Container volume doubles at Port of Subic

Container shipments at the Port of Subic doubled as of August this year as Manila continues to experience massive port congestion.

Subic Bay Metropolitan Authority (SBMA) Chairman Roberto V. Garcia, in a press briefing, told reporters that as of August this year, container volume at the Port of Subic has already reached 83,000 twenty-foot equivalent units (TEUs) compared to 43,000 TEUs for the same period last year.

This indicated a 93 percent increase, Garcia pointed out.

The SBMA official said efforts by the agency and partner locators to ensure ease in cargo processing at the Port of Subic, as well as other marketing initiatives, contributed to the rise in container volume here.

“We are the only port in Luzon that has a one-stop shop, and this gives us the competitive edge,” Garcia also explained. “They come to our container port, go to our one-stop shop where offices of the SBMA, Customs, and the Landbank are there all in one place, and in just a matter of 30 minutes, their papers are already processed.”

“The one-stop shop and our marketing programs such as the two recent maritime summits and the formation of a Maritime Technical Group, are all coming into play right now,“ Garcia added.

At the rate the Port of Subic is performing, Garcia said he expect shipping volume this year to double last year’s yearend record of 77,000 TEUs.

The SBMA chair also concurred with Senator Ferdinand Marcos Jr. who said in a recent forum here that Subic is the answer to the current traffic congestion in Manila.

“Senator Marcos hasn’t been here for some time, but he was really impressed with Subic. We are really pushing very hard to increase the volume here to help decongest Manila,” Garcia said.

Subic Bay is the only port in the western seaboard of the Philippines that still has enough capacity to handle additional container volume.

Garcia said that unlike the Port of Batangas, which has now reached its full capacity, shippers can come to Subic any time.

Seven major shipping lines are now calling on the port of Subic on a regular basis. These include Maersk, APL, NYK, and SITC, among others. (RBB/MPD-SBMA)

PHOTO:
Container ships unloads cargo at the New Container Terminal in the Subic Bay Freeport. (AMD/MPD-SBMA)

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Rising volumes push Manila, Subic to upgrade ports

HONG KONG — International Container Terminal Services Inc. is investing heavily in construction and port equipment to improve productivity that will be required to deal with rising container volumes expected through its Manila and Subic import gateways.

Manila International Container Terminal (MICT), the ICTSI flagship, has had a request to spend $107 million on expanding yard capacity approved by the Philippines Board of Investments, while Subic Bay International Container Terminal Corp. (SBITC) recently deployed three new reach stackers and 16 new Kalmar Ottawa terminal tractors.
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Port equipment upgrades are being made by ICTSI, and six new rubber tired gantries have been ordered that may be deployed at either MICT or Subic terminals. This will be added to the three new reach stackers and 16 new Kalmar Ottawa terminal tractors that SBITC commissioned recently.

There has been renewed interest in Subic port that played a large role during the congestion. At the height of the bottlenecks, an order from the government temporarily lifted cabotage restrictions on Subic and Batangas ports that allowed foreign carriers to be loaded or unloaded there if Manila was backed up. Now that the Philippines has scrapped the cabotage law, there is expected to be greater volumes flowing through the country’s smaller ports.

The cabotage reform will bring down the exorbitant costs of domestic shipping and improve efficiency as foreign carriers compete on an equal level with the few local players that have cornered the market, and it has received a warm welcome from the Philippine Ports Authority.

"The major gateways have long been capable of handling bigger ships and our secondary gateways are being improved to handle international vessels," said PPA general manager Juan Sta. Ana.

"They have been improving the capacity and capability of the Philippine ports in anticipation of the implementation of the ASEAN Economic Community at the start of next year, and those measures somehow help the state-owned agency adjust easily to the amendments in the cabotage law,” he said.

Roberto Locsin, SBITC general manager, said terminal productivity and efficiencies will continue to improve as SBITC makes key investments in equipment and technology. “It is also part of our effort to persuade more customers to use Subic as it is logically the gateway for these regions (central and northern Luzon),” he said.

“The new equipment, along with the opening of a one-stop shop, will allow us to continue to deliver superior customer experience for our customers from the quay to the gate including brokers, forwarders, and truckers and ultimately, the cargo owner.”

The one-stop shop Locsin was referring to is a move to house the relevant customs and port authorities under one roof to revamp the often tedious documentation process and hasten the processing of import transactions. It allows the seamless flow of transactions as port users no longer have to travel to different areas around Subic to process documents.
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The MICT project will see the construction of Berth 7 in Manila’s North Harbor that will include a 300-metre wharf and back up area that when completed will be able to handle up to 2.5 million 20-foot containers.

