MAP: Clarifying goals of PPP projects crucial By Andrea E. San Juan
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HE Management A ssociation of the Philippines (MAP) has listed recommendations to strengthen government and private sector collaboration, including defining the objectives of different public and private partnership (PPP) projects. At the Pilipinas Conference 2022 on Tuesday in Makati City, MAP President Rogelio Singson presented MAP’s recommendations for Socioeconomic Planning Secretary Arsenio M. Balisacan and some Cabinet secretaries. Singson said these recommendations intend to achieve and create an “atmosphere of trust” between the public and private sector.
Among the recommendations, Singson noted that it’s important to “clearly define the purpose and objectives of the different public and private partnership projects.” He added that mixing the objectives “may not be a good proposition.” With this, he dropped a rhetorical question, noting, “Is the PPP project a fundraising project for government, like disposition of government shares or are these development of airports, toll roads, is the objective to let the private sector provide the public service republic good using private sector technical financial capability and giving the benefit to the public users of the facility?” Another recommendation of the business group is to “leave the operations and maintenance
of public infrastructure to the private sector.” Singson said this particular recommendation was born out of the “very restrictive government procurement rules and regulations which practically prevents even well-meaning government officials from being able to do a good job.” In fact, the head of MAP cited a few examples of such restrictions: awarding to the lowest price equipment supplies, having no value for money proposition, budgetary constraints which he said is on a yearly basis and therefore procurement will not be on economies of scale “but you have to buy based on what is budgeted.” Singson cited more examples of restrictions such as limited al-
lowable emergency purchases, and limited allowable overtime, among others. The head of MAP also stressed the third recommendation—to “create a level playing field.” Singson noted that it’s important to “provide an atmosphere supported by policies,” taking into consideration the rights of both the public and private sector. Both the state and private sectors, he added, must fully understand the technical, commercial and legal aspects of the PPP projects, particularly the risk-sharing arrangement which is referred to as the material adverse government action (MAGA). See “MAP,” A2
BusinessMirror A broader look at today’s business
DOE EYES FINAL EXPERT STUDY ON USING BNPP www.businessmirror.com.ph
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Wednesday, November 23, 2022 Vol. 18 No. 42
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US Vice President Kamala Harris arrives for a vessel tour on board the Philippine Coast Guard BRP Teresa Magbanua (MRRV-9701) during her visit to Puerto Princesa, Palawan, on Tuesday, November 22, 2022. Harris visited a western Philippines island province at the edge of the South China Sea on Tuesday to amplify America’s support to its treaty ally and underline US interest in freedom of navigation in the disputed waters, where it has repeatedly chastised China for belligerent actions. (Right) Harris and her husband Douglas Emhoff wave as they depart Puerto Princesa en route to Yokota Air Base in Japan on Tuesday. See story on page A2. PHILIPPINE COAST GUARD VIA AP/HAIYUN JIANG/THE NEW YORK TIMES VIA AP, POOL By Lenie Lectura
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@llectura
S the country scrounges for suitable and affordable energy sources in pivoting away from pollutive ones like coal, the Department of Energy (DOE) will engage the services of an independent firm to help the agency assess once and for all the viability of the mothballed Bataan Nuclear Power Plant (BNPP).
DOE Undersecretary Sharon Garin told reporters on Tuesday that the agency wants to make sure that the almost four-decade-old nuclear
plant is safe to operate should government decide later on to revive it. See “DOE,” A2
BEST-VALUE OFFER TOP OF CONSUMERS’ CHOICE
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UE to inflationary issues, more Filipinos are turning to brands and retailers that offer value for money, convenience and product assortment when it comes to their fast moving consumer good (FMCG) needs, a top executive of Kantar said on Tuesday. “Shoppers don’t really have much of a choice but to absorb inflation because these basic pantry staples—sugar, cooking oil, LPG [or liquefied petroleum gas, etc.—they] actually buy them because they comprise their basic [necessities],” Laurice
Obana, shopper insight director at the Worldpanel Division of Kantar in the Philippines, told reporters in a webinar. Based on their data as of September 11, 2022 versus a year ago, the average inflation rate on FMCG in the country is 9.8 percent. Among the product categories, the price of sugar has increased at 44.3 percent; cooking oil, 39.6 percent; LPG, 29.7 percent; meal flavorings, 17.3 percent; chicken, 16.3 percent; catsup, 15.4 percent; growing-up See “Best-value,” A2
PBBM tells DENR to watch small-scale mining closely By Samuel P. Medenilla @sam_medenilla
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ONCER NED over t he mou nt i ng fat a l it ies i n small-scale mining, President Ferdinand “Bongbong” R. Marcos Jr. is now pushing for measures to regulate the said activity. During his meeting with officials of the Department of Environment and Natural Resources (DENR) on Tuesday, Marcos said he wants to prevent further deaths in small-scale mining through government regulation and support. “We want to legalize small-scale mining firms since many of them
are illegal so their miners have no protection. We want to strengthen the regulatory framework so they can operate legally and their miners are given assistance and protection in their work,” said Marcos in Filipino while addressing DENR officials. A strong regulatory framework, he said, can provide small-scale mining firms access to financing at the same time give their workers social protection coverage. “I think for now the need is for the regulatory capabilities, especially the small scale,” Marcos said. See “DENR,” A2
PESO EXCHANGE RATES n US 57.3140 n JAPAN 0.4033 n UK 67.7795 n HK 7.3450 n CHINA 7.9969 n SINGAPORE 41.4808 n AUSTRALIA 37.8559 n EU 58.7182 n KOREA 0.0422 n SAUDI ARABIA 15.2512 Source:
BSP (22 November 2022)