line, said Yasser al-Yousef of the Nour el-Din el-Zinki group, a main faction in Aleppo.

A reporter inside the city for the Lebanon-based Al-Mayadeen TV channel confirmed that the rebels have attacked the Zahraa neighborhood. As he spoke from the roof of a building, sounds of heavy exchange of gunfire could be heard in the background.

The Syrian army said troops were repelling the attack on Zahraa. It said the offensive began when the insurgents detonated a vehicle and shelled the area.

The Observatory said the fighting was continuing intensely after sunset, saying that government forces detonated explosives and bombs they planted earlier in the area in an attempt to repel the offensive on Zahraa.

Syrian state media said rebels shelled government-held western neighborhoods of Aleppo on Saturday morning wounding at least 10 people, including a young girl. AP

Venezuela’s opposition turns to protests, talks, Natl Assembly B

OGOTA, Colombia—Venezuela’s cornered opposition will open up three fronts in the coming week against the Nicolas Maduro administration that range from the conciliatory—dialogue—to the provocative—a march on the presidential palace. The strategies share the same goal: cut Maduro’s tenure short in hopes of saving the country from a deepening economic, social and humanitarian crisis. But it remains far from clear whether any tactic will work against a socialist regime accused of trampling the Constitution to cling to power.

The struggle begins on S unday on Margarita Island, off Venezuela’s nor theastern coast, with a meeting between factions of the opposition and the government. Mediated by the Vatican, it will be the first time the two parties have

met publicly since 2014. But prominent members of the MUD opposition coalition say they’re unwilling to participate unless the government takes immediate actions.

In a letter to Pope Francis, Human Rights Watch said the administration needs to free political prisoners, allow a recall referendum and acknowledge that there’s a humanitarian crisis in the country for the talks to have any meaning.

“Otherwise, it will only serve as yet another excuse for Venezuelan authorities to delay measures that are desperately needed to protect human rights and restore minimum democratic standards in Venezuela,” the organization wrote.

People close to the conversations say MUD Executive Secretary Jesus Torrealba will demand that the presidential recall,

which was indefinitely suspended last week, proceed. The government says the process was plagued by fraud, but critics say Maduro wants to shut down a recall he knows he’ll lose.

Failing that concession, Torrealba may push for early general elections, which would also put the opposition-controlled National Assembly into play.

Maduro has suggested that his term, which runs through 2019, isn’t negotiable.

He and his allies are likely to use the talks to try to dissuade the opposition from holding more protests. The fact that the talks are taking place at all is a good sign in polarized Venezuela, said Carlos Romero, a political science professor at Venezuela’s Central University in Caracas. But they also have a major drawback: they’re predicated on trust, which is in short supply.

While the opposition accuses Maduro of being a dictator by suspending elections and stifling congress, Maduro claims the opposition is working with his enemies abroad, including Washington, to topple his socialist administration.

Attempts at dialogue in 2002 under President Hugo Chavez led to a recall referendum, which he won. Talks in 2014, after national demonstrations in which more than 40 people died, led nowhere.

Two days after the talks begin on Tuesday, Venezuela’s opposition-controlled National Assembly will continue its “political trial” against Maduro. In theory, the assembly has the duty and right to hold Maduro responsible for the country’s economic, social and humanitarian problems, said Jose Vicente Haro, a constitutional expert.

And if the National Assembly finds him guilty, it could ask the attorney general’s office and courts to press charges.

But the reality is that law enforcement and the courts are firmly in the government’s hands, and Maduro already has a record of running roughshod over the National Assembly. (This month he unilaterally approved the 2017 budget without legislative approval, which hasn’t happened in Venezuela for more than 150 years.)

With institutional routes to change seemingly blocked, many in the opposition believe the only way out of the morass is on the streets. This past Wednesday, the opposition held the “taking of Venezuela,” a national march in which at least one person died.

On Friday much of the country was

running at half throttle after the opposition called a general strike. The administration hoped to dampen the measure with carrots and sticks: On Thursday Maduro announced a 40-percent combined increase in the minimum wage and food subsidy, called “Cesta Ticket,” and he also warned that companies participating in the strike would be subject to expropriation.

Late Friday the government said the strike had failed, even as social media circulated pictures of abandoned streets and shuttered markets.

But the real test will come on Thursday when the opposition has called for a march on the presidential palace. The last time the opposition did that was in 2002, and the ensuing clashes left at least 19 dead and led to the brief ouster of Chavez. TNS

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Australia to ban refugees who arrive by boat from ever settling

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ustralia has shut the door to asylum-seekers arriving in the country by boat, banning them for life from settling in the country. In a move to stop people smugglers, Prime Minister Malcolm Turnbull and Immigration and Border Protection Minister Peter Dutton announced on Sunday that new legislation will be introduced to parliament this week to prevent “irregular maritime arrivals” taken to a regional processing country from making valid applications for an Australian visa.

The bill will also apply to asylum seekers in detention centers on Nauru and on Papua New Guinea’s Manus Island since July 19, 2013.

“This will send the strongest possible signal to the people smugglers,” Turnbull told reporters in Sydney.

“They must know that the door to Australia is closed to those who seek to come here by boat with a people smuggler. It is closed.”

Australia’s Liberal-National coalition won power in 2013 vowing to stop a surge of refugees, some of whom drowned attempting to arrive in Australia by sea, often ferried in rickety boats by people smugglers from Indonesia.

While the policy of sending them to Manus Island and Nauru has halted the flow, and cut the number of refugees drowning at sea, it has been condemned by bodies, such as the United Nations for breaching human rights. In April Papua New Guinea said it would close the visaprocessing center on Manus Island, which held more than 800 refugees, after the Supreme Court of Papua New Guinea ruled that detaining the refugees was unconstitutional.

Dutton said the priority now was to get women, children and families off Nauru.

“There are still people, advocates in Australia and elsewhere, who are messaging to people on Nauru and Manus that at some stage you are coming to Australia,” he said. “Those people are living in false hope and it cannot continue.” Bloomberg News

Monday, October 31, 2016

A9

Woman at center of S. Korea political furor apologizes

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he friend of South Korean President Park Geun-hye at the center of an influence-peddling scandal returned to Seoul on Sunday and apologized for the furor that has seen Park’s offices raided by prosecutors.

Choi Soon-sil came back from Germany and would cooperate with investigators, her lawyer Lee Kyung-jae told reporters in a briefing carried on television. He said Choi had asked for a day to rest before speaking with prosecutors as she was “not in good health and also tired after a long flight.”

“She will fully cooperate with the prosecutors’ investigation and state as it is,” he said, adding Choi “deeply apologizes” for causing upset among the public.

Choi has also changed her name to Choi Seo-won, the lawyer said.

Park had apologized on Tuesday over consulting Choi—who opposition lawmakers have linked to a religious cult—on “some documents” for a period after she took office in 2013. Those comments fanned suspicions that Choi, a private citizen, may have had significant influence over Park throughout her presidency.

The scandal has cast doubt on Park ’s future as she heads toward the final year of her single five-year term, and on the ability of her government to focus on economic and other reforms.

Her popularity has fallen to an all-time low.

Party meeting

Park late on Friday told her 10 chief advisers to resign over the

40 percent The percentage of poll respondents who said South Korean President Park Geunhye should resign or be impeached scandal. South Korea’s three biggest political parties will meet on Monday to discuss the matter, according to Yonhap News.

Some opposition parties said on Saturday the resignations of the chief advisers aren’t enough and that Park should also replace the Cabinet.

Prosecutors on Saturday raided Park’s office, with a brief disruption after her team submitted a letter of disapproval, the Seoul Central District Prosecutors’ Office said. Earlier, it said investigators searched the offices of two presidential secretaries in Seoul.

Yonhap news reported that prosecutors had sought to again raid Park’s office on Sunday.

‘Step down’

Thousands of protesters gathered in Seoul on Saturday night shouting: “Park must step down.”

Many of them held candles or

South Koreans shout slogans during an antipresident rally in downtown Seoul, South Korea, on Saturday. Thousands of South Koreans took to the streets of the capital on Saturday calling for increasingly unpopular President Park Geun-hye to step down over allegations that she let an old friend, the daughter of a religious cult leader, interfere in important state affairs. AP/Lee Jin-man

placards criticizing Park. Rallies were planned in other major cities.

“We gave her power and she gave it to a friend,” said Kim Junghyun, a 22-year-old college student, while distributing leaflets showing Choi controlling Park like a puppet. “Now we want it back.”

In a poll released last week, more than 40 percent of respondents said Park should resign or be impeached.

Opposition risk

Still, it’s unlikely that Park ’s opponents will push for her to step down because there’s no guarantee they would win an election that would have to be held within 60 days, said Choi

Chang-ryul, a political commentator and professor of liberal arts at Yong In University.

“Ideally, she could appoint a politically neutral prime minister and let him choose [his] Cabinet members, while she keeps her grip on security and foreign affairs only,” Choi said.

The raid on Saturday was the first time the Blue House has been searched since prosecutors unsuccessfully tried to enter the presidential complex in 2012 under President Lee Myung-bak over a corruption scandal involving his retirement home.

The offices investigated included those of An Chong-bum, Park ’s chief adviser on policy co-

ordination. Opposition lawmakers accuse him of pressuring a business lobby group into donating tens of millions of dollars to foundations controlled by Choi.

An denied the allegations at a parliamentary hearing.

Park’s apology came after Cable TV JTBC reported Choi edited some of her speeches, including one made in Germany in 2014 to outline steps toward the eventual unification of the Korean peninsula. JTBC cited files in a computer it said belonged to Choi.

Choi said in an interview with South Korea’s Segye Ilbo last week she edited Park’s speeches “out of faith” and denied she had owned the computer. Bloomberg News

Halloween, zombies, Hollywood movies changing Mexico’s Day of the Dead

M

E X ICO CI T Y—Hol lywood movies, zombie shows, Halloween and even politics are fast changing Mexico’s Day of the Dead celebrations, which traditionally consisted of quiet family gatherings at the graves of their departed loved ones bringing them music, drink and conversation.

Mexico’s capital held its first Day of the Dead parade on Saturday, complete with floats, giant skeleton marionettes and more than 1,000 actors, dancers and acrobats in costumes. Tens of thousands turned out to watch the procession, which included routines, like a phalanx of Aztec warriors with large headdresses doing tricks on rollerblade skates.

“It would be hard to conserve these traditions without any changes,” said Juan Robles, a 32-year-old carpenter who led the skating Aztecs. “This way, people can come and participate, the young and old.”

Such a spectacle has never been a part of traditional Day of the Dead celebrations. The idea for the parade was born out of the imagination of a scriptwriter for last year’s James Bond movie Spectre. In the film, whose opening scenes were shot in Mexico City, Bond chases a villain through crowds of revelers in what resembled a parade of people in skeleton outfits and floats.