A key part of the MICT project will be an expansion of yard space for storage of empty containers as ICTSI tries to resolve what was a significant part of the chronic port congestion that brought Manila to a standstill for most of last year.

The Philippines is a net importer of containerised goods with around 900,000 empty TEUs shipped out every year being handled by MICT. At one point during the congestion in Manila, 75,000 TEUs were waiting to be collected in the port.

Phase 1 of the Berth 7 yard development has been completed, adding four hectares of empty container depot that will be able to store up to 4,300 TEUs. An additional two hectares able to store more than 2,000 TEUs will be added by the end of the year.

The whole project is expected to be completed by 2017 and will complement the development of Laguna Gateway Inland Container Terminal, a dry port operated by ICTSI 36 miles south of Manila.

Laguna dry port’s phase 1 expansion will include extended and dedicated storage areas for loaded and empty containers, a runway for rubber-tired gantries (RTG), container care facilities, weigh bridges at the gates, an upgraded access road and a direct rail service to the sea port. The full project will effectively add 250,000 TEUs of capacity to MICT.

“Once everybody starts using Laguna dry port, we can expect even better productivity levels at MICT,” said Christian Gonzalez, ICTSI vice president and head of Asia-Pacific.

Philippine business and government officials appear to be at odds over whether Manila will experience a return of port congestion when container volumes increase ahead of the Christmas season.

Cabinet Secretary Rene Almendras, who heads Task Force Pantalan that is charged with finding solutions to port bottlenecks, told the House of Representatives Ways and Means Committee this week there will be a smooth flow of goods with no congestion in and out of the country's ports for the upcoming Christmas season, when the volume of imported goods naturally increases.

"Everything is moving well. We don't expect problems in December," Almendras told the committee during a hearing at the legislature, according to online news portal InterAksyon.

However, the Philippine Chamber of Commerce had the opposite opinion. Local media quoted chamber president Alfredo Yao as saying port congestion might be inevitable during the last quarter because of a surge in container volumes.

“There should be tightening in the ports again because the truck ban is gone and it’s also the last quarter which is the peak season for importers,” Yao told reporters. “I hope not but there is that possibility.” Yao did concede that “it may not be as bad as last year.” (Greg Knowler, Senior Asia Editor, JOC.com)

PHOTO:
Subic Bay International Terminal Corporation has added 16 new Kalmar Ottawa terminal tractors to its prime mover fleet ahead of an expected increase in container movement in the coming months.

full story: http://www.joc.com/port-news/rising-volumes-push-manila-and-subic-upgrade-ports_20150929.html

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Palace: DND talking to DBM on Subic airfield renovation plan

Malacañang on Sunday assured that the government is working to finish the improvement of the Subic Bay airfield.

"May regular na ugnayan ang Department of National Defense sa Department of Budget and Management upang masiguro na matapos sa takdang panahon ang pagpapahusay ng paliparan sa Subic," Communications Secretary Herminio Coloma Jr. said over state-run radio dzRB.

He added that the government knows that the airfield is a valuable asset.

Subic Bay Metropolitan Authority chairman Roberto Garcia said the government should rush the renovation of the airfield.

Garcia said that by December, two of the 12 FA50 fighters purchased from South Korea will arrive.

He said the remaining jets will arrive next year.

The Philippine Air Force was has been allocated about 10 percent of the 200-hectare airport facilities to house 12 jets.

Garcia also expressed concern about the upcoming elections in May, citing the pre-election ban on military spending that may start March next year.

"That is my concern, if the military does not get funding for the repairs, the air and naval bases may be delayed," Garcia said.

A Reuters report said that according to an air force general, who declined to be named because he was not authorized to speak to the press, the government had yet to respond to a request for 100 million pesos ($2.14 million) to refurbish Subic's airfield. (ALG, GMA News)

http://www.gmanetwork.com/news/story/538568/news/nation/palace-dnd-talking-to-dbm-on-subic-airfield-renovation-plan

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Spending ban may delay repairs in Subic Bay for air support in West PH Sea

Subic Bay, Philippines - Plans to renovate an air base near Manila, enabling Philippine fighter jets to respond quickly to any Chinese moves in the disputed South China Sea, may face delays due to a spending ban before general elections, a senior official said on Friday.

New fighter jets and two frigates are to be stationed at the former U.S. naval facility in Subic Bay northwest of the capital from early next year, the first time the massive installation will have functioned as a military base in 23 years.

Subic Bay's deep-water harbor lies on the western side of the main Philippine island of Luzon, opposite the South China Sea, and is about 130 nautical miles (240 km) from Scarborough Shoal, a rocky outcrop China seized control of in 2012.

China has built seven artificial islands on submerged shoals and outcrops in the area, which it says is part of its territory, and is believed to be constructing three airfields there.

