Rule of Law 24: Policemen as Violators of Traffic Rules

This photo is circulated in facebook today, should have been taken  recently. Can you count the violations? (1) no helmet, (2) no plate, (3) no side mirrors, what else.

The same three (at least) violations. Pogi at asteg daw kasi pag walang helmet. Basta may baril.

Riding in tandem. :-) No helmets, seems no plate too.

See the two traffic enforcers. Deadma lang, If the violator is a government officer, all violations are waived and allowed.

(1) No helmet, (2) using a mobile phone while driving, (c) no side mirrors, and possibly no plate too?

"Importante itong ka-text ko. Naiwanan ko pa nga helmet ko sa kakamadali."

Good officer, with a helmet. But texting and driving, no side mirrors.

"No left turn" rule applies only to ordinary mortals and motorists.

Of course, not all policemen are law violators. A few are helpful to  civilians and ordinary mortals like us. Like this officer. Hats off, ser.

Not PNP personnel but MMDA guys. Stopping and waiting inside the yellow X.

If the police want to be respected, they themselves should obey the rules. Many of them are law violators. Parking on No Parking signs, making a counter-flow on one-way streets, making a U-turn on No U-turn intersections, and so on.

No wonder some people call it, "PNP: We Serve and Protect (Ourselves and Our Superiors)"

All photos above I got from TOP GEAR fb group.
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See also: 
Rule of Law 20: PNP and Rule of Men, April 21, 2013 
Rule of Law 21: Violating Simple Parking Rules, September 17, 2013
Rule of Law 22: IAF Seminar in Germany, April 09, 2014
Rule of Law 23: RoL Index 2014 by the World Justice Project, July 02, 2014

Car plates and power trip, March 20, 2010
Car plates and power trip, Part 2, July 06, 2011
My Second Book: Liberalism, Rule of Law and Civil Society, September 02, 2014

Drug Price Control 40: CWF Wants Price Dictatorship for Lipitor

Last Wednesday, an email from James Auste (below), founder and Executive Director of Cancer Warriors Foundation (CWF) was forwarded by email by the Secretary General MeTA Philippines, Ms. Cecile Sison, to members of the Medicines Transparency Alliance (MeTA) PH, Coalition for Health Advocacy and Transparency (CHAT), ETHIKOS and Alternative Budget Initiative (ABI) Health cluster. I am a member of MeTA PH and CHAT so I saw it.

The email therefore was widely circulated to many stakeholders in the PH health sector – government, industry players, NGOs, academe. James is asking for  another round  of drug price dictatorship aka price control. Price dictatorship is the  subject  of my book in 2011, Health Choices and Responsibilities, and it is a policy that I will  always oppose.

James addressed his letter to the President/CEO of Pfizer, but it was distributed to various network in the  health sector, so  it is implicit that he also addressed it to us, hoping that other stakeholders in the health sector will support his call for a new round of drug price control, but targeted to only one medicine, Lipitor.

I posted these comments by email to members of CHAT and MeTA PH early today. Reposting it here.

--------

James  wrote,

(1) “SABI NG MGA BATA,HINDI KAMI HUMIHINGI NG AMING GAMOT PERO PARA SA AMING MGA LOLO AT LOLANA GUMAGAMIT NG LIPITOR!”

O, this  is new. The children cancer patients are now lobbying part time not to get cheaper cancer medicines for themselves,, but to get cheaper Lipitor for their grandparents. And soon maybe, they will also lobby for cheaper Norvasc for their parents, cheaper Augmentin for their older siblings and relatives?

(2) ANG ANNUAL SALES NG LI[PITOR AY 750MILLION PESOS! NUMBER 1 IN THE MARKET! AT NUMBER 1 PA ATA SA BUONG MUNDO!

Good data, but Pfizer themselves gave this data to James? Or IMS did, or someone who dislikes Pfizer and has access to industry data did?

(3) “PARA general health and well-being of every Filipino ( NA CORE VALUE RIN NG PFIZER) IBABA NATIN SA 14 PESOS ANG 10MG AT 17 PESOS ANG 2OMG!”

O, part 2 of price control. Part 1 was made in August 2009 under the administration of former President Arroyo.  Price control  is price dictatorship. Government regulators – the DOH and DTI in particular, backed up by the Office of the President, Congress, LGUs, etc. – would act as the price dictators. Those who will not obey the dictated price will be harassed and penalized.

Btway, it was former DOH Secretary Duque and DTI Secretary Favila who coined the Gloria Macapagal Arroyo Price (GMAP), aka Government-Mediated Access Price, an illegal term (not in RA 9502, not in the IRR) which until now  is being used, four years after GMA’s term has ended.

