P HILIPPINE PPP P ROGRAM T RANSPORTATION , W ATER , AND P OWER S - - PowerPoint PPT Presentation

PHILIPPINE PPP PROGRAM

TRANSPORTATION, WATER, AND POWER SECTOR

ROMELL ANTONIO O. CUENCA

PPP CENTER

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Presentation Outline

The Philippine PPP Agenda PPP Projects in Transportation Sector PPP Projects in Water Sector PPP Projects in Power Sector

1 2 3 4

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The PPP Agenda

PPP Program is geared towards

INCLUSIVE GROWTH

PPP as a strategy to accelerate

INFRASTRUCTURE DEVELOPMENT

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Private sector as

PARTNER IN DEVELOPMENT

PPP Milestones

Pipeline Development

 Creation of the Project Development and Monitoring Facility (PDMF)  Establishment of Strategic Support Fund (SSF)  Guidelines for the Identification, Selection and Prioritization of PPP Projects

Legal and Regulatory Frameworks

 Amendment of the Implementing Rules and Regulations (IRR) of the BOT Law  Issuance of Executive Order No. 78

• r the Alternative Dispute

Resolution  Issuance of Executive Order No. 136 (series of 2013) – Creation of the PPP Governing Board  Revision of the NEDA Guidelines on Joint Venture

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PPP Milestones

Capacity Development

 Conduct of PPP Core Courses, Knowledge Sharing Sessions (KSS), and Learning Series (LS)  Publication of the PPP Manual for Local Government Units (LGUs)

Process Improvement Initiatives

 Improved Inter-agency coordination  Issuance of Memorandum Circular for the Creation of PPP sub- committees in LGUs

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PPP Implementation

 Creation of a Contingent Liability Fund  Extension of the BSP Circular No. 779

• n Single Borrower's Limit

Overview of the PPP Pipeline

(by project status)

*This does not include 26 projects with no estimated costs yet.

Status as of 25 April 2014

• No. of Projects
• Est. Project Cost

(USD)

AWARDED PROJECTS

7 1.39 B

PROJECTS UNDER PROCUREMENT (For Bid Submission)

3 2.28 B

PROJECTS APPROVED FOR ROLL-OUT

2 657.78 M

FOR APPROVAL OF RELEVANT GOVERNMENT BODIES

5 3.55 B

FOR FINALIZATION OF PROJECT STRUCTURE

2 1.29 B

PROJECTS WITH ONGOING STUDIES

12 10.42 B

FOR PROCUREMENT OF CONSULTANTS

10 TBD

UNDER CONCEPTUALIZATION OR DEVELOPMENT

11 TBD

OTHER PROJECTS FOR IMPLEMENTATION

3 2.46 B TOTAL 55 22.05 B*

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AWARDED PROJECTS

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Status of PPP Projects

(as of 25 April 2014)

PROJECT

• EST. COST (USD)

TARGET COMPLETION DATE 1 Daang Hari-SLEX Link Road Project 44.67 M June 2014 2 PPP for School Infrastructure Project (Phase I) 361.78 M April 2014 3 NAIA Expressway Phase II 344.89 M October 2015 4 PPP for School Infrastructure Project (Phase 2) 85.78 M December 2014 5 Modernization of Philippine Orthopedic Center 126.44 M January 2017 6 Automatic Fare Collection System 38.22 M Full System Acceptance: Q4 2015 7 Mactan-Cebu International Airport New Passenger Terminal Building 389.93 M 2nd quarter of 2017

PROJECTS UNDER PROCUREMENT

PROJECT

• EST. COST (USD)

IMPLEMENTING AGENCY STATUS 1 Cavite-Laguna Expressway 787.11 M DPWH Bid Submission: 21 April 2014 2 LRT Line 1 Cavite Extension and O&M 1.44 B DOTC Bid submission: 28 April 2014 3 Integrated Transport System – Southwest Terminal 55.56 M DOTC Bid Submission: 16 June 2014

Status of PPP Projects

(Other Projects in the Pipeline as of 25 April 2014)

[2] Projects Approved for Roll-out

• Bulacan Bulk Water Supply Project [USD 542.22 M]
• Integrated Transport System Project – South Terminal

[USD 115.56 M]

[5] For Approval of Relevant Govt. Bodies

• Operation and Maintenance of the Laguindingan Airport [USD

353.78 M]

• Enhanced O&M of the New Bohol (Panglao) Airport

[USD 52 M]

• New Centennial Water Supply Source Project

[USD 417.33 M]

• Operation & Maintenance of LRT Line-2 [no CAPEX]
• Laguna Lakeshore Expressway Dike - Calamba-Los

