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09 SEPTEMBER 2007  
bulet-arow.gif (856 bytes) ABAC presents recommendations on climate change and improved access to trade to APEC leaders
bulet-arow.gif (856 bytes) China elated over RP's economic success
bulet-arow.gif (856 bytes) PGMA, NZ PM Clark push for RP-NZ air services agreement
bulet-arow.gif (856 bytes) PGMA, Badawi agree to resume stalled Mindanao talks
bulet-arow.gif (856 bytes) APEC leaders to urge WTO to conclude Doha talks
bulet-arow.gif (856 bytes) PGMA to mining firms: Income from mines must trickle down to host communities
bulet-arow.gif (856 bytes) PGMA hails Sydney declaration on climate change
bulet-arow.gif (856 bytes) PGMA flying straight to Mindanao Monday from APEC meet in Sydney
bulet-arow.gif (856 bytes) APEC leaders press resumption of stalled Doha round of WTO talks

ABAC presents recommendations on climate change and improved access to trade to APEC leaders

SYDNEY--- Leading business personalities from the Asia-Pacific nations conveyed on Saturday to the Pacific Rim leaders their views on important issues confronting the region, specifically on climate change and improved access to trade.

The Asia-Pacific Economic Cooperation (APEC) Business Advisory Council had a dialogue with the 21 APEC leaders before the start of the two-day 15th APEC Summit at the Sydney Opera House.

Mark Johnson, chair of the ABAC 2007, said the business community presented to the APEC leaders a number of recommendations to ensure that the business environment in the Pacific Rim remains robust.

“Business has told government leaders that we need clear policies from them to address energy security issues so that we can respond to the challenge of climate change through the development of energy efficient technologies,” he said.

He added that business, together with the consumers, must change methods and habits to adopt more energy efficient practices and that business must accelerate innovation, research and development and investment in new technologies to reduce carbon footprints.

Member economies of the APEC account for 60 percent of global emissions, thus the need for urgent measures to address the issue on climate change by sharing and disseminating knowledge and technologies among themselves, Johnson stressed.

ABAC has also recommended measures to improve trade and investment within the region. The recommendations include: the harmonization of standards so that business can export more efficiently, and the need for flexible responses from central banking agencies given the recent experience in the US sub-prime mortgage market.

The business leaders also stressed the need for government and businesses preparedness so that economies are equipped to deal with potential pandemic threats.

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China elated over RP's economic success

SYDNEY – Chinese President Hu Jintao expressed elation Sunday over the Philippines’ sustained economic development and wished the country continuing success under the leadership of President Gloria Macapagal-Arroyo.

In his opening greeting to President Arroyo at the start of their bilateral talks at the sidelines of the ongoing Asia-Pacific Economic Cooperation (APEC) Leaders’ meeting here, Hu expressed confidence that the Philippines “will achieve success“ in nation building.

“As your friendly neighbor, I am happy over the Philippines’ sustained economic development and great achievement in nation-building,” Hu told the President.

Hu was referring to the Philippines’ uninterrupted growth the last six years under President Arroyo, bannered by the 7.5 percent second quarter growth this year, the fastest annual pace in two decades.

The President, in turn, thanked Hu for the opportunity he granted for the talks, saying she appreciates very much China’s concern over the Philippines.

“We take great pride that China has given much attention to the Philippines,” she told Hu.

The Chinese president said he was happy to see President Arroyo again in Sydney since his state visit to the Philippines in 2005.

“It’s a pleasure to see you again. I recall that two years ago, I was accorded great hospitality in the Philippines. I am deeply happy and filled with lasting memories,” he said.

With the President during the talks were Foreign Affairs Secretary Alberto Romulo, Trade and Industry Secretary Peter Favila, Energy Secretary Angelo Reyes and Ambassador Mariano Paynor Jr., chief of Presidential Protocol and Presidential Assistant for State and Foreign Visits, among others.

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PGMA, NZ PM Clark push for RP-NZ air services agreement

SYDNEY----President Gloria Macapagal-Arroyo and New Zealand Prime Minister Helen Clark have expressed hopes that the Philippines and New Zealand could finally forge an air services agreement (ASA) to further increase bilateral trade between the two nations.

The two leaders, who are attending the 15th Asia-Pacific Economic Cooperation (APEC) Leaders’ Meeting here, had a pull-aside talks during the ongoing meeting and discussed the progress in the negotiations on the proposed RP-NZ air pact.

“Every APEC or ASEAN (meeting), we always get the chance to talk. It is an opportunity to engage with our allies. PM Clark and I talked about air talks,” the President enthused.

