PPP Center, 17 October 2013
The two winning bidders for the Department of Educations’ (DepED) PPP for School Infrastructure Project Phase II, Megawide Construction Corporation and the consortium of BSP and Company Inc. and Vicente Lao Construction signed today contract agreements to design, finance and construct some 4,370 one–storey and two storey classrooms. Package A which was awarded to Megawide covers the construction of 2,440 classrooms in Regions I, II, III and CAR. Package E which was awarded to BSP and Company Inc. and Vicente Lao Construction covers Regions X and CARAGA for a total of 1,930 classrooms.
Meanwhile contract packages B, C, and D which call for the construction of school buildings in MIMAROPA and Bicol; Western, Central and Eastern Visayas; Zamboanga Peninsula, Davao and SOCCSKSARGEN regions will be undertaken through regular procurement process under RA 9184 or the Government Procurement Reform Act.
During the contract signing, DepED Secretary Bro. Armin Luistro emphasized that the classrooms to be built should help schoolchildren flourish and learn. Given the destruction in Bohol and Cebu wrought by the recent 7.2 magnitude earthquake, the DepED Secretary underscored the need to make these classrooms strong and delivered on time. He further added the DepED will constantly check up on the progress of the both construction companies, specifically pinpointing December 31, 2013 and May 31, 2014 as important milestones for the project.
Both Megawide Construction Corporation and BSP and Company Inc. -Vicente Lao Construction assured the DepED of delivering and completing the projects with the best quality possible and to deliver it on time. As a result of the construction activities in the identified areas each construction firm estimates to generate some 900 new jobs.
Concerns about the structural integrity of the classrooms to be built will be addressed by both construction companies, who will build the classrooms using the latest technologies which are earthquake resistant. DepED also said that classrooms will no longer be constructed in areas where natural disasters have already occurred including those identified in the geo-hazard maps of the Department of Environment and Natural Resources.
The PSIP II is a recipient of the Project Development and Monitoring Fund Managed by the PPP Center. Under the PDMF, the DepEd was given funding support used to procure transaction advisors who provided technical assistance in the bid process management including the preparation of bid documents and contracts and assistance until financial close.
Second time around. Megawide Construction Corporation represented by its Finance Officer, Oliver Tan and Mr. Louie Ferrer, Marketing Manager present to members of the press its second signed contract with the Department of Education this time for PSIP II. The winning construction firm also bagged its first PPP project under PSIP I.
New Partner on Board. BSP and Company Inc.-Vicente Lao Construction represented by its President Ben-Azel Ponio shake hands with DepED Secretary Bro. Armin Luistro during the contract signing ceremony for PSIP II.
Numerous copies. DepEd Secretary Bro. Armin Luistro and Undersecretary Francisco Varela (second to left) sign copies of the contracts for the PSIP II.
Successful Partnerships: Officers and representatives from the PPP Center, the DepED, Megawide Construction Corporation and the consortium of BSP and Company Inc. and Vicente Lao Construction and other transaction advisors proudly show off the signed PSIP II contracts under the country’s PPP program.