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28 November 2008

Private Submarines: Made in Subic

SBMA Administrator Armand Arreza (third from left) joins proponents of a personal submarine project in the Subic Bay Freeport, from left: George Ramirez, president of McGram Fusion Inc.; Kiyotaka Miyagawa, CEO of Amuza Co. Ltd. of Japan; and Keisuke Imada, Amuza's mechanical technologist. The team successfully conducted sea trials for the personal submarine prototype last week at Subic Bay. (SBMA Corporate Communications)

Japanese firm to produce 'personal submarines' in Subic

First gaining attention as a manufacturer of world-class limousines, Japan-based firm Amuza Co. Ltd. is now set to produce in Subic what it called "leisure submarines", in partnership with a business locator here that specializes in fiberglass and composite materials construction.

This was announced on Thursday by Subic Bay Metropolitan Authority (SBMA) administrator Armand Arreza, after Amuza conducted a successful sea trial of its private submarine prototype here last week.

Amuza, which has been working on the submarine project for 10 years, has partnered with former Subic locator Taiyo Sangyo Trading and Marine Service Ltd., which in turn referred them to McGram Fusion Inc. in Subic, said Arreza.

McGram Fusion, which manufactures car body kits made of fiberglass, carbon fiber and Kevlar, has agreed to fabricate the vessel's hull and other visible components, while electronic parts and systems will be shipped in from Japan.

The two-seater leisure submarine weighs four tons and is about the size of a typical car — two meters wide, four and a half meters long, and two meters high.

Underwater, it sucks in water which adds to its weight, for a total of 4.8 tons.

Powered with a lithium-ion battery, which Amuza currently develops, the leisure sub on a full charge of 10 hours can navigate for up to 50 nautical miles (about 90 kms) and dive up to 150 meters deep.

Underwater, the vessel's speed tops 5 knots per hour.

Amuza chief executive officer Kiyotaka Miyagawa said the firm has so far spent about $1.7 million for the prototype tested here last week.

He added that Amuza wants to produce 10 units of the submarine by the end of the year.

"Basically, this is a toy for rich people," Arreza said. "So production would be low, slow, cautious, and of the highest quality."

Amuza mechanical technologist Keisuke Imada said the unique submarine can be maneuvered to perform stunts like an aircraft.

"This is the most acrobatic submarine in the world," Imada said with pride. "The idea was to make it more mobile, as opposed to the traditional sub which can only go up and down."

Imada said buyers of their craft must first secure a license from a pilot training station they are planning to set up in Subic Bay.

Imada, who served time in Japan's navy, said he is very familiar with the Subic Bay Freeport, so he insisted that it be the venue for sea trials and the training school.

Initially, the firm plans to invest US$5 million for the training school, which will employ 50 to 100 divers, mechanics, and helpers, he said.

"Subic Bay's proximity to Japan, its preferable environmental factors, coupled with a workforce possessing excellent maritime capabilities, make it an ideal site for this venture," said Imada. (SBMA Corporate Communications)

27 November 2008

SBMA: Trees won’t be cut for hotel-casino project

The Subic Bay Metropolitan Authority (SBMA) will not allow the cutting of trees to make way for a multi-million hotel-casino project here, officials said on Wednesday.

SBMA Administrator Armand Arreza said the agency has told project proponent Grand Utopia, Inc. that the trees should be saved and incorporated in the development plan, which will be subject to SBMA review.

“We won’t stand for the cutting of trees. Definitely, we won’t allow it,” Arreza clarified.

He added that a news report saying that the project would destroy some 300 trees in the two-hectare site is speculative.

The report quoted architect Jun Palafox, who said that he was initially tapped to design the project but backed out when he found out that the management “intended to cut the trees.”

Arreza said, however, that he did not know why the deal between Palafox and Grand Utopia fell through.

“But the trees are still there, because all that the developer has done at this time was to fence in the area and inventory the number of trees preparatory to balling, which was the procedure we have recommended,” Arreza said.

“It’s pure speculation that 300 trees will be destroyed because, in fact, Grand Utopia has already applied for a permit to ball the trees,” he added.

Arreza also pointed out that the area, which previously contained a mini-golf course built during US Navy Days, has been classified under SBMA zoning regulations as a commercial area.

“It’s true that because of the density of the trees at the mini-golf course, our Ecology Center has classified that part of the site as an urban jungle. But it’s still within the commercial zone where development is allowed,” he explained.

“This is why the recommendation from Ecology was to incorporate the trees in the development plan, or if that won’t be possible, to ball the trees and transfer them to a new location,” Arreza said,

The SBMA Ecology Center said that several mature trees affected by development projects in the Subic Bay Freeport have been successfully transferred.

Technicians at the Center said balling is “relatively a simple procedure“, although the recovery stage for relocated trees “would be the hard part.”

“But we’ve been doing it,” they added.

The Center also said the SBMA has required developers to provide replacements on a ratio ranging from 10 to 50 saplings for each affected tree. On top of this, developers pay a considerable amount for the maintenance of saplings.

Arreza said the Grand Utopia project, which will be known as the Ocean 9 Casino and Hotel Resort, is considered to be a critical infrastructure in Subic’s bid to attract more foreign tourists to the growing number of holiday destinations in this free port.

The hotel will be located near Subic’s Alava Pier, which is being developed by another firm as a passenger terminal for cruise ships.

The casino-hotel resort is expected to employ more than 5,000 workers once operational. The project is scheduled for completion within two years. (SBMA Corporate Communications)

26 November 2008

Subic hosts ICT convention

Identified recently as one the most viable information technology hubs in the country outside Metro Manila, the Subic Bay Freeport will host starting today (November 27) a two-day convention on information and communications technology (ICT) to help consolidate stakeholders in the booming industry.

The event, which includes a trade exhibition that will run until November 30, was organized by the Subic Bay Metropolitan Authority (SBMA) in close collaboration with the Subic Bay Freeport Chamber of Commerce and Industry (SBCCI).

The convention and exhibit will be held at the Subic Bay Exhibition and Convention Center (SBECC) under the theme "E-nnovative Governance: the SubIcTech Formula."

Plenary speakers include Oscar Sañez, president of the Business Processing Association of the Philippines (BPAP); Monchito Ibrahim, commissioner of the Cyber Services Group, Commission on Information & Communications Technology (CICT); and Ma. Lourdes Mediran, deputy executive director of the Center for International Trade Expositions and Missions (CITEM).

Guest speakers, meanwhile, include Senator Richard Gordon, Asst. Secretary Reynaldo Berroya of the Department of Transportation and Communication, and Buhay party list representative Ma. Carissa Coscolluela, who chairs the Bataan Olongapo Zambales Educational Development Organization's Information Technology Council.

SBMA Administrator Armand Arreza said that the convention and exhibit is expected to attract experts, industry leaders, and key decision-makers in the ICT sector.

"With this event, we aim to consolidate stakeholders in the ICT industry, so that the country, including Subic, can really take off as a world-class provider of ICT services," Arreza said.

"This is a booming industry, and we must have the necessary facilities to grab a big chunk of the growing market," he added.

Arreza said the ICT industry, considered as one sector with some of the most high-paying jobs in the country at present, experienced a growth rate of 70 percent from year 2000 to 2005.

In 2005, he added, the Philippines was considered a location of choice because of relatively less expensive operational and labor costs, making it one of the top 10 BPO destinations worldwide.

The potentials of the industry include Business Process Outsourcing (BPO), Knowledge Process Outsourcing (KPO), and other creative E-services like software and hardware development, wireless application, digital animation and games, Arreza added.

He also said that the new ICT trends, like E-commerce — the groundbreaking way of doing business through the Internet, and using telecommunications and computing tools for marketing and business exchange — is currently revolutionizing ways on how business and governance should be done.

As for the Subic Bay Freeport, Arreza said the SBMA has recently upgraded ICT facilities here to meet emerging demands in the industry.

"Subic is now ready with the required infrastructures, as well as a talent pool, to be a major player in the ICT business," Arreza said.

Organizers said the four-day ICT convention and exhibit expects over two thousand participants from prominent industry players, telecom companies, software and hardware manufacturers, IT schools, business and knowledge process outsourcing groups, as well as manufacturers of computers, mobile phones, and other electronic products.

The high number of participants was made possible trhough online registration at the website (http:/www.ictsubic.com), which was created and managed by the Comteq Computer and Business College, an ICT school based in the Subic Freeport. (SBMA Corporate Communications)

25 November 2008

$120-M hotel-casino resort breaks ground in Subic

A fifteen-story integrated resort-hotel worth $120 million will soon rise along the Waterfront Drive in this free port to provide a landmark development complete with convention center and casino.

The project, which will be known as Ocean 9 Casino and Hotel Resort, broke ground last Wednesday, with Subic Bay Metropolitan Authority (SBMA) Administrator Armand Arreza and Moon-Sung Choi, chairman of the proponent-firm Grand Utopia, Inc., leading the ceremony.


The event was witnessed by Philippine Amusement and Gaming Corp. (PAGCOR) chairman and CEO Efraim Genuino, Olongapo City Mayor James Gordon Jr., Zambales Vice-Gov. Anne Gordon, and representatives of the Korean business community in Subic.

According to Arreza, the Ocean 9 resort-hotel complex is designed to be the most beautiful hotel in the Subic Bay Freeport.

“This promises to be a significant landmark that will transform the face of Subic Bay , making it the pride of Olongapo and Zambales,” he added.