It’s a bit of a feedback loop: Just as Hollywood dreamed up a Mexican spectacle to open the film, once millions had seen the movie, Mexico had to dream up a celebration to match it.

“W hen this movie hit the big

screen and was seen by millions and millions of people in 67 countries, that started to create expectations that we would have something,” said Lourdes Berho, CEO of the government’s Mexico Tourism Board. “We knew that this was going to generate a desire on the part of people here, a mong Me x ica ns a nd a mong tourists, to come and participate in a celebration, a big parade.”

Mexico City authorities even promised that some of the props used in the movie would appear in the parade. The government board sponsor ing t he marc h called it part of “a new, multifaceted campaign to bring tourists to Mexico during the annual Day of the Dead holiday.”

Add to this the increasing popularity of “Zombie Walks” around the Day of the Dead, and the scads of Halloween witches, ghouls, ghosts and cobweb decorations sold in Mexico City street markets, and some see a fundamental change in the traditional Mexican holiday.

Johanna Angel, an arts and com mu n ic at ion professor at Mexico’s I beroA mer ican University, said the influences flow both north and south. She noted US Halloween celebrations now include more Mexican-inspired “candy skull” costumes and people dressed up as “Catrinas,” modeled on a satirical 19th century Mexican engraving of a skeleton in a fancy dress and a big hat.

“I t hink t here has been a change, inf luenced by Hollywood,” Angel said. “ The foreign imports are what most inf luence

People watch the city’s first Day of the Dead parade on Reforma Avenue in Mexico City, on Saturday. AP/Marco Ugarte

the ways we celebrate the Day of the Dead here.”

Traditionally, on the November 1 and 2 holiday, Mexicans set up altars with photographs of the dead and plates of their favorite foods in their homes. They gather at their loved ones’ gravesides to drink, sing and talk to the dead.

In some towns, families leave a trail of orange marigold petals in a path to their doorway so the spirits of the dead can find their way home. Some light bonfires for the same purpose, sitting around the fire and warming themselves with cups of boiled-fruit punch to ward off the autumn chill.

These days, many cities set up

huge, flower-strewn altars to the dead and hold public events, like parades, mass bicycle events and fashion shows, in which people dress up in “Catrina” disguises.

Some say the changes don’t conflict with the roots of the holiday, which they say will continue.

Samuel Soriano, a 35-year-old insurance executive, decorates his Mexico City home Halloween-st yle (think giant spider webs and inflatable tombstones) and each year hands out candy to about 100 trick-or-treaters.

But in his dining room, he has a more traditional “Dia de los Muertos” shrine with portraits of departed loved ones, candles,

decorative skulls and marigolds.

“We decorate for the sheer pleasure of it, and to see the smiles on children’s faces,” Soriano said.

“We also celebrate Day of the Dead...there’s no reason to see it as a contradiction.”

On a recent Zombie Walk, in which hundreds paraded through Mexico City in corpse disguises one week before the Day of the Dead, most participants said it was just good, clean fun.

“We are not fighting against our cultural traditions,” said Jesus Rodriguez, one of the organizers, as he waved a fake plastic arm he was “gnawing” on. “On the contrary, if you take off the zombie’s

flesh, there are skeletons, there are Catrinas.” Yet, Mexico’s traditional view of the dead was never ghoulish or frightful. The dead were seen as the “dear departed”, people who remained close even after death. Could the outside influences threaten that?

“I don’t think that will change,” Angel said. “I think Mexico maintains the sense of remembering the dead with closeness, not fright.”

Indeed, Mexicans still enjoy the graveside celebrations. Some cemeteries grow so packed and rowdy that authorities have been forced to ban alcohol sales at nearby stores.

And Mexicans have changed the holiday themselves, without outside influences, making it a time to express social protest and social causes.

Ma ny h ave erec ted publ ic shrines for the nearly 30,000 disappeared in Mexico’s drug war. In downtown Mexico City in recent years, prostitutes have put on skull masks and erected a shrine to murdered prostitutes.

Day of the Dead—itself an amalgam of Spanish and pre-Hispanic beliefs—seems likely to survive, despite the rapid changes, in a festival-loving country that has long managed to successfully absorb many outside influences.

“Any opportunity for a festival is welcome,” Angel noted, “and with any influences from at home or abroad, and in all possible combinations.” As the armgnawing zombie Rodriguez put it, “We love these days, Day of the Dead, Halloween, and Zombies, that is the reason why this crowd is here year after year.” AP

Tourism&Entertainment BusinessMirror

A10 Monday, October 31, 2016

Editor: Carla Mortel-Baricaua

An interview with Hitesh Mehta, the guru of ‘Authentic Ecolodges’ Dr. Mina T. Gabor

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THE bm traveler

elcome back to the Philippines, Hitesh Mehta, the guru on ecolodges and ecotourism planning and development.

An award-winning landscape architect, photographer, professor, professional cricket player, advocate and one of the world’s foremost experts of sustainable tourism, Mehta has traveled the world to showcase the best in authentic ecolodges. He returned to the Philippines for his fourth Ecolodge Design and Planning Workshop, organized by the International School of Sustainable Tourism, in partnership with the Department of Tourism, Department of the Environment and Natural Resources, Tourism Infrastructure and Enterprise Zone Authority, Philippine Airlines and the Subic Bay Metropolitan Authority.

In an interview by one of the broadsheets in Manila in March 2015, Hitesh recounted how he zealously taught Filipinos the proper process of developing an ecosite.

During his first visit to Tagaytay in the 1970s, he was amazed by Taal Volcano’s lake-within-a-lake won-

der and instantly fell in love with Tagaytay’s pine-covered ridges, the open fields and cerulean skies.

However, when he returned to the area in the 1990s, he saw buildings covering the view, and lodgings that did not blend with the cultural milieu, people walked everywhere, and erosion took place.

It was not a great experience. After a lull in tourism development in the early 1990s, as reported by The Ecotourism Society, ecolodges began springing up in different corners of the world as ecotourism became the byword and hot spot in tourism destinations. However, developers had their own interpretation of what ecolodges should be and where they should be located.

So, we asked Hitesh to share more about authentic ecolodges:

What is the current definition of ecolodge?

An ecolodge is a 5-, to 75-room low-impact, nature-based finan-

cially sustainable accommodation facility that helps protect sensitive neighboring areas; involves and helps local communities; offers tourists an interpretative and interactive participatory experience; provides a spiritual communion with nature and culture; and is planned, designed, constructed and operated in an environmentally and socially sensitive manner.

This is the definition I prepared upon the request from the National Geographic in 2004.

What is the relationship between ecolodges and ecotourism?

To answer that question, I must first redefine ecotourism as responsible travel to natural areas that conserve the environment, sustain the well-being of the local people and involve education and interpretation. Since authentic ecolodges are the accommodation component of ecotourism, they can only be located in natural areas and must not be found in an urban location. As a colleague of mine put it appropriately, “an ecolodge cannot exist between a Marriott, and a Sheraton.”

How does one prepare a site for ecolodges?

Before one develops a site for an ecolodge, one needs to conduct and in-depth physical and metaphysical analysis of the chosen site and detailed studies of the location, sizes of native trees and shrubs. During this preparation, one must ensure that all these plants and trees are protected. The smaller trees and shrubs can be carefully taken out, placed in containers and located in a nursery. After construction, these tree can be brought back to the site and re-planted.

What is an authentic ecolodge as against an inn, or a boutique hotel?

The terminologies “inn” and “hotels” are used for accommodation facilities in urban locations.

Ecolodges can only be located in natural areas and for them to be authentic, they need to satisfy at least five of the criteria below, three of which must embody the main principles of ecotourism: that of conservation of neighboring lands, benefits to local communities, and interpretation to both local populations and guests: nHelps in the conservation of the surrounding flora and fauna; n Contributes to sustainable local community development through educational programs and research; n Offers interpretive programs to educate both its employees and tourists about the surrounding natural and cultural environments; nEndeavors to work together with the local community during the planning and design process; nFits into its specific physical and cultural contexts through careful attention to form, landscaping and color, as well as the use of vernacular architecture; nUses traditional building technology and materials wherever possible, and combines these with their modern counterparts for greater sustainability; nHas minimal impact on the natural surroundings during construction; nUses alternative, sustainable means of water acquisition and reduces water consumption; nProvides for careful handling and disposal of solid waste; nUses eco-friendly sewage treatment systems; and nMeets its energy needs through passive design and renewable energy sources.

Why build an ecolodge?

One needs to build ecolodges in natural areas to uphold the social and ecological integrity of their given environment, and thereby allow for sustained financial benefits without damaging or destroying the very natural resources on which they depend.

Why do you keep holding workshops on ecolodges?

I conduct the ecolodge workshops as a capacity-building exercise, so that I can share what I have learned over the past 22 years. To follow Mahatma Gandhi’s prophecy, “I want to be the change I want to see in the world,” and these oneof-a-kind workshops are meant to educate, inspire and encourage participants to have a conscientious approach to plan, design, develop and operate authentic ecolodges and, in doing so, contribute to the conservation of our global natural and cultural heritage.

Who benefits when you build an authentic ecolodge?

For one, the local communities will get not only much-needed employment, but they will also benefit through the possible building and support to schools, medical clinics and clean-water facilities, among others. In many places around the world, ecolodges have helped to alleviate local poverty.

The local natural environment will also benefit, because they will be protected and kept intact for guests to enjoy.

Please cite three of the most important ecolodges in the world today?

There are so many amazing authentic ecolodges all over the world and because they are in varying geographical (desert, forest, savannah, etc.) locations with each having their own local conditions, it is impossible to compare ecolodges.

However, what I did for my book Authentic Ecolodges was to create 12 different themes and then showcased three ecolodges that best fit the theme.

Which tourism property in the Philippines would be included in your next book? When will that be available to the public?

I am (assisted by my wife) currently working on the second vol-

ume of Authentic Ecolodges, and we have already researched and visited 10 ecolodges, one of them being Miniloc Lodge in Palawan.

Considering both our busy work schedules, we do not see the book getting published until late-2018.

From September 19 to 23, Metah concluded the fifth Ecolodge Design and Planning Workshop at the International School of Sustainable Tourism Campus in Subic Bay Freeport Zone. The site analysis for the charette was Roosevelt National Park in Dinalupihan, Bataan. All of the participants underwent the meta-analysis (which they fondly dubbed as “Mehta-analysis”), which is a major component in planning ecolodges. The participants learned the importance of taking time and effort in site analysis, and sustainable designs. A common sentiment in the workshop was the hope that the government would provide incentives to encourage developers to build ecolodges in the countryside.

