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Philippines struggles to green school amid climate risks
Teachers urge investment in climate-resilient school infrastructure Philippines is facing a shortage of 165,000 classrooms Teachers fill funding and staffing gaps By Mariejo Ramos In the last decade, the government has adjusted the school calendars in order to avoid the typhoons season which begins usually in June. The government changed the school calendar to June to March this year after heatwaves forced the closure of schools in April and May. Teachers' groups are happy with the new calendar, but they also want the government do more than just tweak it. They want to invest in infrastructure to make schools resistant to heat and weather. Natural calamities have still left the Philippines' education system reeling. They damaged school buildings, and increased a shortage of classrooms that Department of Education estimates at 165,000 this school year. The Department has set an ideal classroom size of 40 students in high school and 35 students in primary school. According to news reports, the metro region of Manila averages 48 students per class. According to the United Nations Children's Fund, the classroom crisis worsens the impact of climate changes on Filipino children. At least 96 per cent of them experience multiple climate-related hazards, such as floods, heatwaves, and tropical cyclones. The education department, which has limited funds for repairs and maintenance each year, asks parents and teachers to help clean, organize and repair classrooms one week before school opens. Benjo Basas is a high-school teacher and spokesperson for the Teachers' Dignity Coalition. The group advocates the rights of Filipino teachers. Basas said that the solution to the problem of education is not to ask the community for help, but rather to increase the budgets of schools to cover repairs, operations and infrastructure. This is the responsibility of the government. Greening Philippine Schools According to the United Nations cultural agency UNESCO, it is crucial to green schools that classrooms are climate-proofed and emergency preparedness is improved. The Philippine President Ferdinand Marcos promised long ago to make the schools "climate ready." His plan involves retrofitting and expanding infrastructure to withstand climate catastrophes. The Department of Education defines climate-ready schools as "safe, resilient and learning-friendly school infrastructures that are inclusive, green, and safe." But greening Philippine schools remains daunting. The Philippine Institute for Development Studies, a think tank, conducted a study in 2024 that noted that classrooms are still crowded as the number of students increases and classrooms continue to deteriorate from natural disasters and wear and tear. The study found that electricity access is still a problem for some schools in the Philippines. More than 39,000 of these schools will need to upgrade their electrical connections by 2020 to prevent fires and to improve ventilation. Underfunded classrooms Raymond Basilio is an educator, and the secretary general of Alliance of Concerned Teachers Philippines. He believes that returning to the old school calendar will help prevent learning loss or a decline of academic skills and knowledge due to extreme weather conditions. According to the Second Congressional Commission on Education which is assessing the education sector, despite UNESCO's recommendation that countries allocate 4%-6% of their gross domestic product (GDP) to education, the Philippines never reached this target, spending only 3%. "Since the year 2022, there has been a persistent problem of under-utilisation of the Department of Education’s quick response fund. This fund is meant to be used for repair of classrooms that have been damaged by typhoons or other natural disasters," said Basilio. Instead of overloading teachers, we should build new classrooms, hire more staff, such as school nurses or doctors to reduce classroom congestion. Teachers often fill in the funding gaps as public schools struggle to find funds. Teachers who work in schools clinics or counseling offices are not paid extra. Basilio said that despite having other duties, teachers prioritize their students, and will intervene when there are gaps. This includes providing additional services at schools, despite not being professionally trained to do so. Basas stated that in some schools teachers would spend their own money on electric fans, or collect donations to improve classroom ventilation. Climate-Resilient Schools Basas, like Basilio, believes that addressing climate risk in Philippine schools is a matter of infrastructure. Not all schools have air conditioning. Also, we should ensure that the schools are not in flood zones. "Those are the basics," Basilio said. Basas suggests making changes in advance, rather than reacting to heatwaves or storms when they occur. Are school buildings earthquake and heat resistant? Are we sure that if it rains the campuses won't be submerged by flood? He said that there are still many cases in the Philippines which we have not yet resolved. However, the Department of Education said that it may take over half a century to solve the classroom shortage in this country.
