18 PPP projects worth P602B for rollout before June 2015

MANILA, Philippines – The Aquino administration is set to roll out 18 major infrastructure projects worth P602.2 billion ($13.83 billion*) under the public-private partnership (PPP) scheme before June next year.

The 18 projects to be rolled out are part of the inventory of 47 PPP projects in the pipeline, PPP Center executive director Cosette Canilao said during the quarterly roundtable of The Wallace Business Forum.

“This is the product of about two years of streamlining processes, of establishing interaction between various government agencies, including capacities not only in the public sector, but increasing the appreciation of the private sector of PPP projects,” Canilao said.

Two of the biggest projects to be rolled out are the North-South commuter rail worth P265.3 billion ($6.09 billion) and the proposed subway system Mass Transit loop worth P132 billion ($3.03 billion). They will be rolled out in November and December, respectively.

To be launched in September are airport operation and maintenance PPP projects, including:

• Davao Airport, P39.7 billion ($911.06 million)
• Iloilo Airport, P29.7 billion ($681.57 million)
• Bacolod Airport, P19.8 billion ($454.38 million)
• Laguindingan Airport, P14.3 billion ($326.16 million)
• Puerto Princesa Airport, P5.01 billion ($$115.02 million)
• new Bohol (Panglao) Airport, P2.28 billion ($52.35 million)

Other projects to be launched include the Regional Prison Facilities worth P39.4 billion ($904.77 million), the Motor Vehicle Inspection System worth P18.9 billion ($434.02 million), and the Tanauan City public market worth P381.2 million ($8.75 million).

Meanwhile, the government has yet to determine the cost of several projects such as the San Fernando Airport, the Batangas-Manila natural gas pipeline, the Manila Bay-Pasig Ferry-Laguna lake ferry, and the proposed extension of the Light Rail Transit line 1 (LRT 1) all the way to Dasmariñas in Cavite instead of only Bacoor City under the P65-billion ($1.49 billion) LRT 1 Cavite extension project.

PPPs in full swing

After a slow start in 2010, Canilao said the PPP program is now in full swing after the award of 7 projects worth close to P62.6 billion ($1.44 billion). These projects are:

• Daang Hari-South Luzon Expressway Link – P2 billion ($45.91 million)
• PPP for School Infrastructure Project (PSIP) Phase 1 – P8.86 billion ($203.29 million)
• PSIP Phase 2 – P16.28 billion ($373.79 million)
• Philippine Orthopedic Center modernization – P5.98 billion ($137.29 million)
• Ninoy Aquino International Airport Expressway – P15.52 billion ($356.28 million)
• Automated Fare Collection System (AFCS) – P1.72 billion ($39.48 million)
• Mactan-Cebu International Airport Expansion – P17.5 billion ($401.66 million)

“This is also a product of further refining the legal and regulatory framework,” Canilao explained.

She pointed out that the government is also set to award the concession contracts for the LRT1 Cavite extension project as well as the P35.4-billion (4812.47 million) Cavite-Laguna expressway project under the Department of Public Works and Highways (DPWH).

The award of both projects are subject of cases filed at the Supreme Court and the Office of the President.

There are also 4 projects under procurement: the biggest PPP project to date, the P123-billion ($2.82 billion) Laguna Lakeshore Expressway Project; the P4 billion ($91.8 million) Integrated Transport System (ITS) – South terminal; the P2.5 billion ITS-Southwest terminal ($57.38 million), and the Bulacan Bulk Water supply project.

Department of Transportation and Communications (DOTC) Secretary Joseph Emilio Abaya said it is high priority to ensure that the government conduct a fair and open competition for the projects, and abide by the Aquino administration’s code of good governance.

“It was very clear from the President’s State of the Nation Address that we have been making great strides in generating investments and building infrastructure to benefit the country. Now that we’ve entered the last third of the President’s term, it’s timely that we assess what can be realistically done over the next two years,” Abaya said.

Abaya said the biggest project to be undertaken by the DOTC is the construction of the new Ninoy Aquino International Airport (NAIA) worth P436 billion ($10.01 billion) in Sangley Point as proposed by the Japan International Cooperation Agency (JICA).

Other projects include the P3.8-billion ($87.23 million) Metro Rail Transit line 3 (MRT 3) capacity expansion project, involving the acquisition of 48 brand new trains; the P25.6 billion ($587.63 million) Metro Manila Skyway stage 3 project of diversified conglomerate San Miguel Corporation; and the proposed P18-billion ($413.18 million) connector road of infrastructure conglomerate Metro Pacific Investments Corporation.

The Aquino administration intends to wipe out the backlog in transportation infrastructure in the Philippines over the next 5 to 10 years. – Rappler.com

 

 

 

 

*($1 = P43.57)