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President Duterte at the 37th ASEAN Summit
by Marcelle P. Villegas - January 12, 2021
President Rodrigo Roa Duterte delivers his remarks during the virtual plenary session of the 37th ASEAN Summit and Related Summits hosted by the Socialist Republic of Vietnam at the Malacañang Golf (Malago) Clubhouse, Malacañang Park. (Photo credit: King Rodriquez / Presidential photo, Presidential Communications Operations Office website)
President Rodrigo R. Duterte attended a virtual summit of world leaders to discuss the COVID-19 pandemic, South China Sea dispute, trade and other issues. The virtual event is the plenary session of the 37th Association of Southeast Asian Nations (ASEAN) Summit and Related Summits hosted by the Socialist Republic of Vietnam that will last until November 25.
On his speech, he asserted the Philippines’s arbitral win and emphasised the legal victory is now part of “international law”. 
He said, “The Philippine position is clear and firm. We must solve the disputes peacefully and in accordance with international law, including UNCLOS (United Nations Convention on the Law of the Sea).”
“The 2016 arbitral award on the South China Sea is an authoritative interpretation of the application of UNCLOS. It is now part of international law. And its significance cannot be diminished nor ignored by any country, however big and powerful.”
President Duterte also emphasised the need to fast-track a “Code of Conduct” in the South China Sea in order to promote peace and stability in the busy waterway.
“The Philippines is one with ASEAN in transforming the South China Sea into a sea of peace and prosperity for all. We are committed to the immediate conclusion of a substantive and effective Code of Conduct in the South China Sea. And if I may add, it has been a long time and it is a long wait,” he said.
Since President Duterte assumed office in 2016, he addressed the maritime issue with China through a non-adversarial approach. China has an important role in the President’s “Build, Build, Build” infrastructure program as they had been providing financial assistance to several major infrastructure projects in the Philippines such as bridges and railways.
South China Sea Dispute -- In China’s Nine-dashed Line Map the Philippines loses about 80% of its Exclusive Economic Zone facing the West Philippine Sea. This includes the entire Reed Bank and part of the Malampaya gas field. This loss covers 381,000 square kilometers of maritime space and 100% of the Philippines’ Extended Continental Shelf which covers an estimate of over 150,000 square kilometers of maritime space. South China Sea is also rich in methane hydrate which is a potential source of energy.
How did the South China Sea dispute start? Why is the Philippines involved in this conflict with China?
On 7 May 2009 when China submitted the Nine-dashed Lines Map to the United Nations. Their map claims large areas of the Exclusive Economic Zone (EEZ) and Extended Continental Shelf (ECS) of the Philippines, Vietnam, Malaysia, Brunei, and Indonesia. On the map, China is claiming 85.7% of the entire South China Sea. Their claim covers 3 million square kilometers out of the 3.5 million square kilometers surface area of the South China Sea. Since China did not provide any legal basis for the dashes, and the dashes also had no fixed coordinates, Philippines, Malaysia, Vietnam and Indonesia protested against China’s claim.
The Philippines is greatly affected by the Nine-dashed Lines Map because the Philippines loses about 80% of its EEZ facing the West Philippine Sea. This includes the entire Reed Bank and part of the Malampaya gas field. That is around 381,000 square kilometers of loss in maritime space, and 100% of the Philippines’ ECS which covers an estimate of 150,000 square kilometers of maritime space.
Therefore, in January 2013, the Philippines formally initiated arbitration proceedings against China’s claim on the territories within the Nine-dashed Lines that includes the Scarborough Shoal. Then, Justice Antonio T. Carpio, former Senior Associate Justice of Republic of the Philippines Supreme Court, defended the Philippines’ right of ownership of the little islands within our territory to the international Arbitral Tribunal. He pointed out our legal rights through legitimate historical records.
It was on 12 July 2016 when the Philippines won the arbitration case it filed against China after the Permanent Court of Arbitration in The Hague, Netherlands. The verdict invalidated Beijing’s Nine-dashed Lines Map claim on South China Sea. In response, China refused to accept and acknowledge the arbitral ruling.