The immediate forging of an ASA between the Philippines and New Zealand was one of the key points in discussions between President Arroyo and Prime Minister Clark in Auckland last May.

The air pact is important to the fast-growing Filipino community in New Zealand and to the increasing number of New Zealanders visiting the Philippines, the President said, adding that travel to the Philippines from New Zealand takes longer because of stopover flights in Sydney, Australia.

The Philippines has become an important market for New Zealand. The country now ranks 10th largest trading partner of New Zealand.

New Zealand wants an air accord concluded with the Philippines at the soonest time possible, since it is one of the few countries in the Asia-Pacific region that do not have an ASA with the Philippines.

It is expected that an agreement on air cargoes that would benefit the exporters and importers of both countries would first be implemented.

There are about 6,000 to 7,000 New Zealand tourists visiting the Philippines yearly, while Filipinos traveling to New Zealand range from 12,000 to 13,000.

The number of Filipinos working or living in New Zealand has doubled to about 25,000 in the last five years.

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PGMA, Badawi agree to resume stalled Mindanao talks

SYDNEY -- President Gloria Macapagal-Arroyo and Malaysian Prime Minister Abdullah Bin Ahmad Badawi agreed on Saturday to resume the negotiations between the Philippine government and the Moro Islamic Liberation Front (MILF) on a final settlement of the decades-old conflict in southern Philippines.

The President told the Philippine media that she and the Malaysian leader reached the agreement when they met during a break of the first session of the Asia-Pacific Economic Cooperation (APEC) forum yesterday at the Sydney Opera House.

“We are going to resume… I think we are ready to resume,” the President said.

The Arroyo-Badawi meeting was held sans the formal, strait-laced trappings of the usual bilateral meetings between heads of state. The two leaders were scheduled to hold a bilateral meeting yesterday afternoon, but the President said they had agreed to dispensed with the one-on-one.

“That’s the style now… more practical,” the President said of her meeting with Badawi on the sidelines of the 15th APEC leaders’ conference.

“He was urging me to go back (to the negotiating table),” the President said.

“We want the peace talks to succeed and that we should go back to the peace table,” she added.

As the host of the GRP-MILF exploratory talks and a member of the International Monitoring Team (IMT) supervising the two parties’ agreement on the cessation of hostilities in southern Philippines, Malaysia plays a key role in the search for a permanent peace in Mindanao.

The President added that she had her Malaysian counterpart “talked about the details of the issues and not ending” the talks.

The 14th Exploratory Talks between the government and the MILF  scheduled last Aug. 22 in Kuala Lumpur was postponed to give retired Gen. Rodolfo Garcia, the new head of the government negotiating panel, enough time to consult the people directly affected by the conflict.

The government explained that the postponement of the August talks had nothing to do with the ongoing military operations against the Abu Sayyaf terrorists behind the recent ambuscades which resulted in the death of several soldiers.

The Chief Executive has reiterated that the government remains strongly committed to a peaceful and permanent solution of the Mindanao conflict.

The military, which launched an offensive against the Abu Sayyaf in Sulu and Basilan, has been under strict orders from the President to respect the “ceasefire guidelines” with the MILF.

The peace talks between the government and the MILF, which started on Jan. 7, 1997, gained momentum only in 2003 with the participation of Malaysia as “third party mediator.”

The two parties had forged a three-year ceasefire accord, although skirmishes have occasionally broken out between government troops and MILF forces.

The Malaysian-led International Monitoring Team (IMT) has been helping the Armed Forces of the Philippines (AFP) enforce the Mindanao ceasefire since 2003, but the peace negotiations between the two panels have stalled over the ticklish issue of ancestral domain.

The President has repeatedly declared that national security must be pursued alongside economic development to enable the country to attain First World status by 2020.

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APEC leaders to urge WTO to conclude Doha talks

SYDNEY – President Gloria Macapagal-Arroyo and other leaders of the Asia-Pacific Economic Cooperation (APEC) have agreed to call on the World Trade Organization (WTO) to conclude the Doha round of world trade talks by the end of the year.

Now on its sixth year, the Doha round of the WTO talks has bogged down as industrialized nations and the developing world struggle to reach an agreement on ways to liberalize trade.

The 21 leaders attending the 15h APEC forum have supported the recommendation of their countries’ ministers on the issuance of a separate statement urging the WTO to reach an agreement by the end of the year.

The statement would also be an expression of the leaders' desire that draft texts on agriculture and manufacturing, currently being discussed by WTO negotiators in Geneva, would form the basis of a final agreement.