I am not exactly a great fan of Pfizer. I am more a fan of “boycott medicines”, innovator or generic, whenever possible and have healthy lifestyle instead. But I will  always be an enemy of government  dictatorship including price control, wage control, fare  control, rent  control, income control (via high income taxes).

The call for another round of drug price control or price dictatorship  is lousy James. Better focus your energy on lobbying for cheaper childhood cancer medicines. You are more effective there.

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DEAR SIR/MAM PRESIDENT/CEO OF PFIZER!

HI AT MABUHAY! I AM JAMES AUSTE A BRAIN CANCER WARRIOR! PATIENT ADVOCATE! FOUNDER! EXECUTIVE DIRECTOR OF THE CANCER WARRIORS FOUNDATION! SINCE JUNE 2000 WE HAVE SUPPORTED AT LEAST 1000 KIDS WITH  CANCER AND THEIR FAMILIES IN THEIR BATTLE FOR LIFE! RIGHT NOW WE HAVE 400 SCHOLARS UNDER OUR CARE FROM PAMPANGA TO DAVAO!

SABI NG MGA BATA,HINDI KAMI HUMIHINGI NG AMING GAMOT PERO PARA SA AMING MGA LOLO AT LOLANA GUMAGAMIT NG LIPITOR!

SABI RAW NI LOLA AT LOLA NIYA 34 PESOS ATA SA MERCURY! ANG 10MG! 39PESOS ANG 20MG! DAHIL SA MDRP(MAXIMUM DRUG RETAIL PROGRAM) NUNG 2009! ANG DATA NATIN  NA NAHANAP NAKITA AT NABASA NG ATING SENIOR WARRIORS

 ANG ANNUAL SALES NG LI[PITOR AY 750MILLION PESOS! NUMBER 1 IN THE MARKET! AT NUMBER 1 PA ATA SA BUONG MUNDO!

MAM SIR BAKA PASOK NA SA ATING CORE VALUE NA MAXIMIZE REVENUES AND MANAGE COSTS! ANG REVENUE NA ITO

PARA general health and well-being of every Filipino ( NA CORE VALUE RIN NG PFIZER) IBABA NATIN SA 14 PESOS ANG 10MG AT 17 PESOS ANG 2OMG!

BAKIT GANUN KABABA DAHIL SA MASIGASIG NA PANANALIKSIK NG ATING SENIOR WARRIORS MAY BAGO RAW TAYONG GAMOT NA TAWAG AY Rhea GALING DAW SA AMERIKA!

PERO SAME DRUGSTORE MAGBEBENTA--MERCURY DRUG STORE-NUMBER 1 SA PINAS

SAME MANUFACTURER--PFIZER

SAME ADDRESS--KM 1.9 ROAD 689, VEGA BAJA, PUERTO RICO USA

SAME PACKER-PFIZER MANUFACTURING DEUTSCHLAND GMBH, BETRIEBSSATTE, FREIBURG MOOSWALDALLEE1, FREIBURG, GERMANY

SAME IMPORTER-PFIZER,INC- 23RD FL, AYALA LIFE-FGU CENTER, 6811 AYALA AVENUE, MAKATI CITY

SAME SA SUKAT, KULAY, AT PAREHO PA ANG MARKING NA PO156

PAREHO LAHAT PERO ANG PANG PINAG KAIBA AY 20 PESOS SA 10MG! 60% CHEAPER NG LIPITOR! ANG 20MG 55% CHEAPER!

MALIIT SA INYO PERO MALAKI SA MGA MAY SAKIT NG PUSO NA ARAW ARAW ANG GAMIT NG GAMOT NA ITO

MALIIT SA INYO PERO MARAMING MATUTULONG SA ATING SENIORS AT MAY PANG JEEP PEDICAB, O MRT PAPUNTA SA MERCURY!

MALIIT SA INYO PERO MARAMING MABUBUHAY SA BENTE PESOS

SABI NG ATING SENIOR WARRIORS LIPITOR ANG GUSTO NAMIN KESA RHEA KASI BAKA

IBA ANG TAMA SA AMING MGA PUSO

IBA ANG  TAMA SA AMING MGA KATAWAN

IBA ANG AMING PATUTUTUNGUHAN

KAYA ANG AMING PANAWAGAN  SA PAMAHALAAN SIR MAM SANA I SUPPORT NIYO AY PAG ARALAN ANG SECTION 5 EO821 ".... MEDICINES,,, SHALL BE REVIEWED AFTER 3 -6 MONTHS BY THE DOH"KASI 5 YEARS NA PALA ANG MDRP! AT WALANG PANG NAG RE REQUEST NG REVIEW!

PANAHON NA PARA BIGYAN NG PANSIN ANG  ISA PANG HINAING(BUKOD SA CHILDHOOD CANCER) SA ATING LIPUNAN NA WALA PANG PUMAPANSIN ANG HINAING NG ATING MGA LOLO AT LOLA! NA KAILANGAN NG LIPITORFOR LIFE!