South China Sea is significant not only to Asian countries but also to the world. Each year, US$5.3 trillion ship-borne goods travel through South China Sea. This number is almost one-half of the world’s shipborne trade in tonnage. Additionally, a great percentage of the petroleum imports of South Korea, Japan, Taiwan, and China pass through the South China Sea. There are also 2 billion people who live in the 10 countries bordering the South China Sea where hundreds of millions of people depend on fish there for their protein. Lastly, the maritime area that is close to the coast of the countries bordering the South China Sea is rich in oil and gas resources. South China Sea is rich in methane hydrate – a potential source of energy.
 Parrocha, Azer (12 November 2020). Philippine News Agency. “Arbitral ruling can’t be ignored by any country, Duterte to Asean”. Retrieved from https://www.pna.gov.ph/articles/1121630
President Duterte - https://pcoo.gov.ph/news_releases/asean-must-demand-climate-justice-says-president-duterte/
Nine-Dashed Line - Justice Antonio T. Carpio. “The South China Sea West Philippine Sea Dispute” - https://www.slideshare.net/SamGalope/lecture-the-south-china-sea-west-philippine-dispute-justice-antonio-t-carpio-philippine-social-science-center
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Marcelle P. Villegas - July 06, 2022
President Duterte appoints PRJ columnist Penarroyo as new PRB chairperson for Geology
Philippine Resources Journal congratulates our very own columnist, Atty Fernando “Ronnie” S. Penarroyo, for his recent appointment as the new Chairperson for the Professional Regulatory Board for Geology (PRB Geology). For several years now, Atty Penarroyo has been one of the main contributors in our publication. He specializes in Energy and Resources Law, Project Finance and Business Development. Through his informative and well-researched editorials in Philippine Resources Journal, he brought light and clarity to many complex issues surround the mining industry. As a notable alumnus of BS Geology and Bachelor of Laws at the University of the Philippines and former President of the Geological Society of the Philippines, Atty Penarroyo guided and mentored many young students in the field of Geology. He also studied at the University of Melbourne in 2001-2002 for his Master of Laws. In 1988-1989, he earned a Graduate Diploma in Petroleum Exploration, Geological/Geophysical Engineering at the Norwegian University of Science and Technology (NTNU). Atty Penarroyo studied Management, Petroleum Accounting and Financial Management at the University of Texas at Dallas in 1992.
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Philippine Resources - September 27, 2022
PH-EITI holds first meeting under Marcos admin, approves plan to improve multi-stakeholder engagement in the extractives
Photo credit: PH-EITI The Philippine Extractive Industries Transparency Initiative (PH-EITI) convened its first Multi-Stakeholder Group (MSG) meeting under the Marcos administration on Friday (September 16), two weeks after the country reaffirmed its commitment to implement the EITI. EITI is the global standard for transparency and accountability in the oil, gas, and mining sectors. The MSG – the body that governs EITI implementation in the country – is chaired by the Department of Finance (DOF) and composed of representatives from government, industry, and civil society. The government began implementing the EITI in 2013 pursuant to Section 14 of Executive Order No. 79, s. 2012 and Executive Order No. 147, s. 2013 that created the PH-EITI. “This meeting demonstrates the government’s continuing commitment to improve transparency and accountability in the extractive industries,” said Finance Undersecretary and PH-EITI Focal Person and Chair Cielo Magno. To improve resource governance, the MSG agreed to strengthen spaces for multi-stakeholder participation and advocate for more spaces along the extractive industry value chain. The group also agreed to include an MSG report on the status of civic engagement in the annual country report. The MSG also discussed remaining initiatives for 2022, including the production of the FY 2021 PH-EITI Country Report, the 2022 National Conference, and a planned visit of EITI Chair and former New Zealand Prime Minister Helen Clark to the Philippines in November 2022. The PH-EITI publishes independently reconciled data on oil, gas, coal, and mineral resources through an annual and comprehensive country report. To date, the PH-EITI has produced seven country reports, reconciling over P362.5 billion in government revenues from extractive projects from 2012 to 2019. Aside from disclosing extractives data to inform research and policy recommendations, the PH-EITI also provides space for multi-stakeholder participation in resource governance. Article courtesy of the Department of Finance
Philippine Resources - September 27, 2022
Marcos admin commits to transparency and good governance in the extractive industries