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Brazil's Piaui State plans to use carbon credits for rainforest protection
It was announced on Tuesday that the Brazilian state of Piaui would issue carbon credits as a reward for actions taken to combat deforestation. This will give momentum to other regional initiatives to protect the country's forest. Brazil wants to keep its ambitions in reducing emissions, as it prepares for the next round of climate talks to be held in the Amazonian town of Belem this November. Piaui, unlike traditional forest protection plans proposed by private landowners and involving government and local communities, is focused on public sector efforts. These efforts cover a larger area and are aimed at avoiding simply shifting the location of deforestation. In the states of Tocantins, and Para, similar projects known as jurisdictional are currently being developed. Investe Piaui (the state's mixed-economy company) announced on Tuesday that it had signed a contract with Silvania, an investment firm, to provide 10-20 millions reais (3.69 million dollars) for the development of the program. Silvania, a Brazilian company, will be the credit taker. Systemica will assist with the technical side of the program. Geonoma, a company that provides environmental services, will be leading the development of the programme. The group stated that if Piaui reduces deforestation 10% annually, it can generate over 20 million credits in 2030, which they could sell to countries and companies to help them achieve their own emission targets. In a press release, the Governor of the state Rafael Fonteles stated that "Through Investe Piaui we will protect our forests and create sustainable opportunities for communities." Carbon credits may not always deliver the environmental benefits that they claim, but their importance could increase as governments become more focused on short-term cost and political will to combat climate change ebbs. This is despite scientists' findings linking human activity to record-breaking temperatures, extreme weather, and other extreme events. Last week, the European Union proposed for the first-time an EU climate goal that would allow countries to use credits of carbon from developing nations in order to reach a small portion of their emission goals.
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Copper prices rise amid uncertainty over tariffs and Chilean supply outlook
The London Metal Exchange and Shanghai Futures Exchange saw copper prices rise on Tuesday. However, uncertainty about U.S. Tariffs and increased supply of copper from Chile, which is the world's biggest producer, limited further gains. As of 0703 GMT the three-month copper price on the LME rose 0.3% to $9,860 a metric ton. The most traded copper contract on SHFE also increased 0.14% to 79.620 yuan (11,102.13 dollars) per ton. On Monday, the United States notified 14 countries of new tariffs that will take effect August 1, ranging between 25% and 40%. Donald Trump, the U.S. president, warned that a 10% additional tariff could be imposed if BRICS nations such as Brazil, Russia India and China pursued what he called "anti-American policies" during their Brazil summit. The market is still focused on U.S. tariffs as they haven't been finalized. A higher value of copper exported from Chile may indicate a larger supply, according to a metals analyst in Beijing from a futures firm. Chile exported $4.67 Billion worth of copper to the world in June, an increase of 17.5% compared with the previous period. ANZ reported that "Chilean Copper Mines enjoyed their best export month in three years in June", The U.S. continues to receive copper, despite Washington's investigation into possible new copper import tariffs. COMEX futures are still trading at a premium over the LME benchmark, and COMEX stocks have reached a 7-year high or risen 120% since February. LME nickel fell 0.31% to $15,130 per ton. Tin rose 0.57%, to $33,475, while lead grew by 0.56%, to $2 048, aluminium increased by 0.54%, to $2 587.5, and zinc climbed 0.47%, to $2 697. SHFE aluminium rose 0.12% to 20.525 yuan per ton. Nickel fell 0.67% to 120.370 yuan. Zinc dropped 0.61% at 22,050 Yuan. Lead eased 0.29% at 17,160 Yuan. Tin slipped 0.08% to 265480 Yuan. Click or to see the latest news in metals, and other related stories.