Dr. Mina T. Gabor was the founder and president of the Center for International Trade Exhibitions and Missions Inc. (Citem) of the Department of Trade and Industry, and the secretary of the Department of Tourism from 1996 to 1998. She continues to work on her passion of promoting the Philippines through trade and tourism as the president of the International School of Sustainable Tourism (ISST), as founder and president of the Philippine Small and Medium Business Development Foundation Inc. (PHILSMED), and the president of the Automobile Association of the Philippines Travel Agency. She is currently a member of the Board at the De La Salle-College ot Saint Benilde, and Chair Emeritus of the International Women's Forum. For any feedback, please contact this writer at minagabor2010@gmail.com.

Insight Vacations awarded ‘Best for Luxury Tours’ at TripZilla Excellence Awards 2016

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nsight Vacations, the leader in premium escorted journeys, has been named the winner for the “Best for Luxury Tours’’ category at this year’s TripZilla Excellence Awards.

The TripZilla Excellence Awards recognizes the achievements of travel companies and organizations, and endorses them as market leaders that set the benchmark to which all others aspire. Winners were selected based on the vote among discerning travelers and search data captured on TripZilla.

“The hallmarks of our Insight Vacations journey are the Signature Hotels and Experiences, fine dining, business-class transportation and the services of an expert tour director, who is on hand to share knowledge, advice, act as a traveling concierge, give practical assistance, and manage the details of the entire escorted journey so that everything runs smoothly,” said Evon Ler, Insight Vacations president (Asia).

“Being named as the best in this category is testament to the dedication of our colleagues who work tirelessly to provide our guests with the most luxurious holidays.”

“We have categorized our traveling styles to match different personalities and preferences. From Discovery journeys for first-time visitors to Europe seeking to explore multiple countries, to Easy Pace holidays for guests looking for more relaxed starts and longer stays in each place, or Insight Inclusive itineraries for those looking for complete convenience, with all evening dining, sight-seeing and

Singapore River Festival 2016 to host tightrope performance across Singapore River

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Signature Experiences included in one up-front price, our trips are planned to accommodate our guests’ interests. With MyInsight, our online travel portal, our guests can communicate with us before they start their holiday on their interests and personal needs, such as dietary requirements,” Ler added.

Guests can experience The Art of Touring in Style with Insight Vacations’s carefully crafted itineraries. With Scenic France and Northern Spain, a 14-day guided journey, Signature Experiences include enjoying winetasting at Saint-Émilion with an expert vintner, learning about the double-dis-

tilling and aging process of cognac, and staying in the 16th-century Château de Monestier in Bordeaux, set among the beautiful vineyards of the region. For selected Italian journeys, guests can enjoy a private afterhours VIP dinner inside the Vatican Ethnological Museum, joined by the museum’s curator.

To enjoy 10-percent savings for 2017 holidays, book before February 28, 2017, and enjoy early payment discounts. For anyone traveling alone, Insight Vacations will find a match for room sharing with someone of the same gender, allowing solo travelers to save on the single room supplement.

ingapore River One announces the return of the Singapore River Festival. This year the festival will commence on November 4 and 5 with the theme “River Connections”. Celebrating the culture, lifestyle and istory of the Singapore River, the theme was chosen in celebration of how the river connects our past to the present, and the Singapore River to the community.

For the first time ever, a tightrope will be extended across the Singapore River for the opening act, Crossings, an original production inspired and conceived by the story of the Singapore River itself. Jointly produced by French acrobatic theatre production Underclouds Cie and local entertainment producer Muse Inc., it will be Underclouds Cie’s maiden performance in Asia.

Crossings blends tightrope acrobatics, dazzling choreography, music effects and multimedia projections, exploring theextraordinary theme

of connections in all our ordinary lives.

Along the river, the festival will host a variety of performances and activities across Clarke Quay, Boat Quay and Robertson Quay. Immerse in the spirit by partying to the tunes of the resident DJ at the Silent Disco, enjoying multisensory acrobatic acts at the Riverfront Carnival and witnessing the headline performance by Underclouds Cie at Clarke Quay. Visitors at Boat Quay can enjoy Circular Spectacular—a street festival on Circular Road programmed by creative nonprofit Hyphen, featuring live bands across different genres, roving acts

by Australian performance artist Justin Shoulder, a Samba Batucada Band, as well as a site-specific lightart installation by digital artist Flex.

There’s something for all the family, including puppet-making and face-painting workshops, and kids cardboard and chalkboard

playground. Robertson Quay turns into an open-air cinema and a mass workout area with the Quayside Cinema and Fitness Workshops by the River. Those looking for a relaxing evening can enjoy a popular local film, 7 Letters, while the energetic can work out at fitness workshops, such as Kids Yoga, Barre Bootcamp and Pound Workshop.

The festival also sees the return of Singapore River Signatures, an award recognizing some of the finest dishes along the river. This year the 21 winning dishes, were handpicked by four local celebrity chefs, Anthony Yeoh, Bjorn Shen, Cheryl Koh and Nixon Low. Restaurants serving up these delectable dishes will be dishing out promotions in celebration of the revelry happening along the river.

The Singapore River Festival is a free-for-all event with some ticketed workshops and activities. For more details on the complete festival guide, visit www.srf.sg.

Tourism&Entertainment BusinessMirror

Editor: Carla Mortel-Baricaua

Monday, October 31, 2016 A11

Finding peace, culture and wellness at Nurture Farmacy

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Story & photos

By Gretchen Filart Dublin

edged by trees and shrubs, the vast and winding pathways in Nurture Farmacy are a welcome treat from the ultracontemporary façade of the city. The farmacy rests only a couple of blocks away from Magallanes Square, yet stepping foot onto its 4,000-square-meter expanse, one feels like he is in an entirely new world, away from the urbanized city where it resides.

“Welcome!” old women exalted in their saya, swaying and chanting to soft guitar strums, their smiles as warm and sunny as the Friday morning. Warmth, it seems, is very much alive on this quiet side of Amadeo—partly because this new farm destination was created from the vision of ecoentrepreneur couple Mike and Cathy Turvill, who also manage and own Nurture Wellness Village and Nurture Spa next door.

Nurture Farmacy encompasses the usual wellness and spa offerings in spa destinations today. Here, visitors, with the help of locals and farmers called “farmacists,” are offered live demonstrations on coffeemaking, organic cooking and herba-plant use, and a tour of the custom-designed phytotherapy garden. Interactive activities that educate visitors on heritage, including Tinggian weaving, add to Nurture Farmacy’s unique appeal.

Mike, a doctor in organic chem-

istry, said Nurture Farmacy is all about lending a hand to people toward wellness. “The key message here, more than anything else, is prevention. Our experience with doctors is that they will treat the symptoms, but this is an opportunity for everyone to prevent the symptoms and getting sick in the first place. We will embrace you and help you on your journey to wellness through education.”

Phytotherapy Garden

Our journey to wellness and culture began with a tour of the phytotherapy garden, which was designed by a team of certified pharmaculturists and nurses. Resembling the various anatomical systems of the body, the garden is subdivided to six farm plots, each planted with herbs and vegetables that possess medicinal properties suited to the body systems they represent.

“The phytotherapy garden re-

Cathy Turvill, cofounder of Nurture Farmacy, shares the vision behind Nurture Farmacy.

volves around the idea of healing with plants. We designed it this way, because we want to serve as a classroom and reach out to families with kids, as well as corporate groups,” Cathy explained.

Locals of Amadeo welcome guests with a dance during the launch of Nurture Farmacy.

fat yogurt, instead of mayonnaise or pig brains. Other notable dishes include nutrient-rich tinolang kabute, anti-inflammatory sieto kinse, and adobong dilaw—a dish native to Kawit, Cavite, and popularized by Emilio Aguinaldo.

The Balik-Tanaw Experience and Balay Tinggian

Cathy is adamant about integrating into the farm the culture of the Tinggian, an indigenous group in Abra, where she and Filipino revolutionary heroine Gabriela Silang were born to. Nurture Farmacy’s balik-tanaw experience takes visitors on an enriching back-to-basics tour of Abra’s unique culture. Adjacent to the phytotherapy garden, visitors will find Balay Tinggian, where handwoven Tinggian fabric is made. The fabric is handwoven by the only remaining family in Abra who specializes in the craft.

What makes Tinggian fabric interesting is not only that it is handwoven but that it contains embroidery of symbols unique to the Tinggian tribe. Such symbols include the frog to signify luck; fingers, which symbolize the hand’s crafting power; and rice and river, both vital to Abra.

Too, the fabric stays true to Nurture Farmacy’s all-organic mantra.

It is naturally dyed in boiled mahogany bark, leaves and vegetables, making it hypoallergenic and 100-percent nonsynthetic. The woven fabrics are displayed and sold at

Tourism Assistant Secretary Frederick Alegre

Camp Nurture

Six farm plots comprise Nurture Farmacy’s phytotherapy garden.

Nurture Farmacy’s souvenir shop starting at P500.

In Balay Tinggian, guests also learn about the art of crafting coffee naturally from bean to cup—an effort to honor Amadeo’s reputation as the country’s coffee capital and Nurture Farmacy’s history as a coffee plantation.

Healthy and sumptuous meals at the Nurture Farmacy kitchen

Of course, a journey to wellness will not be complete without healthful eats, an aspect that the farm prides itself in. Food here is considered sacred and medicinal (as such, Cathy constantly points out the famous Hippocrates quote “Let thy food be thy medicine”).

Eighty percent of Nurture Farmacy’s dishes come from its own farm, including chickens and wild boars, which are fed with zero-fertilizer vegetables. The kitchen also utilizes rainwater recycling.

“Every dish must be respected.

That’s why we use all-organic ingredients. We never use food enhancers,” Executive Chef Christopher Carangian said. Carangian spearheads the Nurture Farmacy kitchen in curating indulgent and surprisingly healthy Chavacano and Abra dishes, such as savory warek-warek, Abra’s rendition of dinakdakan. Contrary to the latter, warek-warek uses wild-boar meat (which contains 40-percent less fat than regular swine meat) and non-

The day is best capped off at Camp Nurture, a serene and grassy space that combines all of the Turvills sustainability efforts, including vermiculture and composting. This massive learn-and-play area includes two outdoor pools that use natural filtration systems and luxury tents for glamping (glamorous camping) amid a backdrop of coffee plants and native trees.

During the launch, Tourism Assistant Secretary Frederick Alegre commented, “The soul of the Philippines isn’t just all about our beautiful places. It is also about our people and culture. I believe that Nurture Farmacy is one of the best examples of the soul of the Philippines.”

Such are weighty words. And having found peace, culture and wellness even just for a day at Nurture Farmacy, I cannot agree more.

Nurture Farmacy goes beyond its mantra of “healthier, happier, better.” It is not just a farm. It is a journey to the rich and unique culture of the Philippines, to peace and wellness, and to one’s soul.

Virtus Awards 2016 winners to be announced on Nov. 15 T he Hotel Sales and Marketing Association, with the support of the Department of Tourism and the Tourism Infrastructure Enterprise Zone Authority, will announce the winners of the Virtus Awards 2016 on November 15 at the Novotel Manila Araneta Center.

