MPIC unit offers to acquire 3.46% stake of gov’t in NLEX

By Darwin G. Amojelar

METRO Pacific Tollways Corp.

offered to buy the stake of the government in the North Luzon Expressway.

“We made an offer to acquire the stake of TRB [Toll Regulatory Board], BCDA [Bases Conversion and Development Authority] and national government in NLEX. It’s being evaluated now by government,” MPTC president and

Kia eyeing higher sales on electric vehicle entry

KIA Philippines Motor Corp. expects sales to hit 7,000 units in 2023, about 12 to 13 percent higher than its 2022 sales with the entry of its fully electrified vehicle into the Philippine market.

Kia Philippines newly-appointed chief operations officer Brian Buendia said the Korean car brand aims to increase its market share to 1.6 percent from 1.4 percent last year.

“We expect this much if the third and fourth quarter supply will be coming in as planned. We hope to grow faster than the industry and with 9 percent growth in May we are trying to catch up with industry growth of 13 percent. That is good enough for us because we experienced some hiccups in supply,” he said.

He said orders for the EV6, its first fully electric vehicle offering in the Philippines, launched in March 2023, has been delayed due to supply concerns. The first batch of orders placed in the second quarter is due to arrive by next week.

Buendia said competition for the unit is rising in the region and the increasing demand from the mother country is also putting pressure on supply.

Kia Philippines expects to sell about 100 units of the EV6 in 2023.

Kia Philippines’ best selling unit, the Stonic, will continue to drive sales in 2023 and the introduction of a new SUV by September is also expected to help buff up sales.

Kia Stonic make up almost half of Kia Philippines’ sales at 49 percent. It is followed by the Soluto and K2500.Othel V. Campos

DITO expands offerings to include postpaid plans

DITO Telecommunity Corp. has rolled out its mobile postpaid plans in a bid to further expand its subscriber base.

“As we launch our mobile postpaid plans, we want to challenge the mindset that postpaid is only for the few. With DITO, Filipinos can now aspire for a digital upgrade they long for,” said DITO chief commercial officer Evelyn Jimenez.

DITO Mobile Postpaid FLEXPlans is the postpaid product of DITO Telecommunity designed to deliver unparalleled services to all Filipinos. Powered by its next-generation technology, DITO’s new mobile postpaid plans feature generous data allocation versus other competitors, UNLI all-net calls & texts, Advance Pay, Video Over LTE, premium and affordable handset offerings, data rollover, fast & easy application process- all these will surely give Filipinos a well-deserved upgrade.

“Apart from acquiring a premium handset, our postpaid plans also encompass all the benefits consumers can enjoy and experience with DITO. So, whether you’re a prepaid user switching to postpaid or an existing postpaid user wishing to change provider, our mobile postpaid plans will give you an upgrade and elevate your digital lifestyles at an affordable cost,” Jimenez said.

DITO started its commercial operations in 2021 with 14.96 million subscribers as of December last year. Darwin G. Amojelar

PSALM sets CBK hydro privatization next year

STATE-RUN Power Sector Assets and Liabilities Management Corp. has moved the planned privatization of the 797.92 megawatts Caliraya-Botocan-Kalayaan hydropower plants to 2024.

“PSALM finalizing our plans for CBK in coordination with our consultant ADB. Various challenges on security asset, long term viable ASPA (asset sale and purchase agreement0, transmission and power charges,” PSALM president Dennis de la Serna said.

“It’s going to be hard. We are hopeful for 2024,” he said.

PSALM initially set the CBK HEPP’s privatization this year after the successful sale of the 165-megawatt Casecnan hydroelectric power plant in Pantabangan, Nueva Ecija to Fresh River Lakes Corp., a subsidiary of the Lopez Group’s First Gen Corp. last month. The CBK hydro facility consists of 22.6-megawatt Caliraya in Lumban, 20.8-MW Botocan in Majayjay, and 684.6-MW Kalayaan I and II in Kalayaan, Laguna. J-Power and Sumitomo Corp. of Japan operate the CBK power plants. PSALM is the agency tasked under the Electric Power Industry Reform Act

Pse Index Closing

chief executive Rogelio Singson said.

“I understand before I came in there we’re already in discussion [to acquire the government’s stake in NLEX]. We are just awaiting the valuation,” Singson, who was appointed as the new president of MPTC earlier this month, said.

The government in February announced the plan to sell its 3.46-percent stake in NLEX to bankroll funds for the Maharlika Investment Fund.

MPTC is the tollways infrastructure unit of Metro Pacific Investments Corp.

MPIC is one of three key Philippines units of Hong Kong--based First Pacific

Co. Ltd.

It owns 70.78 percent of NLEX, while BDO Unibank holds 11.7 percent; EGIS Investment Partners Philippines Inc., 10.16 percent; and Global Fund Holdings, 3.9 percent. NLEX earlier booked a net income of P2.1 billion in the first quarter of the year, up 38 percent from P1.5 billion in the same period last year.

The company recorded revenues amounting to P5.1 billion, up 31 percent from the first quarter of 2022 figures due to stronger travel demand and higher toll rates implemented in May and June 2022.