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Iron ore prices rise despite Trump's tariff threats
Iron ore prices rose on Tuesday due to a resilient short-term demand from China, the world's largest consumer. However, caution caused by President Donald Trump’s threat of increased tariffs limited gains. After falling nearly 0.7% Monday, the most traded September iron ore contract at China's Dalian Commodity Exchange ended daytime trading 0.14% higher. As of 0700 GMT, the benchmark August iron ore traded on Singapore Exchange was up 0.44% at $95.65 per ton. According to Mysteel, the near-term demand for iron ore was stable. This is reflected in the relatively high output of hot metal, which hovered around 2,41 million tons on July 3. That's an increase of 0.6% annually. Iron ore demand is usually gauged by the hot metal production levels. Analysts have noted that this has led to a price increase for the main steelmaking ingredient. Mysteel data also showed that portside iron ore inventories fell 0.4% in the previous week to 144.04 millions tons on July 7. The resumption of trade tensions around the world has limited price increases. Trump began Monday telling his trade partners, from major suppliers like Japan and South Korea down to minor ones, that the U.S. will be imposing sharply higher tariffs on August 1. This marks a new phase of the trade war Trump launched earlier this summer. Coking coal and coke, which are used to make steel, also advanced on the DCE. They both rose by 0.84% and 0.14 %, respectively. The benchmarks for steel on the Shanghai Futures Exchange have been moving sideways. Rebar fell 0.13%, while hot-rolled coils were down 0.06%. Wire rod was up 0.18%, and stainless steel gained 0.322%. The (steel market) focus has returned to the seasonally weak fundamentals, after the frenzy over promises of crackdowns on price wars receded," Zhuo Guqiu said. Analyst at Jinrui Futures. The downside is likely to be limited, as supply and demand are not in conflict at the moment. ($1 = 7.1716 Chinese Yuan) (Reporting and editing by Janane Vekatraman, Rashmi aich and Janane Venkatraman)
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Bousso: Saudi Arabia plays short-term and long-term with OPEC+ Production Gamble
OPEC+ will increase its output target by 2,5 million bpd from April to September Saudi Arabia has large spare production, while other countries are producing at capacity Riyadh’s share of the global oil production fell to 11% by 2024, from 13% Ron Bousso LONDON, 7th July - Saudi Arabia’s desire to increase OPEC+ output rapidly may place Riyadh at the forefront of regaining market share while also consolidating its dominance on the long-term. Eight major oil producers, including Saudi Arabia, Russia and the United Arab Emirates as well as Kuwait, Oman, Iraq and Kazakhstan, decided on Saturday to boost their joint production in August by 548,000 barrels a day. This will accelerate the unwinding from a series of cuts that totaled 2,17 million bpd, which began in April. By the end of September, OPEC+'s output will have likely increased by 2.5 million bpd. This is due to the combination of the accelerated schedule with the UAE's agreed increase of 300,000. The new quotas won't actually result in a drastic change to the aggregate output of the group, since most members already produce at or above these levels. Saudi Arabia has been irritated by Kazakhstan's failure to meet OPEC+ targets for several months. Central Asia produced 1,88 million barrels per day (bpd) in June, which was the same as its all-time record in March, and far exceeded its production target for August of 1,53 million bpd. According to estimates, the eight OPEC+ countries produced a total of 32 million bpd compared to a quota set at 31.38 millions bpd. Unwinding production cuts means catching up to the reality of the situation on the ground. Saudi Arabia is the de-facto leader in OPEC+, and also the top oil exporter in the world. By making this move, it will be able to reestablish the discipline within the group, and increase its share of the market. SECURE CAPACITY According to the Energy Institute’s Statistical Review of World Energy, Saudi Arabia's share of the global oil production is expected to decline from 13% in the last three decades to just 11% by 2024. According to Kpler, crude oil exports from the country will account for only 15% in 2024 of the global seaborne exports, down from 18% on average in the last