CHEAP, CLEAN GEOTHERMAL ENERGY ENJOYED BY OTHER REGIONS AT THE EXPENSE OF ALBAY : SALCEDA

LEGAZPI CITY --- Albay Gov. Joey Salceda expressed dismay over the benefits other provinces has been reaping from cheaper and clean electricity supplied by geothermal energy fields in Albay.

Salceda cited the Aboitiz Power Corp., an Independent Power Producer (IPP), has recently announced that it is already supplying energy to San Fernando Electric Light and Power Co. in Pampanga.

He said “It is so unfair. Consumers of San Fernando Electric Light and Power Co. are getting cheaper electricity from Albay.”

Salceda said that while other provinces are enjoying the geothermal resources from Albay, the province is currently enduring the spikes in power rates imposed by the Philippine Electricity Market Corporation (PEMC).

The Albay Electric Cooperative (Aleco) has to settle some P982 million in outstanding power bills with PEMC. For the electric cooperative to pay, the amount of P1.63 additional charge on the electric bills will be passed on to consumers as “PEMC debt recovery charges”.

According to Salceda, Aleco has been a “problem cooperative” for the past years due to debts from the Power Sector Assets and Liabilities Corp. (PSALM) amounting P1.7 billion and with the National Electrification Administration (NEA) amounting to P180 million.

Salceda said that responsible for the mounting unsettled debts of the electric cooperative is the spikes in electricity rates imposed by the Wholesale Electricity Spot Market (WESM) which according to him the PEMC is the operator of WESM.

He said the irony with it is what Albayanos get from supplying the country with cheap and clean energy - 330MW from Tiwi, Albay since 1976 although lower now at 160MW which the Aboitiz is now operating and by next year the Bacon-Manito (BacMan) would start operation with another 240MW power generation?

He added that the nationalization of the geothermal fields singlehandedly killed Albay tourism after the famous steam bath cubicles locally known as banyos were forced to close, as the natural steam it produces no longer exists.

Second, even if we strip out Aleco inefficiencies, power purchase costs are far higher at WESM and even a similar bilateral supply contract fetched higher costs for comparable volume, he pointed out.

Third, of course, what the province gets is the depletion of its geothermal reserves that deprives future generations of Albayanos of their benefit even as the past generation as well as the present only enjoyed the bragging rights of hosting such national treasure with hardly any financial claw back.

Salceda said he was informed that Aboitiz Power has started supplying San Fernando Electric in Pampanga with power from its Tiwi and MakBan geothermal facilities in Bicol and Laguna, respectively, on September 26.

San Fernando Electric will have Aboitiz Power as its exclusive energy supplier until December 25, 2012.

Salceda quoting a report from the San Fernando Electric Co., said the Aboitiz Power coming from Albay is sold at a cheaper price thus electric consumer in Pampanga pays less because there is no value-added tax imposed on renewable. (PNA Bicol/PIA/mal)

P1M, OTHER PRIZES UP FOR GRAB IN BIR’S ‘PREMYO SA RESIBO’

LEGAZPI CITY — P1 Million… anyone?

Then, ask for receipt of your commodities purchased, services paid and join the Instant ‘Premyo sa Resibo’ (PSR) promo of the Bureau of Internal Revenue (BIR) and be the next instant millionaire.

BIR Bicol Regional Director Atty. Diosdado Mendoza told PIA News Service that a lady from Baguio City won the P1 million stake in the PSR’s August Anniversary draw last August 31 held at the SM San Lazaro.

According to Mendoza,, aside from the chance of winning instant cash as high as P1 million and other exciting prizes, joining the ‘Premyo sa Resibo’ promo is alsovone of the agency’s flagship projects to encourage consumers demand for receipts which eventually is a big help in the country’s revenue collection.

He added that ‘Premyo sa Resibo’ will also determine whether establishments from where purchases are made are duly registered or not and beef up campaign against tax evaders and in monitoring the tax declaration of commercial establishments.

“The purpose of the PSR is to encourage buyers of commodities and services to always ask for receipts. This will help the government determine the true true gross sales/receipts of commercial establishments or businesses,” Mendoza said.