On its second year, the Virtus Awards was launched in May 2016 to honor hotel sales and resorts marketing practitioners with a record success in integrating creativity and dedication into strategies that deliver benefits to guests and a robust bottom line to their properties.

Four winners will be declared in the multicategory initiative that includes Outstanding Associate, Manager, Leader and Marketing Campaign in a glittery formal event befitting the sales force, the lifeblood of the business.

The Virtus Awards Organizing Committee is composed of HSMA President and VP Sales and Marketing of Maribago Bluewater Beach Resort Margie Munsayac, Virtus Awards Chairman and HSMA Charter Director Rose Libongco, Virtus Awards Public Relations Head and Director of Sales and Marketing of Golden Phoenix Hotel Christine Ibarreta, and Ways and Means Head and Director of Sales of Okada Manila Cielo Reboredo..

Munsayac affirms that the opening of new hotels and resorts in the country highlights the growing importance of sales and marketing people. “The hotels and resorts sector is a most competitive field in tourism and the role of sales at the forefront of promoting their properties cannot be overemphasized. Virtus is the Greek word for excellence and the awards ensure that the best practices in sales and marketing are given due

Board members of the hotel sales and marketing association (HSMA) (standing, from left) Mayette Sagales-Delfin, director for program (former director of sales and marketing, Luxent Hotel); Cecille M. Kimpo, treasurer (director of sales and marketing, The Ascott Ltd.); Cielo O. Robredo, director of ways and means (director of sales, Okada Manila); Michael C. Albaña, director of education (director of sales and marketing, EdsaShangri-La Hotel Manila); Carmela H. Bocanegra (vice president sales and marketing, Chroma Hospitality Inc.); Ma. Celeste Romualdo, director for membership (general manager, Best Western Hotel La Corona Manila); and Christine U. Ibarreta, secretary (director of sales and marketing, Golden Phoenix Hotel Manila and Boracay; (seated, from left): Rose Libongco, awards’ Chairman and cofounder of HSMA; Margarita F. Munsayac, president (vice president of sales and marketing, Maribago Bluewater Beach Resort); and Sunshine L. Robles, vice president (director of sales and marketing, Diamond Hotel Philippines)

recognition,” Munsayac added.

Twelve judges, three per category, convened with the nominees in a full day of interviews and presentations to select the four winners. An independent auditor will tally the scores, and awardees will be known only on awards night.

The panel of judges includes the following: Ma. Corazon Jorda-Apo (director, Market Development Group—Thailand, Indonesia, Vietnam Department of Tourism); Ma. Christina G. Aquino (executive director for planning and development, Lyceum of the Philippines University); Cesar R. Cruz (president, Philippine Tour Operators Association); Millie F. Dizon (senior vice president for marketing and communications, SM Retail Inc.), Leny R. Fabul (executive director, Philippine Hotel Owners Association Inc.); Henrietta L. Ho (founder/ principal, Break Thru-Solutions in Marketing); Cesar Jose C. Jesena (head, Tenant Management Divi-

sion Shangri-La Corp.), Donald Patrick L. Lim, PhD, (chief digital officer, ABS-CBN Broadcasting Corp.), Isabelita Sy-Palanca, PhD (president, The Mother Co.), Lyn GuecoTamparong (past president, Hotel sales Marketing Association); and Maria Concepcion M. Yabut (city councilor First District of Makati City).

Libongco revealed that judges remarked that they had difficulty in rating the nominees due to the quality of the interviews. “The statements of the judges pleased the organizers, because the focus of the Virtus Awards is to raise the bar for the sales and marketing personnel, to give outstanding performers a channel where they can take pride in their accomplishments; and to set their sights on new opportunities for business and personal growth. We are also on a quest to inspire young people to pursue career options in hotel sales and marketing,” according to Libongco.

Japanese Prime Minister Shinzo Abe and President Duterte, with Transportation Secretary Arturo P. Tugade, Tourism Secretary Wanda Corazon T. Teo, Public Works Secretary Mark A. Villar, and guests

Tourism chief’s Japan visit bags new deals, investment commitments

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anila—Tourism Secretary Wanda Corazon T. Teo is back in Manila after a fruitful three-day visit to Japan, securing a new direct-flight deal, investment commitments and support from the biggest travel association in Japan.

One of the most important accomplishments of the Philippine delegation from the Department of Tourism (DOT) was clinching the deal with Vanilla Air to mount direct flights between Tokyo (Narita) and Cebu, as it would ensure a stronger visibility for the Japanese tourists’ “vacation destination’’ Cebu.

According to Teo, “This first Japanese air carrier to fly directly from Tokyo outside Manila would establish Cebu as a major international gateway and channel economic growth and development to Central Philippines, a realization of President Rodrigo Duterte’s economic agenda.”

The tourism chief also got the nod of Japan Association of Travel Agents (Jata), Japan’s biggest travel association, to promote new Philippine destinations the same way they marketed Cebu to become Japanese tourists’ favorite destination. Jata members are expected to

meet in the next few days to study the DOT’s proposal to keep a strong presence in the Japanese market, promoting new and emerging destinations, such as Bohol, Laoag, Siargao, Iloilo, Palawan, Clark and Davao.

“With Jata’s renewed commitment to promote the Philippines, the DOT could only anticipate the Japanese market to rise to No. 1 in generating inbound tourists,“ Teo added.

The DOT also bagged two significant investment pledges from key Japanese construction and property-development companies.

These potential investors are looking at putting up industrial parks, retirement and shared communities, condominiums and mixed-use properties in various places in the Philippines.

Tourism Undersecretary Benito Bengzon Jr., Tourism Infrastructure Enterprise Zone Authority COO Lawyer Guiller Asido and Philippine Tourism Attaché to Tokyo Gwendolyn Batoon helped wooed these investors, highlighting the “ease of doing business’’ in the Philippines, and all the fiscal incentives in tow of investing here in the country. Among the places they

pitched for investments include Palawan, Bataan and Davao.

Meanwhile, Philippine tourism turned heads at the Philippine Economic Forum, which was held on Wednesday at the Prince Park Hotel in Tokyo. Teo, who was acknowledged during the forum, could not be more than thankful for the importance given by the country presenters to the tourism business.

She said, “Tourism, indeed, cuts across different sector and segments of the society. It is our shared responsibility, between the government and the private sector alike, to grow and develop our country’s sunshine industry.

And we are grateful in the DOT that we found a strong alliance with the other government agencies and industries, and from our neighbor countries like Japan, in fulfilling the promise of tourism for our country’s inclusive growth and development.”

Teo was among the Cabinet members and other high-ranking government officials and prominent business leaders who joined President Duterte’s Philippine delegation during his three-day work visit to Japan.

Science Monday

A12 Monday, October 31, 2016

www.businessmirror.com.ph • Editor: Lyn Resurreccion

Cities address key challenge: Infrastructure needs

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UITO, Ecuador—“We, as mayors, have to govern midsize cities as if they were capital cities,” said Héctor Mantilla, city councilor of Floridablanca, the thirdlargest city in the northern Colombian department of Santander.

He told Inter Press Service (IPS) that “citizens not only demand public services, but also infrastructure; and environmentally and financially sustainable construction works are needed.”

Mantilla, who took office in January, participated in the recent United Nations Conference on Sustainable Housing and Urban Development (Habitat III) in the capital of Ecuador, which produced the “Quito Declaration on Sustainable Cities and Human Settlements for All”, known as the New Urban Agenda (NUA).

At the summit, organized by UN Habitat every 20 years, Mantilla talked about infrastructure needs and management.

F lor id abl a nc a , popu l at ion 300,000, is part of the Bucaramanga metropolitan area, together with two other municipalities. To address people’s demands, the local administration built two highway interchanges and a paragliding park.

The mayor’s experiences and expectations reflect the concerns of governments, particularly local administrations. In fact, one of the NUA’s major challenges is the environmental and financial sustainability of the infrastructure required to meet the commitments made in Quito with regard to housing, transport, public services and digitalization.

For Alicia Bárcena, executive secretary of the Economic Commission for Latin America and the Caribbean (Eclac), the priorities are mobility, water and sewage, adequate housing, resilience,

66% The percentage of world population in urban areas by 2050

renewable energy, promotion of digitalization and the fight against segregation and inequality.

“There is a lack of infrastructure. It is not sufficiently integrated. We have two scenarios: the United States with high car-use rates, or the European, with smaller cities, where the use of private cars is discouraged,” she told IPS. Bárcena said “a certain kind of infrastructure and planning is required” in order for cities to be “resilient,” a concept touted in recent years by international organizations such as the World Bank and the Inter-American Development Bank (IDB), defined as the capacity of an ecosystem to absorb environmental stress without undergoing fundamental changes.

In 2015 54 percent of the world population lived in urban areas, a rate that will climb to 66 percent by 2050. The Americas will be the most urbanized region in the world, with 87 percent urban population.

The projected proportions are 86 percent in Latin America and the Caribbean; 74 percent in Oceania; 82 percent in Europe; 64 percent in Asia; and 56 percent in Africa.

The report “Latin America and

One of the concerns about compliance with Habitat III is how to finance the new public works, taking into consideration the considerable investment required. In the image, a photo composition of European cities in a Habitat III exposition in Quito, Ecuador. Emilio Godoy/IPS

the Caribbean. Challenges, dilemmas and commitments of a common urban agenda,” released at the Quito summit, observes that, despite the significant expansion in infrastructure in recent decades, the deficit in cities remains one of the main challenges for developing countries in general.

The document, drafted by the Forum of Ministers and Highlevel Authorities of the Housing and Urban Development Sector in Latin America and the Caribbean (Minur v i), Eclac and UN-Habitat’s Regional Office for Latin America and the Caribbean, points out that Latin America and the Caribbean have an investment rate of 2 percent of GDP, compared to 8 percent of regional GDP in Southeast Asia.

The overall rate of investment in infrastructure “has declined in the last three decades, blaming a reduction in public investment, a marginal increase in private

investment and the retraction of multilateral financing.”

In the developing South, large cities face challenges, like pollution, exposure to climate change, chaotic growth, traffic congestion, informal employment and inequality. There have been different attempts to calculate the scale of infrastructure needs. The IDB’s Emerging and Sustainable Cities Initiative estimates a need for $142 billion in priority investments in urban infrastructure.

Meanwhile, the Cities Climate Finance Leadership Alliance (CCFLA) estimates a global need of $93 trillion in investment in low-carbon climate-resilient infrastructure over the next 15 years.

The NUA mentions the word “infrastructure” 33 times, although it outlines no means or goals to develop it.

Money is short

A recurring question is where

the funding for infrastructure will come from, given that regions, such as Latin America, are experiencing an economic downturn, after a decade of growth that made it possible to fight poverty and expand public works.