                                           KONTING SAKRIPISYO MARAMING MAGBEBENIPISYO!

THANK YOU FOR YOUR TIME!  WILL BE HOPING AND PRAYING FOR A POSITIVE RESPONSE!

INGAT GODBLESS!

JAMES AUSTE

BRAIN CANCER WARRIOR

PATIENT ADVOCATE

FOUNDER ONLY MEMBER OF CANCER WARRIORS SENIORS TEAM!SAMA NA!

**THIS WILL BE THE FIRST PROJECT OF THE CWF SENIORS TEAM!

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See also: 

Drug Price Control 36: Advisory Council, James Auste and China, July 12, 2013 

Drug Price Control 37: Four Years of the Policy, August 16, 2013 

Drug Price Control 38: Presentation at USC, Cebu, March 2010, March 01, 2014 

Drug Price Control 39: Presentation at USC, Cebu, March 2014, March 25, 2014

ETHIKOS 2: Pharma Companies and Patients, April 01, 2014

UHC 24: Corruption in Government Purchase of Medicines, April 02, 2014

Free Trade 37: Multiple Concerns and Regulations in the ASEAN

The next and 25th Association of South East Asian Nations (ASEAN) Summit will be held this coming  November 12-13 in Myanmar. Among the preparations for this, the Department  of Foreign Affairs (DFA) is conducting consultation with some stakeholders in the Philippines to explain its position on certain issues and get feedback from the public.

Yesterday, the DFA consultation with civil  society organizations (CSOs) for the 25th ASEAN Summit plus related matters -- PH advocacies in the 23rd and 24th Summit, 47th ASEAN Foreign Ministers Meeeting -- was held at the DFA Auditorium, main building in Pasay City. DFA Under Secretary for Policy Evan Garcia gave the welcome message and an overview of the recent ASEAN Summit and this coming event in Myanmar.

An update on the ASEAN Intergovernment Commission on Human Rights (AICHR) was given by the PH Representative to the Commission, Rosario Marcelo. Ms. Daza of ASEAN office in DFA was the event moderator while Assistant Secretary Luis Cruz was the discussant in the consultation with CSOs.

Issues on (1) foreign policy and national security, (2) economic diplomacy and ASEAN economic integration, and (3) social protection for overseas Filipinos were discussed.

Most NGO participants lobbied for more social protection re human rights, labor rights, environmental protection, some even calling for postponing economic integration. No other free trader in the room except me, as usual. Fellow free marketer Kenneth Varona accompanied me but he did not speak, thanks Kenneth.

All CSO leaders were given the floor to first introduce themselves and their institutes or organizations in round 1, then in discussing their position on the presentation of DFA advocacies and agenda as earlier presented. Some spoke longer than others, as usual. 

When my turn came, I just argued on four points.

1. Rule of law on the SCS/WPS conflict. China's communist government is a bully and would unshamelessly bully its own citizens. It would even deprive its people access to facebook, twitter and  youtube. No independent NGOs, no big citizens assembly, people can be imprisoned if they do so. But internationally, China can be ashamed. Thus, the need for endless, continuous, internationalization of the conflict. Do not be tempted by the militarist approach. China is shameless internally/domestically but can be ashamed internationally.

2. Food security. Thailand and Vietnam are the world's top rice exporters, they are our neighbors. Cambodia and Myanmar are approaching that stage too of being major rice exporters. They have abundant, wide, flat lands with good irrigation that are suitable to rice farming. Hence, they have cheap rice there while we have expensive rice due to trade protectionism. Our neighbors should prioritize us in cases of emergencies like large scale destruction of rice crops due to heavy flooding. 

3. Energy security. The 3 power plants in Batangas that run on Malampaya's natural gas supply about 45% of total Meralco customers (M.Manila, Bulacan, Rizal, Cavite; and Laguna?). Malampaya's gas output is slowly declining and will be depleted by 2022-24, or 10 years or less from now. Nat gas is abundantly available in some of our neighbors. Brunei is 99% dependent on nat gas for its power; Singapore is 78% dependent on nat gas, about 45% for thailand, etc. Successor to Malampaya is question mark, so we need to import LNG Our neighbors should prioritize us. We don't want to go back to candles and noisy gen sets in houses and shops.

4. Economic integration must proceed. Do not postpone or delay it. While some sectors have expressed reservations about it, the argument of "hindi tayo handa" (we're not ready) with more economic competition and integration has been argued in the 60s, in the 70s, 90s, until now.

I could see some smirks, raised eyebrows from some NGO leaders in the room when I said that. It is expected from a protectionist perspective. It is a policy dialogue so diversity of ideas is expected.