Robert Garcia, chairman of Subic Bay Metropolitan Authority, - which is overseeing the conversion of the industrial and commercial complex - said the military had to move quickly to repair the base's airfield because a pre-election ban on military spending kicks in March.

The Philippines holds national elections in May.

"That is my concern, if the military does not get funding for the repairs, the air and naval bases may be delayed," Garcia said, adding that South Korea was due to deliver the first two fighters in early December.

An air force general, who declined to be named because he was not authorized to speak to the press, said the government had yet to respond to a request for 100 million pesos ($2.14 million) to refurbish Subic's airfield.

The Philippine Air Force has been allocated about 10 percent of the 200-hectare airport facilities to house a squadron of 12 FA50 light fighters for maritime security missions.

Once one of the biggest U.S. naval facilities in the world, Subic was shut in 1992 after the end of the Cold War.

"With the situation in the South China Sea right now, it looks like the presence of foreign troops will increase in coming months," Garcia said, adding that approval by the Supreme Court of a new military pact with the United States would change the situation. A ruling is expected next month. (Manuel Mogato, Reuters)

PHOTO:
Chinese dredging vessels are purportedly seen in the waters around Mischief Reef in the disputed Spratly Islands in this still image from video taken by a P-8A Poseidon surveillance aircraft provided by the United States Navy May 21, 2015. (Reuters/U.S. Navy)

http://www.reuters.com/article/2015/09/25/us-philippines-southchinasea-idUSKCN0RP1V520150925

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Record 80,000+ volunteers join coastal cleanup in Zambales (updated)

A record 80,327 volunteers from Subic Bay, the neighboring city of Olongapo and the province of Zambales came to the International Coastal Cleanup (ICC) 2015 held last September 19, breaking last yearś head count and making this coastal cleanup event the biggest in the country.

This year´s total number of participants in Zambales far exceeded last year´s coastal cleanup head count of 51,151 volunteers.

Subic Bay Metropolitan Authority (SBMA) Chairman Roberto Garcia said that local residents and stakeholders in the free port “are increasingly becoming aware of how precious the coastal ecosystem is to Zambales.”

“Which is why the SBMA has been fully supporting this activity ever since,” Garcia said.

The SBMA executive also noted that the growing number of yearly turnout—from just 800 volunteers in 2009 to 4,000 in 2011, 14,000 in 2012 and 27,000 in 2013—is an indication of growing environmental awareness, as well as community cooperation and common aspiration among residents to do their part in keeping the environment healthy and sustainable.

Aside from Olongapo City, all the municipalities in Zambales have participated in the coastal cleanup. These include Santa Cruz, Candelaria, Masinloc, Palauig, Iba, Botolan, Cabangan, San Felipe, San Narciso, San Antonio, Subic, as well as the land-locked towns of San Marcelino and Castillejos whose residents trooped to nearby towns or the Subic Bay Freeport.

A record total of 49,391 volunteered for the coastal cleanup in these provinces.

“Aside from the residents, it is good to see that our business locators in the Freeport are taking an interest in the coastal cleanup. Many companies here, including some of their bosses, took part in the coastal cleanup on Saturday,” Garcia also said.

Garcia also pointed out that the recent Subic Environment Summit had attracted 3,000 participants this year, about double the number last year.

“This creates a very good image of Subic that we care for our environment, and that our prime asset, Subic Bay, is being maintained as clean and as free from pollution as we can muster.”

Garcia also commended the efforts of Olongapo Mayor Rolen Paulino to drum up the coastal cleanup event among elementary and high school institutions in the city, which contributed a total number of 26,451 volunteers.

Paulino said that his administration wants to educate children of the need for a cleaner coastal area, adding that no one except for the residents themselves will help clean Olongapo’s coastline.

He also stressed that aside from students, residents and businesses in Olongapo have shown their support to ICC 2015.

One of the businesses that took part in the cleanup was SM Olongapo, whose affiliates, tenants, agencies, and employees joined the activity. (JRR/RBB/MPD-SBMA)


PHOTOS:
[Header] Scenes from the International Coastal Clean-up in Subic Bay Freeport. (AED/MPD-SBMA)

[2] Justice Raoul Creencia (left), government counsel at the Office of Government Controlled Corporations, joins SBMA Chairman Roberto Garcia and other SBMA officials in a march to kick off the 2015 edition of the International Coastal Clean-up in the Subic Bay Freeport. With them are Deputy Administrator (SDA) for Legal Affairs Atty. Randy Escolango and SDA for Regulatory Group Atty. Chot Kabigting. More than 50,000 volunteers from Subic Bay Freeport, Olongapo City, and province of Zambales took part in the annual cleanup event. (AED/MPD-SBMA)

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Subic hosts largest solar power project in Southeast Asia

This premier free port is expecting to be in the forefront of sustainable development as it eyes the installation here of a $200-million combined solar and wind farm that would generate a total of 150 megawatts of renewable energy.