decade. According to the International Monetary Fund, oil and gas revenues will contribute 22.3% to the country's GDP in 2024. Saudi Arabia is fortunate to have a large amount of oil production capacity that has not been tapped. Keshav Lohiya of Oilytics, the founder of a consultancy, said that data from Petro-Logistics showed that the country produced 9.55 million barrels per day in June. The OPEC+ agreement allows for an additional 200,000 bpd in production through August. According to estimates by the International Energy Agency, it also has a buffer of production that is nearly 3 million BPD. It can tap this within 90 days. Saudi Arabia, and only the UAE, is the only OPEC+ member that has the potential to increase its production substantially in the next quarter. Price War The addition of additional production will put downward pressure on crude oil prices. They have already fallen 15% to less than $70 a barrel this year, largely because OPEC unwinded its initial supply cuts and due to concerns about demand resulting from President Donald Trump’s trade war. Saudi Arabia could benefit from falling prices because both OPEC+ members and non-OPEC+ members are likely to cut back on spending when prices fall. This means that Riyadh, with its abundant spare capacity and low costs of production, will be in a better position than its competitors to meet the new demand. Recent price drops have already made a significant impact on U.S. producers of shale oils. Energy Information Administration predicts that U.S. oil production will decline from a record high of 13.5 millions bpd during the second quarter this year, to 13.3 million in the fourth quarter 2026. This is the first decrease since the production surge at the end last decade. Riyadh may decide to accelerate OPEC+ in the months ahead to increase its own production and put more pressure on its competitors. LONG GAME Saudi Arabia is ultimately a long-term gamble. The impact of Riyadh’s move on the rest industry may not be felt for some time. It will take many years for the slowdown in investment to be translated into lower production. According to IEA estimates, the global supply is expected to increase by 1.6 millions bpd, to an average 104.6 million bpd, and 970,000 bpd more next year. This will outpace the anticipated growth in demand during this period. According to the IEA, the majority of supply growth will be driven by non OPEC+ producers, such as the United States and other countries like Brazil, Argentina, Guyana, Canada, and Guyana. These forecasts were the exact reason why Saudi Arabia needed to act to maintain its market dominance on the long-term. Riyadh's gamble could pay off, given the current market dynamics. Oil producers are reluctant to invest heavily in new production because of low prices and the uncertainty surrounding global demand for energy. You like this column? Open Interest (ROI) is your essential source for global commentary on financial markets. ROI provides data-driven, thought-provoking analysis. The markets are changing faster than ever. ROI can help you keep up. Follow ROI on LinkedIn, X.
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Austrian OMV gains $141 million in profits from Borouge and Borealis merger during Q2
The Austrian energy company OMV said that the Borouge-Borealis merge will have a positive impact of 120 million euro ($140.8) on its operating result for the second quarter before special effects. This was part of an update to trading on Tuesday. After almost two years of negotiation, Abu Dhabi National Oil Company and OMV decided in March to combine their polyolefin business to create Borouge Group, a chemicals powerhouse with a $60 Billion enterprise value. OMV said that it also expected to take a 400-million-euro hit on its operating cash flow adjusted from Romania and Norway, compared with the first quarter. The report added that "in the second quarter 2025, it is expected that net working capital effects will be positive and amount to a low triple-digit million-euro amount." OMV reported lower average energy costs in the second quarter. Average natural gas prices dropped by 23% on a quarter-on quarter basis, and average realized crude prices declined by 9% to $66.2 a barrel. $1 = 0.8521 Euros (reporting by Tristan Veyet in Gdansk and Isabel Demetz, edited by Milla Nissi Prussak).
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Sources: Next Rio Tinto boss to cut costs and make big deals.