If I have to illustrate a supply-demand graph. Supply curve 1 (S1) is the status quo curve. S2 is free trade supply, moving to the right of S1 because domestic supply expands with the entry of more products and services from abroad, giving local consumers more choices, more options re quality and prices.

Having more regulations though -- labor regs, environmental regs, energy regs, human rights/gender regs, health regs, LGU regs, etc. -- effectively a form of bureaucratic protectionism, will restrict the entry of more foreign goods and services. This shifts S2 back to S1 position, or worse, to S3, to the left of S1. Meaning higher prices, lower aggregate supply. Local consumers will be penalized and worse off.

The draft presented by DFA as PH agenda for the 25th ASEAN Summit contains many social concerns that can divert the main purpose of integration -- more trade, freer flow of goods and services across countries who are ASEAN members. Yes, ASEAN is more than trade, there are human rights and other political and social concerns. But trade is the single most important aspect of the association. Countries that have less trade also have more human rights violations, like Myanmar and Laos. Countries that have more trade also have more economic prosperity and less human rights violations, like Singapore and Thailand.

I believe that the only considerations in regulating foreign trade is if things involve public health and safety. Like bringing in guns bombs, poisonous substances, fake medicines, virus-infected animals, etc. All other goods should be allowed entry with the minimum or zero restrictions and taxation as this will significantly bring down prices and benefit consumers, especially the poor.

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See also:
Free Trade 33: ASEAN Economic Community 2016, February 16, 2014
Free Trade 34: ASEAN's Bilateral and Regional FTAs, February 27, 2014
Free Trade 35: EU-FNF Forum on 'FDI Engine for Job Growth', May 15, 2014
Free Trade 36: Taxation, Regulations, Trade and Rule of Law in ASEAN, August 05, 2014

Business 360 16: ASEAN Economic Community 2016, March 20, 2014
ASEAN Tax Reform Initiative, April 10, 2014
EFN Asia 25: The ASEAN Economic Community in 2015, July 23, 2014
Stratbase Forum on ASEAN Competitiveness, July 25, 2014

Citizen Watch 3: Political and Economic Reforms After SONA 2014

Yesterday, I participated in Round 3 of Citizen Watch's Roundtable Discussion, on political and economic reforms after the 5th State of the Nation Address (SONA) of President Aquino last August. The forum was held at UP NCPAG, Diliman campus. Jointly organized by Stratbase Research Institute (SRI), and the Office of the VP for Public Affairs, UP Diliman.

The Participants were:

1. Prospero "Popoy" De Vera, the UP Vice-President for Public Affairs.

2. Ramon Casiple, Executive Director of the Institute For Political And Electoral Reform (IPER)

3. Atty. Randy Bello, Vice President For Internals of Tax Management Assn. of the Philippines (TMAP)

4. Vincent Lazatin, Executive Director of Transparency And Accountability Network (TAN)

5. Atty. Tim Abejo, Convenor of Democracy Watch

6. Atty. Ysan Castillo, Secretary General of Philippine Business for Environmental Stewardship (PBEST),

7, Francis Isaac, representative of DLSU - DLSU-Jesse M. Robredo Institute of Governance

8. Dindo Manhit, President of Stratbase Research Institute (SRI)

9. Nonoy Oplas, President of the Minimal Government Thinkers, Inc.

Wilford Wong, Secretary General of Citizen Watch, was the moderator.

In this photo, from left: Ysan, Tim, Randy, me, Francis.

On my part, I focused my discussion on the last three subjects of PNoy's SONA -- impending power shortage next year, high rice prices, and govermment budget.

On power shortage, I said that the threat of brown outs in the Luzon grid in the hot months next year is real. But there are short- and medium-term solutions. S-T solutions include (a) more peak-load plants, diesel barges, but there will be electricity rate hike as diesel is expensive compared to coal, natural gas, geothermal, hydro;

(b) reduce power demand by asking some big consumers like industrial zones, big mining firms, to have their own gen sets on peak hours of hot months.

M-T solutions include (a) reduce bureaucracies and permits required in building and commissioning new power plants, and

(b) reduce taxes and royalties on power; Malampaya royalty is an energy tax that contributes to our expensive electricity; up to P1.45/kWh.

In this photo, from left: Mon, Vince, Popoy, Dindo.

On high rise prices, I argued that the PH should embrace free trade and junk protectionism in rice trading. Vietnam and Thailand simply have huge, contiguous, well-irrigated rice land, up to 9 and 10 M hectares vs PH's only 4.7 M hectares of rice land. Rice in our two neighbors are simply cheap because of their huge production. Why should government insist on expensive rice via trade protectionism and NFA monopoly on rice trading?

