BIZ BUZZ: Calax is halfway there
First, the good news: construction of the much-delayed portion of Cavite-Laguna Expressway (Calax) between Silang exit and the unfinished Aguinaldo highway exit is finally set to resume after years of costly delay.
There appears to be some breakthrough in the right-of-way negotiations as the owner of the parcel of the land that stands in the way—as we recall, backed by a powerful Metro Manila-based political dynasty —has agreed to give way.
The bad news is that it’s not a 100-percent resolution. According to the reliable grapevine, the group is no longer opposing the expropriation of just half of the farm. There’s a structure on the other half that the group apparently wants to protect, but sources said it’s just a “dilapidated” building.
This other half remains a concern for the developer, Metro Pacific Tollways Corp., and its contractors.
But at least, there’s now some proverbial light at the end of the tunnel for anyone looking forward to easier travel to busy Tagaytay.
—Doris Dumlao-Abadilla
Wanted: updated zoning ordinance
Makati City developers and property owners are eagerly awaiting the updating of the city’s zoning ordinance, originally approved in 2012 and due for updating in 2022.
Property owners say Makati needs to update it to be attuned to current local conditions and needs, as well as the changing times, in order to remain competitive and maintain its position as the country’s premier business center of the country.
With property values rising rapidly, developers and property owners naturally expect the city to increase the allowable occupancy usage to make the land investment viable.
In particular, certain areas are still covered by height limitations when the growing urban trend is to liberalize occupancy through the use of the Floor Area Ratio (FAR) scheme. Higher FAR translates to higher taxes for the city while making the real estate investment financially viable to the property owners.
Makati can also use the updating of the zoning ordinance to compensate for the expected decline in revenue due to the potential loss of certain Makati barangays to Taguig based on a 2022 Supreme Court decision.
Will open and proactive minds prevail? Or will closed and reactive mindsets hold sway? Abangan!
—Daxim L. Lucas
First Gen-Tokyo Gas deal
In his first state of the nation address last year, President Marcos said that the Philippines must build new power plants to meet rising demand for electricity.
But even as the government looks for renewable energy sources, the President is aware that liquefied natural gas (LNG) would play a critical role to ensure energy security in the country.
During his official visit to Japan, Mr. Marcos praised the imminent opening of the LNG terminal facility of Tokyo Gas and Lopez-owned First Gen Corp. and noted its key role in the country’s transition from fossil fuels to green energy.
The Energy department said the Philippines would need to import LNG to fuel gas-fired power plants with a combined capacity of more than 3,000 MW as output from the Malampaya gas field is expected to start declining from 2022 and be depleted by 2027.
This is where First Gen— led by its chair and CEO Federico “Piki” Lopez—comes in.
The government-approved LNG import terminal project of First Gen and Tokyo Gas is expected to begin commercial operations in June 2023.
This development would increase the participation of natural gas as an energy source for power and transportation in the country.
Tokyo Gas will have a 20-percent participating interest in the First Gen LNG project while providing support for development work.
The deal has the President’s imprimatur. Now let’s see if it will work on the commercial side.
—Daxim L. Lucas
Essential tobacco?
Is tobacco an essential agricultural product?
That’s the big question facing stakeholders amid Senate Bill No. 1812, which seeks to list tobacco as an essential agricultural product that should be covered by Republic Act No. 10845, or the Anti-Smuggling of Agricultural Products Act.
The objective is laudable. But some sectors worry that the proposal would put a stamp of necessity on a product that had been found to cause health problems for millions.
In effect, the bill would put tobacco alongside rice, corn, vegetables and other agricultural produce whose smuggling should be stopped.
This is raising eyebrows because agricultural products currently listed by RA 10845 are essential mainly because they provide nutrition. Tobacco, on the other hand, can cause diseases.
Opponents of the measure say there are already laws to prevent the smuggling of tobacco products. They just need to be enforced properly. Which camp will prevail? Watch this space, folks.