Andrés Blanco, a Colombian expert on urban development and housing with the IDB, proposes several mechanisms, including “land-value capture”: capturing the increases in property values for the state.

This refers to a municipality’s ability to benefit from the rise in real-estate value generated by infrastructure improvements (access to highways, the paving of roads, public lighting, sewers, etc.) or the implementation of new land-use rules (e.g., from rural to urban).

“The main idea is to use this resource to finance infrastructure.

But this has not been done, because there is a cash-flow problem. The cost is paid by the government

Radio drama series on S&T launched

T

o bring science closer to the hearts of the Filipino people, the Department of Science and Technology-Science and Technology Information Institute (DOSTSTII) recently launched a radio drama series entitled Handog ng Agham para sa Bayan [Gift of Science to the Nation].

The series will air as a segment of the prime-time radio program Radyo Henyo anchored by Angelo Palmones and Ruby Cristobal over at DZRH 666 khz every Sunday from 4 p.m. to 5 p.m. The drama series features stories of success of individuals whose lives were made better through science and technology.

Produced by the DOST-STII, Handog ng Agham para sa Bayan will initially air for one season. It features Inno, the “DOST man” character, as the storyteller. It is directed by radio-drama expert Salvador M. Royales.

“I am awed by the stories,” Royales

said. “The technologies and DOST projects featured in the stories are really relevant and eye-openers.”

“I am happy that I am part of this series because I learned a lot,” Salvador added.

The first episode is the story of a bright boy from an urban-poor family whose family sees a brighter future for him after qualifying for scholarship at the DOST-Philippine Science High S chool. Popularly c alled Pisay, the school offers a specialized curriculum in advanced science and mathematics to prepare students for careers in science and technology. The episode is entitled “Pagpupunyagi Laban sa Karukhaan” The second episode, “Abutin ang Pangarap,” presents the story of farmer whose produce increased drastically after using carrageenan plant-food supplement, a DOST-developed technology.

“Matang Lumilipad” is the third episode highlighting the grit and genius of young Filipino engineers who developed Diwata-1, the first Filipino-made microsatellite.

A wine - and vinegar-producing Zamboanga tribe who adopted a technology to improve production—and consequently the group’s income—is featured in the “Bukas Palad” episode.

The fifth episode is the story of a high-school dropout jeepney driver who invented an anticar-leak device. The story highlights how curiosity and concern to solve an emerging problem on road safety can lead to technological innovation, even minus a college degree. The rest of the stories are equally interesting and relevant, especially for Filipinos who still prefer radio as their medium of information and entertainment.

Lilian B. de la Cruz/S &T Media Service

Inland aquatic researchers explore new technology on microalgae in Taiwan

A

global technology-search team from the Philippines visited Taiwan recently in search for innovations/advances in production and other potential application of microalgae suited under Philippine condition.

Dr. Augusto E. Serrano Jr., program leader of the Department of Science and Technology-Philippine Council for Agriculture, Aquatic and Natural Resources Research and Development (DOST-PCAARRD) National Aquafeeds S&T Program from the College of Fisheries and Ocean SciencesUniversity of the Philippines Visayas, and Engr. Eduardo V. Manalili, Industry Strategic S&T Program (ISP) manager for Aquafeeds of the Inland Aquatic Resources Research Division- PCAARRD (IARRD-PCAARRD) made the research visit to Taiwan.

They went to the National Sun Yat-sen

University, National Dong Hwa University (NDHU) and National Pingtung University of Science and Technology (NPUST).

Providing the needed information for the team were Prof. Ching-Nen Nathan Chen of the Laboratory of Algal Molecular Biology of NSYSU; Dr. Cheng-Hao Tang and Dr. Kwee Siong Tew of the National Museum of Marine Biology and Aquarium of NDHU; and Prof.

Philip Tao-Ching Cheng of the Molecular Fish Immunology and Genetics Laboratory and Dr. Jik-Chang Leong of the International College, both from NPUST. Of interest during the discussion with the scientists were the upscaling and collapsing of pure cultures of algae, species control in induced blooms of natural phytoplankton, predation and contamination of algal cultures, enrichment of large-scale cultures,

and harvesting and preserving of microalgae.

Other information, as sought by the team, included the technology advances on the nutritive value of cultured microalgae as feeds for aquaculture and the use of largescale indoor facilities for microalgae culture and other infrastructure requirements for its commercialization.

The visit provided the team with knowledge on the latest innovations and advanced application of microalgae, its processing, and extraction techniques for bioactive and nutritive compounds, and the latest improved culture facilities for commercial applications in the Philippines.

Acquired information will be used for piloting and commercialization of the microalgae program under the Aquafeeds ISP. S&T Media Service

The grave dangers of fishing nets on whales are underestimated. Zofeen Ebrahim/IPS

World must tackle biggest killer of whales–and it’s not whaling

P

ortoroz, Slovenia—Every two years, governments from across the globe gather to debate the fate of the world’s whales. And every two years, Japan, Norway and Iceland find themselves in the firing line for their refusal to end commercial whaling.

The International Whaling Commission (IWC) meeting in Slovenia was no different.

But while the divisive debate on whaling rages, the IWC has the chance to unite behind efforts to tackle the most immediate 21stcentury threat to whales—bycatch.

It is scarcely believable, but accidental entanglement in fishing gear—or bycatch— kills over 300,000 whales, dolphins and porpoises (collectively known as cetaceans) every year. And that’s a conservative estimate based on data from 2008.

No one knows the real figure, but it far outstrips the less than 2,000 whales that are deliberately hunted and killed for commercial purposes each year.

Yet, when over 80 countries gather for the 66th meeting of the IWC, the media and public spotlight will once again be firmly focussed on the whalers. And while their operations—

particularly Japan’s unlawful “scientific” whaling in the Southern Ocean—are still a significant concern and must be curtailed, the threat they pose to the world’s whales pales in comparison with the catastrophic death toll from bycatch.

Back in the 19th and 20th centuries, commercial whaling devastated whale populations across the globe. Many are still struggling to recover from the wholesale slaughter. But the era of large-scale whaling has ended and, while it’s critical we remain vigilant, it is time for us to redirect our focus, and much more of our efforts and resources, toward reducing bycatch.

It poses the most immediate risk to many different species and populations of cetaceans, such as the endangered North Atlantic Right Whales and Arabian Humpbacks.

Some species—such as the Mexican vaquita and New Zealand’s Māui dolphin— face imminent extinction if the use of unselective fishing gear is not immediately eliminated from their habitats.

The IWC must take the lead. Its scientific committee has studied how governments can

and the communities, but only private-property owners benefit,” he told IPS. In three Brazilian cities, the IDB found that investing $1 per square meter (sq m) in drinking-water pipes increased the land value by $11, while $3 per sq m invested in sewage brought up the value to $8.5, and $2.58 per sq m invested in paving raised the value by $9.1. In Quito the transformation of rural to urban land enhanced the value by 400 percent.

In the Ecuadorean capital the IDB released the report “Expanding the use of Land Value Capture in Latin America.”

In Floridablanca the local government recovered $30,000 of a total of $175,000, that the owners of 100 plots of land must pay for having benefited from investment in urban improvements.

“The main challenge facing the New Urban Agenda is how to find funding. We, as mayors, have to prioritize small-scale projects, but we need major infrastructure in outlying areas,” Mantilla said.

For Bárcena, Habitat III leaves an immense financing task. “Land use could be more profitable.

States cannot do it alone. For this reason, there has to be a grand coalition between governments, companies and organizations to make urban and public space more habitable and to make cities more connected,” she said.

Eclac, which is carrying out a study on time use in cities, proposes mechanisms, such as public policies on land-value capture, to increase revenue collection and guide the way urban infrastructure is developed; the issue of municipal bonds to raise capital for long-term infrastructure projects; and platforms to draw private investment.

The United Nations Environment Programme’s “Global Outlook on Walking and Cycling,” released in Quito, calls for countries to invest at least 20 percent of their transport budget on infrastructure for pedestrians and cyclists, in order to save lives, curb pollution and reduce carbon emissions. IPS best mitigate the impact of other 21st century dangers, such as ship strikes, ocean noise, marine debris and climate change.

It has even delved into bycatch in the past, but only in relation to particular species and specific populations. But this is a global crisis and it needs a comprehensive global response.

The IWC is the premium global body of cetacean experts and best placed to spearhead this response. Only it has the capacity and authority to compile and assess the necessary data, recommend the most effective bycatch mitigation methods and work with national, regional and international bodies. But it needs to seize the opportunity in Slovenia this week to put bycatch at the very top of its agenda.

Whereas whaling has been a divisive, politically charged issue for the IWC, governments and nongovernmental organizations should be able to come together to tackle bycatch. By working with countries and the fishing industry to promote sustainable fishing methods that benefit people and cetaceans, the IWC should be able to ensure a more secure future for the world’s whales.

And this is not a conservationist’s pipedream. Bycatch can be reduced as efforts to limit the accidental killing of turtles, dolphins and albatrosses have proven.

The IWC needs to commit itself to drastically reducing bycatch and then countries around the world must back the Commission and rigorously implement its recommendations. This would save thousands of whales, dolphins and porpoises.

In other fields, the world’s response is constantly evolving to deal with new and emerging threats. The IWC should focus on where it can have the greatest impact. It should concentrate on preventing the avoidable deaths of the over 300,000 cetaceans that are unwittingly trapped in the nets of the world’s fishing fleets each year.

This IWC meeting could be the turning point—the point when countries set aside politics and divisions and unite to bring an end to the era of bycatch. IPS

Green Monday BusinessMirror

BusinessMirror

Editor: Lyn Resurreccion • www.businessmirror.com.ph

Monday, October 31, 2016 A13

Meet the Taw’buid tribe, tamaraw conservers

Gregg Yan/WWF-Philippines

T

he Taw’buid is the largest of the eight Mangyan tribes of Mindoro. Once occupying Mindoro’s lowlands, they were pushed deep into the mountains by both Spanish colonizers and Filipino immigrants.

Many still sport loincloths called amakan, hunt game with spears called tulag, bows called gadun and spike traps called silo. Unlike other Mangyans who chew betel-nut, nearly all Taw’buid men smoke tobacco—children included.

A collaboration among World Wildlife Fund (W WF), Far Eastern University (FEU), National Geog raph ic C h a nnel, Pr i mer Group of Cos., Banco de Oro and the Philippine government aims to improve the lives of Mindoro’s secretive tribesmen, while conser ving the tamaraw, Earth ’s rarest buffalo species.

A photo e x hibit on t he Taw’buid by Gregg Yan of W WFPhilippines is ongoing on the FEU campus in Manila.