“This is another pioneering role on the part of the Subic Bay Freeport, which is the first military base to be successfully converted into a free port zone,” Subic Bay Metropolitan Authority (SBMA) Chairman Roberto Garcia said in a media briefing on Monday.

“​It will also​ be one of the first major clean energy projects in the country and the biggest solar installation in the whole Southeast Asia, and it is a big honor for Subic to be the project site,” Garcia noted​.

“This is very significant since the whole world is looking at renewable energy nowadays,” he added.

The $200-million alternative energy project will be undertaken by Emerging Power, Inc. (EPI), a renewable energy firm that has put up a 40-megawatt geothermal power plant in Mindoro last year.
EPI is controlled by Nickel Asia Corporation (NAC), one of the country’s biggest mining firms in the country.

The clean energy project will be located in an 800-hectare project site on Mount Santa Rita here, which is covered by the Pastolan Ayta tribe’s ancestral domain.

Garcia said the company hopes to have the Subic solar and wind power project on stream by next year.

He said the project is in line with RA 9513, or the Renewable Energy Act of 2008, which aims to accelerate the exploration and development of renewable energy resources, increase utilization of such and promote their efficient and cost-effective commercial application. The law was also designed to effectively prevent or reduce harmful emissions to protect public health and the environment.

The development and promotion of renewable energy has been set as among the priority projects of the national government under the Investment Priorities Plan of 2012, Garcia added.

Garcia said the EPI project will be a pioneering venture for the establishment of renewable energy facilities in the Subic Bay Freeport Zone.

“This is a big stride towards sustainable development,” Garcia added. “It will help us keep Subic green and make the Freeport grow further.” (HEE/MPD-SBMA)

PHOTO:

SBMA Chairman and Administrator Roberto V. Garcia (4th from left) and Emerging Power Inc. President Martin Antonio Zamora (3rd from left) lead the groundbreaking ceremony for the 150-megawatt solar and wind power project in the Subic Bay Freeport zone. (AED/MPD-SBMA)

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DOT names Subic #1 CL tourist destination for 2nd time

This country’s premier free port was named as the region’s most visited tourist destination for the second time in a row.

Department of Tourism (DoT) regional director Ronaldo Tiotuico personally announced this on Monday as he graced the opening program organized by the Subic Bay Metropolitan Authority (SBMA) in celebration of National Tourism Week.

SBMA Chairman Roberto Garcia said the citation validates efforts by the Subic agency and its tourism stakeholders to “bring Subic to the next level.”

He said the SBMA has allotted some P800 million for capital expenditures this year. “And a huge chunk of this goes to the repair of service roads and drainage systems, improvement of parks and tourist facilities, as well as the renovation of the Subic Bay Exhibition and Convention Center to ​make Subic a better place for a better experience,” Garcia added.

Tiotuico said that Subic obtained the highest number of local and foreign travelers in the entire Central Luzon region from 2013 to 2014 based on reports submitted by accommodation establishments in all the seven provinces and three economic zones in the region.

Tiotuico, who was the SBMA guest of honor for the Tourism Week launch, congratulated the officers and employees of SBMA for working hard to maintain the status of the Subic Freeport as the best tourist destination.

He also enjoined the SBMA and business locators in Subic to help push for the realization of the 2015 National Tourism Week theme of “One Billion Tourists, One Billion Opportunities”​.​

Reacting to recognition as Central Luzon’s tourism bestseller, Chairman Garcia noted that in just the first eight months of 2015, tourist arrivals in Subic Freeport has already registered at 4.3 million, growing by 30% over the arrivals in the same period last year.

He also said that Subic had also earned the distinction of being “Premier Convention Capital of Central Luzon” in 2012, a title that was also bestowed by the DoT.

Garcia added that he is confident that Subic would maintain the lead in attracting more tourists because of the natural and man-made attractions in the free port.

“Subic has everything,” said Garcia. “We have nature-themed parks, some of the best hotels, resorts​,​ and malls in this part of the country​;​ the place is accessible by land, sea and air​;​ and of course​,​ we have year-round activities to make tourists want to visit and stay in Subic.”

Garcia said that for the National Tourism Week celebration, SBMA has lined up full events like the Tourism Quiz Bee Challenge on Sept. 22; familiarization tour of theme parks every morning of the Tourism Week; and photo exhibits and lecture-discussions on various tourism topics (Sept. 22-23).

