Difficulties with renewable energy

Looking forward to the future of business

All is not sweet ang nice for renewable energy.  Some were false and based on worng assuption

1.  Solar panels

     1.  Panels degrade over time by as much as 3% per year

     2.  Batteries need replacment every three years lengthening ROI period

     3.  The inverters can catch fire

     4.  They only work during daytime, and at most only 20% efficient

     5.  Problem of storage

     6. Technology is changing.  There are more efficient panels like perosviite

     7.  Hard to fit into the grid because they generate square waves not sine waves

     8.  The solar panel junk

2.  Wind turbine

     1.  Can be dead without wind 

     2  Wear out easily 

     3.  Is noisy

     4.  Kills birds

3. EV vehicles

    1. Turns out to require maintenance 2x the ICE engines

    2  Catches fires

    3  Charging infrastructures

    4.  Range anxiety by motoriests

    5   Battery disposal nightmare

    6  Charging requres grid pwoer which is till dirty

    7.  Battery raw materials extraction has defects like child labor, use of fossil fuel machinery for extraction.  

There        

Kabahagi ng Go Negosyoa noong nagsisimula ito

Looking forward to the future of business

Noong nagsisiumula ang Go Negosyoa, ang inyong lingkod ay naging kabahagi nito.  At ito ay pure gratis et amores.   Fr ee

Ako ay naging

1.  Isa sa mga tagpapagsalita sa mga caravant.  Nagkasama si Karen Davila - siya host at taga tanong

2.  Mentor sa mga forum sa PTTC forum

3.  Kasama sa mga episode ng Go Negosyo kasama si Gladys Reyes.  

Ang ka interaction namin si dating DTI boss Mon Lopez.  Siya maalam sa negosyo at pakikipag ungnayan sa mga propesor sa Unibersidad.

Natutuwa ang lingkod na ito at nakatulong sa Nation Building.  

Kahanga hanga si G. J Concepcion at siya ay nakakakuha ng suporta sa gobyerno at patuloy ang Go Negosyo sa paglipas ng panahon maski iba iba na ang pangulo.

Evaluating an existing project for sale

Looking forward to the future of business

Two projects were offered to us in a city in Region 1 province.  A lot has to be seen in evaluating the proejcts.   Once is for sale (existing) and another one could be only for management and consultancy.   Here the paper warks that must be seen.

There are certain liabilities that must be recognized and as points for negotiation:.  For example the installment contract receivable and perpetual care (iif it is non existing or intact).    ICR shall be for increase in price or it has be excluded because it is unsure?  What is going to be the liability of the buyer  for past sales?   They are explicit in the implementing rules:

   1.  TCT

   2.  Tax Dec

   3.  RPT

   4.  SB or SP ressolution approving the project

   5.  Development permit issued by MPDC

   6   License to sell

   7.  Site development plan

   8.  Inventories

        1.  Sold

        2.  Unsold

        3.  Sold but in arrears

   9.  Perpetual care fund

  10.   Installment contract receivable

  11.  Perpetual care balance, status

  12.  Types of product, price list

A lot of things to see, examine and evaluate?

At last the prospective funder replied that she was good to x millions

Looking forward to the future of business

The group I was advising encouraging to take over a project was disheartened for the last two weeks because of the unclear response of prospective investor who saiid yes a month ago.  We wondered and speculated on the true state of their finances.   

There was a lot of worry on personal circumstances.  At last we got an snswer  Since the commitment now is 1/4 of original projections a lot of adjustment have to be made:    1.  budget, 2.  timelines, 3.  marketing.

When the month ends, the team can proceed and be a financial success.

Ease of doing business in the Philippines recently no 94 from 124 (out of 190 countries)

Looking forward to the future of business

There has been marked improvement for the Philippines in area, jumping 29 notches.   That makes Phiippines in the middle becasue there are 190 countries being measured.

That means we cna still improve.

As someone dealing with governement agencies the laws that has been passed were of little help in easing transactions with govt agencies.    It is still byzanthine, because when you get legislative permits, politics come into play, and oftentimes you are advisied "there are expenses"

And with just 3 years tenure, and the length of time it takes to get approval, you incur expenses from one batch to the other.