Choi, who presented a project brief during the ceremony, said the main facility will be a 15-storey hotel that will occupy an area of 9,173 sq. meters, while the secondary building that will occupy 4,200 sq. meters will house a three-storey casino.

The project, which is expected to yield more than 5,000 jobs, is scheduled for completion within two years, he said.

“We will do our best to develop the business under the direction of PAGCOR and SBMA, as we aspire to be at par with some of the world’s best tourism and entertainment attractions,” Choi said.

“The hotel and casino complex will be built using cutting-edge technology and advanced architectural systems in order to make a unique design that will blend comfort with entertainment,” he added.

As planned, the Ocean 9 casino will feature a central stage for live entertainment and performances, as well as a lift-up type of walkway that could be used for fashion shows, said Choi.

The first floor of the casino, where some 500 gaming tables will be clustered, will also have an organic light emitting diode (OLED) system for visual effects, he added.

The OLED system could produce scenes like a waterfall orr volcanic activity, Choi said.

The other side of the main hall, meanwhile, will have from 60 to 120 shops that will sell luxury brands, including premium items from Italy and France .

On the other hand, the hotel-casino complex will also boast convention and business facilities to complement leisure activities intended for foreign and local tourists, said Choi.

The Ocean 9 Casino and Hotel Resort project is considered to be a critical infrastructure in Subic ’s bid to attract more foreign tourists to the growing number of holiday destinations in this free port.

The hotel will be located near Subic ’s Alava Pier, which is being developed by another firm as a passenger terminal for cruise ships.

Alava is also being used for berthing by visiting US Navy ships that regularly dock in Subic during military exercises between the Philippines and the United States. (SBMA Corporate Communications)

23 November 2008

SBMA to honor the Subic Volunteers, outstanding workers

The Subic Bay Metropolitan Authority (SBMA) honors the Freeport's outstanding workers and the Subic volunteers as it commemorates on Monday, November 24, the turnover of this former US naval base to the Philippine government 16 years ago.

The turnover ceremonies on November 24, 1992 not only marked the end of nearly a century of US military control of Subic Bay but also signaled the start of efforts to transform the former naval base into a freeport.

The date has since been observed as Volunteers Day in Subic Bay Freeport and the nearby city of Olongapo – in grateful recognition of the indomitable spirit and sacrifice of thousands of men and women who worked without pay to maintain and operate the facilities left behind by the Americans in the early years of the Freeport.

"As one of the thousands-strong army of men and women who helped protect and preserve this former base land in 1992, I take immense pleasure in reliving with my fellow volunteers the years of toil and sacrifice that set the foundations for a progressive, sustainable and forward-looking Freeport," SBMA Administrator Armand C. Arreza said.

"Today, as one of the thousands-strong army of SBMA employees, I also take enormous pride in announcing that our collective actions in the past have not been in vain as the Freeport continues in its unflagging march forward — breaking new records in investments, revenues and jobs, and seeking greater heights as a world-class service and logistics hub that we can all be proud of," he added.

Highlighting the November 24 festivities here is the awarding of the 10 Outstanding Freeport Workers for 2008, to be held at the Subic Bay Exhibition and Convention Center (SBECC).

Now on its seventh year, this annual awards program - a joint project of the SBMA and the Subic Bay Workforce and Development Foundation, Inc.(SBWDFI) – gives due recognition to the crucial role of workers in the Freeport's rise as a premier investment and tourism hub.

This year's awardees are Ma. Adoracion R. Celeste of the SBMA Human Resource Department; Levi D. Dalida and Paquito T. Torres, SBMA Intelligence and Investigation Office; Arleen B. Dulay, The Lighthouse Marina Resort; Diosdado E. Ednave, SBMA Law Enforcement Department; Severino T. Jovero of Subic Bay Marine Exploratorium Ocean Adventure; Elizier Martin, SBMA Maintenance and Transportation Department; Vicente V. Salvador of Philippine Coastal Storage and Pipeline Corp.; Bernard D Sanchez of Nicera Philippines Inc.; and Jaime L. Villafuerte, Jr. of Wistron Infocomm. (Phils.), Corp.

The search for the best among the 80,000-strong active work force in the Freeport began as early as August this year. Atty. Severo C. Pastor, SBWDFI Chairman and SBMA Labor Manager, said that the foundation received 50 nominees from the different business locators here and the SBMA, which participated for the first time.

The SBWDFI was formed through the efforts of the SBMA and Freeport investors to provide a foundation that can provide a skills development program for thousands of workers here in the Freeport. The foundation has a Board of Trustees consisting of representatives from the Personnel Management Association of the Philippines, investors, Subic Bay Freeport Chamber of Commerce, SBMA-Labor Department and a representative of workers.

The SBMA Volunteers' Day opens with the flag-raising and wreath laying ceremonies in front of the administration building - at the very same spot where the formal turnover ceremonies were held 16 years ago.

SBMA Chairman Feliciano G. Salonga and Administrator Arreza, himself a former volunteer, will lead the flag raising, along with deputy administrators and former volunteers representing the different SBMA business units.

A wreath will be offered at the monument in the same area– that of the Children of the Sun Returning - which was built in 1996 by the first SBMA chairman and administrator, then Mayor Richard J. Gordon, and dedicated to Subic volunteers.

The Olongapo city government has also organized a grand reunion of Subic volunteers at a memorial built in their honor across the lagoon at The Bicentennial Park – the Volunteers' Shrine, where the Subic volunteers' names are engraved on granite panels. (SBMA Corporate Communications)

15,300 new jobs created in Subic

A total of 15,330 new jobs were created in this free port in the first nine months after the Subic Bay Metropolitan Authority (SBMA) approved 141 new investment projects worth more than $239 million.

The new jobs include the 10,000 projected employment of Subic Neocove Corp., a joint venture between Korean and American firms for the construction and operation of an integrated sports and luxury resort facility at Subic's Redondo Peninsula.

SBMA Administrator Armand Arreza said the projected employment opportunities would increase Subic's active workforce by 18 percent.

According to the SBMA Labor Department, Subic's total labor force already stood at 83,428 as of September due to expansion programs undertaken by Subic-registered enterprises, as well as the operation of new investors..

While the bulk of the Subic workforce remains in the services sector with a total of 36,012 workers or 43.17 percent, employment in the shipbuilding and marine-related business is fast catching up, the SBMA said.

Already, maritime-related industries employ 26,438 or 31.69 percent of the workers in Subic, SBMA figures showed.

The maritime sector is followed by the manufacturing sector, with 14,804 or 17.74 percent; and construction, with 5,628 workers or 6.75 percent. The rest of the active workforce is composed of domestic helpers and caretakers, with a total of 546 or 1 percent.

Arreza said the entry of Neocove Corp. and other big-ticket tourism projects would most likely keep the services sector as the leading employer here in the next few years.

"Subic is basically service-oriented, so as more industries locate here — whether in maritime or manufacturing sectors — we expect a corresponding increase in jobs in the services sector," Arreza said.

He added that aside from Neocove, nine other big investors that signed in this year would also be also labor-intensive.

These include the Korean construction firm Hanil E&C Subic, Inc., which has a committed investment of $11 million; Sultan Ahmed Lootah Enterprises corp., with $6.72 million; George Dewey Medical and Wellness Center, Inc., with $6.58 million; Hanafil Golf and tour, Inc., with initial commitments of $3 million; Australasia Marine Alliance Corp., with $2.31 million; Pacific Pearl Airways Aviation School, with $2.13 million; Palmgold Int'l Ltd., with $1.98 million;
Grand Pillar Int'l Development, Inc., with $1.9 million; and Buma Subic Development and Management Corp., with $1.5 million.

The 141 new projects worth some $239 million placed the total committed investments in Subic at $5.74 billion, the SBMA said.

Arreza also said that SBMA's job-generation program has been instrumental in addressing unemployment and underemployment in the Central Luzon region.

Citing figures from the Department of Labor and Employment's Bureau of Labor and Employment Statistics (DOLE-BLES), Arreza noted that the region's unemployment rate had decreased from 11.5 percent in 2007 to 9..4 percent as of July this year.

In the same period, Central Luzon's underemployment figures went down from 14.1 percent in 2007 to 9.2 percent as of July.

"I think our efforts to minimize labor gaps are now gradually paying off," Arreza said, pointing out that the agency is also facilitating regional dialogues not only to address unemployment, but to promote skills matching and industrial peace in the region.

He said the that in 2005, the SBMA linked with the Department of Labor and Employment, Commission on Higher Education, Technical Education and Skills Development Agency, Public Employment Service Office, and the Regional Development Council to start a series of conferences on job-skills mismatch to help address labor concerns in Central Luzon. (SBMA Corporate Communications)

10 November 2008

Trump eyeing investment in Philippine freeport

SUBIC BAY, Philippines - U.S. property tycoon Donald Trump is eyeing up a move to develop part of a new complex in the Philippine freeport of Subic Bay into a tourist center, a Trump company official said Wednesday.

The flamboyant billionaire is looking at joining a South Korean company that is already building a major complex in Subic Bay, which is located north of Manila.

Trump Organization executive vice-president Michael Cohen said he had met officials of the Heung-A Property Group to discuss the plan.

He said the two sides were working on “a definitive agreement” where the Trump group would be a key developer of the beachfront but added that no formal accord had been signed.