Smart, PNP Maritime Group join forces for coastal cleanup

Rabi Island, Fiji. Rising sea levels and more extreme weather events pose an imminent threat to lowlying atoll islands across the Pacific. Ocha/Danielle Parry

Climate doomsday: Another step closer R

OME—Almost inadvertently, humankind is getting closer every day to the point of noreturn toward what could be called the “climate doomsday”.

I

n support of Ocean Conservancy International’s (OCI) coastal cleanup project, mobile leader Smart Communications (Smart) partnered with the Philippine National Police (PNP) Maritime Group (MG) for the annual S-KUBA International Coastal Cleanup at Bambu Villa Resort, Anilao, Batangas.

In a two-session dive at the Caban Cove and Dive 7000 sites, certified diver-volunteers, composed of Smart employees and partners, devoted an entire day for coast and shore cleanup activities.

“Smart recognizes the role of communities in environmental protection and conservation. This is the second year that Smart has gathered a group of professional divers to participate in a coastal cleanup effort. Helping protect aquatic life and its sanctuary is our way of giving back to the community that benefits from our diverse marine ecosystem,” said Darwin Flores, department head for Community Partnerships of Smart Public Affairs.

“As a diver, I believe we don’t need to wait for September every year to do a cleanup dive. Every dive should be a cleanup dive,” said Ruth Reyes from Smart Public Affairs, who is also an active volunteer of this project.

Besides its regular support for

coastal cleanup activities, Smart, together with the PNP-MG, launched the Dedicated Alert Lines for Ocean biodiversity, #DALOY3456, the official SMS hot line that enables subscribers to report maritime violations happening in their area.

These violations include dynamite and cyanide fishing, the use of fine mesh net, commercial fishing-vessel intrusions and wildlife trafficking.

Concerned citizens can report these violations by simply texting DALOY <space> your report and sending it to 3456.

“All these initiatives are part of our Smart Communities program, which promote the use of technology for development. These efforts not only aim to increase environmental awareness, but also urge communities to take action and do their part as stewards of the environment,” said Ramon Isberto, head of Smart public affairs.

“Smart and PNP-MG have the same advocacy when it comes to environmental conservation and preservation, thus this public-private partnership is really appropriate and timely. With the help of the divers and other volunteers, we are able to protect the livelihood source of our fishermen,” said Police Chief Insp. Arnaldo Canlas, chief PCRS of PNP-MG.

Now, globally averaged concentration of carbon diox ide (CO 2 ) in the atmosphere has surged again to new records in 2016…and will not dip below pre-2015 levels for many generations. T he warning comes from the United Nations weather agency—the World Meteorological Organization (WMO) and further confirms the alarm of climate experts and world specialized organizations.

On the one hand, the WMO secretar y-general, Petteri Taalas, said that 2015 ushered in a new era of optimism and climate action with the Paris climatechange agreement. “But it will also make history as marking a new era of climate-change reality with record-high greenhouse-gas [GHG] concentrations.”

“Without tackling CO 2 emissions, we cannot tackle climate change and keep temperature increases to below 2 degrees Celsius above the preindustrial era…. It is, therefore, of the utmost importance that the Paris Agreement does, indeed, enter into force well ahead of schedule on November 4 and that we fasttrack its implementation,” Taalas said last Monday.

T h e w e at h e r a g e n c y h a d warned earlier this year that the Earth is already 1˚C hotter than at the start of the 20th century, halfway to the critical 2-degree threshold, and that national climate change plans adopted so far may not be enough to avoid a 3˚ temperature rise.

C O 2 levels had prev iously reached the 400 parts per million (ppm) barrier for certain months of the year and in certain locations “but never before on a global average basis for the entire year.”

According to the WMO, the

growth spurt in C O 2 was fueled by the El Niño event, which started in 2015 and had a strong impact well into 2016.

“The 400-ppm threshold is of great symbolic importance,” said the previous WMO SecretaryGeneral Michel Jarraud in 2014.

“It should serve as yet another wake-up call about the constantly rising levels of greenhouse gases, which are driving climate change and acidifying our oceans.”

This triggered droughts in tropical regions and reduced the capacity of “sinks” like forests, vegetation and the oceans to absorb CO 2 .

T hese si n k s c u r rent ly ab sorb about half of C O 2 emissions but there is a risk that t hey m ay become sat u rated , which would increase the fraction of emitted CO 2 which stays in the atmosphere, according to the Greenhouse Gas Bulletin.

Carbon dioxide remains for thousands of years

The danger is clear: for thousands of years CO 2 remains in the atmosphere, trapping heat and causing the Earth to warm further. The life span of CO 2 in the oceans is even longer. It is also the single most important GHG emitted by human activities. According to the WMO, it is responsible for 85 percent of the warming effect on our climate over the past decade.

On the other hand, the United Nations Convention to Combat Desertification (UNCCD) says that the droughts and floods beating down on communities in many parts of the world are linked to the current El Niño, which was expected to affect up 60 million people already by last July.

“In some areas, including in North Eastern Brazil, Somali, Ethiopia, Kenya and Namibia, the

El Niño effects are coming on the back of years of severe and recurrent droughts. It is impossible for households that rely on the land for food and farm labor to recover, especially when the land is degraded,” the UNCCD executive secretary, Monique Barbut said.

What’s more, Barbut, added, these conditions do not just devastate families and destabilize communities. When they are not attended to urgently, they can become a push factor for migration, and end with gross human-rights abuses and long-term security threats.

“We have seen this before—in Darfur following four decades of droughts and desertification and, more recently, in Syria, following the long drought of 2007 to 2010.”

It is “tragic to see a society breaking down when we can reduce the vulnerability of communities through simple and affordable acts, such as restoring the degraded lands they live on, and helping countries to set up better systems for drought early warning and to prepare for and manage drought and floods,” Barbut said.

Agriculture accounts for one-fifth of total emissions

For its part, the Food and Agriculture Organization (FAO) of the United Nations alerted that the rapid change in the world’s climate is translating into more extreme and frequent weather events, heat waves, droughts and sea-level rise.

The impacts of climate change on agriculture and the implications for food security are already alarming—they are the subjects of this report, according to FAO Firector General José Graziano da Silva.

A major finding is that there is an urgent need to support smallholders in adapting to climate change. Farmers, pastoralists, fisherfolk and community foresters depend on activities that are intimately and inextricably linked to climate—and these groups are also the most vulnerable to climate change.

“They will require far greater access to technologies, markets, information and credit for investment to adjust their production systems and practices to climate

change.” Unless action is taken now to make agriculture more sustainable, productive and resilient, climate-change impacts will seriously compromise food production in countries and regions that are already highly food-insecure, Graziano da Silva alerted.

“Through its impacts on agriculture, livelihoods and inf rastr ucture, c l imate change threatens all dimensions of food security. It will expose both urban and rural poor to higher and more volatile food prices.”

According to the FAO director general, it will also affect food availabilit y by reducing the productivity of crops, livestock and fisheries, and hinder access to food by disrupting the livelihoods of millions of rural people who depend on agriculture for their incomes. The FAO report—The State of Food and A g r ic u lt u re 2016 — desc r ibes ways of adapting smallholder production to climate change and making the livelihoods of rural populations more resilient.

‘Diversify or die?’

Diversification and better integration of food-production systems into complex ecological processes create synergies with the natural habitat, instead of depleting natural resources, the report said.

Agro-ecology and sustainable intensification are examples of approaches that improve yields and build resilience through practices, such as green manuring, nitrogen-fixing cover crops and sustainable soil management, and integration with agro-forestry and animal production.

“In order to keep the increase in global temperature below the crucial ceiling of 2 °C, emissions will have to be reduced by as much as 70 percent by 2050.

“Keeping climate change within manageable levels can only be achieved with the contribution of the agriculture sectors,” which account for at least one-fifth of total emissions, mainly from the conversion of forests to farmland as well as from livestock and crop production. IPS

A14 Monday, October 31, 2016 • Editor: Angel R. Calso

Opinion BusinessMirror

editorial

Divine inspiration?

T

he “Divine Being” by whatever name or identity you choose to believe seems to be taking a more active role in the Philippines lately. No, this is not thoughts on the All Saints’ Day holiday and traditions.

Back in May after the elections, President Duterte raised some eyebrows by saying, “For the record, I believe in God, but I do not believe in religion, period.” While every person is entitled to her own personal views in a country that enshrines the freedom of thought, Philippine presidents have always had a more conciliatory relationship with organized religion.

One losing senatorial candidate in the last election had “no hard feelings” about losing, since “it was the will of God”. By the same token, Sen. Manny D. Pacquiao invoked the will of the Supreme Deity on several occasions, and referred to Duterte as “the anointed one” and that “God put him there for a reason”.

However, apparently “god” speaks different things to different people. In an opinion piece in another newspaper, a Filipino lawyer—based in the United States since 1981—wrote that Duterte is “but a leader full of demons”.

While the President was in Indonesia earlier this month, protesters from the Indonesian Drugs User Network (a group opposed to drug use but equally opposed to government policies against drug use) went even farther. They carried signs reading: “Duterte…Stop playing God!” Perhaps, the last entry of God into the Philippine political scene was by the President himself. “If you don’t stop epithets, I will bring this plane down now,” a voice to which Duterte responded, “And I said, ‘Who is this?’ So, of course, ‘it’s God.’” One vocal critic of the President had her response also, “When God talks to us, it is schizophrenia.” Everyone has her own opinion. But that seems to make most of the thousands of Catholic saints in need of mental help. This includes Mother Teresa, who wrote that she was riding in a train when she said, “Christ spoke to her and told her to abandon teaching to work in the slums of Calcutta aiding the city’s poorest and sickest people.”

Apparently, the Missionaries of Charity was created because of a severe mental disorder.

A letter to the editor published by a leading newspaper accused Duterte of steering the Philippines to “godless communism”.

One prominent politician said the President’s move toward nontraditional allies and criticism of the United State, by default, makes him a communist most probably of the “godless” variety.

But it is not just in politics where Divine Intervention appears. The Philippine Weightlifting Association president emeritus said an act of God led to Hidilyn Diaz’s silver medal at the Rio Olympics.

Unlike these many others, we do not presume to speak for or interpret the will and thoughts of the Almighty. We hold that religious belief or nonbelief is a personal matter. But, from a human perspective, if we were the “Architect of the Universe”, we would be exceedingly annoyed at all these people using God to further their own personal agendas.

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he President and his delegation are back from state visits to China and Japan to boost the economic relationships between the Philippines and the two countries. Trade Secretary Ramon R. Lopez enumerated a list of signed investment projects worth $15 billion as a result of the meetings in China. Aside from these, there are also credit-line pledges that bring to $24 billion the total amount of Chinese investments and loans.

Included on the list of investment projects signed in China are infrastr ucture projects— railway, real estate, renewable energ y, br idge const r uct ion, manufacturing, telecommunication, transportation and floodcontrol projects, among others.

These are expected to generate 2 million jobs for Filipinos over the next five years.

