MEGAWIDE CONSTRUCTION Corp. has allocated about P1.61 billion this year to finance the public-private partnership (PPP) contract it won to build, transfer, and operate an integrated transport terminal hub in southern Metro Manila, which is set to be signed this week, its executives said last Friday.
“For ITS-Southwest, the funding is ready. Since we partnered with Walter Mart, the share will be 51% Megawide, then 49% with Walter Mart (WM),” Megawide Chief Executive Officer Michael C. Cosiquien said on the sidelines of an inaugural ceremony in Bulacan on Friday, when asked about his company’s financing plan for the P3.15-billion transport terminal PPP deal.
MWM Terminals, the consortium of Megawide and WM Properties, Inc., was awarded the 35-year concession agreement in January, after offering the lowest annual grantor payment of P100 million which the government will pay for the services of the winning bidder.
The only other bidder, Filinvest Land, Inc. offered P650 million.
“The project cost isn’t that big compared to other PPP projects wherein we need to borrow money. ITS Southwest is only P3.15 billion, so we are ready to finance the project,” Mr. Cosiquien explained.
He added that his consortium targets to sign this week the concession agreement for the PPP deal. “It looks like we are ready to sign next week; we’re just finalizing some minor details with DoTC (Department of Transportation and Communications),” he had said last Friday.
Signing for the deal to build, transfer to the government, and operate an integrated transport hub in southern Metro Manila was originally set for Feb. 25. But due to clarifications regarding the process of property titling for the 4.59-hectare project site in Parañaque City, the signing was held back.
“The 4.59-hectare property involves two titles: both aren’t secured yet,” Manuel Louie B. Ferrer, Megawide’s corporate information officer, told reporters early this month. He added that the DoTC negotiated with MWM Terminals’ legal team in March, “giving us comfort to get a permit to start the construction right after the signing.”
Both lands, Transportation Spokesperson Michael Arthur C. Sagcal said in a text message on early this month, belong “to PRA (Philippine Reclamation Authority).”
The Transportation department plans to bid out deals for Metro Manila’s two other integrated transport terminals.
The ITS-Southwest project that will be built on a 4.59-hectare area will connect passengers coming from Cavite to transport services that serve Metro Manila.
The project will include a passenger terminal building, arrival, and departure bays, public information systems, ticketing and baggage handling facilities and park-ride facilities.
The winning bidder will operate and maintain the facility for 35 years.
The terminal is expected to start operations in April 2017.
Mr. Cosiquien said last Friday that MWM Terminals is “still on schedule” in terms of the construction of the project.
The ITS-Southwest project is the fifth PPP deal won by Megawide. It also won the P34.44-billion contract for the Mactan-Cebu International Airport Passenger Terminal Building; P5.62-billion Modernization of Philippine Orthopedic Center; P16.28-billion first phase of the PPP for School Infrastructure Project; among others.
*courtesy of bworldonline.com By Chrisee Jalyssa V. Dela Paz, 2015
MANILA, Philippines – The Department of Transportation and Communications (DOTC) and MWM Terminals, led by Megawide Construction Corp., signed yesterday the concession agreement for the proposed P3.27-billion transportation hub in Parañaque City.
Transportation Secretary Joseph Emilio Abaya said the signing of the concession agreement would pave the way for the start of the construction of the Integrated Transport System – Southwest Terminal in Parañaque City.
This is the first Public Private Partnership (PPP) project awarded by the government this year. MWM Terminals is a partnership between Megawide and WM Property Management Inc.
DOTC spokesperson Michael Arthur Sagcal said MWM Terminals has to start construction eight months from the signing of the agreement and should be completed within a period of 18 months or until June 2017.
MWM Terminals representative Louie Ferrer said the terminal would accommodate provincial and metro buses as well as other public utility vehicles.
Ferrer said the mixed-use development would also feature a mall and office spaces for the convenience of passengers.
“We are proud to once again partner with DOTC on such a landmark project. With the Southwest Terminal, we are able to facilitate the faster and more efficient flow of traffic carrying people and goods to and from Metro Manila. It will benefit thousands of commuters daily. Our infrastructure is finally catching up to our growing economy,” Ferrer said.
According to Ferrer, the company visited a number of intermodal transport systems in foreign countries including Melbourne, Australia. “We were inspired by the advancements they have made in terms of facility and operation. We are hopeful that we can apply the same forward-thinking processes in our country,” he said.
The proposed terminal in Paranaque City would connect passengers coming from Cavite to other urban transport systems such as the future Light Rail Transit Line 1 (LRT) South Extension to Bacoor in Cavite, city bus, taxi, and other public utility vehicles plying Metro Manila.
*courtesy of By Lawrence Agcaoili (The Philippine Star) | Updated April 25, 2015