Other activities on schedule are bar​tending and flair-tending competitions (Sept. 23); body painting contest​,​ and street party (Sept. 25); 3rd IBP Fun Run (Sept. 26); and for the culminating event, an outreach program on Sept. 27 at the Subic Gym. (RAV/MPD-SBMA)

PHOTOS:
[1] Jobseekers inquire about available positions and apply with Subic-registered companies during a jobs fair held on Monday at the Harbor Point Mall in the Subic Bay Freeport as part of the 2015 National Tourism Week celebration. The activity echoes the Tourism Week theme “One Billion Tourists, One Billion Opportunities.” (AED/MPD-SBMA)

[2] SBMA Chairman Roberto Garcia, flanked by photographers Jon Erick Dizon (left) and Dr. Dodi Dominado, opens the Wanderlust Travel Photography Exhibit at the Harbor Point Mall in the Subic Bay Freeport as part of the 2015 National Tourism Week celebration. With him are Region 3 Tourism Director Ronaldo Tiotuico (right, second row) and other event organizers. (AED/MPD-SBMA)

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No plans to invite US military back to Subic – Palace

MANILA, Philippines - The Philippines has no plans to invite the United States military back to Subic Bay in Zambales on a permanent basis just to provide a foil to the Chinese threat, as doing so would violate the Constitution, Malacañang said (yesterday).

In a press briefing, Presidential Communications Operations Office Secretary Herminio Coloma Jr. said the government is fully aware of the constitutional provision banning foreign military bases and troops in the country.

“And we never do anything that is against the Constitution or laws of the government,” Coloma said.

In April last year, the US and the Philippines signed the Enhanced Defense Cooperation Agreement to complement the two countries’ Mutual Defense Treaty and Visiting Forces Agreement.

He added the information on the Obama administration allegedly rejecting a $300-million military aid for the Philippines would need to be clarified as well.

“We are ready to give an explanation if they will be able to show that their statement has basis,” Coloma said.

A New York Times News Service report said the 10-year EDCA would set the stage for an American return to several facilities, including the Subic Bay naval base and Clark Air Base.

The agreement has been questioned before the Supreme Court for allegedly being unconstitutional.

Senators also want to ratify the agreement, saying it is a treaty. But this position runs counter to the stand of the executive branch that the EDCA merely implements earlier agreements between the US and the Philippines, particularly the MDT and the VFA.

The executive branch also defends its constitutionality and points out that EDCA will only provide access and use of Philippine military facilities, and that any US military presence will be “at the invitation of the Philippines and with full respect for the Philippine Constitution and Philippine laws.”

Officials also noted the constitutional provision which prohibits the establishment of “foreign military bases… or facilities” in the country – except under a treaty duly concurred in by the Senate – does not apply to EDCA.

In January, it was reported that the US lifted restrictions on a small portion of its military assistance to the Philippines that was withheld over human rights concerns.

The gesture affects about $15 million withheld over the last five years, a fraction of Washington’s total military assistance to the Philippines.

Foreign Affairs Secretary Albert del Rosario said the aid restriction was lifted “sometime last year”but did not explain why it was lifted.

US Assistant Defense Secretary David Shear also earlier said that Washington had provided $300 million in military-related assistance since 2001 and would provide another $40 million in 2015 as part of America’s support to modernize the poorly equipped Philippine military, one of the weakest in the region. (Aurea Calica, The Philippine Star)

PHOTO: Presidential Communications Operations Office Secretary Herminio Coloma Jr. addresses reporters during a press conference in Malacañang.

http://www.philstar.com/headlines/2015/09/23/1502963/no-plans-invite-us-military-back-subic-palace
https://sg.news.yahoo.com/no-plans-invite-us-military-000000791.html

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Olongapo gathers 26,000 volunteers to cleanup waterways

The local government of Olongapo City led by Mayor Rolen Paulino gathered 26,541 volunteers for International Coastal Cleanup 2015 dubbed “Making Riverth Possible¨ last Saturday (Sept. 19) in efforts to spread environmental awareness among its residents in the city.

Olongapo City Mayor Rolen Paulino led students, government employees, non-government organizations, barangay officials and residents to clean up drainage, creeks, rivers and the city’s coastline.

“What we did this year is not only cleaning up our shoreline, we decided to clean all possible water ways in the inner parts of the city because all of the trash will eventually pile up in our shoreline or cause blocking of our canals which will eventually lead to flooding.” Paulino said.

In 2013 Olongapo city recorded 7,729 volunteers for the same event and 11,128 in 2014 making this city the biggest delegation in the province of Zambales.

The number this year more than doubled.

“Nakikitira lang tayo dito sa mundo, kaya dapat linisin natin ang ating tinitirahan, katulad ng loob ng bahay natin, dapat malinis din ang ating kapaligiran,” Paulino told volunteer residents of Barangay Kalaklaklan, one of the 29 cleanup sites in the city.