Besides, NFA is a huge debt generator; currently around P155 B debt; it cannot and will not pay this debt, so very soon, we taxpayers will pay more to pay back this huge NFA debt, on top of already huge public debt of the national govt.

On fiscal irresponsibility, I argued that government should aim for budget balance, or even budget surplus, on years that there are no major crisis like severe damage by strong typhoons. When in crisis, borrow; when things are normal, pay old or new debt. Persistent borrowings means the government, its officials and bureaucracies, are simply living beyond their means. Lots of wastes and inefficiencies in government.

The Executive branch is generally wasteful; their wastes are tolerated by the Legislative branch, in exchange for their own wastes plus pork barrel. The public and media only lambast pork barrel.

From left to right: Ysan, Tim, me, Randy, Mon, Wilford, SRI staff, Francis.

The exchanges among participants were lively. There was a longer discussion on the budget and on power/energy problems. I briefly debated Mon Casiple and Tim on WESM, ERC's price cap, power situation last December, etc. Civil debate of course, focus on the issue. If there was a projector, I could have shown some charts and tables about WESM and various power plants.

The two sponsors of the discussion, right. Popoy/UP also gave each participant a bag of recent community papers and publications produced by UP. Modest but nice snacks and lunch were also served, yummy.

All photos from Citizen Watch Philippines' facebook page, except the 3rd photo, from my camera phone.

I made a paper for this forum with 10 tables and 3 charts on those 3 subjects that I mentioned above. SRI will publish it soon.
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See also:
Stratbase Forum on ASEAN Competitiveness, July 25, 2014
Free Trade 36: Taxation, Regulations, Trade and Rule of Law in ASEAN, August 05, 2014
Citizen Watch 2: On Power and Jobs, August 30, 2014

MERS-CoV and OFWs, Part 3

Four months after she died in Riyadh, my sister in law, a former nurse in a Saudi government hospital, is finally home in our province in Negros Occ. Welcome home, Gemma. Lois, their only child, 13 yo, with her in this photo which I took from Gemma's fb wall.

She should have been brought home last August 17 via Cathay Pacific (Riyadh-HK-Manila). But about one or two days before she would be transported, Cathay demanded a new requirement before they would transport Gemma. First they demanded an "import permit" from Manila. When I wrote to  them  what  is that “import permit” and what agency in Manila it should come from, they corrected it to "embalmer's certificate" from Saudi, etc. My brother wrote to the travel agency arranged by the Saudi hospital, to look for another airline that would not be too bureaucratic.

So the travel agency arranged for a new airline. Saudia Air took her from Riyadh to Manila direct, arrived mid-day today, then PAL for Manila-Bacolod. The plane landed in Silay-Bacolod airport before 6pm, the body was brought to Rolling Hills funeral park in Bacolod, short mass, then she was buried. Now she is back in  the  province where  she was born  and  grew up.

Her arrival  at Manila  airport today was reported in TV Patrol of ABS-CBN, and was reported online.

 Body of Pinay MERS-CoV victim arrives in PH

Report from Atom Araullo, ABS-CBNnews.com

Posted at 09/04/2014 2:51 PM | Updated as of 09/04/2014 2:51 PM

MANILA – The remains of a Filipina nurse who died from the Middle East Respiratory Syndrome-Corona Virus in Saudi Arabia arrived in Manila on Thursday morning.

The body of Gemma Barrilea Oplas arrived at the cargo section of Ninoy Aquino International Airport Terminal 1 past 10 a.m. It was immediately brought to Bacolod….

Special thanks again to the DFA. Riyadh PH Embassy coordinated with Saudi MOH and the hospital to finally bring her back.

Problem 1, bringing home the remains, is solved.

Problem 2, sending the benefits that the hospital would give to Gemma's family (her siblings included, based on Saudi laws and culture). This will take several weeks more...

I checked the ABS-CBN facebook page for this report, there were many comments. Mostly positive and notes of condolence, but there are some idiots who wrote negatively about Gemma, or about health OFWs in Saudi in general. Ignoring the idiots, here are some comments, mainly from Gemma’s friends:

Jan Jefri: FYI po, colleague ko po ung nsa news.. she died here in Riyadh kaso need to keep for 2-3 months freezed para macontain ung virus.. SOP po yan ng Ministry of Health dto s KSA. Pinoy nurses are highly competitive when it comes to giving nursing care to patients regardless of the disease that a patient have. Direct contact na kulang nlng mahalikan at mayakap ang mga pasyente. We took care our patients as our own family.. Yan ang risk sa profession na pinile nmin.. All we need is your prayers to all nurses all over the world.

Ang work po nmin as nurse dto is from the dirtiest to clean work..meaning all in one po.. package ika nga!!! At dyan competent mga pinoy nurses.. a million salute to you Ate Gemma, may your soul rest in peace. Youre a HERO!!!