T he $9 - bi l l ion c red it -l i ne pledges will be coming from the China State and Bank of China, according to Lopez. For the Duterte administration, these investments and pledges are a sign of “greater confidence” in the economic relationship between

China and our country.

Shortly after the visit to China, Duterte went on a three-day state visit to Japan to improve cooperation as far as the two countries’ various industries are concerned. As a result of the visit, the Philippine-Japan Industrial Cooperation Action Plan (Icap) was signed. Under the Icap, both countries will be working together to support manufacturing, automotive, MSMEs (micro, small and medium enterprises), (various) industries and services, and human resources.

Apart from the signing of the agreement, business deals and pledges worth $19 billion were

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Business deals and pledges worth $19 billion were secured in Japan. Marubeni Corp., one of Japan’s biggest integrated trading and investment business conglomerates, pledged about $17.2 billion worth of projects. These projects would focus on “masstransport systems, roads and highways, water and power.” Some of the other business agreements include a solar project, green city development, agriculture and manufacturing projects. also secured in Japan. Marubeni Corp., one of Japan’s biggest integrated trading and investment business conglomerates, pledged about $17.2 billion.

The projects from Marubeni would focus on “mass-transport systems, roads and highways, water and power.” Some of the other business agreements include a solar project, green city development, agriculture and manufacturing projects.

The Philippine Investment and

Economic Forum was also held in Japan during the President’s visit.

It was attended by around 1,000 Japanese businessmen and 200 Filipino business executives. As with China, the Philippine government is also determined to boost the trade and investment relations with Japan after the presidential visit. n n n Based on recent reports from the government, the Philippines’s poverty incidence dropped to 21.6 percent in 2015. The National Economic and Development Authority (Neda) said it expects the figure to drop further when the current administration ends in 2022.

According to Neda Director Renaldo R. Cancio, there are 1.4 million less poor Filipinos in 2015 than in 2009. This is attributed to the fact that more Filipinos were able to secure stable and high-paying jobs in the past six years.

And so with the closing of various investment deals from China and Japan, the employment rate is seen to improve further and hopefully lead more Filipinos toward better lives and economic opportunities.

More on the Neda’s statements on the 2015 Official Poverty Statistics in my next column.

The functions-risks-costs-tariffs-rewards correlation

By Alberto Agra

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The fruits of China, Japan visits

Continued from A1 The functions performed by the PSP, the costs it bears, the c harges t he people w i l l pay, and the rewards for the PSP a re d i rec t ly propor t ion a l to these factors. n Function-risk correlation.

The logical effect of a party assuming a responsibility is the assumption of the corresponding cost. The PSP who designs and constructs the bridge will be the one to absorb the design and construction risk. If the bridge collapses or built with substandard materials, the PSP bears the liability.

If, under the PPP contract, the government commits to secure all the government approvals and clearances and warrants against

any changes in law and policies, then it shall be responsible if and when these do not happen or when they happen.

Critical, therefore, in any PPP arrangement is the clear allocation of functions and risks. The more functions the PSP is obliged to perform, the more risks it will shoulder. n Risk-cost correlation. Risks are not cost-free. When a PSP implements and operates a waterdistribution project, it will pay the salaries of the work force. If the government will take care of right-of-way projects, then it will pay for this cost.

This is the risk-cost correlation. The more risks the PSP shoulders, the higher the cost for the PSP. The actual value of the cost or

One of the hallmarks of a PPP is exchange of resources, sharing of responsibilities and allocation of risks. In a collaborative arrangement for a PPP project, the financing, designing, building and operations thereof are typically assumed by the PSP. This is not without consequence.

The functions performed by the PSP, the costs it bears, the charges the people will pay, and the rewards for the PSP are directly proportional to these factors. exposure will depend, however, on the likelihood of the risk happening and the significance or impact if it happens. n Cost-tariff correlation. Higher tariff or end-user fees will nec-

essarily result from higher costs.

Costs incurred by the PSP are, more often than not, passed on to the consumers.

Tr a n s m i s s i o n l i n e s , w a ter pipes and cost of reclamation are not procured for free.

We pay for these. n Tariff-rewards correlation. The PSP is rewarded for undertaking a project that the government should provide and for assuming most of the functions and risks. The rewards or profit of the PSP will increase when tariff increases.

However, tariff rates and rewards must not be unrestricted or unbridled. In order for a project to be viable and profitable for the PSP while ensuring the social acceptability of the tariff, the government must have a “skin” in the game. The government may allocate public funds, issue guarantees, extend subsidies, allow its property to be used or issue tax incentives.

We must not only be willing to use a PPP project, we must be able to pay. Otherwise, the project may become a white elephant.

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The new way to influence people

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By Robert Cialdini | TNS

oday and every day we are the targets of salespeople, marketers, advertisers, fund-raisers and (heaven knows) politicians trying to persuade us to buy something, do something or think a certain way. And they’re good at it. Over the years, they’ve learned a lot about which features to build into a communication and which psychological strings to strum with that communication to elevate its success.

But, by concentrating so intently on the message itself, they’ve missed a crucial component of the process. Research done in the last 15 years shows that optimal persuasion is achieved through optimal pre-suasion: the practice of arranging for people to agree with a message before they know what’s in it.

Presuasion works by focusing people’s preliminary attention on a selected concept—et’s say softness—which spurs them to overvalue related opportunities that immediately follow. In one study, visitors to an online sofa store were sent to a site that depicted either soft clouds or small coins in the background of its landing page. Those who saw the soft clouds were more likely to prefer soft, comfortable sofas for purchase, whereas those who saw the small amounts of money preferred inexpensive models. (When questioned afterward, the visitors refused to believe what they saw presuasively—clouds or coins— had influenced them at all.)

A subsequent study showed the primitiveness of the presuasive mechanism. Subjects became three times more likely to help a researcher who “accidentally” dropped some items if, immediately before, they’d been exposed to images of figures standing together in a friendly pose.

If this tripling of helpfulness doesn’t seem remarkable enough, consider that the subjects were 18 months old—hardly able to reason or review or reflect.

Long before scientists started studying the process, a few notable communicators had an intuitive understanding of it. Some instructive examples are available.

In 1588 British troops massed against a sea invasion from Spain at Tilbury were deeply concerned that their leader Queen Elizabeth I, as a woman, would not be up to the rigors of battle. In addressing the men, she dispelled their fears presuasively: first acknowledging their concern by admitting a weakness, which established her honesty for whatever she said next, and then following it with a strength that demolished the weakness. “I know,” she asserted, “I have the body of a weak and feeble woman.

But I have the heart of a king, and a king of England, too.”

It’s reported that so long and loud were the cheers after this pronouncement that officers had to ride among the men ordering them to restrain themselves so the queen could continue.

The same presuasive, honestyestablishing tactic was employed in the late 1950s by the advertising firm Doyle Dane Bernbach to introduce the oddly shaped Volkswagen Beetle to a US market dominated by big, powerful, boat-like vehicles. The “We’re ugly but…” campaign tactically admitted to cosmetic limitations before trumpeting the auto’s strengths, such as economy, reliability and simplicity (“Ugly is only skin deep.”

“It’s ugly but it gets you there”).

Credited with cracking open the US market for compact cars, the ad campaign has been rated among the greatest of all time.

As national security advisor and secretary of State during the 1970s, Henry Kissinger was considered America’s greatest international negotiator. When asked who he considered the best such negotiator he had encountered, he nominated Egypt’s then-President

Presuasion works by focusing people’s preliminary attention on a selected concept—let’s say, softness—which spurs them to overvalue related opportunities that immediately follow. In one study, visitors to an online sofa store were sent to a site that depicted either soft clouds or small coins in the background of its landing page. Those who saw the soft clouds were more likely to prefer soft, comfortable sofas for purchase, whereas those who saw the small amounts of money preferred inexpensive models. When questioned afterward, the visitors refused to believe what they saw presuasively—clouds or coins— had influenced them at all.

Anwar Sadat. Why? Because of a presuasive tactic Sadat regularly employed that allowed him to get more from a negotiation than was warranted by his political or military position. Before beginning negotiations, he would assign an admirable trait to the opposing side (perhaps Israelis’ “well-known” tradition of fairness or sympathy for the underdog or support for those in need) that fit with what he wanted. In other words, Kissinger said, “Sadat gave his opponents a reputation to live up to”—something they then did remarkably often.

In February 2015 the financial investor Warren Buffett had a problem. It was 50 years since he had taken control of Berkshire Hathaway Inc., guiding it to astounding levels of value, along with his brilliant partner Charlie Munger.

Many investors were worried that, because Buffett and Munger were getting older, these levels couldn’t be maintained in the future, perhaps making it time to sell Berkshire stock.

To respond to these concerns, Buffett wrote a letter to shareholders in which he recounted various reasons for confidence in Berkshire’s continuing profitability. But, before the description of strengths, he declared with characteristic sincerity that what he was about to assert was “what I would say to my family today if they asked me about Berkshire’s future.” The result was a flood of favorable reaction to the letter (with headlines, like “You’d be a fool not to invest in Berkshire Hathaway” and “Warren Buffett just wrote the best annual letter ever”), as well as a per-share increase for the year of nearly five times that of the S&P. I can say that, as a Berkshire Hathaway stockholder, I have never since thought of selling any shares. After all, Buffett had given me the same recommendation he first declared he’d give to a family member.

With considerable success, practitioners of social influence have always placed persuasive prods— glowing testimonials, emotional tugs, last-chance opportunities— inside their appeals. Perhaps, because of that success, they’ve mostly missed an accompanying truth.

For maximum impact, it’s not only what you do; it’s also what you do just before you do what you do.

Monday, October 31, 2016 A15

Don’t let the FBI’s e-mail surprise swing the election

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By Eli Lake | Bloomberg View

o borrow a phrase from Vermont’s favorite socialist, I, too, am sick and tired of hearing about Hillary Clinton’s damn e-mails.

As we all found out on Friday afternoon, the FBI is reviewing some messages involving a close Clinton aide to see if they contained classified information. The agency’s director, James Comey, said so in a vague letter to congressional leaders, and it has turned the election yet again on its head.

This is the political equivalent of crack cocaine. House Speaker Paul Ryan called on the director of national intelligence, James Clapper, to suspend classified briefings to the Democratic candidate. Prominent liberal pundits are in high dudgeon, alleging that Comey is trying to throw the election to the Republicans. The Trump campaign, meanwhile, is elated. Its campaign manager, Kellyanne Conway, tweeted that “A great day in our campaign just got even better.”

It’s worth taking a step back and look at what the bureau is actually investigating. The New York Times reports that new emails came to the bureau’s attention in its investigation of former Democratic congressman Anthony Weiner for sexting with under-aged girls. Weiner is married to a top Clinton aide, Huma Abedin. Comey letter says the bureau is now reviewing whether the messages contained classified information.