PSR is a texting promo open to Smart, Talk N Text, Globe, Touch Mobile and Sun Cellular prepaid and postpaid subscribers nationwide. What the public need to do is to ask for receipt, and text PSR (space) TIN No. of O.R. (space) O.R. No. (Space) O.R. Amount and send it to 9777 (for single entry) or 9778 (for multiple entry).

For multiple entries the participant is entitled to 1 entry for every P100 reflected in their O.R. and amount will be rounded out to the next hundred for fair play (For example P230 O.R amount – entitles a participant to 3 entries).

Winners will get a congratulatory text from 9778 and a confirmation call from PhilWeb.

Mendoza has urged the public to join in the said promo, adding that the next PSR monthly draw will be held on October 17. (MALoterte, PIA V)

BICOL TOPS FISHERIES PRODUCTION WITH 9.15% GROWTH FOR 1ST SEM

PILI, Camarines Sur — Bicol Region has topped the growth in fisheries production among all regions in the country for the period of January to June 2010 by registering 9.15% growth compared with the same period last year, according to the data released by the Bureau of Agricultural Statistics (BAS).

Bureau of Fisheries and Aquatic Resources (BFAR) Bicol Regional Director Dennis del Socorro averred that the region’s fisheries production for this period increased by 13,185.87 metric tons from 144,040.50 metric tons (mt) to 157,226.37 metric tons.

Fisheries production is composed of three sub-sectors, namely: the commercial, municipal and aquaculture.

Del Socorro said that the commercial fisheries sub-sector registered the highest growth with 11.78% increase. Meanwhile, the municipal and aquaculture sub-sectors surged by 8.63% and 8.04% respectively.

According the BFAR Bico chief, this report from BAS is a very inspiring indicator of the joint efforts of the government and private sector in the sustainable utilization of the fisheries resources in Bicol.

The report also showed that there is still a wide room for improvement from the aquaculture sub-sector, where BFAR is giving much emphasis to generate jobs and additional income.

BFAR spearheads numerous aquaculture activities in the region such as the establishment and operation of mariculture parks, seaweed farms and backyard fishponds. (RCAcanabe, BFAR V/PIA/mal)

THREE SUSPECTED PAGS NABBED, HIGH POWERED FIREARMS AND AMMUNITIONS SEIZED

LEGAZPI CITY ---Task Force Masbate (TFM) operatives collared Thursday (September 30) three people suspected as members of a Private Armed Group (PAGs) and seized high powered firearms, ammunition and explosive chemical compound and blasting caps in a village in Aroroy town in Masbate, reports reaching Police Camp Simeon Ola said.

Arrested were Roberto Tugbo, Rico Sandig and his cousin Edwin Sandig, all natives of Aroroy town.

Police Senior Supt. Thomas Semeniano, Masbate police director, said the TFM raiding team led by Police Supt. Henry Ranola TFM commander had on its PAGS watch list the names of the three suspects who were subject to a month long surveillance operation.

The raiding team armed with search warrants swooped down at about 6:45 a.m. on three houses in barangay Siwayan, Aroroy town where the suspects, the suspects did not resist arrest while the operatives found in their possession several high powered firearms, ammunitions and explosive materials.

Operatives seized an M16 Baby Armalite rifle, a 9mm KG9 improvised submachine gun, two .45 cal. Handgun, a 12 gauge shotgun and a .22 cal. revolver.

The raiding team also seized assorted types of ammunitions composed of 52 bullets from M16 rifle, 17bullets of 9 mm, nine .45 cal., 33 piecdes 12 gauge bullets, four fully loaded M16 magazine,two .45 magazines and several blasting caps and explosive nitrate compound.

Ranola in his report said the suspects did not admit allegations that they are members of a PAG operating in the area, they claim to be small time gold panners.

The suspects are now in the custody of the police in Aroroy town as criminal cases of illegal possession of firearms and ammunitions and violation of the COMELEC gun ban are filed against them. (PNA Bicol/PIA/mal)

IBALONG FESTIVAL SET TO BE PRIVATIZED, WEEK-LONG FESTIVITIES OFF OCT. 1

LEGAZPI CITY --- Organizers of the Ibalong Festival in this city are considering the option of privatizing the management and operation of the week-long festivities depicting Bicol’s culture and tradition, a city official said on Wednesday (September 29).

