Department of Transportation (DOTr) Secretary Jaime J. Bautista is courting Japanese companies to join the bidding for the agency’s various public-private partnership (PPP) projects in the railway and aviation sector.
During the Philippine Investment Opportunities forum in Tokyo, Secretary Bautista promoted three projects, two under railways and one under airports, that are up for bidding under the PPP scheme.
“Following through our President’s directive, the DOTr has cast the vision of transforming the Philippines’ transport industry and elevating it to global standards, characterized by comfortable, accessible, safe and affordable transport services throughout the country,” Secretary Bautista said.
The Philippines’ transport chief said private firms are invited to bid for the operations and maintenance contracts of two rail projects, the Metro Manila Subway Project and the North-South Commuter Railway.
The department is also seeking private firms interested to bid for the contract to rehabilitate, operate and expand the Ninoy Aquino International Airport, as well as connect it to the subway project, he added.
Metro Manila Subway Project (MMSP)
Worth P76.89 billion (or 192.23 billion Japanese yen), the PPP project for the 36-km MMSP includes operations and maintenance for subway trains, stations, depot and other systems infrastructure, as well as a concession period of 15 years of full operations.
Also included are maintenance of facilities and equipment under the Philippine Railway Institute, collection of passenger fares, and commercial development rights within prescribed station boundaries, among others.
Bidding is programmed to commence within the fourth quarter of 2023 to the first quarter of 2024.
North-South Commuter Railway (NSCR)
The PPP project for the 147-km NSCR system, worth P204.6 billion (or 511.5 billion Japanese yen), also includes operations and maintenance of trains, stations, depot and other systems and infrastructure, and a concession period of 15 years of full operations in addition to partial operations period.
The project also includes interoperations management within the rail system by trains from other lines such as the subway project, collection of passenger fares, and exercise of commercial development rights within prescribed station boundaries, among others.
Along with the subway project, bidding for the operations and maintenance contract of the NSCR Project will commence within the fourth quarter of 2023 to the first quarter of 2024.
Ninoy Aquino International Airport (NAIA)
The DOTr is also seeking private firms interested in the NAIA PPP project worth P170.6 billion (or 426.5 billion Japanese yen), which aims to address the “longstanding challenges” plaguing the airport, which serves as the country’s “primary international gateway.”
The project, which was designed to increase the airport capacity to at least 62 million passengers yearly, includes rehabilitation of airport terminals and improved operations and maintenance of the airport’s airside and landside facilities.
“The Concessionaire’s aeronautical revenues will consist of passenger service charges, landing and takeoff fees, aircraft parking, tacking, and cargo, and others. The Concessionaire will be allowed to conduct airport-related commercial activities within the project land,” Secretary Bautista said.
Bidding for the NAIA PPP project has already commenced last August 23 following the publication of instructions to bidders.
“DOTr will bridge the gap towards our vision for the Philippines’ transportation sector by developing infrastructure and delivering transport services across our four operating sectors in airports and aviation, maritime, railways and roads,” the Philippines’ transport chief assured.
