BusinessWeek Mindanao (September 8, 2014)

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BusinessWeek MINDANAO 2 cents

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Volume V, No. 40

Market Indicators As of 6:24 pm sep. 6, 2014 (Saturday)

FOREX

PHISIX

US$1 = P43.66

7,263.58 points

4 cents

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59.47 points

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Briefly No ERC approval ZAMBOANGA City Councilor Charlie Mariano sees the need for the city government to start entertaining other power generation offer to ease the power crisis that the city is facing for the past many years. This developed after the San Ramon Power, Incorporated (SRPI) failed to secure the needed Energy Regulatory Commission’s approval for its application for a power sales agreement (PSA) with the Zamboanga City Electric Cooperative, Incorporated (Zamcelco). Mariano, chairman of the council’s committee on energy and public utilities, said the city must entertain a new power source company that wishes to establish a power plant in this city to provide the power needs of the city. “We have waited for two years now, and we cannot wait indefinitely for the SRPI to acquire such PSA approval for it to start constructing its pledged 100-megawatt coal-fired power plant here,” Mariano said.

Overallotment option ABOITIZ Power Corp has completed its retail bond sale, the proceeds of which will be used to bankroll its projects. In a disclosure to the Philippine Stock Exchange, AboitizPower said it completed the offering of P10 billion worth of fixed-rate retail bonds today. The bonds were issued simultaneously in two series: the Series A bonds due on 2021 with a fixed interest rate of 5.205 percent per annum, and the Series B bonds due on 2026 with a fixed interest rate of 6.100 percent per annum. With a 12-year tenor, the Series B bonds has one of the longest tenors among the corporate bond issuances so far this year.

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Monday | September 8, 2014

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Tuna industry seen to boost trade in ASEAN

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By MINDANEWS

ENERAL Santos City — The tuna industr y here could be a key contributor to the foreseen surge in trade exchanges within the 10-nation Association of Southeast Asian Nations (ASEAN) with the commencement of the regional economic integration next year.

Senator Cynthia Villar, chair of the Senate Committee on Agriculture and Food, gave such assessment as she declared that the

c ou nt r y ’s f i s h e r y s u b sector, as bannered by the tuna industry, is presently considered as among the most tuna/PAGE 11

PBSP, MinDA to present partnership with Aquino By CARMELITO Q. FRANCISCO, Correspondent

DAVAO C I T Y - - T h e Philippine Business for Social Progress (PBSP) and the Mindanao Development Authority (MinDA) will formally sign a partnership -- and present it to President Benigno S.C. Aquino III -- here today in a bid to promote investments in underdeveloped areas in Mindanao. Anton Simon M. Palo, PBSP research officer, said the collaboration aims to bring PBSP member-firms in poor areas with potential bus i ness opp or tunit i es while MinDA will facilitate links with the local government units (LGUs) and push for complementary infrastructure. “We want to find ways how to integrate these people (who live in the poverty threshold) into the value chains of the companies,” said Mr. Palo during a meeting here Thursday. The mechanism will be two-pronged, with PBSP soliciting business proposals from its members and with MinDA putting forward a list of towns and municipalities that need investments. Janet M. Lopoz, MinDA

executive director, told BusinessWeek Mindanao the partnership fits into the inclusive growth program of the agency and it “makes it easier for us to look for investors who will join our program.” The MinDA inclusive growth program, launched in June this year, is designed to assist investors locate within an area and ensure that the members of the community become part of the supply chain. Discussions on the PBSPMinDA partnership started last month when Paul G. Dominguez, vice chair of PBSP, met with Secretary Luwalhati R. Antonino, MinDA chair, to discuss possible collaborations to push Mindanao’s economic development. Mr. Dominguez was the first chair of MinDA’s predecessor agency, the Mindanao Economic Development Council. Mr. Palo said the initial commodities identified for development are coffee, cacao, rubber, oil palm and seaweeds. Investments in tourism are also being considered.

TUNA FLOAT. Workers on a building seem not to mind the Tuna Festival float parade on Sept 5 in General Santos City as police officials impose what they call tight security measures following threats posed by a recent incident at an airport parking lot in Metro Manila. mindanews photo by rommel g. rebollido

Two-tiered wage system for Caraga region’s mining sector pushed WITH a three-year consecutive record of strong economic performance, capped by a 10.6 percent regional gross domestic product (GRDP) growth rate in 2012, Labor and E mpl oy m e nt S e c re t ar y Rosalinda DimapilisBaldoz Thursday said the re cent issuance by t he Regional Tripartite Wage and Productivity BoardCaraga of an advisory on the implementation of the twotier wage system (TTWS) for the region’s mining sector will certainly add luster not just to mining, but to the entire Caraga region’s economy. Baldoz, citing a report of National Wages and Productivity Commission (NWPC) Executive director Ma. Criselda Sy, said the move of the RTWPB Caraga is in line with the Wage Rationalization Act, or R.A. 6727, which provides for the adoption of a TTWS as a reform within the current minimum wage

system, aimed at improving the coverage of minimum wages; promoting worker and enterprise productivity; and addressing the negative effect of minimum wage policies. The advisory was signed by all the members of the RTWPB Caraga, headed by DOLE Regional Director Johnson Canete, Chairperson; Dir. Mylah Faye A.B. Carino of the National Economic Development Authority, Vice Chair p ers on; Dir. Brielo O. Pagaran of the Department of Trade and Industry, Vice Chairperson; Rolando C. Dahang and

Joselito V. Soriano, Labor Sector Representatives; and Jocelyn F. Yee and Jorge Uy , Management Sector Representatives. “It has been shown that pro duc t ivity-b as e d p ay schemes lead to higher levels of productivity for competitiveness and preserves a n d g e n e r at e s g a i n f u l employment. The DOLE, under the TTWS, encourages business enterprises to adopt productivity improvement and gain-sharing schemes to augment the wages of their workers,” Baldoz said. mining/PAGE 11

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