City Mayor Carmen Geraldine Rosal, concurrent honorary chairperson of the Ibalong Festival Executive Committee, said they are studying the plan to scout for private organizations to handle and operate the Ibalong Festival similar to festivals in other places which are run by private entities.

Rosal disclosed the privatization scheme at a press conference on Wednesday kicking off the start of the Ibalong Festival on Friday (October 1).

She however said the city government would screen the capabilities of the organization or association that wishes to manage the festival.

The city government has managed the Ibalong Festival since 1992 and has invested almost hundreds of millions to finance the weeklong festival.

She said “we are offering the Ibalong Festival to those private entities that are interested to manage the city festival, but the city government will still be there to assist t hem.”

Rosal said she is confident that the next Ibalong Festival would be effectively managed by private entities.

Ibalong Festival now on its 19th year will formally open on Wednesday, the weeklong revelry will showcase trade fairs, art exhibits, tours, and beauty pageants, and sports competitions.

Rosal said the city government will spend P3.8 million to finance the operation of the weeklong festival.

Highlighting the festival will be a street presentation depicting the early times where ancient heroes of extraordinary strength and abilities namely Handiong, Baltog, and Oryol marked their names in Bicol’s history as their heroic stories of them fighting foes and wild animals are repeatedly being told in an epic portrayal that is held as the main feature of the Ibalong Festival.

Ibalong Fest started in 1992, the festival brought new face to the nature and culture of Legaspi, as the city’s thriving population grew.

Approximately one thousand participants performed dancing and singing in a procession to the tune of a band of bamboo instruments.

In the past festivals floats and even more crowd of about eight thousand joined the celebration in the festival.

The street dancing covers about three kilometers of procession consisting of band, street performers and floats. Big amount of prizes are at stakes to outstanding performers.

Perfomers, dressed in colorful costumes, danced their way to the intoxicating beat of the music.

The procession’s stages were the colorful floats of decorated trucks with bands that play loud music.A drum and bugle corps, a reggae band, or a rock band a boarded each truck. (PNA Bicol/PIA/mal)


President Aquino is for responsible parenthood, abhors abortion

MANILA — President Benigno S. Aquino III is for responsible parenthood and is against abortion.

In a statement on Thursday (September 30), the President said he is resolute in his position on the issue.

“We are all guided by our consciences. My position has not changed. The state’s duty is to educate our families as to their responsibilities and to respect their decisions if they are in conformity to our laws,” the Chief Executive said.

Presidential Spokesperson Edwin Lacierda, in a press briefing on today (October 1) echoed the President’s position that parents are the ultimate decision-makers after being informed of the various choice of family planning. He added that the government will respect whatever their decision is and they will be given assistance by the government if they would require such help.

He added that the government should educate the public on responsible parenthood and informed choice on family planning, including the Church’s natural methods of family planning.

“We believe our position is reasonable, righteous and for the welfare of the people,” he stressed.

The Presidential Spokesperson also said that Malacañang remains hopeful that the Catholic Bishops Conference of the Philippines (CBCP) will heed its call for a dialogue to discuss the President’s position on the issue as there have been so many misconceptions and speculations.

“We want to clear the air with the bishops,” Lacierda pointed out.

Lacierda recalled that when he was still Senator, the President wrote a letter to CBCP stating clearly his position on the matter and his willingness to enter into a dialogue with the bishops, but there was no response to date. (PIA V Release)

A high-level delegation off to China this month

MANILA — A Philippine high-level delegation will be sent to China this month to present the report of the Independent Investigative and Review Committee (IIRC) on the August 23 hostage taking incident in Manila.

In a media briefing at Malacanang on today (October 1), Presidential Spokesperson Edwin Lacierda said the trip would likely push through after the October 1-7 holiday in China.

Once President Benigno S. Aquino III gives the go-signal, Lacierda said the delegation, headed by Vice President Jejomar Binay and Foreign Affairs Secretary Alberto Romulo, will proceed with the trip to the mainland.

