PRESS RELEASE
12 January 2015

The Tanauan City Public Market Redevelopment Project becomes the first LGU PPP project approved by the Investment Coordination Committee – Cabinet Committee (ICC-CC) under the current PPP Program.

Initiated by the City Government through capacity building support by the PPP Center, the project will involve a commercial mall building as well as separate wet and dry public market facilities. It is intended to provide a more viable and consumer-friendly public center for commerce especially since the existing market has served as a major fruit and vegetable trading center in the region. With an estimated project cost of PhP400 Million, the project will be a twenty-five (25) year concession including one (1) year construction period.

The redeveloped public market will generate employment for the local communities in the city and nearby municipalities as well as improve storage and market facilities for local business. It is also expected to reduce traffic in this part of Batangas by significantly improving the turnaround time for transporting goods and wares to and from the public market.

The Tanauan City government plans to commence PPP bidding of the project within the month and expects to award the same to the best private partner in March 2015.

“This is the first LGU-PPP project approved by the ICC and we look forward to more local PPP initiatives facilitated by the Center’s PPP capacity building strategy for local governments”, says PPP Center Executive Director Cosette V. Canilao.

The current pipeline of projects of the PPP Program has several LGU initiated projects. In 2013, the PPP Center also launched an LGU PPP strategy following its capacity building program that included the development and dissemination of an LGU PPP Manual.

Under the BOT Law and its IRR, LGUs can implement PPPs for local infrastructure and development projects. Based on cost, some locally initiated projects can be approved at the local development council levels and need not go up to the ICC. In the previous administrations, several LGUs awarded contracts to private partners for local development projects using the BOT and its variants.