Rio Tinto's next CEO, who may be named as early as this month by the company, should be open for mergers and acquisitions that are transformative, as well as for cost-cutting and productivity improvements. After announcing in May that Jakob Stausholm was stepping down after four and a half years, the world's largest iron ore mining company is now in the final stages of selecting a new CEO through an internal search and an external search. Two other sources familiarized with the search process said that the finalist for the top position will present their case to the board this week in London. A decision could be made as early as the end of July. The timing of board presentations and Chair Dominic Barton’s preference that the new CEO be open to large deals, as well as his preference for the CEO to have a positive attitude towards them, were not previously reported. According to a report in May, internal candidates include Bold Baatar (chief commercial officer) and Simon Trott (chief executive of the iron ore division). A fifth source said that Chief Technical Officer Mark Davies was also a possible candidate. All sources spoke under condition of anonymity, as the search is confidential. Rio, who is due to announce its half-year results July 30, has declined to comment. Barton Trott Baatar Pecresse Davies have not responded to requests for comments. Barton met with stakeholders after Stausholm announced his departure to discuss this abrupt change of guard. Two people who were privy to Barton's discussions about his priorities for a new CEO revealed that he had floated the idea of a "big ticket M&A", with another mining giant, if enough value could be found. According to a source with knowledge of the matter, Glencore approached Rio about a possible asset combination in 2013. However, talks ended abruptly due to Stausholm's pushback. Analysts have suggested that a tie up with Canada's Teck Resources might be more suitable. A new CEO must walk a thin line between cost discipline, and repositioning a miner to a dramatic shift to copper. Copper is expected to become in high demand because of the energy transition. The two people Barton briefed said that the company has acknowledged the fact that its internal costs are excessive, including staffing. It needs a CEO to better manage these costs. Financial results reveal that from 2020 to 2024 costs at Rio increased by 46.5% faster than BHP and Anglo American. This means a new boss must be disciplined in capital allocation. RBC Capital Markets estimates that Rio will spend $30 to $35 billion over the next decade on capital expenditures, including $8 to $9 billion for lithium projects following Stausholm's May acquisition of two new lithium projects in Chile. Kaan Peker, an analyst at RBC, said: "Jakob had previously stated that they were going to be aggressive on lithium. But I wouldn't surprise if some lithium growth projects get pushed back a little in favour of Copper." Peker believes that any M&A is unlikely to happen in the near future because the new CEO would have to boost the share price of the company to get the best bang for the buck if it decides to use its shares to compete with another major miner. CONSTRAINTS According to a source familiar with the process of CEO search, the company has been discussing an internal hire. Analysts and investors have said that all the top contenders face constraints when it comes to a board that is concerned about operational excellence and cutting costs in particular. They added that it was uncertain whether a hire from within would be able to adequately address cultural issues, such as safety in Guinea or sexual harassment in Australia. Trott was responsible for the final ramp up of the Gudai Darri mine, which led to the second highest iron ore shipment in history by 2023. He also brought in new replacement projects. He also handled sensitive Aboriginal heritage matters after Rio damaged rock-shelters at Juukan Gorge, in 2020. Since Trott assumed the role of Rio in 2021 Rio has continued as the most expensive major Australian iron ore producers, its ore has decreased and it is currently guiding production to be in the lower half its expected range this year because of cyclones. It's been four tough years. "The business showed a turnaround in 2023, but it was a difficult hand because of Juukan Gorge as well as the weather," said Barrenjoey Analyst Glyn Lawcock. Baatar's concern is his relationship with the government, as he previously worked three years at Rio Copper, including the Oyu Tolgoi mine, in his native Mongolia. Stausholm announced in 2022 a reset for Mongolia, including a $2.4 billion debt waiver. Rio announced last month that it was forced to alter its mine plan because the government had delayed the transfer of the mining licence. Pecresse, a candidate who has led the Aluminium division to a 61% rise in EBITDA in 2024, is favored by some members of the board, according o ne source familiar with the process. He was a former leader of GE's renewable energies division. His departure from GE saw a significant expansion in the global presence of this unit, which had struggled to be profitable. Davies has been responsible for driving productivity improvements which could help cost-cutting initiatives. He led the smaller titanium and iron and marine arms of the company, but not its major operational divisions like other candidates. Analysts said that there is only a small chance of Rio hiring an outsider. Reports have previously mentioned that Newmont CEO Tom Palmer, and former Oz Minerals Chief Andrew Cole, are potential candidates. Investors have said that Sandfire Resources' CEO Brendan Harris could also be a candidate. Harris didn't respond to a comment request.