Heung-A Property owns Subic Neocove Corp., a venture that is developing a tourism complex. The company is planning an initial 250 million-dollar investment to build hotels, golf courses, a casino and residential areas.(The China Post)

07 November 2008

Fighting poverty ensures peace - Pres. Arroyo. Petron fuel plant inaugurated in Subic

SUBIC BAY FREE PORT—President Arroyo has underscored the importance of the government’s poverty-alleviation program, saying that strengthening the economy and bringing about human dignity to every Filipino brings about peace.

In a speech before the Central Luzon Local Peace and Security Assembly at the El Centro Convention Center here, President Arroyo also said the government has been making headway in curbing insurgency, which she said is rooted in lack of jobs,
land-reform problems and social injustice.

“A strong and growing economy has been the central pillar we have labored to create precisely to help ensure peace, order and instability in our country. And it’s paying off,” Arroyo told some 500 participants in the two-day assembly and workshop.

Before addressing the Central Luzon peace assembly Thursday, President Arroyo also inaugurated a $2.5-million fuel-additives blending plant put up by Petron Corp. at the Subic Techno Park.

Petron chairman and CEO Nicasio Alcantara informed the President at the inauguration that the facility will not only generate dollar revenues, but will also promote energy conservation and assist in environmental protection.The additives-blending plant, the first of its kind in Asia-Pacific, will export 80 percent of its products, mainly to Asian markets.

In addressing the peace assembly later, Mrs. Arroyo said, “Our economy is more resilient today than ever before, thanks to our fiscal reforms that manifested in a 7-percent-plus [gross domestic product] growth last year.” Almost 7 million jobs have also been created in the past seven years of her administration, she added.

However, she admitted that the current global financial crisis still hits Filipinos where it hurts most—at the kitchen table.“We are not insulated from the events taking place internationally, so we will have to monitor developments closely and take action where necessary, to ensure that any impact will be minimal or short-lived,” she added.

At the same time, President Arroyo criticized communist insurgents for impeding progress and development in some rural areas, and said the government is taking on a new tack to end “all forms of armed rebellion in the country.”

She said the new premise of the government’s peace efforts now focuses on “authentic dialogues with the people in communities,” and not on negotiating with armed groups.

“By talking directly with the people, we aim to generate a national consensus against armed struggle as a means of achieving political and social change,” the President explained.

She added that the overall framework of the government’s peace process will be composed of disarmament, demobilization and reintegration (DDR).“DDR, as espoused by the communities, will be a notice to armed groups of their rejection of armed struggle, and a way of showing that the force of arms does not entitle them to representing our people,” she added.

For its part, the assembly presented President Arroyo with a resolution and action agenda for peace, security and development, which was the result of the two-day workshop, spearheaded by National Security Adviser Norberto Gonzales.

The resolution supported the “wisdom and spirit of the New Peace Paradigm [of] multitrack dialogue, peace education and development cooperation,” and expressed the participants’ determination to make Central Luzon an agro-industrial heartland, international gateway, tourism haven, and transshipment and logistics hub.

The resolution was signed by representatives of six workshop groups that included participants from local and national government units, nongovernment and people’s organizations, academe, business, religious and basic sectors. (Henry Empeño - Business Mirror)

Subic to exceed P5.3-B revenue record

Revenues derived from duties and taxes in this free port this year are expected to breach the P5.3-billion record in 2007, as total collections at the end of 3rd quarter 2008 already reached P4.08 billion.

Subic Bay Metropolitan Authority (SBMA) Administrator and CEO Armand Arreza said the 3rd quarter figure meant an increase of 6.41 percent over the P3.83-billion tally made in the same period last year.

With the 3rd quarter collection record just short by P1.2 billion from last year’s total, the SBMA expects to exceed the 2007 figure of P5.3-billion, he said.

“By all indications, Subic is defying the odds,” Arreza enthused. “While there is some slowdown in the global economy, we continue to make consistent growth in revenue, import, export, as well as investment and employment.”

“The continued growth of these indicators brings about the rise in the taxes and duties collected in Subic,” he said.

According to data released by the SBMA, the Bureau of Customs (BoC) reported a total cash collection of P2.97 billion from January to September 2008, while the Bureau of Internal Revenue (BIR) showed a P1.11 billion tally.

The BoC figure represented a growth of 5.82 percent over its P2.81 billion cash collection as of 3rd quarter 2007.

The Customs office in Subic traditionally sourced its earnings from importation duties and taxes on oil, motor vehilces, general merchandise and Fedex operations.

Arreza said that despite the current economic crisis, importations by manufacturers and traders here had grown steadily in the last two years, from $1.62 billion in 2006 to $1.79 last year.

Aside from its cash collection, the BoC reported non-cash receipts worth P4.53 billion, for a total of P7.5 billion in cash and non-cash transactions from January to September.

In the nine-month period, the Subic BoC made its highest collection in September with P430.7 million.

The BIR report, meanwhile, indicated that its P1.11 billion tax collection represented an increase of 8.02 percent when compared to the P1.02 billion accumulated in the first nine months last year.

The BIR office here derived its collections from income and profit taxes, value-added tax, percentage tax and other taxes paid for by employers and employees in the Subic Bay Freeport.

The revenue collection agency also reported that its collection peaked in the 2nd quarter when it recorded P423.4 million, with P210 million collected in April alone.

Arreza said that revenue collection in Subic will further increase with the entry of more than 141 new investment projects approved by the SBMA in the last nine months. (SBMA Corporate Communications)

photo caption: Container ships unload cargo at Subic’s Sattler Pier. The Subic Bay Metropolitan Authority said a steady growth in imports, as well as investments and employment, contributes to the rise of revenue collections in the Subic Bay Freeport.

SBMA, Zambales LGU endorse Neo-Cove resort project in Subic

Officials of the Subic Bay Metropolitan Authority (SBMA) and the province of Zambales have given their unqualified support to a proposal by a Korean-led consortium to build a high-end leisure facility at Subic's Cawag area, a short distance from the Hanjin shipyard.

In a meeting with project proponents on Tuesday, SBMA Chairman Feliciano Salonga and SBMA Administrator Armand Arreza said that the agency "stands solidly behind the resort project," which is billed to be the largest master-planned community in Asia.

"The next step now is to break ground," Arreza suggested, pointing out that the SBMA has already worked out the inclusion of the project site with the Subic Bay Freeport.

Zambales Gov. Amor Deloso, for his part, gave the assurance that the project would not meet resistance from the local community.

"This project is good for the local economy and for the tourism industry of Zambales. It will also generate some 10,000 jobs," he said.

"There will be no problem with the people at the site," he added, saying that the project has been formally approved by the Zambales provincial board recently.

The resort project will incorporate hotel and vacation complexes, a 54-hole golf course and leisure-sports facilities, an eco-park, spa and therapy centers, as well as an international hospital and an international school.

Youn Jae Lee, chairman of the Heung-A Property Group (HAPG) of Korea, said his company is combining resources with Westgate Resorts Asia Ltd. and the Trump Organization "in exploring various real estate opportunities in Asia."

The consortium's initial project will be the $250-million integrated leisure, sports and entertainment facility to be built at a 457-hectare beachfront property in Subic, he added.

But a representative of Imagine Realty Corporation, a firm headed by former peace adviser Roberto Aventajado, said the Subic resort development will be made in several phases and will eventually be worth around $1 billion.

The first phase will be undertaken from 2008 to 2010, and the second from 2010 to 2011, he added.

In the same meeting, Trump executive vice president Michael Cohen said his firm has already signed a letter of intent with CIG, one of the Korean partner-firms for the Subic Neo Cove project.

With the entry of Trump, Cohen added, the Subic project would have "the finest quality resort and golf course anywhere in the (Asian) region."

Mark Waltrip, chief operating officer of Westgate, meanwhile said that his firm's involvement would ensure that the project would be fully integrated with local culture — a mark, he said, of Westgate, which operates the largest chain of family-oriented resorts in the United States today.

HAPG chairman Youn Jae Lee, on the other hand, noted that the Subic Freeport has "wonderful infrastructure" already in place. But with the planned resort project, there would be better opportunities for the business community in Subic, he added.

HAPG is said to be one of Korea's progressive conglomerates with interests in real estate, shipping, and logistics. It will undertake the Subic report project through its wholly-owned subsidiary, the Subic Neo Cove Corporation. (SBMA Corporate Communications)

04 November 2008

Subic,Clark approve e-TAPS implementation

Subic and Clark authorities have approved the use of the Automated Transit Admission Permit System (e-TAPS) to ease trade flow in the two ports.

Officials of the Subic-Clark Alliance for Development Council (SCADC), Clark Development Corp., (CDC) and Subic Bay Metropolitan Authority (SBMA) signed the joint memorandum order for the implementation of the e-TAPS at the Clark International Airport Corp., (CIAC) Board Room.

The e-TAPS design intends to simplify procedures and accelerate approval time in the processing of applications for tax and duty-free importations of locators and enterprises.

SBMA Administrator and CEO Armand Arreza, SCADC Chairman Secretary Edgardo Pamintuan, and CDC President and CEO Benigno Ricafort signed the memorandum.

Customs accredited value-added service provider (VASP) Intercommerce Network
Service (INS) provides the remote lodgment facilities for the preparation and lodgment of the Transit Admission Permit (TAP) to the Freeport Authorities.

It will be processed and approved with system generated Freeport Zone Authority reference number.