Average daily traffic along NLEX reached 320,863 vehicle entries as of March, higher than thr 2022 figures by 20 percent, while average daily traffic along SCTEX reached 80,261 entries or 23 percent above last year’s figures covering the same three-month period.

NLEX spans about 105 kilometers or 598 lane-kms. and is the main infrastructure backbone that connects Metro Manila to Central and Northern Luzon, while SCTEX is a 93.77-km four-lane divided highway, traversing the provinces of Bataan, Zambales Pampanga and Tarlac.

By Jenniffer B. Austria

THE Securities and Exchange Commission has filed a criminal complaint with the Department of Justice against six lending firms for employing abusive debt collection practices and failure to disclose their online lending platforms.

SEC, in a statement, said its Enforcement and Investor Protection Department filed criminal charges against FESL Lending Investor Corp., FESL Business Process Outsourcing Services, Realm Shifters Business Process Outsourcing Services, U-Peso.ph Lending Corp., Philippine Microdot Financing Corp. and Armorak Lending Inc. SEC alleged the companies violated of Republic Act No. 9474, or the Lending Company Regulation Act, Republic Act No. 11765 or the Finan - cial Products and Services Consumers Protection Act and the SEC FCPA Implementing Rules and Regulations, according to SEC.

The agency also implicated Gwen Lemuel Zamora, incorporator, director and corporate secretary of FESL Lesing as well as the registered owner of FESL BPO, and Jennifer Mangubat Salvador, the registered owner of Realm Shifters.

The regulator also charged the beneficial owners, incorporators, and officials of the six lending firms.

The cases stemmed from the joint operation between SEC Task Force on Online Lending Application and Philippine National Police Anti-Cybercrime Group following several complaints against these companies.

The FCPA prohibits the use of unfair and abusive debt collection practices by lending corporations against borrowers.

Development Project.

LCRA also provides that no corporation can act as lending company without authority to operate from the SEC.

“A plain-view inspection of the desktop monitors confirmed both organizations’ suspicions that the respondent managerial employees were sending threatening messages to the OLP’s borrowers and borrowers’ contacts which is a clear violation of the FCPA,” SEC said.

“As attested by the Digital Forensic Examiners and arresting officers from PNP-ACG and personally witnessed by members of SEC-EIPD team, the collecting specialists of respondents employees threats, harassment and intimidation in collecting the debts from delinquent borrowers,” it said.

THE Department of Finance will oppose proposals that will result in lower revenues from value-added tax, Secretary Benjamin Diokno said on Wednesday.

Under the existing policy structure for VAT or taking into account the existing VAT exemptions and zero rating, Diokno said the administrative gap computed for 2018 is P546 billion, or equivalent to 3 percent of GDP.

“This is 41.6 percent of potential revenue under the existing policy structure. This revenue loss would be higher if we introduce more exemptions to the VAT system. The government cannot afford to lose additional revenues on VAT,” Diokno said during the weekly Kapihan sa Manila Bay forum.

“It is also for this reason that the DOF does not support any legislative or non-legislative proposals that would further erode the VAT revenue base. Even after TRAIN [Tax Reform for Acceleration and Inclusion] and CREATE [Corporate Recovery and Tax Incentives for Enterprises] laws, the DOF continues to push and implement tax policy and administration reforms on VAT,” Diokno said. Diokno also said DoF would review the VAT exemptions, although he said those that pertains to education and health might possibly stay.

Diokno said without exemptions, zero rating and at 100-percent efficiency, it is estimated that the government has to be collecting VAT equivalent to approximately 10.7 percent of GDP.

“GDP is the peso value of all the goods and services that we produce in a given period [VAT inclusive]. At present, we are only collecting around 4.7 percent of GDP which makes the combined tax policy and administrative gap to around 6.0 percent of GDP,” he said. Julito G. Rada

By Othel V. Campos TRADE Secretary

Alfredo

Pascual

asked for increased support from the European Investments Bank on funding environmental and sustainable projects in the Philippines.

Pascual, who led Philippine trade delegation to Europe, said EIB is interested to finance a number of the government’s flagship and key projects such as the Mindanao Agro Enterprise

“The Philippines offers vast opportunities in sustainable manufacturing, services, and connectivity. Key sectors such as electric vehicles, battery manufacturing, mineral processing, electronics, and semiconductors align with new industrial technologies and renewable energy,” Pascual said.

“With a strong presence in the IT-BPM space, the Philippines serves global markets with vertical-focused solutions. The country’s supportive environment enables multinational companies from Europe and elsewhere in the world to operate effectively and efficiently,” he said.

Other areas of interest for the EIB include digital connectivity, public transport, green economy, renewable energy, agriculture, and health sectors.

As the largest multilateral financial institution in the EU, the EIB aims to promote job creation, economic growth, and development in Europe.

It prioritizes projects related to climate change mitigation and adaptation, social and economic infrastructure development, and support for small and medium enterprises at the local level.

Pascual said that green and sustainable economy would be of interest to the EIB.

He said the Department of Trade and Industry is committed to achieving a green transition and digitalization of industries, particularly for the micro, small, and medium enterprises.