Capital inflows on power-related projects were strong last year resulting to a surge in investments approved by the Board of Investments (BOI) and the Philippine Economic Zone Authority (PEZA) by almost 200 percent, or P180 billion.

BOI Managing Head Elmer Hernandez expressed optimism that when all the projects are already fully operational, 76,709 additional jobs would be generated.

According to Hernandez, the BOI gained P137 billion – the biggest capital inflows for 2004. PEZA, on the other hand, gained P46 million.

BOI and PEZA’s actual aggregate investments from January to November this year have increased by 236.8 percent, or P167,358 billion from P49.691 billion of the same period in 2004.

PEZA had earlier reported that it gained P46.14 billion from its approved investments for the entire 2004.

Majority of the investments approved by BOI and PEZA not only went to power projects, but also to manufacturing and services sectors as well, Hernandez stressed.

The Commission on Higher Education (CHED), in its aim of achieving and excellence in higher education successfully linked 171 local higher education institutions (HEIs) with foreign educational institutions.

In its yearend accomplishment report, the CHED said this program was primarily anchored on academic exchange, establishing collaborative linkages with governments and institutions of higher learning outside the country for global recognition and mutual recognition of degrees.

CHED said that the internationalization project facilitates the international training of 150 faculty members from various local universities and colleges.

CHED also actively participated in the University of Mobility in Asia and the Pacific (UMAP) in an action designed to promote student and faculty exchanges with universities in the Asia Pacific,

This activity, CHED said, operates under the principle of parity and mutual recognition.

CHED also adhered to the Asean-European Ministers Exchange Program in promoting academic exchanges between European and Asian countries.

Because of this objective, CHED designed Rizal 21 to endorse post-doctoral fellowships and study abroad for the development of cross-border exchanges and fruitful collaboration with foreign universities.

The National Power Corp. (Napocor) generated a total of 40,315 gigawatt hours (GWH), equivalent to 1 million kilowatt hours, in 2004, 2.4 percent over that of 2003, and sold 36,742 GWH, an increase of 5 percent over the previous year.

In its yearend accomplishment report submitted to Malacaņang, Napocor President Rogelio Murga said it expects to increase power generation in 2005 by 4.52 percent or 42,138 GWH.

"We hope to sell 37,630 GWH in 2005 through more aggressive marketing efforts, particularly direct connection," Murga said.

During the past year, Napocor generated an additional capacity of 45,670 diesel units and 180 KW wind hybrid unit of 45,850 KW. Another set of 47,950 KW generating units is programmed for 2005, according to the report.

Quality legwork led to the Energy Regulatory Commission’s approval of Napocor’s series of petition for power rates rationalization, foremost of which was the September 2004 ERC provisional authority of P0.98 kwh (Return on Rate Base-Time of Use) RORB-TOU.

"Hopefully this year, effective follow-ups will convince ERC to approve NPC’s originally requested increase of P1.87 kwh," Murga said.

The Department of Energy (DOE) today announced that it has signed a service contract with PETRONAS of Malaysia and the Philippine National Oil Company-Exploration Corporation (PNOC EC) for a petroleum exploration block in the waters of Mindoro.

"This new agreement has long been in the waiting. Now that the road has been paved clear, we look forward to the drilling of one of the most attractive exploration areas in the country," Energy Secretary Vincent S. Perez said in a press briefing in Malacanang.

Perez explained that the project would include the drilling of an exploratory well in offshore Mindoro, as well as geological and geophysical studies (G&G) and possibly seismic survey. There is also an option to either drill another exploratory well or acquire new seismic data in the area.

Tan Sri Dato Sri Mohd Hassan bin Marican, PETRONAS President and Chief Executive Officer who called on the President in Malacanang, said that the company’s subsidiary PETRONAS Carigali Overseas Sdn Bhd (PCOSB) has earmarked $12.5 million for the project which will be completed in seven years.

PCOSB would be the operator with 80 percent participating interest, while PNOC EC will hold the remaining 20 percent. DoE will supervise the exploration.

The work program under the Offshore Mindoro Service Contract will be completed during the first two years, after which the contractors can decide whether to proceed with the subsequent phases of the exploration period in the service contract.

The contract was signed between Perez, Hassan and Eduardo V. Manalac, PNOC EC president and chief executive officer (CEO).

This is PETRONAS’ second project in the Philippines following its previous efforts in the Cotabato Basin in Mindanao in 1995.

Perez said that the Petronas deal in Service Contract 47 is the third signed since the Supreme Court ratified the Mining Act last December 1.

The first, Service Contract 45, was awarded to China’s South Sea Petroleum Holdings Limited which is an exploration of oil and gas in the Agusan-Davao Basin; the second, Service Contract 46, was awarded to Japan Petroleum Exploration Co. Limited (Japex), for oil and gas exploration over the Tanon Straits in Negros Occidental.

President Gloria Macapagal-Arroyo today expressed appreciation to the Japanese government, particularly the Ministry of Finance, for its continued support to the economic and social development of the Philippines.

The President relayed the message to newly-appointed Japanese Finance Minister Sadakazu Tanigaki during the latter’s courtesy call this afternoon in Malacanang.

Tanigaki, who has served various fiscal and financial posts, including chairman of the Financial Reconstruction Commission and parliamentary vice finance minister, replaced Masajuro Shiokawa in Prime Minister Junichiro Koizumi’ s Cabinet.

A total of 67 ongoing projects with loan commitment amounting to 661 billion yen or $6.3 billion currently compose Japan’s Overseas Development Assistance (ODA) loan portfolio in the Philippines.

Thirty-four percent of these ODA loans are implemented by the Department of Public Works and Highways (DPWH) in 27 projects. The Department of Transportation and Communication (DOTC) has seven, National Irrigation Administration, four, while the Light Rail Transit Authority and Development Bank of the Philippines have three each.

Japan’s ODA accounts for 64.4 percent of all ODA loans received by the country.

During the call, the President and Tanigaki agreed to review the tax treaty between the two countries which was last signed in the 70s.

They also agreed to clean up the Japan Bank for International Cooperation (JBIC) portfolio to accelerate implementation of JBIC-funded projects.

Other members in the Japanese delegation who called on the President were Ambassador Ryuichiro Yamazaki, Hiroshi Watanabe, Shikegi Kimura, Taro Seriu, Yoshiku Takeuchi, Masayuki Sato and interpreter Tatae Oie.