House bodies approve bill creating a regulatory framework for LPG industry

LPG cylinder

The House Committees on Energy and Trade and Industry have reported out for floor deliberation a measure seeking to establish a regulatory framework for the safe operations of the Liquefied Petroleum Gas (LPG) industry.

House Bill 5617, which substituted House Bill 396 authored by Rep. Susan A. Yap (2nd District, Tarlac) and House Bill 756 filed by Rep. Arnel U. Ty (Party-list, LPGMA), also sets standards of conduct and codes of practice for the industry.

Hon. Susan A. YapYap said the measure, to be known as the "LPG Industry Regulation and Safety Act," would address quality and safety concerns and uphold the rights of consumers to freely choose the LPG brand they want to purchase.

"The LPG industry has already marked a significant portion in the market due to its high demand. Operating under a regulated downstream oil industry structure, it allows its market participants to engage in unfair and unsafe trade practices, hurting consumers and to a large extent, causing negative externalities to society," Yap said.

The measure establishes a regulatory framework for the importation, refining, refilling, transportation, distribution and marketing of liquefied petroleum gas (LPG), and the manufacture, requalification, exchange and swapping or improvement of LPC cylinders.

It also creates the LPG Monitoring and Enforcement Task Force to assist the Department of Energy (DOE) in monitoring and compliance standards inspection, and in the exercise of other powers and functions necessary to give force and effect to the proposed Act.

The bill mandates the DOE to deputize the Department of Trade and Industry (DTI) in the processing of the License to Operate for dealers and retailers, subject to the standards set in the proposed Act.

Under the bill, engaging in business without license to operate, engaging in business without accreditation, refusal or obstruction of inspection, failure to post license to operate, failure to submit reportorial requirements, illegal storage, failure to comply with product standards, adulteration, underfilling, illegal refilling, hoarding, unauthorized trading of LPG cylinders are prohibited and fined with a maximum of P500,000 for an individual and P1,000,000, for a corporation.

Upon prior consultation with the LPG industry participants and government agencies concerned, the DOE shall determine the mechanics, rules, and regulations needed for the implementation of a newly established Philippine LPG Cylinder Improvement Program with the objective of safeguarding and ensuring the safety of the consumers.

The measure also stipulates the monitoring and enforcement mechanisms for the LPG industry, specifically the reports and disclosures required to be submitted by the LPG industry participants to DOE, and the central database of LPG Industry Participants to be created by the DOE.

To enhance awareness among LPG consumers and end-users, the measure requires DOE and the DTI to disseminate information about the proposed Act.

A Joint Congressional Oversight Committee shall be created to monitor the implementation of the proposed Act.

The measure directs the effective coordination between the DOE and the DTI, and grants certain powers and functions to the DTI, the Department of Interior and Local Government (DILG), the Philippine National Police (PNP) and the local government units (LGUs) for the effective implementation of the proposed Act.

Aside from Yap, Ty and Reps. Reynaldo Umali (2nd District, Oriental Mindoro) and Mark Villar (Lone District, Las Piñas City), who chair the Committee on Energy and the Committee on Trade and Industry, respectively, other authors of the bill are Reps. Wilfredo Caminero (2nd District, Cebu), Walden Bello (Party List, AKBAYAN), Lawrence Lemuel Fortun (1st District, Agusan Del Norte), Felix William Fuentebella (4th District, Camarines Sur), Jesus Sacdalan (1st District, North Cotabato), Rosenda Ann Ocampo (6th District, Manila), Gwendolyn Garcia (3rd District, Cebu), Ann Hofer (2nd District, Zamboanga Sibugay), Celso Lobregat (1st District, Zamboanga City), Ma. Valentina Plaza (1st District, Agusan Del Sur), Rosemarie Arenas (3rd District, Pangasinan), Juliet Cortuna (Party List, A Teacher), Isagani Amatong (3rd District, Zamboanga Del Norte), Pryde Henry Teves (3rd District, Negros Oriental), Henedina Abad (Lone District, Batanes), Sherwin Tugna (Party List, Cibac), Silvestre Bello III (Party List, 1BAP), Michael Angelo Rivera (Party List, 1CARE), Isidro Ungab (3rd District, Davao City), Dakila Carlo Cua (Lone District, Quirino), JC Rahman Nava (Lone District, Guimaras), Mariano Piamonte, Jr. (Party List, A TEACHER), Leopoldo Bataoil (2nd District, Pangasinan), Leah Paquiz (Party List, ANG NARS), Juliette Uy (2nd District, Misamis Oriental), Jose Atienza, Jr. (Party List, BUHAY), Arthur Defensor, Jr. (3rd District, Iloilo), Jesulito Manalo (Party List, ANGKLA), Ronald Cosalan (Lone District, Benguet), Sonny Collantes (3rd District, Batangas), Arthur Yap (3rd District, Bohol), Antonio Lagdameo, Jr. (2nd District, Davao Del Norte), Jorge Almonte (1st District, Misamis Occidental), Raul del Mar (1st District, Cebu City), Cheryl Deloso-Montalla (2nd District, Zambales), Jonathan Dela Cruz (Party List, ABAKADA), Benhur Salimbangon (4th District, Cebu), Samuel Pagdilao (Party List, ACT-CIS), Raymond Democrito Mendoza (Party List, TUCP), Rogelio Espina (Lone District, Biliran), Jose Tejada (3rd District, North Cotabato), George Arnaiz (2nd District, Negros Oriental), Carlos Isagani Zarate (Party List, Bayan Muna), Neri Colmenares (Party List, Bayan Muna), and Fernando Hicap (Party List, ANAKPAWIS).