What about  in other branches of govt?   In my survey of landed gentry (those who own large tracts of land) from whence you purchase raw lands, most of them are owned by fathers who are in branch of govt that decide on land cases.   The lands are compensation to get favorable approval.

Who will protect the citizens from this agencies who do shakedowns?   The penalty is unease in doing business.  When will changes be coming?   When can govt officials, be just compassionate and conscientious?  

We are sure that agencies who prosecute govt crooks are also involved in these sheenigans.   In a country where people profess that everythign can be bought......

We all know we are Christian countries, well educated, who are well versed in ethics because of early catehicsm, quite a number of Christian churches teaching justice and charity.   And yet we know pastor politicians who are.....  And pastors who muddle in politics who are also.....

Investment in health, emergency and rescue facilities

Looking forward to the future of business

Early on business development, this post led investments in rescue emergency  facilties.  Bought ambulances, fire trucks, rescue equipment.  We invested in training the trainors for emergency responder, amabulance and its equipment, vertical rescue facilities.  We did in collab with Johnny Angeles of AAP.  We think it was a good investment.

We also built water system with fire reserve capabilites.   How many businessmen and developers have this advocacy.?  We stopped when NDRRMC came into being.  However we surmise that there is not enough efforts in training.  Most ambulances I know are just transport facilities

We recently saw UNTV conducting BLS and other rescue training in Mindanao.

Avoiding investments in AON prone areas

Looking forward to the future of business

This post has avoided investments in disaster prone, Acts of Nature areas:    subject to flooding, volcanic eruptions, and landslide.

In a way this is viewed as being too conservative and thus have no investments in Tagaytay, Bicol, Kanlaon, Baguio City, beach fronts and more.

No guts no glory.? 

At least this post can sleep soundly.   

Would you put up a resort in areas (as eastern seaboard of Luzon) where waves can reach heights of coconut treees when there are typhoons.

Opportunities abound in Region 1 - its no longer at Region 1V

Looking forward to the future of business

We recently took a trip to a province in Region 1.  Vote rich.

The TIPLEX ends at the this province.

Some opportunties noted were (in this particular province:

1.  An economic zone in a City with

2.  A diviersion road being built

     (At diversion road in Urdaneta, many new busiensses have been built.

3.  Lots available for solar farm near the grid, at an unbelievable price;

4.  Solar lamps, pumps, at prices that are 10 to 15% lower than exhibits, and previous offer.

     P21K ang 80 watts with 6 meters pole (Sa kanila 6 meters pole +  180 watts less than P20K)

5.  Memorial park projects, partially built that are for management and or jv.

     Another one in resort town.  With permits all ready.

I concluded that the opportunities are no longer in NCR or MM.  These are growth areas  Couple this with publicity for this province due to Pogo hearings,   Closeness to China too.

We should not just stay in our offices houses waiting for opportunities to come

Higher losses for a local multinational food company

Looking forward to the future of business

The head of this company  Joselito Campos.was a former college classmate. He is the son of  Unilab, the biggest local drug company which is multinational.   It is unfortunate that the losses of his company doubled for 2024.  In PHP th8s runs into billions.  While our modest company are not that much, being local and not $ denominated, we are happy that we do not have that much losses.

The losses were attributed to poor performance in US market

It is imply no guts no glory.   Growing big entails losses.

I had advised a local food processing company vs  putting up a plant in USA because of tight competition, (and lack of knowledge and experience in US market) and high labor cost.    With a socialist governor -  Gavin Newsome, the advice could not have been much better.

Is it still OK to do business in USA?

Del Monte losses doubles

Opportunity everywhere

Looking forward to the future of business

This post lost 3 deals because we cant get TD titled.   We spent 6 months on these deals and they were wasted.   No time to despair.

Today as I went on biking route somebody, a kapadyak on MC chased me and we had brief conversation.   He asked if we can take on 4 hectares untitled property.   Its in a different town.  So no problem.