..and another thing, if you're working as ER nurse in any facility hndi mo alam kung anong meron ang bawat pasyente na pumapasok sa unit..Likewise, madaming ntatamaan ng MERScOV na asymptomatic pero positive pala s test.. so hindi mo rin tlaga masabi.. need tlga to boost immunity para sa mga virus na yan and effective handwashing.. especially now that ebola is around. MERS and EBOLA will go hand and hand!!! Fight fight fight fellow nurses!!!

Oo nga, instead na magsalita ng hndi maganda..better to pray for everyone..wala nman may gusto na madapuhan ng deadly virus na yan..

Rest in peace ate gemma.. ur memories will remain in our hearts.. a million salute to you!!!

Richel Amante Tayros: Rest in peace Gemma kapitbahay ko yan.at yung mga bad comments ng iba na kung ano anung speculation pwede kung wala kayong alam hwag na lng magsalita ng masama.hindi nyo kilala yung tao pra husgahan.

Yoj Arnaldo: Sa mga may negative comment jan, gemma took care of her colleague na may mers.nahawa sya and namatay ahead.d pa nga alam ng nkahawa sa kanya na patay na sya.gemma is a friend of my friend.imbes magcomment ng pangit,kesyo ganito o ganyan, why cant u just pray for her soul...

Danilyn Pinote: tama na,hwg naman kau masyado putak ng putak.saludo ako sa kanya. nagbuwis sya ng buhay nya para sa ibang tao.ginampanan lang nya ang trabaho nya. condolence po

Roxane Septimo Romias: She a Person withbeautiful heart kahit nung nakalatay sya pneumonia pa lang findings in ask pa nxa ako i doble check ung namatay ng mers cove kasi kaibigan nya meron

Myrz Flores: Totoo na mers cov yun..nag alalaga siya ng kaibigan na may mers then siya pa yung namtay..yung inalagaan niya buhay at stabke na sa ngaun.kakalungkot naman talaga at ngaun lang siya nakauwi.

Ross-ana Hulleza Toroy: I would like to express my sincere condolence to the family of my friend gemma oplas.rest in peace my dear friend.

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See also:
MERS CoV and OFWs  May 08, 2014
MERS-CoV and OFWs, Part 2, August 26, 2014

My Second Book: Liberalism, Rule of Law and Civil Society

My second book has been published, finally. It is an ebook freely available at http://fnf.org.ph/epub/

I copy-paste here these 3 short sections.

Table of Contents

Foreword

Introduction

Acknowledgments

Chapter 1: Friedrich Hayek, Liberty and Rule of Law

Chapter 2: Local Government and Civil Society

Chapter 3: Liberalism, Conservatism and Socialism

Chapter 4: Raison d' Etre of Government

Chapter 5: Anarchy vs. Minarchy

Chapter 6: Pork Barrel Sacndal and Liberalism

Chapter 7: Conclusion

Chapter 8: Afterthought: Nonoy Oplas and The Spirit of Aristotle

Foreword:

This book is special.

Firstly it is special, of course, because of its substance. This wasn’t written in a whim. Here culminate musings and ideas that were accumulated over many years of thinking, while the author was observing the goings-on in society with his usual sharp vision. And now, in one book, these thoughts erupt all at once, like a volcano.

Moreover, this book is special because of its author. Nonoy Oplas, one of the outstanding individuals who was awarded a Freedom Flame by FNF Philippines in 2013, is an original thinker if ever there was one, who gives his views no holds barred, and who is just as happy when he gets a standing ovation as when he gets booed off the stage – so long as he has made his audience consider, or preferably re-consider, any common theory and established practice. What Mr. Oplas enjoys most, is pointing out when the emperor wears no clothes. Such people are the lifeblood of democracy.

He is also one of the rare individuals who understands both the world pure, uncompromising radical thought, and the world of compromise that politicians inhabit. This makes him a fiendishly effective individual, for whom there is no higher value than the trust that he puts in the capacity of individuals to handle – and solve – the problems that they encounter on their journey through life. And these are values that we all need to be reminded of, from time to time.

Prepare to be challenged, in the pages that lie before you.

Jules Maaten,

Country Director

Friedrich Naumann Foundation for Freedom Philippines

January 2014

Introduction

Power to the people.

Probably the most abused cliché on this side of the world, it had also proven to be a most dangerous idea for some. We have heard it preached to high heavens by those whose idea of “power” ultimately involves only their own, and had, for a time, succeeded in persuading people to abandon their own will to govern. Sadly, the temptation to believe that our only power and responsibility to ourselves and to society is that we are able to choose those who would govern us, then marvel at our ineptness to choose the right people.