At the heart of this issue is the mishandling of classified information. Clinton used a private, unsecure server to conduct official business with her staff at the State Department. Comey said over the summer that Clinton’s decision to use the server was reckless and that foreign powers may well have accessed her e-mails, even though the bureau could not prove that definitively.

For this she has paid a major political price. The question is whether her negligence should be treated as a crime. To answer this question, it’s worth putting

the national security damage wrought by Clinton’s private email server into some context.

Despite unprecedented steps from the FBI to crack down, more state secrets have been disclosed during the Barack Obama presidency than at any other time in American history.

There are the voluminous disclosures of diplomatic cables from WikiLeaks, and the National Security Agency troves from Edward Snowden. There was the hack of the Office of Personnel Management, which gave the Chinese access to the security clearance files on thousands of Americans serving in sensitive positions in the US government. Then there are the press leaks of cyber operations against Iran’s nuclear program and operations against al-Qaeda’s franchise in Yemen.

Finally, the State Department’s

Clinton and supporters.

own unclassified e-mail system was hacked in 2014.

In this sense, calling for the prosecution of Clinton in the name of cybersecurity or the protection of state secrets is a bit like cracking down on jaywalking when a serial killer is on the loose.

It’s fair to argue that the law is the law. As the secretary of state, Clinton should be held to a high standard, since lower level officials would be penalized for doing what Clinton did.

But this argument cuts both ways. The FBI always has to prioritize what it investigates. Part of that calculation should consider the damage, in context, done by the alleged crime. When it comes to mishandling classified information, I can tell you from experience, many government officials at one time or another will leak classified information to reporters. As I reported over the summer, it’s common to find something that would be considered classified in the unclassified e-mails of most government officials.

But there is a greater issue at stake. As a member of the press,

I have an interest in less government secrecy and less scrutiny for government sources. So I acknowledge I am biased here. But it’s not healthy for the republic in the long run for the FBI to investigate the mishandling of national security information wherever it finds it.

This would give the FBI director extraordinary power over the rest of the government. There was an interagency process to retroactively determine what was and what was not classified in Clinton’s e-mails, and it showed that reasonable people disagree on this all the time. The problem is that the FBI has way too many secrets to protect.

So, those Republicans giddy over the thought that Clinton could end up going to jail for her private e-mail server should ask themselves how they would feel if the shoe was on the other foot.

Should the FBI director have the power to influence an election through choosing to prosecute a crime Republicans and Democrats commit all the time? As the saying goes, be careful what you wish for, you might just get it.

Bloomberg

Telling a half-truth doesn’t work for drugmaker

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By Noah Feldman | Bloomberg View

nder securities law, a publicly disclosed half-truth is worse than no truth at all, according to an appeals court opinion filed this week involving Arena Pharmaceuticals Inc. The decision has an intuitive moral appeal. But it’s not at all clear that it makes sense from the standpoint of investors, who might be misled just as thoroughly by failure to disclose material information, as they would be by partial disclosure.

The case arose from a scenario painfully familiar to anyone who follows or trades in pharma stocks.

Arena was developing a weight-loss drug called lorcaserin, which had entered the stage of human clinical trials. At the same time, the Food and Drug Administration (FDA) required lorcaserin to be put through a separate, nonclinical trial in rats to see whether it created an unacceptably elevated risk of cancer.

The human clinical trials went fine—the drug worked, insofar as such studies can reliably demonstrate. The rat study was another story. Lorcaserin caused strongly elevated levels of cancer in rats.

From a scientific standpoint, however, that wasn’t the end of the story. It’s possible that a drug that causes cancer when given to rats in high doses might still be safe in humans. Much smaller doses might be less dangerous, or a rat’s biology might cause a distinctive interaction with the drug.

Arena thought that both of those theories were relevant to lorcaserin. It argued both that the drug was safe at lower doses and that the cancer in rats was because of the drug’s interaction with a hormone known to cause

cancer in rats, but not in humans.

Arena engaged in extensive private discussions with the FDA and in further rat testing. Eventually, the FDA came around, and lorcaserin was approved. It’s now available on the market and in use.

In March 2009, after Arena had gathered the data to make its scientific argument to the FDA, but before the FDA had accepted it, Arena’s then-CEO Jack Lief told investors on a call that he was confident in FDA approval “based on the Phase II data, the Phase I data, the preclinical studies that was done, [and] all the animal studies that have been completed.” The company repeated similar claims in an SEC filing that said “the long-term safety and efficacy” of the drug had been “demonstrated” by “preclinical, animal studies.” In a separate call, Christen Anderson, the vice president for clinical development, said the company “ha[d] favorable results on everything that we’ve compiled so far.”

On September 14, 2010, the FDA posted Arena’s submitted briefing on its website. The stock crashed at the disclosure of the possible cancer risk, falling 40 percent in a single day. A shareholder derivative suit

followed, alleging that Arena misled the public with its earlier statements about the animal studies.

A federal district court dismissed the suit, but the US Court of Appeals for the 9th Circuit reinstated it.

Under SEC Rule 10b-5, the most basic and arguably the most important in securities regulation, it’s unlawful to knowingly make a material misrepresentation of fact in connection with the marketing or sale of securities.

The technical legal issue in this case is whether the suit sufficiently alleged a knowing violation of the securities laws.

Arena’s position was simple: It told the truth as it understood it.

Yes, it had an ongoing conversation with the FDA about whether lorcaserin would cause cancer in humans. But based on its own testing, including rat testing it had done to alleviate worries about the early cancer finding, the company was confident that it had shown the drug wasn’t likely to cause cancer in humans. Arena was, therefore, telling the truth when it said it was confident of approval. To top off the argument, Arena was right: The FDA eventually did approve the drug.

The 9th Circuit disagreed with Arena’s position. It said that Arena may not have had any obligation to disclose anything about animal trials. But once it mentioned the animal trials, the court said, it was potentially misleading for Arena not to disclose that some of the rat studies showed ele-

vated cancer risks. Therefore, the court concluded, the shareholders allege facts that were sufficient to show a material misrepresentation. In practice, that almost certainly means Arena will have to settle the suit.

The decision follows a moral intuition that it’s worse to tell a half-truth than to remain silent.

Under ordinary circumstances, that might be true.

But the point of the securities laws is to help ensure the stability of the markets by keeping the flow of information reliable. Ask yourself from the perspective of an investor what would have happened if Arena had never mentioned animal trials in its calls and filings, but simply said it was confident the drug would be approved.

When the FDA posted the briefing, it seems highly likely that the stock would have fallen in precisely the same degree.

Put another way, it seems unlikely that the market was giving special weight to Arena’s reference to animal studies, weight that meaningfully increased the value of the stock.

The upshot is that the true problem with the securities laws isn’t the issue of half-truths, but the background assumption that nondisclosure is legally permitted. Arena kept a secret, and when the FDA disclosed it, the share value fell. There’s something wrong with this picture—but it isn’t half-truth, it’s the suppression of material information about the drug-testing process.

2nd Front Page BusinessMirror

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Monday, October 31, 2016

Holiday remittances to strengthen peso T

By Bianca Cuaresma

@BcuaresmaBM

he local currency is expected to gain strength against the US dollar toward the end of the year on the back of strong dollar inflows during the holiday season if the US Federal Reserve (the Fed) decides to hike interest rates anew in December.

Analysts at the Metropolitan Bank and Trust Co. predicted in the bank’s recent Economic Weather Report that the local currency will end the year slightly more competitive at P48 to a dollar.

Data from the Philippine Dealing System showed the local currency traded at P48.405 to a dollar in last week’s last trading day, appreciating from P48.47 to a dollar the previous day. The total volume of trade on Friday was at $490 million.

Metrobank research said lat-

est forecasts show the peso is still “far well-supported at the current level amid solid remittance inf lows, strong business-process outsourcing receipts, and robust foreign portfolio flows.”

“The expected surge in remittances in time for the holiday season and the slight rebound in the performance of the exports sector are seen supporting the peso if the next Fed rate hike actually happens in December,” Metrobank said.

Remittances in the country have

so far grown below trend, except in August, when cash sent home by Filipino migrant workers registered a slight surge. The Bangko Sentral ng Pilipinas reported this month that cash remittances reached $2.3 billion in August this year, growing by 16.3 percent from last year’s $1.99 billion August inflows.

The 16.3-percent surge in remittances was the fastest monthly remittance growth since March 2014.

It also marked a steep recovery from the previous month’s 5.4-percent contraction and the 3-percent average growth in the first seven months of the year.

The strong uptick during the

month pushed the average growth rate of remittances at 4.6 percent in January to August this year, now within the government’s projection of 4 percent annual growth for remittances in 2016.

Remittance flows are expected to further pick up toward the end of the year as overseas Filipino workers send more money back home to finance the holiday needs of their respective families.

However, Metrobank warned that some “volatile period” should not be discounted as investor sentiment could easily make a turnaround, especially with the uncertain outlook for the global economy.

The expected surge in remittances in time for the holiday season and the slight rebound in the performance of the exports sector are seen supporting the peso if the next Fed rate hike actually happens in December.”—Metrobank

www.businessmirror.com.ph

FOOD ITEMS ON TOP OF BUDGET OF BOTH RICH, POOR PINOYS N o matter the income, Filipinos’ biggest expense is food.

Based on the 2015 Family Income and Expenditure Survey (FIES), Filipinos spend anywhere from 30 percent, or almost 60 percent of their incomes, on food alone.

The poorest Filipinos, or the Bottom 30 percent, spend an average of 59.7 percent of their earnings for food items, while the Upper 70 percent spend an average of 38.8 percent.

“In 2015 about 41.9 percent of the total annual family expenditures was spent on food,” the Philippine Statistics Authority (PSA) said in a statement.

Data also showed that, second to food, Filipinos spend the most on housing rental, or rental value. On average, Filipinos spend 12.2 percent of their total expenses on shelter.

The Bottom 30 percent spend less of their total expenses on shelter at 7.7 percent, while the Upper 70 percent spend more at 13 percent.

Earlier, the Housing and Ur-

ban Development Coordinating Council (HUDCC) said Filipinos in the Bottom 30 percent cannot even afford socialized housing in the Philippines. The HUDCC report stated that socialized housing in the Philippines, which includes building a house and buying land, costs a maximum of P450,000.

If there are similarities, there are also differences in the spending of the Bottom 30 percent and Upper 70 percent.

For one, the poorest households spend more for vices such as tobacco and alcoholic beverages, accounting for 1.9 percent and 0.7 percent of their total expenses, respectively.

In contrast, the Upper 70 percent spend less on these items as a percentage of their expenses at 1 percent for tobacco and 0.5 percent for alcoholic beverages.

The Upper 70 percent of Filipinos spend more than t he p o ore s t i n t e r m s of clothing and footwear; furnishings and routine household maintenance; health; water, See “Food items,” A2