PH-Japan partnership

STARTING today, a two-day Cabinet-level meeting is being held in Tokyo, Japan centered on the possible partnership that will focus on big-ticket infrastructure projects that President Rodrigo R. Duterte is bent to implement before his term ends in 2022.

This partnership will venture into concrete terms that will basically draw off measures to achieve growth. The Duterte administration is targetting to achieve its major thrust to achieve inclusive growth, wherein each Filipino enjoys the fruits of development, by expanding the economy by at least 7 percent starting this year, from 6.6 percent last year.

All possible measures are now being exerted to ensure the administration won't fail in its bid to put in place key infrastructure projects that will hasten progress and development.

In fact, the Japan meeting will discuss possible cooperation agreements between the two countries in the areas of infrastructure; energy; support for Mindanao; public safety, which includes counterterrorism and the anti-illegal drugs campaign; environment and agriculture; disaster prevention; information technology; and human resource development.

This follows the latest round of high-level dialogues between the Philippines and China that resulted to "progressive and productive" cooperation between the two countries – paving the way for a six-year development program on expanding their economic ties.

Among large-scale infrastructure projects discused, reports have it, is the proposed Davao City Expressway that will be funded through a Chinese grant and concessional loan. Finance Secretary Carlos Dominguez and China Commerce Vice Minister Fu Ziying, who is also China's International Trade Representative, have already formalized the agreement on the conduct of preliminary feasibility studies for the proposed expressway, seen to address worsening traffic woes in the city, during a meeting at Marco Polo Hotel Davao recently.

Other than this, a high-level meeting also focused on three major issues -- bilateral cooperation in the areas of infrastructure, trade, investments, agriculture and fisheries, and tourism; updates on the proposed infra projects for Chinese funding and ways to further enhance financing cooperation between the two countries; and regional concerns such as the

as the China-led Regional Comprehensive Economic Partnership and the Philippines' chairmanship of the Asean this year.

Today's meeting with top Japanese officials is the first to be held under the Joint Committee on Philippines-Japan Infrastructure and Economic Cooperation, follows the successful official visit of President Duterte to Japan last year and the reciprocal visit made by Japan's Prime Minister Shinzo Abe to the Philippines in January.

In his visit to Davao City two months ago, Minister Abe promised to release one trillion yen in official development assistance and investments to the Philippines within the next five years.

Today, the Dominguez-led delegation is expected to present the Philippines’ medium term development plan and update Japanese officials on the country's macroeconomic situation during the Joint Committee meeting. They are also expected to discuss a potential list of Philippine infrastructure projects for possible Japanese financing.

In January, Japan has announced it is ready to offer two-step loans for projects under the Philippine government's identified priority areas. Accordingly, two-step loan is a type of loan where funds pass through a commercial bank or other financial institution before being released to the end-beneficiaries.

One priority development area that needed so much attention is Mindanao's power sector as discussed in a recent Mindanao Power and Energy Seminar held at the Marco Polo Hotel in Davao City. Priority projects for possible collaboration include the rehabilitation of the Agus-Pulangi Hydropower Complexes, the improvement of the disaster resiliency of power distribution networks, the promotion of renewable energy (RE) such as geothermal and wind power, and the enhancement of electricity distribution in areas with low electrification rates, such as in the Basilan-Sulu-Tawi-Tawi (Basulta) area.

Although we can now see an excess in Mindanao's power generation, with the recent investments on the island's power sector resulted to an excess of 1,000 megawatts as of December 2016, "it is crucial to shift our focus from supply deficiency to the cost of generating electricity," according to Secretary Datu Abul Khayr Alonto, chair of the Mindanao Development Authority.

The rapid growth of the manufacturing, real estate, services, and agribusiness sectors resulted to a surging demand for electricity, required at least 500 MW of new capacity in 2016, another 500MW by 2020, and 1,600MW by 2030.

There is so much to expect from the present administration, that promises a better life for every Filipino. The economy is growing and we have been receiving support from bigger Asian economies, such as Japan and China with President Duterte making relentless efforts to furher improve our bilateral ties with them.

We'll just have to wait for concrete action result.

(nelsonbagaforo@gmail. com)