Transco must remit half of earnings to NG By Joel R. San Juan
T MEDIA FRENZY AT TERMINAL 1 Cassandra Ong and Sheila “Sandra” Guo arrived from Jakarta Thursday afternoon on PR 540, heavily guarded by airport police. The DOJ-NBI team handed them over to the Bureau of Immigration just outside Terminal 1, amid a chaotic scene as media clashed with police and PNP officers to capture the moment. Story in A3 Nation. BERNARD TESTA
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HE Department of Justice (DOJ) has ruled that the Nat iona l Transmission Corporation (Transco) is required to remit at least 50 percent of its annual net earnings to the national government under Republic Act No. 7656 or Dividend Law. In a three-page legal opinion signed by Justice Secretary Jesus Crispin Remulla, the DOJ pointed out that Section 3 of the Divided Law mandates that “all government-owned or-controlled corpo-
ration (GOCCs) shall declare and remit at least 50 percent of their annual earnings as cash, stock or property dividends to the national government.” The DOJ held that Transco is a GOCC created under Section 8 of the Electric Power Industry Reform Act of 2001 for the purpose of assuming the electrical transmission function of the National Power Corporation [NPC]. The DOJ made known its position in a three-page legal opinion sought by Power Sector Assets and See “Transco,” A2
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PESO SEEN STRONGER VS. DOLLAR, P56:1USD www.businessmirror.com.ph
By Cai U. Ordinario @caiordinario
T
HE Philippine peso could strengthen further against the dollar given the dovish stance on monetary policy by the Bangko Sentral ng Pilipinas (BSP), according to the Bank of America. In its latest brief, the Bank of America said it has revised its outlook for the Philippine peso to P56 to the US dollar this year from its initial estimate of P57 to the greenback. This expectation of a further strengthening of the peso, the bank said, was also supported by the BSP’s recent decision to cut key policy rates. “ PHP [Ph i l ippi ne peso] h a s strengthened vs the USD (US dollar), but less so compared to peers in the region, taking cues from the BSP's rate cut in the last meeting and dovish guidance for another possible cut this year,” Bank of America said. The bank also noted expectations that the US Federal Reserve will soon reduce its policy rates, leading the peso to appreciate against the US dollar. It also noted geopolitical concerns that could only be temporary and lead to the peso's appreciation against the greenback. “With the Fed cutting cycle likely commencing soon, PHP could still appreciate vs the USD over time, which would keep BSP relatively comfortable on FX [foreign exchange moves,” the Bank of America said.
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Friday, August 23, 2024 Vol. 19 No. 311
P25.00 nationwide | 2 sections 22 pages | 7 days a week
NGAs must report fund use every quarter—DBM
MASKED AGAIN? A pedestrian walks past a mural of people wearing facemasks in Pasig City, on Thursday, August 22, 2024, a haunting reminder of the pandemic that reshaped the world. As fears spread of a new global health emergency with the spread of mpox, Health Secretary Ted Herbosa has issued a warning about community transmission, though health officials said it could only be transmitted by intimate skin-to-skin contact or exchange of body fluids. Herbosa urged those who test positive to isolate immediately. The World Health Organization (WHO) recommends covering wounds and wearing a medical mask during interactions to further safeguard against the virus. NONOY LACZA
By Reine Juvierre Alberto
N
@reine_alberto
ATIONAL government agencies are mandated to submit their budget utilization reports after the end of each quarter to allow for timely monitoring of those with low budget utilization rates. In a news forum on Wednesday, Budget Secretary Amenah F. Pangandaman said the quarterly submission of the Status of Appropriations, Allotments, Obligations, Disbursements, and Balances (SAAODB) to the DBM is an old practice but had not strictly been followed. Constitutional offices and state universities and colleges (SUCs) are also required to submit the report through the Unified Reporting System of the DBM. To recall, Pangandaman issued Circular No. 2024-12 on June 28, 2024, directing all government agencies and SUCs to submit their See “NGAs,” A2
ADB: MOST HOMES HAVE NO DISASTER KITS
M
AJORITY of Filipino household s do not have disaster emergency kits or evacuation bags that are crucial in preparing for various calamities, according to the Asian Development Bank (ADB). Based on the latest Key Indicators for Asia and the Pacific 2024, the Manila-based multilateral development bank said 81.8 percent of households do not have these evacuation bags or emergency kits. Similar to such households that are not prepared for calamities, many national statistics offices across the region are also
ill-prepared in terms of generating data on climate change. “Asia and the Pacific is at the forefront of the climate battle,” said ADB Chief Economist Albert Park. “The deadly heat waves and catastrophic floods we’ve seen in recent months show us what’s at stake. We need high-quality data and robust statistical capacity to avoid policy blind spots and make sure our strategies for tackling the climate crisis are well-informed. This means we need to invest in our statistical systems, our people, and our institutions. The cost of not doing so will be far higher than the cost of these investments.”
Based on available data from the Philippine Statistics Authority (PSA) Annual Poverty Indicators Survey 2022, the proportion of households with a disaster emergency kit or evacuation bag also ranged anywhere from 9.2 percent to 29.2 percent for different localities across the country. The ADB report said many households without disaster kits but have experienced a natural calamity or calamities are located in Central Visayas, Western Visayas, Caraga, Mimaropa, and Eastern Visayas. See “ADB,” A2
See “Peso,” A2
PESO exchange rates n US 56.4480 n japan 0.3888 n UK 73.9130 n HK 7.2431 n CHINA 7.9169 n singapore 43.2452 n australia 38.0572 n EU 62.9395 n KOREA 0.0423 n SAUDI arabia 15.0456 Source: BSP (August 22, 2024)