At present, Lacierda said the President is carefully studying the report and recommendations submitted by the IIRC. (PIA V Release)

RP to take part in Trans-Pacific Partnership

MANILA — The Philippines, under the leadership of President Benigno S. Aquino III, aims to participate in the Trans-Pacific Economic Partnership Agreement or Trans-Pacific Partnership (TPP) to be able to forge bilateral trade agreements with the participating nations, including the United States.

Trade Secretary Gregory Domingo, in a press briefing at Malacanang on Thursday (September 30), said forging a bilateral agreement with the United States, the Philippines leading trading partner, will be remote if the Philippines will not join the TPP, as the US recently made a policy of not entering into bilateral agreements.

“The only way we can have a trade agreement with the US right now is through the TPP so it makes a lot of sense for us to be with TPP. Otherwise, we will be left behind,” Domingo said.

Domingo, however, recognized the fact that the TPP agreement requires the government to work harder and strengthen its laws on human rights, child labor, environmental protection, property rights, among others. Besides, he said, joining the TPP is “by invitation.”

“We have to do a lot of work on our side,” he added, saying “laws are difficult to get but quite achievable, but constitutional amendments are difficult to get. We don’t even know when it could be done.”
He noted that the TPP is a long process, but what is important for now is that the Philippines has made known its intentions, and informal talks with the group have begun.
The TPP agreement is a multilateral free-trade agreement with an objective of creating a platform for promoting economic integration among nations in the Asia-Pacific region. The framework currently comprises eight countries---Australia, Brunei, Chile, New Zealand, Singapore, Peru, Vietnam and the US. (PIA V Release)

U.S. power company to expand business in RP, help reduce power cost

MANILA — An additional 600-megawatt power generation capacity is coming in to help boost the power generators in the country and will eventually reduce power costs in the years ahead.

In a press briefing at the New Executive Building Wednesday morning (September 29), Energy Secretary Rene Almendras said that AES, one of the world’s power generating companies, will expand its power-generating plant in Masinloc, Zambales. The expansion project will add 600 megawatts of generation capacity to its existing thermal plant in the country.

Almendras explained that the project was part of the $2.4 billion in new investments President Aquino brought home from his week-long working visit to the United States last week.

He said three weeks before the US trip, a senior team of AES officials met with him to discuss the company’s immediate concerns regarding the expansion.

Part of their discussions was the power company’s experience in other developing countries particularly Chile and the South America. Almendras said these nations actually face the same problems that the Philippines has, which could be addressed through liberalization of the energy sector and encouragement of private sector investments.

The AES expansion project is expected to help lower power costs. Being an additional base load generation and coal-fired, which is one of the cheaper options for power sources, it will help stabilize cost structure in the energy sector.

Compared to diesel- and fuel-fired power plants, base load generation is a much cheaper source of power.

“Ang problem natin tuwing magkukulang tayo ng base load generation from the geothermals, the hydros and the coal-fired, we end up running our diesel-fired and bunker fuel-fired plants. When we do that, tumataas ang cost,” Almendras explained. “Kaya it is very important for us to have a base load generation,” he added.

In April 2008, AES expanded into the Philippines, completing the $930 million purchase and transfer of assets of the 660 MW (gross) Masinloc coal-fired thermal power plant in Luzon.

The acquisition was a key component of AES’s strategy to invest in areas where there is a significant need for new capacity. It also offered the company an excellent entry point into the growing Philippine economy through one of the lowest cost thermal plants in the system.

The Masinloc project is a particularly attractive investment because the existing facility has the infrastructure in place to allow AES to add an additional 600 MW of generation capacity.

As it has done through similar acquisitions in other parts of the world, the company expects to improve the overall efficiency and output of the existing plant, providing more reliable energy to the Philippine market.

Originally constructed in 1998, the plant uses coal from a variety of sources in the Pacific Rim. Through the project, AES operated the Philippines’ first privatized thermal plant. (PIA V Release)

Gov’t eyes nuclear energy to address power shortage

MANILA — The government will be conducting a study on the possible use of nuclear energy to address an impending power shortage in the country.