by: Jazmin S. Camero, Media Relations Service-PRIB

P89 wage increase in Northern Mindanao pushed

CAGAYAN DE ORO. In an ongoing construction along the Cagayan de Oro riverbank, Johnny measures these steel bars. On Friday, the Regional Tripartite Wages and Productivity Board-Northern Mindanao held a public consultation on the P89 wage hike pushed for by the workers in the region. (Harold Jess Siason, Liceo intern)

CAGAYAN DE ORO -- Workers in Northern Mindanao are pushing for the P89 wage increase in the region to cope with the soaring prices of basic commodities.

On Friday, April 17, the Department of Labor and Employment (Dole) regional office, through the Regional Tripartite Wage and Productivity Board (RTWPB), and the National Economic Development Agency (Neda) and Department of Trade and Industry (DTI) conducted a public hearing to provide stakeholders a platform to discuss the impact of the daily minimum wage increase petition.



With the petition, the daily minimum wage will be P395 from the current P306.

High economic growth

During the public hearing, Neda-Northern Mindanao Director Leon Dacanay Jr. updated the audience of the economy in the region since 2013. He emphasized that Northern Mindanao has maintained its P250 billion economic growth and its Gross Regional Domestic Product (GRDP) of P55.06 billion, which remains to be the highest among Mindanao regions.

Dacanay, who is also the vice chairperson of RTWPB-Northern Mindanao, said the value of rice production increased to 8.79 percent or 3.9 billion metric tons, resulting in the stabilization of the rice prices in the middle of 2014.

Dacanay cited that in the coconut industry, the nut production in the region has increased to 1.18 percent or P1.8 billion from 2013 to 2014, while the copra production remained stagnant with 0.03 percent or P438,852. The overall production of major crops like vegetables, fruits and root crops rose to 4.4 percent or 7.8 million metric tons last year.

But Dacanay said that despite the high economic growth, the magnitude of poor people continues to rise although the employment rate is relatively stable.

"Inflation rate continues to fall since the decline of the world oil prices that started in the middle of last year. However, the purchasing power of the peso declined by 3.6 centavos as of February 2015 from June 2013," he said.

Soaring prices of basic commodities

In the public hearing, the Associated Labor Union–Trade Union Congress of the Philippines (ALU-TUCP) presented its petition for the P89 increase and the reason why it should be granted to the workers.

According to Nicandro Borja, regional vice president of ALU-TUCP, 42 percent of a worker’s daily wage goes to food.
The 42 percent of the minimum daily wage in the city is P128.52. "And when you subtract that amount to P306, the amount left for the worker would only be P177.56 per day," Borja said.

With the continuing rise of the prices of basic commodities every day, workers are left destitute with what they can take home to their families given their minimum starvation “dying wage,” he said.

He added the daily minimum wage is insufficient especially that workers spend the expenses on the transport fare and meal plus the payment of electric and water bills.

If a worker has children who are students, their budget would be divided to the tuition, as well as the “baon” or allowance of the children, he said.

Aside from those expenses, a worker also spends for clothing, medicines and/or vitamins and and [of course] recreation, he added.
“And if their family does not have a house, they would [again] slash out their budget to paying the monthly rent,” he said.

No dramatic surge of prices on basic commodities

But the DTI said there is no dramatic incident where the price of the basic commodities has increased.