The local government of Olongapo has been dredging its rivers, cleaning and repairing its drainages after being heavily flooded in 2013, which was also the cause of a leptospirosis outbreak.

“Our rivers haven’t been dredged for decades, and drainages were neglected. But now we have purchased several heavy equipment to do the job,” Paulino added.

“We need people participation in cleaning up our waterways and this is a good event to do this, aside from cleaning up, what is more important is our awareness campaign that we should not kill our rivers by making it our backyard trash bins,” he added.

The breakdown of the attendees he added are sa follows; Olongapo LGU (Halfmoon Beach, in Barangay Kalaklan) 1,312, Barangay Asinan 303, Barangay Banicain 128, Barangay Barretto 2,432, Barangay East.Bajac.Bajac. 1,571, Barangay West Bajac Bajac 2,217, Barangay East Tapinac 2,003, Barangay West Tapinac 183, Barangay Kalaklan 831, Barangay New Cabalan 3,930, Barangay, Mabayuan 565, Barangay Gordon Heights 1,489, Barangay Sta Rita 1,625, Barangay New Ilalim 109, Barangay New Kabbae 850, Barangay Old Cab 390, Barangay New Kalalake 1,213, Barangay Pag- Asa 390 and 5000 more who pre registered at SM Olongapo.

“I am very happy with the turnout during the cleanup, it only showed that our residents care for our environment more and more as evidenced by the increasing number of volunteers every year,” Paulino added.

A week before the huge turnout of volunteers during the cleanup, 16 recyclable boats battled it out during the recyclable regatta 2015 which is part of the International Coastal Cleanup “Making Riverth Possible” held at Driftwood beach in Barangay Barretto.

Barangay Kalaklan took home 1st place while the Lighthouse Marina Resort took home 2nd place and the Army Reserve Olongapo settled for 3rd.

Photos:

[1] Students and residents of Olongapo City pick up garbage along the shoreline of Barangay Barretto.

[2] Olongapo City Mayor talks to volunteers before sending them off to clean in Barangay Kalaklan during the International Coastal Cleanup dubbed "Making Riverth Possible.¨ A total of 26,541 volunteered for the said event.

(OC PAO)

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Subic-Clark’s 11% GDP contribution cited

The Subic Bay Freeport and the Clark Freeport Zone in Pampanga remain to be major contributors to the country’s economic development, as their combined export values last year provided about 11 percent of the country’s gross domestic product (GDP).

In a report to Subic Bay Metropolitan Authority (SBMA) Chairman Roberto Garcia, SBMA acting deputy administrator for business group Ronnie Yambao said that the contribution of the two neighboring special economic zones to the Philippine GDP was between 10 and 11 percent.

“Clark's and Subic’s combined export value last year of US$6 Billion is very significant to the gross regional domestic product (GRDP), which contributed 11 percent to our GDP,” said Yambao.

Yambao added that according to a report from the International Monetary Fund (IMF), the Philippine GDP’s growth rate remained at 6.1 percent as of 2014.

Referring to the updated World Economic Outlook, Yambao also said that the IMF sees the Philippines to still become the fastest-growing economy in Southeast Asia this year after it was able to maintain its 6.1 percent GDP, outpacing Vietnam and Indonesia.

For Subic, Yambao said that among the major growth contributors is the South Korean shipbuilder Hanjin Heavy Industries Corporation (HHIC), which now has 29,000 direct workers.

“For this year, Hanjin is projecting to complete at least 17 ships worth over US$1.6 billion. This would mean hiring additional workers,” Yambao said.

Meanwhile, Yambao also named five new investment projects that the SBMA Board of Directors has approved this year. These include Harbor Star Subic Corp., which proposed a US$4.5-million investment for marine-related ancillary service operation, such as harbor assist, towage, oil spill, and underwater services.

Another project, Nanofixit Ventures Inc., will open a $5.32-million rebottling and packaging company for water-based liquid screen protector, while Subic Superfood Inc. will infuse $920,000 for a food processing plant that will use local pili nuts from the Bicol Region and Himalayan salt for the manufacture of so-called “super foods.” (RAV/MPD-SBMA)

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2nd Subic Environmental Summit eyes trash-free seas

Environment advocates will once again gather in this Freeport on Friday, September 11, for the 2nd Environmental Summit to follow through efforts in solving the problem of garbage in oceans and waterways.

With the theme, “Taking steps towards trash-free seas,” this year’s summit to be held at the Subic Bay Exhibition and Convention Center will be the second of the series, which brought together some 1,400 delegates last year.