In a media briefing in Malacañang, Energy Secretary Jose Rene Almendras said the Department of Energy (DOE) is now working for the approval of some P50-million budget for the study on nuclear technology.

“If that is approved, hopefully we can start that next year,” Almendras said.

Almendras said the Philippine study is in line with the commitment of member countries in the Association of South East Asian Nations (ASEAN) to implement activities on the peaceful and safe use of nuclear energy when he attended the 28th ASEAN Ministers on Energy Meeting (AMEM) in Da Lat, Viet Nam last July.

“The study we want to do is non-military use of nuclear energy. This is really along the lines of something that we agreed to with the rest of the Association of South East Asian Nations in Da Lat where we agreed with all the ministers of energy that we would like to work together in preparing the safety standards for non-military nuclear use,” Almendras said.

Almendras said the ASEAN energy ministers will finalize the terms of reference for the base consultancy in the upcoming 29th ASEAN Ministers on Energy Meeting in Brunei Darussalam to be scheduled about July or August next year.

“So the resources that we will get if our budget is approved will actually help us in working with the rest of the ASEAN in determining the parameters or guidelines in nuclear energy use,” Almendras said.

During the recent US trip of President Benigno S. Aquino III, Almendras said several groups have expressed interest in building a nuclear power plant, including the rehabilitation of the mothballed Bataan Nuclear Power Plant. But he told them the Philippines still has to review its national policy on the use of nuclear energy.

“There were interests to try to bring nuclear energy to the Philippines but I have to let them know that we have not yet resolved the question of whether we are going to be open to it or not,” Almendras said.

Earlier, the DOE called for the efficient use of energy, including the tapping of other renewable sources of energy, projecting that the country will likely experience a power shortage as early as 2015. (PIA V Release)

Malacañang conducting study to amend EPIRA law

MANILA — The Department of Energy has created a Task Force to study what possible amendments could be done to the Electric Power Industry Reform Act, otherwise known as the EPIRA law, to make the law more attuned to the “realities that we are presently in,” Energy Secretary Jose Almendras said Thursday (September 30).

In a press conference in Malacañang, Almendras said it was high time to effect changes to the law to entice more power companies to invest in the country.

He said that during President Benigno S. Aquino III’s recent trip to the United States, American power provider AES’s pledge to invest $1-billion in the country was based on the Philippine government’s commitment to work on amending the EPIRA law.

“You know very well that the EPIRA law does not allow the government to sign take-or-pay arrangements anymore or participate in an active guarantee structure for such things,” Almendras said, referring to a provision of said law that disallows the government to “guarantee” the economic viability of power consumers such as electric cooperatives.

“So I had to explain to them what the programs were that we in the energy family are thinking of in order to enhance the credit-worthiness as well as the strategic sustainability of the electric cooperatives, that eventually they have to sign contracts with power companies in order to guarantee that off-take arrangement,” he added.

An off-take arrangement is an agreement between a producer of a resource and a buyer of a resource to purchase/sell portions of the producer's future production.

An off-take agreement is normally negotiated prior to the construction of a facility such as a power plant in order to secure a market for the future output of the facility.

If lenders can see the company will have a purchaser of its production, it makes it easier to obtain financing to construct a facility.

Almendras said he had told AES of the government’s energy reform plan which included “discussing with them some of the amendments we will be proposing for the EPIRA.”

“We are nine years into the EPIRA implementation so it’s really about time that we do these changes,” Almendras said.

“These companies are actually looking for signals such as that: that we are willing to look at the laws, rules and structure that we have today and adjust it to the realities that we are presently in,” he added.

“There’s a group within the energy sector under my office that’s studying reforms to the EPIRA law,” Almendras said.

He stressed however that the government will not “rush” these amendments to ensure that the all bases are covered and that its “implementation is done well.”

“We’re not going to rush this. We’ve agreed with both houses of Congress that we will do a really good job of doing this, so we are not going to rush this. We’re going to do it quite slowly and make sure the implementation is done well,” Almendras said. (PIA V Release)