Lawyer Fel Lester Brillantes, DTI-Northern Mindanao chief of Consumer Welfare Division (CID), said that in the comparative price monitoring report from the second quarter of 2014 to the first quarter of this year, the products monitored like canned goods, instant noodles, iodized rock salt, flour and processed canned pork have maintained their suggested retail price (SRP).

The DTI considers a red flag when the increase of prices is more than 10 percent.

Brillantes said not all products are monitored by DTI because there are other implementing agencies like the Department of Agriculture (DA), which monitors prices of agriculture produce.

“In the case of the daily minimum wage of 306 pesos, investors may look at this as preference in choosing where to invest. And that is our advantage,” Dacanay said.

He added that the capacity of the region to give a wage increase depends to more than 95 percent of small and medium enterprises, which need to be taken into consideration.

Cagayan de Oro Chamber of Commerce president Cerael Donggay said the P89 minimum wage increase is too much.

“The increase should not be too drastic to prevent an adverse effect to the business sector. Maybe a P4 increase will do,” Donggay said. (Sun.Star Cagayan de Oro)

Illegal foreign workers on the rise in Phl – TUCP

MANILA, Philippines - More foreigners are entering the country to illegally seek employment, according to the Trade Union Congress of the Philippines (TUCP).

TUCP spokesman Alan Tanjusay said the number of illegal foreign workers in the country has been increasing in the past years.

“The influx of migrant workers is a growing phenomenon in the country today,” he said.

TUCP estimates that over 3,500 foreigners are working in the country illegally.

The figure is expected to increase unless the government takes the necessary measures to control the entry of illegal foreign workers, he added.

Tanjusay said the bulk of undocumented foreign workers are Chinese nationals and others are South Koreans, Japanese, Indonesians, Malaysians and Vietnamese.

Undocumented foreign workers are often employed in the construction, manufacturing, electronics and services industries in Metro Manila, Central Visayas, Davao region, Zamboanga peninsula, Bataan and Batangas, he added.

The increasing number of migrants working without government permits and without fulfilling other requirements for alien workers has very serious implications in the current employment and underemployment situation, Tanjusay said.

Secretary Rosalinda Baldoz said only legal foreign workers pass through the Department of Labor and Employment (DOLE).

The entry of undocumented foreign workers is a concern of the Bureau of Immigration (BI), she added.

TUCP is pushing for the creation of a tripartite committee comprised of representatives from DOLE, BI and other concerned government agencies to stop the influx of illegal migrant workers in the country.

Tanjusay said the proposed committee is to ensure migrant workers go through the legal process and comply with the requirements of the Alien Employment Permit (AEP).

“The number of illegal migrants is growing very fast that it immediately needs government oversight to ensure that labor laws and standards are in place and are working to make sure there are no abuses and exploitations taking place,” he said. - By Mayen Jaymalin (The Philippine Star)

TUCP submits May 1 agenda

The Trade Union Congress of the Philippines-Nagkaisa submitted to Malacañang its proposed discount card and unemployment insurance programs for minimum-waged workers for approval of President Aquino during the traditional Labor Day breakfast with labor groups in the palace on May 1, a press release from the TUCP said.

The group also proposed to Aquino the approval of a majority coconut-farmer administered trust fund to ensure that the proceeds of the P77 billion coco levy are used to promote jobs in the coconut industry and to set up coco-industrial hubs, ensure the completion of CARP with respect to lands under current Notice of Coverage;

Assist the peasant farmers through appropriate support measures and financing including trainings, appropriate technology, and easy-term credit; a return of the subsidy for MRT and LRT users to cushion rising costs for ordinary workers; and pass the Freedom of Information law, the press release said.

The measure, under the proposed Labor Enhancement Assistance Program will assist and empower the basic sectors, include an unemployment insurance policy for the 3.4 million minimum wage earners providing three months of minimum wage salary coverage in cases of retrenchment and a minimum discount card that serves as a voucher or CCT-like program for minimum wage employees to give them a monthly discount on tuition fees, purchase of rice, basic food commodities, medicines worth P2,000, it said.

The March 1 to 7 Pulse Asia Survey on urgent national concerns showed that 4 of the top 5 concerns relate to the daily survival needs of ordinary Filipinos. It showed 46 percent are crying out at inflation, 44 percent have said salaries are too small to cover daily expenses and another 34 percent said there are no decent jobs, the press release added.

TUCP-Nagkaisa executive director Louie Corral said they told Aquino to tap the 2014 P300B excess funds as reported last week by National Economic Development Authority chief Arsenio Balisacan as possible source of the proposed program, the press release added. - The Visayan Daily Star