The Freeport authority through INS shall approve the TAP and transmit the approved
TAP with electronic signature and prescribed data through the National Single Window Program of the Bureau of Customs.

The new procedure allows the importer/broker to create the import entry / Transit
Single-Administrative Document (SAD) using the approved TAP data. This simplifies the workflow, eliminate the physical validation of the data in CDC/TAP and the Customs IEIRD form.(Malaya)

Execs: Subic has come long way

Top officials of the Subic Bay Metropolitan Authority (SBMA) are optimistic about the freeport's prospects in the global maritime sector.

SBMA Administrator Armand Arreza, in his address during the general assembly of the International Network of Affiliated Ports (INAP) here on Wednesday, said compared to 10 years ago, Subic has come a long way.

He said Subic is now home to some 1,100 investor-firms that provide jobs to more than 85,000 workers.

Arreza said Subic, which has the newest operating container port in the country, possesses key infrastructure that can support a wide range of businesses.

With this, Subic now responds to the growing requirements of seaborne trade in Northern and Central Luzon, and is ready for the capacity shortage of 14 million TEUs (twenty-foot equivalent units) projected for Southeast Asia, Arreza told conference delegates.

He said the existence of nine other piers and cargo terminals in Subic, the logistics support infrastructure in the Subic-Clark growth corridor and the freeport's location in the center of the East Asian region would give this free port access to more investments.

During the conference, representatives of INAP's member-ports installed SBMA Chair Feliciano Salonga as INAP chair for 2008 to 2009.

Salonga said he would steer Inap to survival and expansion, especially during these challenging times.

INAP, formed in 1998 as a venue for exchanging information and sharing technology and expertise on marine transport and logistics, held its 10th annual conference here as the global economic downturn began affecting major industries, including the maritime sector.

Masanao Ozaki, governor of the Kochi Prefecture in Japan and outgoing INAP chair, lauded the SBMA for promoting investment and employment opportunities in Subic.

"For the significant increase in [the] number of investors and jobs created in Subic, I would like to show respect to the people of SBMA for the hard work and generous effort in developing the local economy," Ozaki said.

Hiroshi Yamanaka, ports promotion director at the Kochi port in Japan, said the Kochi government encouraged not only exchanges among government officials, but also among traders during the Subic conference.

The Kochi government had 30 delegates to the conference, 20 of them coming from the private business sector, Yamanaka said.

The Japanese delegation, he said, checked developments inside the Subic Bay
Freeport in pursuit of possible economic exchanges or trade. (Philippine Daily Inquirer)

29 October 2008

SBMA's Salonga elected head of Asian ports network

Subic Bay Metropolitan Authority (SBMA) Chairman Feliciano G. Salonga, credited for the successful re-focusing of Subic's development thrust into the maritime industry, was formally named the new chairman of the International Network of Affiliated Ports (INAP) here on Tuesday (October 28).

Members of the network, who attended the organization's two-day conference at the Subic Bay Exhibition and Convention Center, unanimously voted Salonga into the post.

Salonga, who holds the rank of a commodore in the Philippine Coast Guard Auxiliary, became the 10th INAP chairman, replacing Gov. Masanao Ozaki of the Kochi Prefecture in Japan, which hosted last year's conference.

In accepting the chairmanship, Salonga said he is willing to steer INAP "towards not only survival, but also expansion during these challenging times."

He said the INAP should expand further by forging deeper relationships between member ports and intensifying the recruitment of new members into the organization.

This is in response to the call of Ozaki, who remarked that this year's conference theme "Emerging Roles for Asian Ports," is timely because the current crisis in the global economy also affects the maritime sector.

"It is significant in terms of the philosophy of INAP that this year's conference was held here in the port of Subic Bay," Ozaki also said, as he urged INAP members to take Subic Bay as a prime example on how to cope with sudden changes.

Ozaki, who made history in Japan last year as the country's youngest governor in history, added that he admires the way SBMA has propelled Subic Bay from the devastating economic effects of the Mount Pinatubo eruption in 1991 and the pullout of the US Naval Base the following year.

"Now, Subic Bay Freeport's logistics infrastructure, including air, land and sea transportation systems, allows Subic to perform its role as one of the main driving forces of the Philippine economy," said Ozaki.

Salonga, meanwhile, recalled that Subic's port modernization project has barely began when the free port first hosted the INAP symposium in 2002.

"Subic Bay has gone a long way since then — the port modernization project is now a reality," he said, adding that the SBMA would be willing to share its experiences in developing Subic's maritime port with other members of INAP.

The group, which was formed in 1998, has seven members: the ports of Subic and Cebu in the Philippines, Kochi port in Japan, Mokpo Newport in South Korea, Tanjung Perak in Indonesia, Colombo in Sri Lanka, and Qingdao in China..

Aside from holding the convention and business meetings in Subic, INAP conference delegates are scheduled to meet with officials of the Clark Development Corp., which manages the Clark Freeport. (SBMA Corporate Communications)

SBMA cites growing role of Subic port in maritime trade

The two-day general assembly of the International Network of Affiliated Ports (INAP) started here on Tuesday on positive notes of greater cooperation and further growth among members, as host Subic Bay Metropolitan Authority (SBMA) cited the growing role of ports in the global trade.

INAP, which was formed in 1998 as a venue for exchanging information and sharing technology and expertise on marine transport and logistics, held its 10th annual conference here as the global economic downturn began affecting major industries, including the maritime sector.

However, Subic port officials led by SBMA Chairman Feliciano Salonga and SBMA Administrator Armand Arreza said that Subic, like INAP's other member-ports, is still optimistic of attaining growth despite economic difficulties.

"The Port of Subic now boasts of thenewest operating container port in the country, and it possesses key infrastructure that can support a wide range of businesses," Arreza pointed out as he batted for this free port as an ideal maritime logistics hub.

"With this, Subic now responds to the growing requirements of seaborne trade in Northern and Central Luzon, and is ready for the capacity shortage of 14 million TEUs (twenty-foot equivalent units) projected for South East Asia," Arreza told conference delegates.

Arreza also said Subic's New Container Terminal-1, which was funded by the Japan Bank for International Cooperation (JBIC), has an annual capacity of 300,000 TEUs and equipped with two quay cranes capable of handling even post-Panamax cargo vessels.

The existence of nine other piers and cargo terminals in Subic, the massive logistics support infrastructure now existing in the Subic-Clark growth corridor, as well as the free port's strategic location in the center of the growing East Asian region, definitely gives Subic a solid foundation to gain more investments, attract more trade and weather the current economic storm, Arreza added.

Compared to ten years ago, Subic has come a long way," Arreza said, adding that the Subic Bay Freeport is now home to some 1,100 investor-firms that provide jobs to more than 85,000 workers.

On the other hand, Arreza said that because of the economic crisis today it is important that INAP focus on its fundamental objectives. These include responding to the needs of the maritime transport industry, while strengthening cooperation among members, exchanging information and technology, and conducting regular interaction among members.

For his part, outgoing INAP chairman and current Kochi Prefecture of Japan Gov. Masanao Ozaki lauded the SBMA for promoting excellent investment and employment opportunities in Subic.

"For the significant increase in numbers of investors and jobs created in Subic, I would like to show respect to the people of SBMA for the hard work and generous effort in developing the local economy," Ozaki said.

The INAP conference here also began on Tuesday on another positive note for Subic as representatives of the member-ports unanimously installed SBMA Chairman Feliciano Salonga as INAP chairman for the year 2008- 2009.

Salonga, who said his election as INAP head is both a personal and professional milestone for him, promised to contribute his "humble share in steering INAP towards, not only survival, but also expansion especially during these challenging times. (SBMA Corporate Communications)



Outgoing INAP chairman Masanao Ozaki, who is also governor of the Kochi Prefecture in Japan, lauds the SBMA for creating investment and job opportunities in the Subic Bay Freeport.






Dancers in traditional Filipino costume welcome delegates to the 10th assembly of the International Network of Affiliated Ports (INAP) at the Subic Bay Exhibition and Convention Center. The conference was hosted by the Subic Bay Metropolitan Authority on October 28 and 29.

26 October 2008

Japanese traders in INAP conference to survey business prospects in Subic Freeport

Authorities at the Port of Kochi in Japan have urged port-related businesses in their area to join the 10th annual conference of the International Network of Affiliated Ports (INAP) here this week and survey possible business ventures in this free port.

According to Hiroshi Yamanaka, ports promotion director at the Kochi port, the Kochi Prefectural Government encouraged not only exchanges among (government) officials, but also among traders during the two-day Subic conference that begins on Tuesday.

This is because the business sector “is actually the one conducting trade in the ports belonging to the INAP group,” Yamanaka pointed out.

In turn the prefectural government, which administers the Port of Kochi, has enlisted 30 delegates to the Subic conference, with 20 coming from the private business sector, Yamanaka said in a email sent to the Subic Bay Metropolitan Authority (SBMA) on Thursday.

The Japanese business delegation, he said, is part of the “economic mission of businesses” they have formed in response to the establishment of INAP in 1998 as a forum for consultation, cooperation and exchange of information among member-ports.

As in missions to other INAP member-ports which involved private businesses, Yamanaka said, the Japanese delegation will check out developments inside the Subic Bay Freeport “in pursuit of possible economic exchanges or trade.”

“If we could encourage more such exchanges in the private sector, so that they happen not just once but several times a year, we would see greater results,” he said.