The Filipino had seen it all, hoping at every painful turn, at every epic fail, that his conversation with history would not end. Because now he is learning to listen.

Liberalism, Rule of Law, and Civil Society more than aids in furthering this conversation, it intends to push the conversation up to a level of exchange that provokes everyone to ask the questions that really matter. What would it take for every Filipino to take responsibility for his country’s future? When will the talk about government and good governance ever come down from academic debate to the kitchen table?

Set in the backdrop of classic Liberalism as espoused by the works of Locke, Hayek, Von Mises, and Thatcher, Bienvenido “Nonoy” Oplas book shines the light of reason in the continuing debate on the very definition of modern civil society, in works that detail the enormous body of contemporary liberal thought that is global as it is uniquely Filipino.

A leading champion of minimal government, Nonoy rephrases and recasts the lingering question on the purpose of government and the duty of the governed, and traces the opulent roots of today’s problems with a probing eye for the unseen ties that bind, connect, and complicate the search for national redemption.

Liberalism, Rule of Law, and Civil Society is also more than a political treatise, as it documents the author’s personal journey from a cynic who had to “unlearn many things that polluted his understanding of civil society”, to being one of the leading scholars and advocates of liberal thought in the Philippines. It is indeed, an honour to have known the man as a friend, a classmate at the UP School of Economics, and a loyal alumni of the UP Economics Towards Consciousness. He is a gifted thinker, tireless in his search for solutions to his country’s woes.

The Friedrich Naumann Foundation for Freedom Philippines had another veritable gem in their treasury of publications.

With this book, Nonoy’s call for “small government, small taxes, free market, personal responsibility” gets even bigger.

Ma. Gladys Cruz-Sta. Rita

President/CEO of National Power Corporation,

Author, Running a Bureaucracy (2008)

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* See also: 
My first book: Health Choices and Responsibilities, March 29, 2011
Health Choices and Responsibilities (full book)

Inequality 20: The Top 50 Richest Filipinos

Forbes has released the 50 richest families in the Philippines. This should be for 2014, or 2013. I copy-paste the list here. Please note that this is for the entire family, not just by one person or the patriarch.

The top 5: Sy and family owns SM Prime Holdings, SM malls, and Banco de Oro, the country’s largest bank in assets.

L. Tan owns Philippine Airlines, and the fifth largest lender, Philippine National Bank

Razon owns International Container Terminal Services Inc, (ICTSI) that has port operations across Asia, the US, Middle East and Europe. Also owns Solaire Resort & Casino, the first of four licensees to open a casino at the Philippine Amusement and Gaming Corp's Entertainment City.

A. Tan owns Megaworld, other big projects; diversified interests.

Gokongwei family owns Cebu Pacific, Robinsons malls, Mini Stop convenience stores, Universal Robina, many others.

Consunji owns the David M. Consunji (DMCI) Construction.
George Ty and family owns Metrobank, Federal Land, Toyota (part owner).
Aboitiz are into power generation, others.
Zobel and family owns Ayala Land, Ayala malls, Globe telecom, Bank of the Philippine Islands (BPI).
Tan Caktiong owns Jollibee, Chowking, Mang Inasal, many others.

Meanwhile, some people complain that the wealth of Henry Sy and family alone is already X percent of GDP or the entire output of the Philippines, public and private, for one year. This is a terribly wrong analysis. The wealth of Sy and other tycoons were built over a period of three or four decades or even longer while GDP is national output for one year. The numerator is big because it is accumulated wealth for many years whereas the denominator is output for one year. They are incomparable.

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See also:

Inequality 16: Inclusive Growth and Central Planning, October 21, 2013 

Inequality 17: The Koch Brothers and Their Critics, April 04, 2014

Inequality 18: Piketty, Fabella, Equity-Efficiency Nexus and EPIRA, June 14, 2014

Inequality 19: Notes and Quotes on Globalization and Inequality, July 18, 2014

EFN Asia 40: Liberalism, Growth and Reducing Inequality, August 19, 2014

Energy Econ 25: Coal Use and GDP Expansion, Is There a Correlation?

* This is my article in thelobbyist.biz last Friday.
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Energy is development. The more energy and electricity that an economy can provide for its citizens and private enterprises at low price and stable supply, the bigger is the growth and development potential of the economy.

There is growing public interest for renewable energy like solar and wind and this is fine. But when there is also corresponding high opposition to coal, petroleum and even natural gas, then public policy is distorted, like more taxation of conventional sources, royalties for Malampaya natural gas. While the renewables are guaranteed of high electricity prices that will be passed on to the consumers, via feed in tariff (FIT) for wind, solar, biomass and run-of-river hydro. People do not recognize and appreciate the value that conventional energy sources have played in alleviating poverty and underdevelopment in the developing world.

