Source: Manila Standard Today
As a flagship program of the Aquino administration, the “Public-Private Partnership” projects remain on top of the agenda for the year 2012, a senior official said.
“The PPP will be one of the priority projects of President Aquino for next year because the Chief Executive sees it as an economic driver in national governance,” said Budget Undersecretary Mario Relampagos.
The DBS group, a Singaporean holding company, expects the construction of public-private partnership infrastructure projects next year.
According to the DBS group, “the growth momentum for domestic output would also depend on the recovery of overseas demand for Philippine exports.”
The group also disclosed that more foreign direct investments are expected until the end of 2011 because “the second-quarter inflow of P40.6 billion was three times the figure reported in the same period of last year.”
These indications reflect the government’s intensified efforts in attracting foreign funds and investment commitments.
Officials of the Finance Department pronounced that bidding for contracts on a new tollway system and other five major projects are due this year.
“The government is bent on fulfilling its part on strategic infrastructure projects. We are committed in following the policy of President Aquino that is ‘Kung walang corrupt, walang mahirap,’’ added Relampagos.
For the improvement of roads, agriculture, and other important projects, the DBM is set to release P14 billion next year. “For hospital and school building facilities, another P8 billion was allocated,” he added.
The administration has revealed the 10 projects intended for the PPP program, eight of which are under the Transportation and Communications Department while the other two are with the Public Works Department.
The projects to be handled by the Transportation Department, under the PPP program, includes the privatization of the operation and maintenance of the Light Rail Transit Line 1 and of the Metro Rail Transit Line 3, LRT 1 South Extension and privatization through concession, LRT Line 2 East Extension Project, the New Bohol Airport Development, Puerto Princesa Airport Development, New Legaspi Airport Development, and the Privatization of Laguindingan Airport Operation and Maintenance.
The government has earmarked around $1.3 billion, while the private sector has to contribute at least $1 billion for the realization of the eight projects.
For the Public Works Department, the 27.5-kilometer Cavite side section of the Cavite-Laguna Expressway will be allocated with a $262-million budget while the second phase of the Ninoy Aquino International Airport Expressway will have a $253.33 million worth of investments.
The PPP program refers to the collaboration of private investors with government agencies and institutions in building infrastructure—roads, hospitals, and airports—with private entities participate in completion of the project for a given period.