Yamanaka pointed out many companies in the Kochi area began pursuing overseas business ventures after attending last year’s INAP conference that was hosted by Kochi port.

This is because one special characteristic of INAP, Yamanaka said, “is not simply the one-on-one port relationship, but the network of alliance among ports that spans many different countries.”

He said that the ties among member ports “will lead to the advancement of their respective regions and countries.”

Yamanaka added that he himself became excited to come to the Philippines after hearing about serious efforts of the SBMA to transform Subic Bay into a leading maritime and logistics hub in the Asia-Pacific region, as discussed by SBMA Chairman Feliciano Salonga in the Kochi conference last year.

Kochi’s ports promotion division, which Yamanaka heads, served as the INAP secretariat since the port organization was established 10 years ago.

Meanwhile, Salonga, who is the incoming chairman of INAP, announced that representatives of the seven member-ports will meet here to discuss the emerging roles of ports in the Asian region.

The INAP members include the ports of Subic and Cebu in the Philippines, Port of Colombo in Sri Lanka, Port of Kochi in Japan, Port of Tanjung Perak in Indonesia, Port of Qingdao in China, and Mokpo Newport in South Korea. (SBMA Corporate Communications)

Subic port to inject innovations in INAP conference

The Subic Bay Metropolitan Authority (SBMA) will be introducing innovations in the program for the 10th International Network of Affiliated Ports (INAP) that it will host beginning Tuesday next week.

SBMA Chairman Feliciano Salonga said that for the first time in the 10-year history of INAP, the conference will feature business meetings among locators in the various member-ports, as well as an exhibition of products and services related to the maritime industry.

“These innovations will be introduced to maximize the opportunities that INAP conference may open to port operators and businessmen alike,” Salonga said.

“We want these new conference features to help in dynamically transforming the ports network into a bigger and more effective organization,” he added.

Salonga, who is the incoming INAP chairman to replace Gov. Masanao Ozaki of Kochi, Japan, also said that a total of 70 official delegates from INAP’s member-ports have confirmed their attendance to the conference.

The seven members of INAP are: Port of Subic, Port of Colombo in Sri Lanka, Port of Kochi in Japan, Port of Cebu, Port of Qingdao in China, Port of Tanjung Perak in Indonesia, and Mokpo Newport in South Korea, which joined the group last year.

Meanwhile, SBMA’s seaport general manager Perfecto Pascual, who is in charge of the preparations for the conference, said that the Port of Kochi has confirmed that about 20 Japanese businessmen will join Kochi’s official delegation to Subic.

“Korea is also coming in with some business representatives,” he said.

Among the local agencies, Pascual said that the Department of Trade and Industry (DTI) will also put up a booth at the exhibit hall of the Subic Bay Exhibition and Convention Center (SBECC) where the conference will be held.

The exhibits and business meetings will be important features of the conference because in the maritime community, Pascual explained, ports have multiplier effects in terms of employment, in generating major industries, and increasing export and import activities.

“These are the things that promote interrelationships among our ranks and promote commerce, not only here in Subic, but also with other member ports,” he added.

Pascual added that INAP officials will also consider during the conference here the organization’s policy on accepting new members.

“The current policy is that a port applying for membership should first have a sister-port agreement with any of the members,” he revealed. “But we might probably relax this policy, so that other interested ports can join even without a sister-port agreement with member ports.”

The proposed policy shift might help transform INAP into a bigger organization, Pascual said. (SBMA Corporate Communications

23 October 2008

Use Subic terminal, North and Central Luzon businessmen urged

The Subic Bay International Terminal Corp. (SBITC) and the Subic Bay Metropolitan Authority (SBMA) recently urged importers and exporters in Northern and Central Luzon to use the newly opened container terminal at the Subic Bay Freeport.

“We are inviting businesses and industries in the area to use the Subic container port. The strategic location of Subic to your manufacturing plants means a significant decrease in transport costs and faster delivery time of cargo,” said SBMA Senior Deputy Administrator for Operations Atty. Ferdinand Hernandez during the North Luzon Area Business Conference at the Grand Palazzo Royale in Angeles City, Pampanga.

The conference, organized by the Philippine Chamber of Commerce Industry (PCCI), gathered national government officials for trade, transportation, agriculture, infrastructure and human resources and over 300 businessmen in the region for a two-day meet to discuss how the region’s economic stakeholders could raise global competitiveness in Northern Philippines.

“Also, our new container handling facility in Subic complements the Philippine government’s over-all infrastructure development plan for the Metro Luzon Urban Beltway, especially the requirements of seaborne trade in Northern and Central Luzon,” Hernandez added.

SBITC, a subsidiary of International Container Terminal Services, Inc. (ICTSI) and operator of Subic’s New Container Terminal-1 (NCT-1), and the SBMA have been jointly marketing the Subic Bay Freeport as the prime trade link in Northern Philippines. Subic’s proximity to the economic zones of Northern and Central Luzon makes it the ideal international trading gateway in the region.

“With our strategic location, world class port infrastructure, competitive port tariffs, and the expertise of an international port operator, Subic is ready and positioned to serve industrial locators in the region. Thanks to the newly opened Subic-Clark- Tarlac Expressway, trucking transit times and fees are significantly reduced with Subic as gateway. Unlike other ports located in metropolitan areas in Luzon, Subic is traffic jam-free and has no truck ban,” Hernandez said.

The Subic container terminal, located at the Freeport’s Cubi Point, was developed through funding provided by the Japan Bank of International Cooperation. SBITC holds the 25-year concession for the operations of the port.The terminal has an area of 13.16 hectares and an annual capacity of 300,000 TEUs (twenty foot equivalent units).

The berth is a 280-meter wharf with a controlling depth of 13 meters, and is equipped with two post-Panamax quay cranes.The terminal design ensures optimal terminal operations and utilization of container handling equipment and facilities especially terminal space. Over 80 reefer stations are installed in the container yard, while the gate has six truck lanes for the smooth flow of trucks coming in and going out of the terminal.

“SBITC is investing to further improve terminal operations and to construct other support facilities. Additional container handling equipment will be purchased as the throughput of the terminal increases in the coming years. We have already invested in human resources training and development and a terminal operating system for gates and container yard management. Plans are underway to fully computerize operations,” said Aurelio Garcia, SBITC General Manager.

“SBITC will continue to focus its resources in developing, acquiring and implementing technology and best practices that will sustain efficacy of terminal operations. We are committed to provide services at par with the world’s leading container terminals,” he added.

Currently, SBITC’s shipping line clients include American President Lines, Wan Hai Lines and Tasman Orient. SBITC, established by ICTSI in 2000, is the exclusive international container terminal operator at the Subic Bay Freeport. It had operated the freeport’s NSD Terminal for seven years before transferring container handling operations to the NCT-1 last May.

ICTSI is a leading developer of international ports and terminals with a global port network spanning 11 countries in four continents. ICTSI is on its 20th year of operation, and continues to pursue container terminal opportunities around the world. (PNA)

22 October 2008

Transportation top brass to keynote Subic Int'l Ports Confab

Secretary Leandro Mendoza of the Department of Transportation and Communications (DoTC) will be the keynote speaker here next week during the annual conference and general assembly meeting of the International Network of Affiliated Ports (INAP).

The INAP conference, which will be held at the Subic Bay Exhibition and Convention Center (SBECC) on October 28 to 29, is expected to include a series of direction-setting and planning workshops under the theme "Emerging Roles for Asian Ports."


The organization is composed of the ports of Subic and Cebu in the Philippines, Kochi in Japan, Mokpo in South Korea, Qingdao in China, Tanjung Perak in Indonesia, and Colombo in Sri Lanka.

Mendoza, whose department is responsible for the country's rail, air, sea and communications infrastructure, said the event "will serve as an opportune venue to discuss and exchange ideas on possible multilateral economic opportunities for local and foreign businesses."

The conference theme, Mendoza also said in a message to INAP, "manifests your strong commitment towards the development of ports and harbors in the Asian region."

Aside from addressing the INAP assembly, Mendoza is scheduled to open an exhibit on maritime-related industries and products at the SBECC on the first day of the meeting.

The INAP conference will be formally opened at 9 a.m. on October 28 by Subic Bay Metropolitan Authority (SBMA) Administrator Armand Arreza, who will deliver the welcome address.

This will be followed by the opening remarks from Governor Masanao Ozaki, head of the Kochi prefectural government in Japan, who is also outgoing INAP chairman.

Other speakers on the first day of the conference include Arreza, who will make a presentation on the role of the Port of Subic in Northern Luzon trade, Secretary Eduardo Pamintuan of the Subic-Clark Alliance for Development (SCAD), and Edgardo Abesamis, president of the Subic Bay International Terminal Corp., operator of the New Container Terminal-1 in this free port.

On the second day of the conference, representatives of INAP member-ports will also present plenary reports. These include Capt. Perfecto Pacual, SBMA seaport manager; Angelo Verdan, general manager of Cebu Port Authority; Ozaki, for the Port of Kochi; Achmad Baroto, general manager of the Port of Tanjung Perak in Indonesia; and Byeong Soo Choi, chief executive officer of Mokpo Newport in South Korea.

Two other Asian ports are expected to join INAP during the Subic conference: the Port of Kota Kinabalu in Malaysia and the Port of Kaohsiung in Taiwan.

