China LNG trucks on the upswing; gov’t curbs diesel in war on smog

Sales of large liquefied natural gas (LNG), trucks are expected to hit record levels in China this year as the government steps up an anti-pollution campaign that includes curbs on heavy-duty diesel vehicles. LNG trucks account for about four percent of the more than six million heavy vehicles able to haul 40 to 49 tons of goods that are currently on China’s roads.

THE GOVERNMENT is looking to place six to eight infrastructure proposals in the second basket of China-funded projects, with the Agus-Pulangi hydropower complex rehabilitation at the top of the list, the Department of Finance said.

Following the Philippine delegation’s visit to Beijing last month, Finance Secretary Carlos G. Dominguez III said the government has identified the projects it intends to propose for China financing via official development assistance (ODA), even as both sides moved to expedite the implementation of the first batch of projects.

“We discussed the basket of the next projects, which is a basket of about six or eight projects. Among them which is quite important to us is the rehabilitation of the Agus River Hydroelectric system,” Mr. Dominguez told reporters last week.

“It looks like it’s only operating at 60% capacity. And now that we have excess capacity in Mindanao, now is the time to fix that up so that you know at the time when they have to shut down for maintenance we will have the extra capacity there,” Mr. Dominguez added. He also serves as chairman of the staterun Power Assets Liabilities and Management Corporation (PSALM).

However he said that the government have not yet arrived at a cost estimate for the rehabilitation.

In June, he said that the rehabilitation may cost some P34 billion.

“We’ll have to do the feasibility study. It’s quite a complex project,” Mr. Dominguez said.

Mr. Dominguez declined to identify the other projects going up for China funding.

“What we discussed are the potential projects. It’s still in the discussion stage, you know we are moving forward,” he said.

He noted that the government may be able to line up the second basket of projects before top Philippine and Chinese officials ceremonially sign the agreements for the first batch of projects on the sidelines of the Association of Southeast Asian Nations (ASEAN) Summit here in November.

The first basket include the P2.7-billion Chico River Pump Irrigation Project, the P10.86-billion New Centennial Water Source-Kaliwa Dam Project, and the P151.3-billion North- South Railway Project South Commuter Line.

On top of that, the Philippines will also build two bridges crossing Pasig river, the P4.607- billion Binondo- Intramuros and P1.376billion Estrella- Pantaleon bridge, financed by grants from China. —