For instance, there are claims like “more coal energy = more climate crime”, or “more coal power plants are anti-developmental.” How true or untrue are these and similar claims?

Let us check some regional and global energy and economic data. In particular, global coal consumption as this is among the pet peeves of those pushing for more environmental regulations, energy rationing and carbon taxation.

In 2010, the latest comparative energy data of Asian Development Bank’s (ADB) Key Indicators, slightly more than one-third of the Philippines’ total energy production came from coal. For Indonesia, it is 40 percent. Those that are highly dependent on natural gas are Brunei, Singapore, Thailand, Malaysia and Vietnam.

Table 1. Energy Mix in the ASEAN, 1990 vs. 2010, Percent of Total Energy Production

Source: ADB, Key Indicators for Asia and the Pacific 2013

Here now is the global data for coal consumption.

Table 2. Top Coal Consumers Around the World, 1985 to 2013

(in Million Tons of Oil Equivalent,MTOE))

Source: http://www.bp.com/en/global/corporate/about-bp/energy-economics/statistical-review-of-world-energy.html

The last column is not part of the original data, added and created only in this paper.

The above numbers show the following:

First, China consumes half of all coal power in the entire planet as of 2013, and the level is almost 5x that of their 1985 consumption level. Its appetite for more coal power seems to remain the same in the coming years.

Second, India and Indonesia join China as among the world’s biggest consumers of coal. India’s 2013 consumption was 4.7x larger than its 1985 consumption. Indonesia’s is 60x much larger. This is because Indonesia has become a major coal producer and exporter in recent years.

Third, by continent and economic group, Asia-Pacific countries consume nearly three-fourth of the total coal output of the planet. Coal however, is least preferred in Africa as well as South and Central America. And it is in the Asia-Pacific where substantial economic growth and poverty alleviation has been happening for the past three decades or more.

Now,  let us review global economic growth over the same period.  The figures for 1995, 2005, 2011 and 2012 are also given for additional information that some readers may wish to see. Data from the International Monetary Fund (IMF).

Table 3. GDP Size Based on Purchasing Power Parity (PPP) Valuation, 1985 to 2013

(in Billions of international dollars)

Source: IMF, World Economic Outlook April 2014 Database, www.imf.org

The last column is not part of the original data, added and created only in this paper.

Notice that countries highlighted in bold in Table 2 are generally the same as those highlighted in Table 3. Meaning those that consumed coal energy faster also grew economically faster. Of course this is not to say that coal power consumption is the primary or sole important contributor to faster economic growth.

We now lay down the major players in both coal consumption and GDP growth over nearly three decades. Is there any correlation?

Table 4. Ten Fast Coal Consumers and their GDP Expansion, 1985-2013

Sources: Tables 2 and 3 above.

This summary table shows the following:

* Of the 10 countries that were fast coal consumers over the past 28 years, meaning their 2013 coal consumption were at least 4.5x their 1985 level (in contrast to many other countries with coal consumption multiples of only around 2.5x),   eight have high GDP expansion over the same period. For instance, China and India GDP levels have multipled by 25x; S. Korea and Malaysia GDP levels multipled by nearly 10x, in just 28 years.

* Only Mexico and the Philippines in the above table, fast coal consumers, whose  GDP expansion were the not-so-fast of less than 6x.

*  Singapore and Vietnam economy expanded by 11 - 12x, also very fast compared to many other countries, even though they are not major or fast coal consumers. They are largely dependent on natural gas, as shown in Table 1.  

* This crude comparison has established  a general correlation between coal consumption and GDP expansion. Of course other studies would use more sophisticated econometric models to make any categorical statement. But such finding is easy to explain.

Coal is relatively cheap and a stable energy source. A 100 MW coal power plant can deliver 100 MW 24 hours day, not 80 or 60 MW or lower. In contrast, a wind or solar power plant with rated cap of 100 MW will be very lucky if it can deliver 40 MW sustained for 24 hours. Usually their average dependable capacity is only around 20 percent, or just 20 MW only. So how can an economy develop fast if there is frequent brown out, because the power plant can deliver only 10 or 20 or 25% of its rated capacity? Industries and factories, malls and offices depending on wind and solar must have back up generator sets running on expensive fuel, that must run any hours daily, and this will raise their cost of production and operation.

The WWF yearly campaign of "celebrate darkness" even for one hour is idiotic.  WWF gets lots of money from donations and UN or government funding, by promoting irrationality in energy policy.

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See also:

Energy Econ 21: Joint Statement on EPIRA Implementation, May 27, 2014

Energy Econ 22: FEF on FIT for Solar Power Plants, June 13, 2014

Energy Econ 23: Death of Australia's Carbon Tax, July 17, 2014

Energy Econ 24: NPC Debt, PSALM and Universal Charges, August 02, 2014