SBMA Chairman Feliciano Salonga is also scheduled to be elected chairman of INAP during the conference here, replacing Ozaki who was elected last year. (SBMA Corporate Communications)

21 October 2008

SBMA's Salonga gets achievement award from USMMA

Subic Bay Metropolitan Authority (SBMA) Chairman Feliciano G. Salonga recently received the Outstanding Professional Achievement Award from the U.S. Merchant Marine Academy (USMMA) — his second award from his alma mater for various achievements in the maritime industry.

Salonga, who holds the rank of a commodore in the Philippine Coast guard Auxiliary, is largely credited for shifting the focus of the Subic Bay Freeport to the maritime industry since taking over as SBMA chairman in 2005.

The paradigm shift, SBMA officials acknowledged, ushered in investors in maritime trade like the Korean shipbuilder Hanjin Heavy Industries and Construction Co., which now operates a $1.6-billion shipyard here.

The award, according to the USMMA Alumni Foundation, is given to graduates of the academy who best exemplify the finest tradition of the merchant marine corps "Acta Non Verba" — or deeds, not words — by attaining personal achievement in their chosen field.

The USMMA, which is based in Kings Point, New York, trains men and women as officers in either the maritime industry, which is considered the fifth service in the US armed forces, or the army, navy, air force or coast guard.

Salonga entered the academy in 1949 as a scholar under the US government's Philippine Rehabilitation Act of 1946, and graduated from the prestigious school in 1953.

He is the first Filipino in the USMMA Class of '53 to receive the Outstanding Professional Achievement Award.

Prior to the recent award, the USMMA had honored Salonga with his first achievement award in 1988 when he was an executive of a private shipyard in Batangas.

During that stint, Salonga was instrumental in the successful negotiation to build three ships for ARAMCO — the country's first business contract for the giant Saudi Arabian petroleum firm.

The second USMMA award, however, "is truly special because I consider it as an affirmation of what I have kept close to my heart — the academy's tradition of 'Acta Non Verba'," Salonga said.

"This is what drives me to perform well, to pitch in my modest share in building a better future for the young generation of Filipinos," he added.

Since his appointment as head of the SBMA, Salonga has tapped his connection with the USMMA to introduce modern education to local students in the maritime industry.

Last year, Salonga proposed the establishment of the Subic International Maritime Institute (SIMI) and tapped the assistance of the Global Maritime and Transportation School (GMATS), a Kings Point-based institution which has a continuing education program.

The Subic project is envisioned as a collaboration with local maritime schools like the Philippine Merchant Marine Academy in San narciso, Zambales to produce more qualified seafarers, especially shipboard officers.

These efforts, Salonga said, "comes from a keen sense of obligation to give back what I have received from my scholarship at Kings Point."

"It is also what continues to drive me today to maximize resources in making a maritme powerhouse out of Subic," he stressed.

Salonga explained that it was his background in the maritime industry — and his education at the USMMA — that earned him the appointment by President Arroyo to head the SBMA.

"Knowing that Subic Bay is a huge maritime resource just waiting to be tapped, the President told me three years ago to run Subic. And look at what we're doing now — Administrator Armand Arreza and I really work ourselves to the limit to make Subic a leading maritime service and logistics center in the whole of Asia," he said.
Salonga is also slated to be elected chairman of the International Network of Affiliated Ports (INAP) during the group's 10th annual assembly here in Subic late this month. INAP is composed of seven international ports in the Asian region. (SBMA Corporate Communications)

16 October 2008

3rd Subic Chamber Blood Drive

The Subic Bay Freeport Chamber of Commerce, in cooperation with various organizations, conducted yet another successful blood donation program at the Subic Bay Arts Center last October 8, 2008. This year’s blood drive was SBFCC’s third since 2006.

SBFCC President John E. Corcoran hailed the 2008 SBFCC Blood Drive as another huge success.

Chamber Director and Blood Drive chairman Prof. Danny Piano commented that donors were already pouring in early in the morning. “It was uplifting to see so many volunteers helping out and even more heart-warming to see donors from all walks of life—employers and employees, rich and poor, young and old; no matter the gender, race, religion, or creed—voluntarily donate blood. These people are heroes because their donations will save lives. I am hoping that they will continue to be part of our Blood Drive programs. Donating blood is, after all, the right thing to do and one of the things in this overly complicated world where one feels good about one’s self afterwards.” he also said.

Contributing to the success of this drive was Ocean Adventure’s continued generosity in providing every donor and volunteer with a complimentary admission ticket to their facility. Other generous volunteers and participants included Absolute Service, Peninsula Lions Club, PAMET, PMAP, Jollibee Subic Bay, Rali’s Grill, Subic Water, and Grosse Pointe Medical.

Chamber members also enthusiastically supported the program in conveying their employees to the event. Donors also included PMMA cadets, Gordon College , SBMA SW AT team, SBMA Health & Welfare, LED, and Fire Department.

As we draw nearer to the holiday season in which blood banks are critically low, all are being encouraged to give the gift of life. This year’s campaign yielded 145 units of blood donated to the Philippine National Red Cross (SBFCC Secretariat)

14 October 2008

Subic Freeport to host int’l ports confab on Oct. 28-29


The Port of Subic will be hosting an international conference of ports on October 28-29, consistent with the thrust of the Subic Bay Metropolitan Authority (SBMA) to establish higher visibility and widen its circle of partners in the global maritime industry.

SBMA Chairman Feliciano Salonga said seven members of the International Network of Affiliated Ports (INAP) will meet here to conduct a series of direction-setting and planning workshops under the theme “Emerging Roles for Asian Ports.”

The INAP members include the ports of Subic and Cebu in the Philippines, Port of Colombo in Sri Lanka, Port of Kochi in Japan, Port of Tanjung Perak in Indonesia, Port of Qingdao in China, Mokpo Newport in South Korea.

Two other ports are expected to join this year’s conference, Salonga said.. These are the Port of Kota Kinabalu in Malaysia, which will be invited by Cebu, and the Port of Kaohsiung in Taiwan, which established a sister-port relationship with Subic last year.

Salonga, who will be this year’s conference chairman, said the INAP meeting will focus on crucial discussions about the state of the maritime trade in the Asian region in light of the current global economic crunch.

“Ports are the traditional gateways to local economies, and in today’s increasingly globalized economy they’re proving to be more and more indispensable than ever,” Salonga said.

“With the current economic turmoil experienced by global financial markets, we’d like to come up with strategies to lessen the impact on port operations,” he added.

Salonga added that the Port of Subic expects to benefit much from its membership in INAP since the group was primarily organized to facilitate the sharing of information and technology among its members.

“Our main interest now is for Subic to continue and expand its networking efforts to keep pace with developments in the maritime trade,” he said.

Meanwhile, SBMA deputy administrator for port operations Ferdinand Hernandez said the conference would discuss programs “to help small ports like Subic attain growth and become like China’s Qingdao port, which is now the tenth largest in the world.”

He said the Port of Subic would like to duplicate the well-organized conference prepared by the Port of Kochi, which hosted the INAP meeting last year.

The INAP organization was established in 1998 to provide member-ports with a forum for consultation, cooperation and exchange of information on expertise, know-how, and marketing.

It also endeavors to play a special role in creating environmental awareness, so as to minimize the ecological impact of modern civilization on the environment.

INAP is now undertaking initiatives to deepen the relationship of member-ports and to expand its role in the global maritime industry, said Salonga.

In the upcoming conference here, outgoing INAP chairman Masanao Ozaki, who is governor of Kochi Prefecture, will be turning over the post to Salonga, who will preside over the INAP general assembly session. (SBMA Corporate Communications)

10 October 2008

MMDA Chair supports bid for power plant in Subic Freeport

The plan by Aboitiz Power Corp. (APC) to build a 300-megawatt (MW) clean coal technology-fired power plant at the Redondo Peninsula here has received support the other day from Metro Manila Development Authority (MMDA) chairman Bayani Fernando.

Speaking at the sidelines of a conference by the Liga ng mga Barangay at the El Centro Convention Center here, Fernando said the power project would boost Subic’s thrust to attract more businesses.

“The construction of a coal-fired power plant here is a welcome development that would mean that business is booming in the Subic Bay Freeport, regardless of what other people say,” Fernando said.

“If it was proposed to be built in Marikina, we would have welcomed it with open arms,” he added.

Fernando also dismissed fears that the construction of a coal-fired power plant in Subic would lead to the destruction of the ecosystem, and lauded Subic Bay Metropolitan Authority (SBMA) officials for keeping their cool amidst criticisms that development has been encroaching into the well-preserved environment of the free port.

“With proper handling and management, the coal plant would be beneficial to the Subic Bay Freeport,” Fernando said.

According to the APC, which has recently teamed up with the Taiwan Cogeneration Corp. to form the Redondo Peninsula Energy, Inc. — the corporate vehicle for the proposed power facility, the project is needed to avert a possible power shortage between 2010 and 2012.

The plant, estimated to cost $450 million, is designed to burn bituminous and/or subbituminous coal and will be equipped with two 150-MW steam turbines and equipment using clean-coal technology, said APC vice president Wilfredo Bacareza.

Bacareza earlier said the APC expects to secure an environmental compliance certificate (ECC) this month. Eventually, another 300-MW plant will be added to double the facility’s power-generating capacity, he added.

