Monday, June 30, 2008

FLYING THE EAGA SKIES

Today, tourism is one of the key sectors that the Brunei-Indonesia-Malaysia-Philippines-East Asean Growth Area (EAGA) is given much emphasis. Not only because it increases people and business mobility but it is one of the fastest means of ensuring that intra regional cooperation and linkages will actually happen on the ground.

The Mindanao Economic Development Council (MEDCO) reported during the 14th anniversary of the sub-regional group that several air linkages were being opened or on the discussion tables.

Among these linkages are the flights between Zamboanga and Sandakan which is being served by the Asian Spirit; and Malaysia’s Air Asia which flies from Kuching, Malaysia to Bandar Seri Begawan, Brunei. Several other airlines are also looking into possibly servicing other viable routes.

The attempt to establish air and sea linkages fits well into the desire of the four countries to intensify travel and tourism between and among them and encourage more business exchanges. But more importantly, the cost of travel must be reasonable and affordable for both business and tourism so that activities within the region will flourish.

There is a need for all the airlines to study their fare structure very carefully and to ensure competitiveness or else people from the regions will not be motivated to travel either for business or tourism. Budget fares can easily result to greater number of cultural and student exchanges; businessmen visiting theareas to explore what they can do together; more tourists shopping, eating and spending their money.

New Air Route

Just last week, Indonesia’s Wings Air, a subsidiary of Lion Air, has started its chartered flight between Davao City and Manado, a route that has been abandoned so many times because of very thin traffic.

This time the Indonesian government will exert efforts to help sustain the service by bringing in greater volume of goods from Manado, Indonesia. Indonesian Consul Gen. Lalu Malik Partawana who is based in Davao City informed us that his office will exert all efforts to support the new air route.

I am now in Bali, Indonesia enjoying the week with my family. I could had flown directly from Davao; if there was a much easier air routes and cheaper fares. But since there was none; we decided to fly from Singapore.

This is what I had discussed with the Consul when I visited him in his office in Davao City; that we should make the air linkages work this time; and this can be done by creating activities that would bring about movement of people from the Davao to Manado and other Indonesian cities and provinces. And rates of travel is a critical issue – it can be a deterrent if priced wrongly and a strong motivator if the cost is just right.

Fifth Freedom Rights

Load cargo has always been the problem in traveling in the sub-regional destinations. This is the factor that prompted the four countries to declare the implementation of the fifth freedom rights so that airline companies can service destinations within the sub-region outside of their assigned destination.

The four countries even approved the “multiple designation of airlines with no restriction on frequency and capacity” and the “adoption of sub-regional multilateral agreement on common airport tariffs,” hoping that this will trigger the travel intensity among the peoples of the sub-region and those that are visiting its beautiful tourist spots.

What Needs to be Done

Having been actively involved in the promotion of this sub-regional group in the past, I believe that air linkages are very much necessary if the four countries, or their designated areas in the sub-region. They can pushed budget airlines to look into servicing the routes between and among them. This will not only heighten the trade relations among the participants, but would even pave the way for them as a group to look for a bigger trading partner like China or Japan.

This is also very important to the tourism sector, especially now that the industry is looking into promoting itself as one big destination to tourists particularly Europeans who love to travel for days to several destinations. The linkages will serve as a come-on for these travelers to consider the BIMP countries as a single destination within the sub-region.

There is a need to massively promote successful partnerships or business ventures; initiatives and exchanges, cultural and educational linkages that is worth talking about. All of these must be brought up in the open so that the EAGA excitement will again be in everyone’s heart!

(Joji Ilagan Bian is a strong and respected advocate for the development of the region. She is Chair of Joji Ilagan Foundation ( www.jojiilagancareercenter.com) ; President , Phil. Call Centers Alliance and Mindanao Tech Voc Schools Association; Mindanao Rep, Export Development Council. Email comments jojibian2@yahoo.com)

Monday, June 09, 2008

DAVAO LIGHT AND DABAWENYOS- FORMIDABLE PARTNERS

While politicians and various sectors in Metro Manila are trading barbs over the high power rates, Davao City has been blessed with the best power utility. Davao Light and Power Company is the third largest privately-owned electric utility in the Philippines. It holds the franchise for distributing electric power to Davao City, the largest city in the world in terms of land area, as well as Panabo City and the municipalities of Carmen, Dujali, and Sto. Tomas in Davao del Norte.

In 2007, the company sold 1.331 billion kilowatt-hours to 247,341 customers with a peak demand of 245 megawatts (MW). And while these experts and politicians were trying to go deeper into the so-called systems losses, our power utility here is surprisingly registering systems loss below what the government allows. Based on the data obtained from the company, its systems loss was at 8.8 percent, way below the 9.5% percent that government allows.

Systems loss is defined as energy loss due to technical problems and to pilferage. Under the law, a power utility whose systems loss goes beyond 9.5% is restricted to pass it on to consumers.

Davao Light maintains a 54.7 MW standby diesel power plant, operated as needed to stabilize voltage as well as augment the power supply of its primary generating sources. It makes use of a fully functional automated mapping and facilities management (AM/FM) system to track the location of electric distribution assets in its 3,561 square kilometer franchise. Also in place is a Supervisory Control and Data Acquisition (SCADA) system, a facility that allows remote real-time data gathering and control of equipment in all power substations.

High-end computers, sophisticated software, and other devices are being used to speed up meter reading, streamline billing, provide efficient and prompt response to customer inquiries, generate management information, and analyze electrical grid information.

In anticipation for the increase in demand of power within its service areas, the company has also signed with sister company Hedcor Inc. an agreement that will allow it to buy power produced from the power plants of the latter in Sibulan, Sta. Cruz, Davao del Sur

and those that it will build in Suawan, Tamugan and Panigan in the hinterland of the city.

And until late last month, the main man behind the company was a young and energetic executive known for his humility and candidness. Luis Alfonso Y. Aboitiz, known to friends as “AL” who at the time of his death was at the helm of the company’s operations .

In the past when the power firm would petitioned for increases; Al would do the explaining himself instead of turning over the responsibility to his subordinates. Armed with his power point presentation, Al would patiently discuss the issues on hand to the business sector and leaders of progressive organizations. He would answer every question even those irrelevant ones.

Under his leadership, the company was also known as among the leaders in corporate social responsibility work, having done so many community-related activities from education, health and enterprise development for the people within its service area.

But one achievement that Al was always proud of is the city’s emergency system which is the Central 911 which was patterned after the US and Canada.

The project was conceptualized in collaboration with Davao City Mayor Rodrigo Duterte using the Electronic Computer Aided Dispatch system of the power utility in responding to distress calls. Today, 911 is Davao’s partner in saving lives.

His untimely death not only meant a lot to his family and his company but also to the city which has benefited from his leadership. This maybe late but this column extends its condolences to the family that Al left behind. He will be remembered well by all Dabawenyos.


(Joji Ilagan Bian is a strong and respected advocate for the development of the region. She is Chair of Joji Ilagan Foundation ( www.jojiilagancareercenter.com) ; President , Phil. Call Centers Alliance and Mindanao Tech Voc Schools Association; Mindanao Rep, Export Development Council. Email comments jojibian2@yahoo.com)