Photo credit: EITI / CC BY-SA The Marcos administration demonstrated its commitment to pursue transparency in natural resource governance by rejoining the Extractive Industries Transparency Initiative (EITI) and enabling the continued development of the mining sector. In a letter to EITI Chair and former New Zealand Prime Minister Helen Clark, Finance Secretary Benjamin Diokno cited the value of good governance and anti-corruption measures in maximizing the extractive sector’s contribution to resource mobilization and sustainable economic growth. EITI will complement the administration’s agenda on transparency and accountability. “We welcome the opportunity to re-engage in EITI. We also commend the progress of the EITI Board in reviewing the validation standard and making it more relevant to implementing countries. We believe that EITI is an important tool for resource-rich countries like the Philippines to improve transparency and increase accountability in the management and governance of the extractive industries,” said Secretary Diokno. Secretary Diokno said that other government agencies, as well as industry and civil society stakeholders who have been actively implementing EITI in the country, are supportive of the move to rejoin the global initiative. On June 20, 2022, the Philippines through the Department of Finance (DOF) withdrew its participation in the EITI over concerns on metrics and procedures used for assessing country compliance with the international organization’s transparency requirements. In an August 23, 2022 letter, EITI Chair Helen Clark invited Secretary Diokno to re-state the country’s commitment to the EITI on behalf of the Marcos administration and build on the progress that the Philippines has achieved in the past nine years. The PH-EITI multi-stakeholder group is chaired by the DOF and is composed of representatives from government, industry, and civil society. The government began implementing the EITI in 2013 pursuant to Section 14 of Executive Order No. 79, s. 2012 and Executive Order No. 147, s. 2013 that created the Philippine EITI (PH-EITI). Annual disclosure of contracts, financial, economic, social and environmental data is mandatory for extractive industries pursuant to the Department of Environment and Natural Resources (DENR) Department Administrative Order (DAO) No. 2017-07. To date, the PH-EITI has produced seven country reports, covering data from mining, oil, gas, and coal industries and reconciling over P362.5 billion in government revenues from extractive projects from 2012 to 2019. In 2017, the Philippines was recognized by the EITI as the first among 50 plus countries in the world to have fully complied with the 2016 EITI Standard. The EITI updates its standard every three years and subjects member countries to validation to ascertain their compliance. Secretary Diokno said that the Marcos administration is committed to engage and unite various stakeholders in pursuing good governance and policy reforms in the country. “Rest assured that we remain committed to pursuing good governance in the extractive sector,” said Secretary Diokno. Article courtesy of the Department of Finance
Philippine Resources - September 26, 2022
Metro Manila Subway project nominated for int’l digital awards
Artist rendering of the Metro Manila Subway (Photo courtesy of DOTr) The Metro Manila Subway Project (MMSP) has been named as one of the finalists at the 2022 Going Digital Awards in Infrastructure for the best use of infrastructure software to save both time and money. The Department of Transportation (DOTr) said the general consultant for the MMSP Phase 1, the Japanese consortium Oriental Consultants Global (OC Global), developed a common digital engineering system and a “single source of truth” using ProjectWise and ComplyPro -- both programs by Bentley Software Inc. The MMSP, the DOTr said, presented communication and coordination challenges that other software programs failed to address. “The project team at OC Global realized that the implementation of collaborative BIM workflows, proactive risk management, and cost monitoring would require a connected data environment to be established,” it said. The system developed by OC Global for the MMSP enabled real-time data sharing that optimized collaboration -- saving an estimated 5,000 resource hours within the project’s first six months. “Combined with SYNCHRO for construction simulation, Bentley’s integrated technology solution identified and resolved 50 clashes, eliminating rework, shortening the project schedule, and saving costs. The successful BIM (Building Information Modeling) implementation has already achieved a return of investment of over USD600,000,” it said. The Going Digital Awards in Infrastructure is an annual event meant to honor Bentley software users for advancing infrastructure design, construction, and operations worldwide. The event’s finalists are deemed to demonstrate “excellence and digital advancements” in their respective award categories. The award winners will be announced during the program’s main event in London on Nov. 15. By Raymond Carl Dela Cruz Article courtesy of the Philippine News Agency
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