Gov’t bares big-ticket projects co-led by China
THE GOVERNMENT’S economic planners over the weekend bared a lineup of bigticket infrastructure projects with China as partner, amid a four-day visit by a top Chinese delegation led by Vice-Premier Wang Yang that arrived here last Thursday, March 16.
China also eyes pouring funds on the Philippines’ agriculture, aquaculture, and fisheries sectors, the Department of Finance (DoF) said in a statement.
The DoF said China is eyeing Davao as well as Palawan and other areas as investment sites.
“The Chinese side will encourage well-known agricultural companies in China to invest in and cooperate with the Philippines and possibly explore setting-up of demonstration areas to showcase advanced practices in agriculture, including investments in aquaculture,” the DoF said in a statement over the weekend.
China also said it would provide housing support for informal settlers, on top of its cooperation in the construction of bridges across the Pasig River.
STUDIES
On the occasion of the said visit, Socioeconomic Planning Secretary Ernesto M. Pernia and China Commerce Vice-Minister Fu Ziying had also signed the Six-Year Development Program (SYDP) which aims to “steer and promote the stable and orderly development of economic cooperation between the two countries.”
Regarding two feasibility studies that the two countries had agreed on — the proposed Davao Expressway and the PanayGuimaras-Negros Island Bridges Project — the DoF said in its statement: “The exchange of letters will enable the dispatch of Chinese experts to conduct preliminary studies on the two projects. The grant assistance is aligned to the Memorandum of Understanding on supporting the conduct of feasibility studies of major projects signed between the Department of Finance and China’s Ministry of Commerce in October 2016.”
The elevated expressway is envisioned to start at an area near the airport going across the city proper up to the port area in Sta. Ana, while the second phase of the project will be from Pandacan, where the presidential guesthouse is located.
“This is a proposed project, which is still for feasibility study. I believe that many Chinese consulting firms are interested to do the feasibility study for this,” DPWH-11 Director Allan S. Borromeo said.
Both countries also firmed up its previous deals on two of three priority infrastructure projects, the $53.6-million Chico River Pump Irrigation Project and the $374.03-million New Centennial Water Source-Kaliwa Dam Project.
The $3.01-million North-South Railway Project (NSRP) South Line — the third in the priority list — will start construction this year, Finance Secretary Carlos G. Dominguez III had said earlier.
This was the third discussion on the infrastructure projects, following Chinese Commerce Minister Zhong Shan’s visit to Manila in early March and the country’s economic managers’ Beijing visit last January.
Prior to the visit, China had committed to purchasing $2 billion worth of local goods, and has thus far donated $1 million for calamity victims of the 6.7 magnitude earthquake in Surigao last month.
Mr. Dominguez said China’s assistance in the country’s infrastructure projects reflects “steadfast commitment to enhance cooperation between our two countries.”
BIG-TICKET PROJECTS
In Davao City, regional and city officials gave Mr. Wang a glimpse of planned bigticket infrastructure projects in the city and the proposed Mindanao Railway, with an eye towards attracting funding from China’s government and private investors.
With a stage set at the rather dilapidated Sta. Ana Wharf Saturday morning, the Davao (Region 11) offices of the Department of Public Works and Highways (DPWH) and the National Economic and Development Authority (NEDA) as well as the Davao City local government presented the P24.5-billion Davao City Coastal Road project, an expressway with a link between the airport and the wharf, and the P39billion MegaHarbour mixed-use complex that will cover the presentation site.
NEDA Regional Director Maria Lourdes D. Lim presented the P128billion Mindanao Railway Project that would loop around the southern island, connecting the major cities of Davao, Zamobanga, Butuan, Surigao, Cagayan de Oro, Iligan and General Santos.
A feasibility study on the planned 2,000-kilometer railway, as commissioned by NEDA, is currently being finalized and will first be presented to the Department of Transportation.
Ms. Lim said the project is expected to be submitted for review and approval by the NEDA Investment Coordination Committee within the third quarter this year.
The government is looking at funding partnerships with China for this, either through official development assistance (ODA) or the public-private partnership (PPP) scheme.
The planned first segment covering the Tagum-Davao-Digos line has an indicative cost of at least P31 billion.
“Mindanao is the second largest island in the country. This project is anchored on the Mindanao Special Strategy Framework. The project involves the construction of a modern railway, terminals in strategic areas, and trading posts,” Ms. Lim said.
Mr. Borromeo for his part said preparations are already underway for the 18-kilometer Coastal Road, with an initial P1.9 billion set to be released this year. This will traverse the southern edge of the city from the west towards the central area at the Sta. Ana Wharf.
Davao City Planning and Development Office engineer Jose Froilan T. Rigor, meanwhile, presented the 200-hectare Davao Coastline and Port Development Project, a joint venture of Mega Harbour Port Development, Inc. with the city government.
The project has a reclamation component, which state-owned China Communications Construction Co. (CCCC) has expressed interest in.