Baños Toll Expressway Project [USD 2.73 B]

[2] For Finalization of Project Structure

• Davao Sasa Port [USD 397.24 M]
• Regional Prison Facilities through PPP [USD 895.33 M]

[12] Projects with On-going Studies

• O&M of the Puerto Princesa Airport [USD 71.11 M]
• Integrated Luzon Railway Project-Phase 1 [USD 6.03 B]
• Mass Transit System Loop Project [USD 3.0 B]
• Central Luzon Link Expressway
• O & M of Iloilo Airport [USD 322.44 M]
• O & M of Davao Airport [USD 476.44 M]
• O & M of Bacolod Airports [USD 208.98 M]
• Improvement, O&M of Kennon Road & Marcos Highway
• Motor Vehicle Inspection System [USD 313.11 M]
• LRT-1 Extension to Dasmariñas Project
• Upgrading of the San Fernando Airport
• Batangas-Manila (BatMan) 1 Natural Gas Pipeline

[10] For Procurement of Consultants to Conduct Pre-investment Studies

• Modernization of the National Center for Mental Health
• Plaridel Bypass Toll Road
• Manila Bay-Pasig River-Laguna Lake Ferry System
• C-5 Transport Development Project
• Trimedical Complex
• Vicente Sotto MMC Modernization Project
• Manila East-Mass Transport System Project
• Clark International Airport Project
• New Cebu Container Port and Redevelopment of Existing

Cebu Baseport

• Central Spine RORO

[11] Projects under Conceptualization/ Development

• Civil Registration System – IT Project Phase II
• Ferry Passenger Terminal Buildings Development
• C6 Expressway (South-East, East, and North Sections)
• PhilHealth Information Technology Project
• Manila Heritage and Urban Renewal Project
• NLEX East Expressway
• Freeport Area of Bataan (FAB) Barging Facility/ Port Project
• Busuanga Airport Development Project
• Clark Green City Food Processing Terminal
• NIA Irrigation Project
• Camarines Sur Expressway Project

[3] Other Projects for Implementation

• NLEx-SLEx Connector Road [USD 471.11 M]
• Skyway Stage 3 Project [USD 592.44 M]
• MRT Line-7 [USD 1.40 B]

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USD 22.05 B*

ESTIMATED COST OF PPP PROJECTS

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OTHER PROJECTS IN THE PIPELINE

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PROJECTS AWARDED

*This does not include 26 other projects with no estimated costs yet.

PPP Projects in Transportation Sector

(by project status)

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[2] Awarded Projects

1 Automatic Fare Collection System 2 Mactan-Cebu International Airport Passenger Terminal Building

[2] Projects under Procurement

1 LRT Line 1 Cavite Extension and O&M 2 Integrated Transport System – Southwest Terminal

[1] Project for Roll-out

1 Integrated Transport System – South Terminal

[3] Projects for NEDA Board Approval

1 Operation and Maintenance of the Laguindingan Airport 2 Enhanced Operation and Maintenance of the New Bohol (Panglao) Airport 3 Operation and Maintenance of LRT Line 2

[1] Project for Structure Finalization

1 Port of Davao-Sasa Wharf Project

[8] Projects with On-going Studies

1 Operation and Maintenance of the Puerto Princesa Airport 2 Operation and Maintenance of Iloilo Airport 3 Operation and Maintenance of Davao Airport 4 Operation and Maintenance of Bacolod Airport 5 Integrated Luzon Railway Project-Phase 1 (North- South Commuter Rail) 6 Mass Transport System Loop 7 Motor Vehicle Inspection System Project 8 LRT Line 1 Extension to Dasmariñas Project

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Automatic Fare Collection System

Implementing Agency Department of Transportation and Communications (DOTC) Estimated Project Cost USD 38.22 million PPP Structure Built-Transfer-Operate (BTO); Built- Own-Operate (BOO) Cooperation Period 10 years (inclusive of 2 years development/delivery) Status Awarded; Contract signed 31 March 2014 Private Proponent AF Consortium Target Completion Date Target Full System Acceptance: Q4 2015

The project aims to facilitate efficient passenger transfer to other rail lines and reduce inconvenience due to ticket payment delays. It also addresses outdated technology concerns of both MRT-3 and LRT-1 fare ticketing system, and increases the fare collection efficiency by reducing leakage and fraud.

The project involves the decommissioning of the old- magnetic-based ticketing system & replacing the same with contactless-based smart card technology

• n LRT Line 1 and 2 and MRT Line 3, with the

introduction of a centralized back office that will perform apportionment of revenues.