In the same occasion, Fernando also complimented SBMA chairman Feliciano Salonga and SBMA administrator Armand Arreza for instituting mitigating measures for the environment, such as the policy of replacing trees affected by development projects.

“We also have that kind of program in Manila where we plant 10 seedlings in place of a tree that needs to be cut down,” Fernando explained.

Fernando also bared his program for developing the Marikina River into a recreational site by December of 2009.

He said that the river project would have five water treatment plants, making the river water clean for everybody to swim in. This, Fernando said, is considered a luxury that few residents in Manila now experience.

He added that making residents aware of what they do to the river would also have a positive impact on the lives of the people in Marikina and Metro Manila. (SBMA Corporate Communications)

08 October 2008

Subic ATM-parts maker expands operation

While most exporters face growing difficulties due to the global effects of the financial crisis in the United States, a Japanese electronics manufacturer here is expanding its operations to cope with growing market demand.

Hitachi Terminals Mechatronics (Phils.), Corp. (HTMP), maker of automated teller machine parts and card readers and the third biggest exporter here last year, broke ground last week for a new warehousing facility at the Subic Techno Park (STEP), where most of the Japanese firms in Subic are located.

HTMP president Kiyotaka Adachi said that the new facility will allow the $12-million firm to compete in the global market despite the financial woes besetting economies worldwide.

"The building of the new warehouse is part of our business strategy to control cost and to improve our efficiency," Adachi said.

"It is a sign that HTMP is willing to compete strongly in the world market," he added during the groundbreaking ceremony last week.

The event was witnessed by Senior Deputy Administrator Ramon Agregado of the Subic Bay Metropolitan Authority (SBMA); Kazuya Hori, vice president of Hitachi Omron Terminal Solution, HTMP's mother company; Takashi Jinguji, managing director of Asia Hitachi Transport, and other Japanese business executives based at the (STEP).

The new warehouse, which will have a total floor area of 3, 564 square meters, will be used for receiving goods, stocking, controlling, and handling of materials for production. It will also be used for "picking" or the withdrawal of parts to be delivered either for production or for shipping.

"HTMP is competing hard to gain lead commission in quality cost worldwide.. Last year marked the highest sales for HTMP, but it took us a lot of effort and hard work," Adachi noted.

Meanwhile, SBMA's Agregado lauded the company's continued support to the SBMA's efforts to make the Subic Bay Freeport Zone a success.

"Let me note the progressive management and untiring workers of the HTMP who never stop improving their performance that led them to the top," he said in his message during the groundbreaking rites.

Agregado noted that HTMP was ranked third among the top exporters in Subic last year, with its total freight on board (FOB) export value of US$54.21 million.

The firm was also ranked eighth among the top importers, with a total of FOB import value of more than $24 million, and was the eighth biggest employer in the free port with a total of 703 employees.

He also praised the effort of HTMP to become one of the first companies in Subic to "go 'green' and become more environment-friendly."

Recently, HTMP joined the Green Philippines program launched by the European Union to promote the integration of sustainable development principles with fast paced industrialization, by using the so-called "Ecoprofit" approach.

The HTMP said that by applying Ecoprofit principles, which involved innovative, integrated and environment-friendly technologies, it was able to save millions of pesos in power and water consumption.
..
Among the simple practices that HTMP adopted were the use of auto shut-off water faucets and low-wattage fluorescent bulbs, mandatory turning-off of lights and air-conditioning system during break time, and the promotion of a paperless, pencil-less office through the use of intranet computer networks. (SBMA Corporate Communications)

28 September 2008

Subic Freeport workers now 81,700

Expansion programs by existing companies in Subic, as well as the entry of new business locators, has resulted in the continuing rise of employment here, with the active workforce augmented by more than a thousand workers each month since January this year.

According to figures from the Subic Bay Metropolitan Authority (SBMA), the active workforce in Subic stood at a total of 81,729 as of August this year.

This represented an increase of 11,321 new hires over the yearend 2007 figure of 70,408.

SBMA Administrator Armand Arreza said most of the new positions were created by companies expanding their operations.

"More jobs are about to be created in the coming months as we step up efforts to sign in more businesses and to coordinate job-skills matching with our locators," he said.

Arreza added that in the first eight months of this year, the SBMA has approved 130 new investment projects that will create a total of 5,177 new jobs.

SBMA data indicated that of the total 81,729 workers employed in the Subic Freeport, majority come from Olongapo City, which contributed a total 32,241, or 39.45%.

The second biggest number of Subic workers are those from Zambales, with 17,794 or 21.77%, followed by Bataan, with 10,803 or 13.22%; the National Capital Region, with 4,421 or 5.41%; Pampanga, 2,837 or 3.47%; Tarlac, 1,153 or 1.41%; and other areas, 12,480 or 15.27%.

Arreza said the SBMA's job creation initiatives will also receive a boost from an Internet-based job-skills matching program launched here on Friday by WOWCard, Inc., a business locator that conducted the first Internet-assisted job fair to be held here on September 26 to 27.

The project, Arreza added, will further strengthen job creation efforts for Central Luzon workers, and help address both unemployment and underemployment in the region.

WOWCard president Victorino Quiton said, meanwhile, that the Internet-based system dubbed as "Job@8s" will utilize an electronic database whereby investors and business locators in Subic could post job announcements and hiring requirements.

"This will make the whole recruitment and hiring process faster, more efficient and easier," he said.

Quiton explained that job-seekers availing of "Job@8s" services will be asked to list their qualifications and desired positions.

These will then be encoded and matched with available positions as listed by the more than 30 investor firms that have confirmed their participation in the job fair.

"This facility will also provide locators the window to hire highly qualified professionals even from outside the country, and, at the same time, is expected to attract more foreign investors when they learn that the recruitment and hiring process in Subic is less of a problem," Quiton added.

Quiton said the "Job@8s" facility will be made available for free to local job applicants even after the job fair. (SBMA Corporate Communications)

24 September 2008

Internet-based job fair set in Subic on Sept. 26-27

Job applicants take note: Landing a job at the Subic Bay Freeport will now be faster and easier with the use of Internet technology.

WOWCard, Inc., a Subic-registered company engaged in advertising, will conduct on September 26 to 27 the first Internet-based job fair in this free port at the Subic Bay Exhibition and Convention Center (SBECC).

The event, which will be undertaken in partnership with the Subic Bay Metropolitan Authority (SBMA), will also launch WOWCard's job-matching facility that will utilize advanced information and communications technology (ICT) for optimum job-skills matching.

"This will be the first job fair in the Subic Bay Freeport wherein job-seekers could go through the entire process of application and hiring in just one day," SBMA Administrator Armand Arreza said.

"This Internet-based job-matching facility developed by WOWCard will not only make it easier for job applicants, it will also be available for free," he added.

According to WOWCard president Victorino Quiton, the job-matching facility dubbed as "Job@8s" will utilize an electronic database whereby investors and business locators in Subic could post job announcements and hiring requirements.

"This will make the whole recruitment and hiring process faster, more efficient and easier," Quiton enthused.

He explained that in the coming job fair, job-seekers will be asked to list their qualifications and desired positions, which will then be encoded and matched with available positions as listed by the more than 30 investor firms that have confirmed their participation in the event.

"This facility will also provide locators the window to hire highly qualified professionals even from outside the country, and, at the same time, is expected to attract more foreign investors when they learn that the recruitment and hiring process in Subic is less of a problem," Quiton added.

Aside from being the first Internet-based job fair, the coming event will also set the standards for future job fairs, Quiton disclosed, because of exhibits and entertainment that will be put up at the 5,000-capacity convention center.

He said that there will be some 50 booths for exhibits, aside from food booths to be set up at the front parking area of the SBECC, and transportation to and from the venue will also be provided.

"And while job-seekers wait in line for their application, video and live band, as well as raffle of prizes donated by locator-sponsors, will provide the sidelights of the event," Quiton said.

He also stressed that WOWCard will provide the Job@8s job assistance program even after the job fair, and it will be a free service.

The project, Arreza meanwhile said, is seen to further strengthen job creation efforts for Central Luzon workers, and also address both unemployment and underemployment in the region.

As of August, data Department of Labor and Employment's Bureau of Labor and Employment Statistics indicate that Central Luzon ranks third among the 17 regions in unemployment rate with 10 percent, and 17th in underemployment rate with 8.3 percent.

Since its establishment as a free port in 1992, Subic has helped create livelihood opportunities not only for local investors, but also to workers from Central Luzon and nearby regions, Arreza said.

The Subic Bay Freeport now employs a total of 81,729 workers, most of them from Olongapo City, which now has an employment share of 39.45%. The rest comes from Zambales, 21.77%; Bataan, 13.22%; National Capital Region, 5.41%; Pampanga, 3.47%; Tarlac, 1.41%; and other areas, 15.27%. (SBMA Corporate Communications)

Koreans top new Subic investors with $198.8-M

South Korean companies pledged some $198.8 million in new investments here in the first eight months of the year, making them the top-ranking group of new investors for the past three years.

The South Korean firms, with a total of 46 projects approved by the Subic Bay Metropolitan Authority (SBMA) from January to August, committed more than 85% of the $232.6 million worth of new investments for the said period.

Filipino investors, meanwhile, came in second with 67 projects worth $10 million, followed by Taiwanese firms with three projects worth $2.9 million, and Malaysians, with another three proposals amounting to $2 million.

