ICTSI transforming Iloilo port
Former Senate President and Iloilo representative Franklin Drilon has welcomed the pronouncement of the enrique Razon-led International Container Terminal Services Inc. that it has secured a 25-year contract to develop and operate the Iloilo Commercial Port Complex or ICPC.
Drilon said the acquisition of a port operation in Iloilo by the ICTSI will reinvigorate the economy and establish Iloilo as an international gateway.
The leading port developer is reportedly pouring in about P1.1 billion in investment in the next two years with the expectation of cargo volume increase.
“With the substantial investment that ICTSI is poised to inject, we are now on the path to realizing our shared aspiration of restoring Iloilo to its former stature as an international gateway, as it was at the turn of the 20th century when Iloilo was dubbed as the Queen City of the South,” Drilon stressed.
“I am glad that ICTSI has finally been awarded the 25-year concession as the port operator. Ricky Razon and ICTSI deserve special recognition for their significant investment and unwavering confidence in Iloilo. ICTSI is a true partner in moving Iloilo forward,” he added.
Drilon said the condition of the port has been a significant impediment to progress, and this partnership with ICTSI could be a game-changer.
“The condition of our ports has been a stumbling block for our development. Iloilo had endured neglect during the past administration, resulting in a lack of capacity and inefficient operations that deterred shipping companies from using Iloilo as a port of call,” Drilon said.
“ICTSI has the experience, financial capability, and resources to operate the port efficiently, which will result in job creation and a better investment environment. An efficient port operation is the critical missing piece to spur Iloilo’s growth,” he said.
With its impressive track record, ICTSI is well-positioned to efficiently manage the ports and address the longstanding congestion issues plaguing our ports, which have deterred potential investors.
ICTSI will invest in terminal infrastructure development and cargo-handling equipment deployment to improve productivity and service quality structure and the deployment of cargo-handling equipment.
ICPC serves the province and the entire Panay Island in Western Visayas.
The port has 627 meters of operational quay length and 20 hectares for container and general cargo storage, warehousing, and other cargohandling activities.
Based on the Philippine Ports Authority’s bid invitation, the concession agreement for the port’s development requires a minimum fixed fee of P500 million for the sixth to 10th year and a minimum annual concession fee of P100 million for the sixth year.
It also indicated that the project should include an internationally recognized terminal operating system, upkeep of PPA-owned equipment, and continued maintenance of the infrastructure.