Hassle-free elections

There are clear signs in the air that the same glitch-free election experienced in 2010 when the country resorted to its first-ever automated balloting using the Precint Count Optical Machines (PCOS) will once again be enjoyed during the midterm elections, given that the Commission on Election (Comelec) is tapping the same technology next summer.

The provider of the PCOS units, Smartmatic-Total Information Management (TIM), through Asia Pacific president Cesar Flores, in attesting to the accuracy and reliability of the PCOS machines, pointed out three major points: first, that the PCOS units churned out an accuracy rating of 100 percent and nothing less in every test and retest done by election bodies in the United States and Canada; second, that the system is highly auditable as it provides a backup scanned image of ballots processed by the machines; and third, that independent groups, not Smartmatic, have validated the accuracy of the PCOS technology.

On the allegations that the PCOS technology failed to pass accuracy tests, Flores said the accuracy rate of the PCOS machines is 100 percent, as proven and demonstrated by Comelec during the 2009 bidding technical qualification and by SLI, the international certification body that has tested and certified the system for Comelec during the system certification conducted in 2010.

The same PCOS model used by the Comelec in the 2010 elections had been tested, retested and certified by the respective election commissions in New York and Ontario, Canada, according to Flores. In every test done, the accuracy rate was 100 percent, he added.

In an attempt to enlighten its critics, Smartmatic-TIM conducted last July a mock election and a manual audit at the House of Representatives as requested by the chamber’s committee on suffrage, in response to the allegation by CenPEG and its allied groups that a previous mock election conducted by the Senate’s committee on electoral reforms was insufficient because only 50 ballots were tested in that chamber.

Fortunately, the Comelec stood firm in its position and opted to avail itself of Smartmatic’s offer to purchase the PCOS units at a substantial discount of P1.8 billion (a third of the machines’ actual value) to ensure that automation would take place in 2013. This of course is on top of so many other benefits that the Comelec expects from using the PCOS units in next year’s election.

Investing in the future

Coal Asia Holdings, holder of the country’s second largest coal reserves and with the potential to become the biggest producer of high-grade bituminous coal, has filed an application with the Securities and Exchange Commission (SEC) for the conduct an initial public offering during the fourth quarter of 2012.

Coal Asia Holdings is the parent company of Titan Mining and Energy Corporation (TMEC), which owns mining exploration and development rights in Davao Oriental and Zamboanga Sibugay. Titan is the second largest coal producer in the country with reportedly coal assets worth P12.5 billion based on an independent valuation report. An independent valuation report prepared by Multinational Investment Bancorporation dated May 2012 valued Titan’s coal assets at P12.5 billion.

The planned IPO will afford the investing public the rare opportunity of buying in at the same price as Coal Asia’s incorporators. Plans are to list 800 million shares on the PSE’s first board.

Observers believe that it is in the right place at the right time with the expected explosion in demand by large scale energy producers racing to establish their coal-fired energy generating plants as well as for cement plants already in place in the region as they too prepare for the impending growth of Mindanao through the government’s plans to establish key economic zones in the country’s southern-most region.

The company has been drawing interest from potential strategic and financial investors from the power generation and cement industries as well as investment funds with the objective of owning a stake in Coal Asia as a means to ensure continuous supply of coal and possibly hedge against another potential significant run-up in coal prices.

The Philippines major consumers of coal would remain coal-import dependent according to the Department of Energy. Data that from 1998 to 2011 show that coal imports accounted for 76% of coal supply and this trend would continue from 2012 to 2014, with coal imports accounting for 60% of coal supply.

Titan is bullish that it will play strategic role in meeting the growing demand for coal supply in the domestic market.

The P726.87 million net proceeds from the IPO is earmarked to bring its Davao Oriental mine into production by 2014 and its Zamboanga Sibugay mine by 2015.

About P100 million will be spent for the completion of the exploration and feasibility study of the Davao Oriental mine, P400 million for the development of the Davao mine, and the balance for continued exploration at the Zamboanga Sibugay mine and for working capital requirements.

Coal Asia is keen on ensuring the timely development of its high-grade bituminous coal mines as they are strategically located in Mindanao where there is a rush to establish critically needed power capacity, giving Coal Asia a leg up on opportunities for long-term supply agreements for thermal coal in the region.

 Mockery of laws, rules

The Confederation of the Indigenous People’s Union of the Philippines (CIPUP) has asked the Senate through Senator Loren Legarda to investigate chairman Zenaida Pawid of the National Commission on Indigenous People (NCIP) for alleged violation of a number of laws and rules relating to her “sulong-urong“ resignation, arbitrary withdrawal of educational assistance to IP students, and non-filing of her statement of assets, liabilities and networth (SALN).

CIPUP president Agustin Bacosa said Pawid, 79, announced her resignation from the NCIP in an earlier en banc meeting only to say later that she was kidding.

Pawid also allegedly reversed arbitrarily the educational assistance program (EAP) which was recently approved by the commission for unknown reasons. EAP provides cash assistance to poor IP students all over the country from the pork barrel of congressmen, Bacosa said.

Meanwhile, Bacosa, airing the complaints of NCIP employees said Pawid, a retired teacher, has disregarded the Civil Service Law especially the provision on flexi-time. Employees claim that Pawid, among other things, has refused to give them their loyalty pay, productivity incentive and cultural bonuses as provided by law.

For comments, e-mail at [email protected].