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Dollar gains on US tariffs; shares steady and oil drops
The Asian stock markets took the latest twist of President Donald Trump’s tariff announcement on Tuesday in stride, while the dollar remained strong and oil fell. Wall Street shares fell after Trump sent a letter to 14 countries including Japan and South Korea revealing sharply increased tariffs on imported goods into the United States. He also delayed their implementation until August 1. Japan's Nikkei opened lower, but then turned positive when Trump said that the deadline was "firm but not 100% solid" and that tariffs could be adjusted for certain countries. The Aussie Dollar surged when the Reserve Bank of Australia held policy rates at their current level, as expected. Tapas Strickland is the head of market economy at National Australia Bank. He said that there was a muted reaction from the market to Trump's tariff announcements, as a result of Trump's swift reversal of his "Liberation Day", duties originally set out on 2 April. Strickland told a NAB podcast that "there's going be a lot volatility" as headlines begin to appear, more letters are released, and the negotiation process really comes to the forefront before the August 1 deadline. Trump set a 10% cap on all so-called reciprocal trade tariffs until the 9th of July to allow time for negotiations. Two agreements have been made, with Britain, and Vietnam. Washington and Beijing reached an agreement in June on a framework for tariff rates. This restored a fragile truce to their trade war. Tariffs for Japan and South Korea will now increase to 25% by August 1. The Japanese prime minister Shigeru Shiba described the increase as deeply regrettable, and stated that his country would continue to negotiate with the U.S. Thailand’s finance ministry Pichai Chunhavajira revealed his country was preparing a backup plan to deal the 36% tariff on its exports. EU sources informed on Monday that the European Union would not receive a letter outlining higher tariffs. After a "good conversation" between Trump and European Commission President Ursula von der Leyen, a spokesperson for the commission said that the EU is still hoping to reach a deal on trade by Wednesday. The broadest MSCI index of Asia-Pacific stocks outside Japan increased by 0.3%. Japan's Nikkei index rose 0.4% while South Korea's KOSPI increased 1.5%. After reaching a new two-week high, the dollar gained 0.1% at 145.88yen. The euro increased by 0.3% to $1.1744. The Australian dollar increased by 0.8% to $0.6541. The RBA kept its cash rate at 3.85%. This was a surprise to markets who had confidently priced a reduction. They said that the majority of board members wanted to wait until more information could be confirmed to confirm the inflation slowdown. U.S. crude oil fell 0.5% to $66.71 a barrel, after surging almost 2% on Sunday. Spot gold fell 0.2%. Euro Stoxx futures in the pan-region were down by 0.2%. German DAX was also down by 0.2%. FTSE futures fell 0.4%. (Reporting and editing by Jacqueline Wong, Sonali Paul and Rocky Swift)
Dozens of people missing following floods along Nepal-China border
Officials said that over two dozen people were missing on Tuesday after heavy rains in Tibet, China triggered an avalanche in the Bhote Koshi River. The river flows through Nepal and China and washed away the "Friendship Bridge" which connects the two countries.
At least 18 people have been reported missing in Nepal, while China's Xinhua News Agency said that 11 people had gone missing on the Chinese border.
The National Disaster Risk Reduction and Management Authority, (NDRRMA), said on X that six Chinese workers and three officers were missing in Nepal. Eight electric cars and a small power plant were also damaged by the flood.
Arjun Paudel is a senior official in the Rasuwa district. He said that the Chinese nationals who went missing were employed at the Inland Container Depot. It was being built with Chinese assistance, about 80 km north of Kathmandu.
He said: "The river washed away some containers containing goods imported from China...There has been a large loss (of property), and we are gathering details." Raja Ram Basnet, a spokesperson for the Nepal Army, said that 11 people had been rescued and that search and rescue efforts were still ongoing. China has increased its investment in Nepal over the past few years, including in areas such as roads, hospitals, and power plants. Over the past few days, China has suffered from heavy rains and flash floods, which have caused a trail destruction. A tropical storm is expected to hit this week.
The National Disaster Management Authority in Pakistan (NDMA) announced on Tuesday that at least 79 Pakistanis, including 38 kids, had died as a result of floods, rain-related incidents such as landslides, and collapsed houses, since 26 June.
Authorities have issued new alerts regarding flash flooding and glacial outbursts, citing "a significant increase in temperatures and...an upcoming weather system."
NDMA spokesperson Sophia Siddiqui said that Gilgit-Baltistan’s northern Chilas District recorded the highest temperatures in Pakistan at 48.5 degrees Celsius on Saturday. This beats its previous record of 47.7 deg Celsius (118degF), reported in July 1997.
(source: Reuters)