Gov’t eyes $2-b loan for lakeshore road

THE Department of Public Works and Highways is seeking a $2-billion loan from the Asian Development Bank to build the first phase of the Laguna Lakeshore Road Network project.

It said the construction of LLRN Project Phase 1 would connect the southern province of Laguna to Metro Manila via Laguna Lake along the western coastline and would provide a safer, faster alternative and reliable transportation link.

The project involves the construction of a 21.5-kilometer viaduct and 15.9-kilometer embankment along the west shoreline of Laguna Lake from Barangay Lower Bicutan in Taguig to Calamba City in Laguna.

It will also cover the construction of eight interchanges proposed to connect municipal boundaries to the nearest public road along Lower Bicutan, Sucat, Alabang, Tunasan, San Pedro/Biñan, Santa Rosa, Cabuyao and Calamba for a total project cost of P175.3 billion.

The DPWH said the LLRN 1 project would improve connectivity between Metro Manila and Laguna, thereby reducing transport time and costs and improving access to markets and wider employment talent pools and attracting tourists to the area.

Japan International Cooperation Agency estimated the economic losses due to traffic congestion in Metro Manila at P3.5 billion per day in 2017 and P2.5 billion in surrounding provinces including Laguna.

These losses would rise to P5.4 billion a day in the National Capital Region and P5.9 billion a day in surrounding areas by 2035 if no action would be taken.

Meanwhile, the feasibility study for LLRN Phase 2 in the northern to southern coastline via an eastern route is almost complete, and the detailed engineering design would be included in the civil works loan for LLRN Phase 1.

The DPWH submitted the proposed LLRN Project to the National Economic and Development Authority for project approval and endorsement to the Department of Finance for loan application.

“With 85.1 percent of the detailed engineering design for LLRN already complete, DPWH has started negotiations to gather support from possible financing institutions crucial in the realization of this flagship infrastructure project,” DPWH Secretary Manuel Bonoan said.

The ADB is one of the biggest providers of official development assistance to the Philippines. In 2022, its approved its biggest project financing loan for Asia and the Pacific through the South Commuter Railway Project.