The leaders will have a full agenda when they gather for the second day of the APEC Summit today (Sunday).

Key issues still to be tackled include the report on regional economic integration, which includes the concept of a Free Trade Area of the Asia- Pacific. This proposal is supported by both the US and Australia.

The leaders will also consider recommendations on structural reform, reform of the APEC organizational system, human security issues – including such matters as pandemics and food security – and whether they should lift a moratorium on the matter to take on new members.

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PGMA to mining firms: Income from mines must trickle down to host communities

SYDNEY-- - President Gloria Macapagal-Arroyo said on Saturday that the economic progress derived from mining activities must trickle down to the host communities.

Environment and Natural Resources Secretary Lito Atienza said this was the advice of the President to Australian mining giant BHP Biliton and other mining firms operating in the Philippines.

Mining enterprises must  “engage the local community more” to avoid problems in their areas of operation, specifically with local groups,” the President said during her meeting  with BHP Biliton chief executive officer (CEO) Chip Goodyear at the Four Seasons Hotel in Sydney.

The President also said mining concerns must “settle their problems with their partners.”

“We welcome mining investments. We welcome mining firms that give due concern to the environment and to the community,” Atienza quoted the President as saying.

“I think the Australian issue is not much about the environment. It’s really more of the community,” the President said, according to Atienza.

BHP Billiton is developing four nickel exploration sites in the Philippines, including a potential $1.8 billion project in the mineral-rich southern island of Mindanao.

The mining firm has been encountering some problems with disgruntled local groups opposed to its nickel mining plans.

Atienza said he came to Sydney with the President to have bilateral meetings with Australian mining companies.

He added that he would be advising local companies on how to deal with mounting opposition to Australian mining projects across the Philippines.

Australian and New Zealand firms are estimated to account for an estimated one-fourth of the investments in the Philippines’s booming mining industry.

The Arroyo administration has identified the minerals industry as one of the engine of growths considering the immense natural endowments of the country.

The Philippines is the fifth mineralized nation in the world, the third richest in gold, fourth in copper, fifth in nickel and sixth in chromite.

The President has always batted for sustainable mining activities in the country, the former Manila mayor said.

Atienza said that this year alone, investments in mining could reach as much as $600 million and $10-$11 billion in 2010-2011.

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PGMA hails Sydney declaration on climate change

SYDNEY -- President Gloria Macapagal-Arroyo hailed today the declaration of the 21 leaders of the Asia-Pacific Economic Cooperation (APEC) countries reaffirming their commitment to the United Nations (UN) framework on climate change.

“That was a very good declaration for the APEC…I still believe that the United Nations is where decisions (on climate change) should be made,” she said.

The Declaration on Climate Change, Energy Security and Clean Development, or simply called the Sydney Declaration, states that the leaders of APEC’s 21 economies agreed that economic growth, energy security and climate change are fundamental and inter-linked challenges for the APEC region.

“We need concerted international action with all economies contributing to shared global goals in ways that are equitable, and environmentally and economically effective,” the Declaration stated.

It also said that “future international climate change arrangement needs to reflect differences in economic and social conditions among economies and be consistent with our common but differentiated responsibilities and respective capabilities.”

The Sydney Declaration is consistent with the President’s stand on climate change and within the context of the UN framework on the issue.

“We still believe that there’s a lot of international cooperation that needs to be done, especially with regards to financial arrangements, technology transfer and capacity building especially for climate adaptation and energy efficiency and efficient energy production because 15 countries in the world are climate makers, the rest of us are climate takers,” the President said.

She added that while the 15 industrialized countries of the APEC have the primary responsibility of bringing down emissions, “our primary responsibility to our own economies is to adapt, and we can have that kind of cooperation even within the APEC Framework but at the end of the day, the final resolution should really be in the context of the UN.”

Climate change was put forward by Australian Prime Minister John Howard, host of this year’s APEC conference as the centerpiece of the 2007 APEC Leaders’ Meeting.

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PGMA flying straight to Mindanao Monday from APEC meet in Sydney

President Gloria Macapagal-Arroyo heads straight to Mindanao tomorrow (Monday) from Sydney, Australian to check on the peace and order situation in the area and inspect the Mindanao Geothermal Production Field (MGPF) facilities in Kidapawan City, North Cotabato.

The President, who attended the 15th Asia-Pacific Economic Cooperation (APEC) leaders’ forum in Sydney, is scheduled to arrive at the Davao City International Airport at 3:45 a.m.

After a few hours of rest, she will proceed to Kidapawan City, where she is expected to sign an administrative order on investments generation in the country’s geothermal resources.    