SBMA Administrator Armand Arreza said the influx of Korean investors here came in the wake of the $1.6-billion investment infused by shipbuilder Hanjin Heavy Industries Corp.-Philippines in 2006 and 2007.

“Most of these Korean companies are either suppliers or subcontractors of Hanjin, and some are property developers that also target the growing Korean community not only in Subic, but in other parts of the country,” Arreza revealed.

“Subic’s biggest new investor so far this year, the Subic Neocove Corp., is also a Korean company which intends to develop a resort to cater mostly to Korean expatriates,” he added.

“Of course, Subic has a good mix of nationalities, who have been part of the local business community since the free port was established in 1992,” Arreza said.

Among the nationalities that put up new investments here this year are the Taiwanese, Japanese, American, Malaysian, Pakistan, Norwegian, Australian, British, Singaporean and Canadian.

SBMA records also indicate that in January to August this year, foreign direct investments (FDIs) composed the bulk of fresh capital infusions in Subic with a total of $208.8 million.

In the same period, the SBMA had approved a total of 130 projects, with projected employment totaling 5,177.

These increased the number of approved projects in the Subic Bay Freeport to 1,103, with committed investments totaling $5.73 billion.

Arreza said that for the past three years, Korean firms had topped other nationalities in terms of value of new investment projects.

In 2006, Korean companies put up a total of $1.36 billion, followed by Filipinos with $57 million, and Taiwanese with $9.8 million.

Last year, Koreans were again on the number one rank with $993 million worth of investments, followed by Filipinos with $355 million, and Taiwanese with $222 million.(SBMA Corporate Communications)

22 September 2008

Subic revenues hit P3.55-B in first 8 months

Revenue collections in this free port amounted to more than P3.55 billion in the first eight months of the year, boosted by positive growth in cash receipts by both the Bureau of Customs (BoC) and the Bureau of Internal Revenue (BIR).

Figures released by the Subic Bay Metropolitan Authority (SBMA) indicated that the two collection agencies here posted a combined increase of more than P251 million, or 7.61% over last year’s January to August revenue total of P3.3 billion.

The surge in tax and duties collection started in June this year, when a positive variance of 40.05% was recorded, followed by increases of 12.27% and 8.36%, respectively, in the next two months.

SBMA Administrator Armand Arreza said the positive tally is “reflective of the growth in business operations” by the more than 1,100 investor firms in the Subic Bay Freeport, as well as the increasing number of port users.

“The growing number of business locators in Subic also contributed to the growth in income taxes collected from Freeport employees, which now number to almost 82,000,” he said.

He added that in just the first eight months alone, the active workforce in the Subic Freeport rose by 11,321 from 70,408 at the end of 2007.

According to figures submitted by the BoC to the SBMA, the bureau’s cash receipts this year totaled P2,539,272,857.53 as of August, representing an increase of 8.11% over the P2,348,694,404.81 posted in the same period last year.

The overall growth was attained despite negative month-on-month variances posted in March, with –13.7%, and May, with –21.63%.

The highest monthly total in the eight-month period was recorded in July when BoC collected P393,074,394.64, followed by P367,591,192.46 in June, and P335,330,989.39 in August.

Meanwhile, non-cash revenues by the BoC, which are not included in the total cash receipts, amounted to P3.54 billion in the first eight months. This figure represented a percentage increase of 118.48 over the 2007 total of P1.58 billion.

As for the BIR, its income tax collections rose by 6.35% in January to August 2008, compared to its 2007 performance.

The BIR said it collected a total of P1,014,153,609.10 this year, compared to P953,566,367.74 in January to August 2007.

The bureau’s biggest tax haul was made in April when collections reached
P210,080,661.86.

The agency also posted a 61.8% month-on-month increase in March and 24.36% in August, despite negative variances in January (-28.83%) and February (-33.01%). (SBMA Corporate Communications)

18 September 2008

Pres. Arroyo to confer ‘Pagasa’ awards to top civil servants

President Gloria Macapagal-Arroyo will confer on Friday the “Pagasa” award to the country’s most outstanding civil servants, including a security officer here who was recognized for initiating innovative programs for the Subic Bay Metropolitan Authority’s law enforcement department.

Set to receive the Pagasa award under the individual category is SBMA Security Officer III Joel Viray, who was the first SBMA employee of the year awardee in 2006.

The awarding will be held at Malacañang’s Rizal Hall in commemoration of the 108th anniversary of Philippine Civil Service, said Civil Service Commission (CSC) chairman Ricardo Saludo in an announcement sent recently to the SBMA.

Viray will join five other individual awardees, among them a college president and two municipal mayors, who bested other regional finalists in the nationwide CSC search.

Saludo said the Pagasa award is conferred to individuals and groups for outstanding contributions resulting from an idea or performance that directly benefited more than one department of the government.

Six other Pagasa awardees under the group category will also be recognized during the Malacañang ceremony, along with winners in two other award categories: the “Lingkod Bayan” award, which is given for achievements with national impact on public interest, security and patrimony; and the “Dangal ng Bayan” award, for extraordinary acts and exemplary ethical behavior in public service.

Viray was earlier recognized, along with other Central Luzon finalists, by Saludo and CSC Region III director Karin Litz Zerna during an awards ceremony held at the King’s Royal Resort in Bacolor, Pampanga.

According to the CSC, the SBMA security officer earned the Pagasa award for his “dynamism and dedication in his work, which led to the improvement of security systems and processes” in the Subic Bay Freeport.

Viray’s innovations enhanced the operational efficiency of the SBMA Law Enforcement Department by streamlining the accreditation program for security officers, thus generating savings worth P1.2 million, the CSC citation added.

Along with Viray, the 2008 Pagasa awardees in the individual category are: Aleli C. Almodovar, general manager of the Isabela City Water District in Basilan, who was recognized for resurrecting a moribund company into a profitable utility; Dr. Philip B. Ibarra, president of the Tarlac College of Agriculture in Camiling, Tarlac, for his masterful stewardship of the college’s human capital; Froilan C. Roque, refinery officer IV of Bangko Sentral ng Pilipinas in Quezon city, for innovativeness and ingenuity in the workplace; Mayor Noel R. Rosal of Legazpi City, Albay, for leading and inspiring his constituents in rebuilding the city that was devastated by typhoons in 2007; and Mayor Roque S. Verzosa Jr. of Tagudin, Ilocos Sur, for successfully implementing a blueprint for development.

Winners in the Pagasa group category, meanwhile, are: the Department of Agriculture-Cagayan Valley Integrated Agricultural Research Center’s Crop Improvement Group; Ilocos Norte Water District; the Pag-Ibig Fund branch in Butuan City, Agusan del Norte; the Tarlac College of Agriculture’s group for Promoting Commercialization of Sweet Potato-Clean Planting Materials; the “Buwis Balikatan sa Barangay” group of the Bulacan government’s Provincial Asessment and Treasury Office; and the UPLB Bee Program of the University of the Philippines at Los Baños. (SBMA Corporate Communications)

UIG claim of P1-B investment disputed

Officials of the Subic Bay Metropolitan Authority (SBMA) have disputed claims by the Universal International Group (UIG) that it has invested P1 billion to develop the golf course facility in this free port.

Pointing out that UIG was booted out of the facility precisely for its failure to introduce developments in the former US military golf links, the SBMA questioned where the supposed P1 billion investment went.

"We believe that the claim cannot be substantiated because we have yet to see the clubhouse, or the condo, or the villas that the UIG had promised in 1995," SBMA Administrator Armand Arreza said.

"As you can see, despite the UIG having operated the facility for more than 10 years, nothing much has changed. The property is still fenced off with barbed wire until now," he added.

Arreza said that UIG president Jack Ho apparently bloated his firm's capital exposure when he made his case for the company during a House committee hearing recently.

Ho said the P1 billion represented "an accumulation of so many investments, of operating expenses," with around P900 million going to improvements alone.

He claimed further that because of UIG's development, the golf course was assessed by a private appraisal firm in 2001 to be worth P1.3 billion.

SBMA officials, however, have pointed out that the UIG has not delivered on its commitments under its lease development agreement (LDA) with the agency.

The first development phase includes the rehabilitation of the golf course to world-class standards by 2001, the construction of two tee houses by 2002, a full service halfway house by 2003, as well as the establishment of a fishing area, an orchid garden and a handicraft center.

The SBMA said there was only partial compliance on these requirements, while the orchid garden and handicraft center have not yet been constructed.

The second and third phases would have seen the construction of a 100-room condominium and 80 villas by 2006, while the fourth phase would have the completion of a 400-room resort/casino hotel by 2011.

These commitments, however, have not been realized, the SBMA said.

Along with UIG's unpaid debts to the SBMA amounting to $44,070 in dollar account and more than P25 million in peso account, the unfulfilled development commitments had forced the agency to take over operations in May last year.

The dearth of improvements at the Subic golf course, meanwhile, has led irate members of the UIG-controlled Subic Bay Golf and Country Club to sign last June 15 a manifesto expressing support to the SBMA and "elation" over its takeover of the facility.

According to records, the SBGCC has close to 500 members who paid fees equivalent to P200,000 per share.

The paid-up membership fees, dues, and other income collected from the golf course operation, may have been the sole source of funds that the UIG had used for what little development the firm has introduced into the facility, club members also suspected.

Other members rued that the club shares they paid for turned out to be only "playing rights" because UIG has not delivered on the full-blown country club amenities that it has promised earlier. (SBMA Corporate Communications)