Manila Times, 28 December 2012

Public Private Partnership (PPP) Program proponents are now inviting interested investors to two recently rolled out PPP projects.

According to Philippine PPP Center, the Department of Transportation and Communications and the Mactan Cebu International Airport (MCIA) Authority are now inviting interested investors to bid for the construction of the passenger terminal of Cebu airport under the country’s PPP scheme.

The $504.80-million MCIA project will include the construction of a new passenger terminal and apron, operation and maintenance of both new and existing passenger terminals, renovation of the existing terminal, installation of all equipment, including information technology required under international guidelines and the International Civil Aviation Organization Standards.

Structured as a Build-Operate-Transfer project, the winning bidder will have the concession to operate and maintain the two passenger terminals and other landside facilities for a period of 20 years.

On the other hand, the Mactan Cebu International airport authority will operate and maintain critical airside facilities of the airport including the runway, taxiway, apron, communication navigation and surveillance facilities, the air traffic control tower, among others.

Meanwhile, the Civil Aviation Authority of the Philippines (CAAP) will continue to provide its airways navigation services at the airport.

The MCIA is the second largest major international airport in the Philippines, providing its services to 14 percent of the country’s overall passenger traffic or some 5.7 million passengers annually.

The airport currently serves as a gateway to tourism destinations around the Visayas and the project is expected to further increase the tourists that flock to Cebu and nearby regions.

Classroom project
On the other hand, the PPP Center noted that the Department of Education (DepEd) also rolled out the PPP School Infrastructure Project Phase (PSIP 2), with the issuance of the project’s Invitation to Prequalify to Bid.

The PSIP 2 involves the design and construction of 10,679 classrooms, including furniture and toilets, in 5,033 public schools in 14 regions nationwide. This project will further supplement government efforts to address classroom backlogs in the country.

The PPP Center added that regional contract packages for PSIP 2 shall be bid out separately covering all 14 regions. The bidding process is a two-stage system where prospective bidders will be prequalified based on legal, technical and financial capability requirements. Only those that have prequalified shall be invited to submit their bids.

It further said that PSIP 2 will be implemented through a turnkey arrangement with the private sector using the Build-Transfer modality in accordance with Republic Act 7718, or the Revised Build-Operate-Transfer Law.

This means that DepEd will issue a one-time payment to the winning bidder after the classrooms have been built, the PPP Center added.

With the faster public service delivery, PSIP 2 will immediately benefit some 480,555 students through better school facilities conducive for learning. Prospective bidders for PSIP 2 must submit their applications for prequalification to DepEd’s Prequalification, Bids and Awards Committee not later than 10 a.m. on February 12, 2013.

“Our experience with the PSIP Phase I project assures us that social infrastructure projects can indeed thrive under a PPP arrangement. The private sector is now more confident in partnering with the government to achieve our developmental goals,” PPP Center Executive Director Cosette Canilao stated.