The MGPF occupies 112 hectares out of the 701 hectares that the government reserved for geothermal utilization in 1991.

The geothermal field consists of two power plants – the 52-megawatt Mindanao 1 Geothermal Power Plant (M1GP) and the 54-mw Mindanao 2 Geothermal Power Plant (M2GP).

The two power facilities are being operated jointly by the Philippine National Oil Company-Energy Development Corp. (PNOC-EDC) with the Marubeni Corporation of Japan, one of two foreign groups which financed, designed and constructed the project under a build-operate and transfer (BOT) arrangement.

The other foreign BOT operator, Oxbow Power Corporation of the United States, was earlier bought out by Marubeni, making the Japanese firm the sole BOT operator of the plants.

The full operation and ownership of the two power facilities will be turned over to PNOC-EDC when the 10-year cooperation arrangement ends in 2009.

PNOC-EDC is also set to develop an additional 50-mw Mindanao 3 Geothermal Power Plant, which will be commissioned in 2011.

The President will be briefed by officers of the Armed Forces of the Philippines (AFP) and the Philippine National Police (PNP) on the peace and order situation in the area.

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APEC leaders press resumption of stalled Doha round of WTO talks

SYDNEY--- Wrapping up the 15th Asia-Pacific Economic Cooperation (APEC) forum, the APEC leaders pledged today to work closely together to reinvigorate the stalled Doha Round of the World Trade Organization (WTO) talks and bring the negotiations to an early and successful end.

In their final declaration, the 21 leaders of the Pacific Rim, including President Gloria Macapagal-Arroyo, vowed to work for the strengthening of regional economic ties and continue to examine a free trade agreement for the Asia-Pacific region.

The final declaration covered a wide range of leading APEC concerns such as terrorism, pandemics, contaminated food, energy security and natural disasters.

“The Doha Round of World Trade Organization negotiations is at a critical juncture. Open markets generate prosperity and development. Expansion of trading opportunities contributes to economic growth and higher living standards. APEC economies account for almost fifty percent of world trade, and, we are, therefore, all major stakeholders in a strong, expanding rules-based multilateral trade system,” the declaration stated.

Noting the critical juncture faced by the Doha Round and the region’s continued resolve to achieve a successful conclusion of the talks, the leaders issued a separate statement on the WTO negotiations.

The separate statement said: “We, the leaders of the APEC Forum, whose economies account for nearly 50 percent of world trade, underline the crucial importance of the WTO rules-based, global trading system and our determination to bring the Doha Round to an early and successful conclusion.”

The leaders voiced an urgent request to all countries involved in the Doha process to renew their efforts to achieve an early and positive conclusion of the talks, emphasizing that agriculture and industrial products are the two priority areas.

“We insist that consensus will only be possible on the basis of an ambitious, balanced result that delivers real and substantial market access improvements for agricultural and industrial goods and for services and real and substantial reductions in trade-distorting agricultural subsidies,” the statement said.

It added: “This would deliver new trade flows for the benefit of all, including developing economies.”

The leaders expressed optimism that the “remaining differences can be successfully bridged” as real progress has been made in on-going talks in Geneva on agricultural and non-agricultural market access.

They pointed out that a Doha Round agreement can be finalized by the end of the year.

The Doha Round, named after the Qatari capital, started in 2001 but collapsed due to disagreements between rich and poor countries over farm subsidies, among India, Brazil, the European Union and APEC members economies—the US, Australia and Japan.

The 21 leaders also endorsed a report of the APEC ministers on ways to promote further economic integration in the Asia-Pacific region.

They agreed to accelerate efforts to remove barriers to trade and investments and regional trading arrangements, improve economic efficiency and the regional business environment including capital markets; and facilitating integration in such sectors as transportation, telecommunications, mining and energy.

The leaders agreed to “enhance our cooperation to human security….to dismantle terrorists groups, eliminate the danger posed by the proliferation of weapons of mass destruction and to protect our economic and financial systems abused by terrorists.”

They also agreed on the need to develop a more robust approach to strengthening food and consumer product safety standards and practices in the region, and further strengthening APEC’s efforts to build community resilience and preparedness for emergencies and natural disasters.

Energy security in the region could be best met through efficient energy markets, clear price signals, and effective governance and competition, they said.

The leaders also committed themselves to further strengthening APEC and making it more efficient and responsive through substantially increased member contributions, the establishment of new APEC Policy Support Unit and the appointment of an executive director for a fixed term.

Lastly, the leaders welcomed the invitation of Peru to host the next APEC meeting in 2008.

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