Subic Bay Metropolitan Authority (SBMA) Chairman Roberto Garcia said awareness on environment issues is well-ingrained among stakeholders of Subic Freeport who are always at the forefront of coastal environment protection.

“Not only is the Subic Bay community aware of these issues, but takes it even further by trying to change behaviors that cause pollution through proper education,” Garcia said.

“Subic stakeholders also help create a lifestyle that advocates a sustainable coastal environment,” he added.

The summit is expected to help establish the ICC as a lifestyle and integrate it with community building activities; educate the public with the current environmental situation and policies; provide workshops that will enhance skills and knowledge for citizen action; and create “Eco Warriors” in schools in order to raise environment leaders among the
youth.

The summit follows in the steps of International Coastal Cleanup (ICC) Philippines, which is now on its 22nd year.

ICC happens every third Saturday of September, with participants of half a million people in 91 countries turning the tide on trash and addressing solutions on this global threat.

This year, the organizers of ICC Zambales have partnered with the ICC Philippines for the 2ndEnvironmental Summit.

A co-presenter of the Environmental Summit is the Office of the President’s National Coast Watch Council Secretariat. It will be moderated by Jesse Pascasio, the council’s Director for Strategic Planning and Communications.

Notable guests include Matthias Gelber (Greenmanspeaks.com), co-founder of Maleki GmbH, a German company specializing in high performance, low carbon footprint construction materials; and Undersecretary Jose Luis Alano of the Office of the President’s National Coast Watch Council Secretariat.

The 2nd Environmental Summit in Subic Bay is presented by ICC Philippines, Philippine Coast Guard Auxiliary, IYFR Philippine Fleet, Department of Environment and Natural Resources, Department of Tourism, Subic Bay Chamber of Commerce and Subic Bay Hotels, Attractions and Tourism Stakeholders Visitors Board, in partnership with the National Coast Watch Council, Lighthouse Marina Resort Legacy Foundation, and the SBMA.

This event is supported by the Province of Zambales, City of Olongapo, Office of the Presidential Adviser for Environmental Protection, Ocean Conservancy, Zero Carbon Resorts, Earth Day Network Philippines, Harbor Point Ayala Malls, Subic Sailing, North Luzon Expressway, Department of Education, PLDT Subictel and IGate. (RBB/MPD-SBMA)

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SBMA net income doubles in 1st sem

After hitting record highs in financial performance for three consecutive years, the Subic Bay Metropolitan Authority (SBMA) recently reported another substantial increase of 104 per cent in its net income for the first half of the current year.

According to SBMA Chairman Roberto Garcia, unaudited figures from the agency’s Finance group placed the agency’s January-to-June net income at P687 million, showing a significant improvement from P337 million for the same period last year.

“Revenues for the first semester were pretty good as well,” Chairman Garcia said, referring to a 15 per cent revenue increase from last year’s level.

Sharing the agency’s operating revenue pie were port services and regulatory fees, which increased by 29 per cent and 24 percent, respectively over the same period last year.

Also contributing substantially to the agency’s financial health, according to Chairman Garcia, were a 33 per cent buildup in current assets, including a 38 per cent increase in cash assets, and a 56 per cent increase in miscellaneous assets such as prepaid expenses, guaranty deposits, mobilization funds given in advance to contractors, and others. Tight control was also implemented as far as operating expenses were concerned.

“Meanwhile, SBMA’s earnings before interest, taxes, depreciation, and
amortization (EBITDA) increased by 18 per cent. This means that the agency is not only pursuing effective strategic initiatives, but is implementing them efficiently as well," Garcia added.

The top SBMA executive also noted that the first semester saw a much improved business climate in the Freeport, which led to better bottom lines for the Subic agency and its locators, as well as the start-up operations of many new ones and a much bigger workforce that would soon breach the 100,000-mark.

With this profit increase, Garcia said the SBMA is “looking forward to a more positive outcome to further strengthen and sustain the agency’s financial turnaround over the past three years record performances.

“We need to provide funds for our strategic plans, including the implementation of the long-overdue salary increases for SBMA employees and the procurement of badly needed equipment for security, maintenance and infrastructure development work,” the SBMA chairman said. (AMF/CorComm-SBMA)

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Hanjin unveils first Philippine-made LPG carrier

Korea’s shipbuilding giant Hanjin Heavy Industry and Construction Co., Ltd.–Philippines (HHIC-Phil) recently unveiled the first-ever Philippine-made Liquefied Petroleum Gas (LPG) carrier.

The LPG carrier measures 180 meters in length, 29.4m in breadth and 18m in depth.

It was ordered by Belgian shipping company Exmar Shipping BVBA and was christened as “Kaprijke” by company owner Saverys family.

Construction of the LPG carrier began in June of last year.

The project has once again affirmed the world-class craftsmanship of Filipino workers in the global shipbuilding industry.

In a statement, HHIC-Phil president Jeong Sup Shim recounted the challenges the company had to go through in putting up the state-of-the-art shipyard in the country’s premier freeport.

He attributed the company’s success to the support of the Philippine government and outstanding work ethic of Hanjin shipyard workers.

“It is our company’s earnest desire and long term commitment to catapult the Philippines as the number one shipbuilding country in the world,” Shim said.

Citing the June 2015 edition of the shipping journal published by highly authoritative Europe-based Clarksons Research, “Both the Philippines and HHIC-Phil Inc. have been making great strides in the international business scene, motivating us to push ourselves to the limit to bring more prosperity not only for our company but also for our generous host – the Filipino people,” Shim further said.

“The Philippines is currently ranked fourth in the world in terms of order book by builder country with 2.1 gross compensated tonnage (CGT) for new vessel,” Shim said.

Hanjin Subic shipyard is the 10th largest shipyard in the world in terms of order book by shipyard, accounting for 1.8 GCT or 74 percent of the Philippines’ CGT for new vessels.

The shipbuilding company still has seven LPG carriers in the company’s order book to be delivered in the immediate future.

In 2012, HHIC-Phil Inc. put the country in the worldwide spotlight with the simultaneous inauguration of two Suezmax Crude Oil Tankers first ever built on Philippine shores.

HHIC-Phil Inc. has been building huge commercial vessels ranging from container ships to bulk carriers, crude oil tankers and off-shore structures mainly for overseas clients since 2008. Its Subic shipyard boasts of one of the largest drydocks in the world today.

The company has invested around $1.7 billion so far. Its shipyard is currently home to almost 29,000 workers and still counting.

HHIC-Phil operates a Skill Development Center, a multi-million world class training facility located at the heart of the Subic Bay Freeport’s Industrial Park. (Bebot Sison Jr., The Philippine Star)

http://www.philstar.com/business/2015/09/03/1495242/hanjin-unveils-first-philippine-made-lpg-carrier

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Multi-million dollar leisure project coming up in Subic Freeport

Former Taiwan Vice President Annette Lu visited last week the site of a $20-million leisure project in the Subic Bay Freeport that would include the redevelopment of the Triboa Clubhouse and the construction and management of condominium buildings and luxury villas in the Triboa Area here.

On hand to welcome Lu was Subic Bay Metropolitan Authority (SBMA) Chairman and Administrator Roberto Garcia.

“This project strongly underscores the positive business climate in the Freeport, as well as the fast-growing tourism industry here and in the rest of the country,” Garcia said, referring to the 21 per cent growth in the number of hotel rooms in the Freeport since June last year.

Upon completion, the investment project will feature three 10-storey buildings, consisting of a 40-room hotel, a 20-unit VIP condo with a car elevator, and a regular condo with 90 units. Also included in the project is the construction and development of five luxury seaside villas with a marina facility.

According to Garcia, the redevelopment of the Triboa Clubhouse, which was the site of the 1996 APEC summit, is expected to be completed within the year while the rest of the facilities would take two to three years to be fully developed.

“Aside from enhancing the tourism value of Subic, it will also generate an additional employment of 800 for our local communities,” he noted.

The project, which was approved by the SBMA board in November last year, would be undertaken by the MSK Group through its affiliate companies, Xantheng (Subic) international Corp., Weihsin Subic Bay Corp., and Zangyueh Development Corp. (AMF/CorComm-SBMA))

Photo:

Subic Bay Metropolitan Authority Chairman and Administrator Roberto Garcia (left) listens intently to former Taiwan Vice President Annette Lu during her visit to the site of a US$20-million leisure project in the Subic Bay Freeport. (AMF/MPD-SBMA)

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One of the smallest mammals thrive in Subic Bay

An Ayta jungle instructor displays a lesser bamboo bat (Tylonycteris pachypus), locally known as “Kabag” and said to be one of the smallest mammals on earth found in the Philippines, during a bird show at the Magaul Bird Park in the Subic Bay Freeport.

The bamboo bats, which may weigh from 3.5 to 5.8 grams, are endemic to Subic Bay with its large rainforest reserve, one of the biggest in the island of Luzon.

This species lives in the hollow of shoots of the giant bamboo Gigantochloa scortechinii; the entrance slit (created by the Chrysmelid beetle, Lasiochila goryi) to the bamboo tunnel is too restrictive for most predators, such as snakes. Flattened skull (to pass through entryway) and toe and wrist pads (to grip inner surface) are adaptations to their roosting site. Groups of up to 40. (AMD/MPD-SBMA)

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