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Mactan-Cebu International Airport Passenger Terminal Building

Implementing Agency DOTC Estimated Project Cost USD 389.33 million PPP Structure Built-Operate-Transfer (BOT) Cooperation Period 25 years Status Awarded; Contract signed 22 April 2014 Private Proponent Megawide-GMR Consortium Target Completion Date 2nd quarter of 2017

The existing terminal building of the MCIA, which houses both domestic and international operations has annual capacity of 4.5 million passengers. However, the passenger traffic for 2011 was around 6.2 million. The deterioration in the level of convenience and lack of ability to handle more passengers may hinder further development and growth of MCIA. The project involves the construction of a new world-class passenger terminal building in MCIA, with a capacity of about 8 million passengers per year; and operation of the old and new facilities. The construction of a new world-class passenger terminal, including all related facilities will cater to domestic and international operations.

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LRT Line 1 Cavite Extension and O&M

Implementing Agency DOTC Estimated Project Cost USD 1.44 billion PPP Structure Build-Transfer-Operate (BTO) Cooperation Period 35 years inclusive of 3 years construction period Status Under procurement; Bid submission: 28 May 2014

The project aims to provide rapid & reliable access to and from the densely populated residential sub-urban communities south of Manila, and the various strategic commercial, industrial, and educational districts in Metro Manila. The project involves the construction

• f an approximate 11.7 km from the

terminus of LRT Line 1 at the Baclaran , to the Niyog Station at Bacoor, Cavite; of which approximately 10.5 km will be elevated & 1.2 km will be at-grade.

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Integrated Transport System – Southwest Terminal

The project aims to provide a central transport terminal where all modes of transport will be available on one location. This terminal will ensure effective inter-connection between different transport modes and services and thus ensure seamless travel for the commuting public.

Implementing Agency DOTC Estimated Project Cost USD 55.56 million PPP Structure Build-Transfer-Operate (BTO) Cooperation Period 35 years inclusive of construction period Status Under procurement; Bid submission: June 2014

The project involves the financing, design, construction, operation, and maintenance of the ITS Southwest Terminal.

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Integrated Transport System – South Terminal

The project involves the construction of a central transport terminal which will connect passengers from Southern Luzon to various modes of transport serving inner Metro Manila.

Implementing Agency DOTC Estimated Project Cost USD 115.56 million PPP Structure Build-Transfer-and-Operate (BTO) Cooperation Period 35 years (inclusive of construction period) Status For roll-out

The project involves the financing, design, construction,

• peration, and maintenance of

the ITS South Terminal.

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Operation and Maintenance of Laguindingan Airport

Implementing Agency DOTC Estimated Project Cost USD 353.78 million PPP Structure Operate-Add-Transfer (OAT) Cooperation Period 25-30 years Status For NEDA Board Approval

The project involves the operation and maintenance of the Laguindingan Airport along with the development of associated infrastructure and facilities, and the installation of all required equipment to meet applicable international standards. When completed, the Laguindingan Airport will upgrade the region’s air transportation network through reliable connections with other parts of the country, spurring business opportunities in agriculture and tourism in Northern Mindanao.

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Enhanced O&M of New Bohol (Panglao) Airport

The project involves the operation and maintenance

• f the airport as well as the provision of additional

facilities and other necessary improvements to enhance passenger safety, security, access, passenger and cargo movement efficiency, and

• perational efficiency.

Implementing Agency DOTC Estimated Project Cost USD 52 million PPP Structure Operate-Add-Transfer (OAT) Cooperation Period 30 years Status For NEDA Board Approval The New Bohol Airport Project will boost further the city’s tourism agenda, enable increased economic activity and speed up recovery efforts from the devastation caused by the October 2014 earthquake. This airport facility is designed primarily to meet the initial requirements for domestic flight operations and possibly accommodate international flights during off-peak hours/night time.

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Operation and Maintenance of LRT Line 2

Implementing Agency DOTC Estimated Project Cost (no CAPEX) PPP Structure O&M Cooperation Period 10-15 years Status For NEDA Board Approval The private sector shall be engaged to operate and maintain the existing 13.8 kilometer LRT Line 2 which runs from Recto Station in Manila to Santolan Station in Pasig, along Recto Avenue, Magsaysay Boulevard, and Marcos Highway. They shall also be engaged in the O&M of the proposed 4 kilometer extension from Santolan in Pasig to Masinag Junction in Antipolo City The project aims to provide rapid and reliable access to and from the densely populated residential suburbs in the East of Manila. This will improve the mobility of people and goods in the area by providing faster and less costly transport.

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Port of Davao – Sasa Wharf Project

Implementing Agency DOTC and Philippine Ports Authority (PPA) Estimated Project Cost USD 397.24 million PPP Structure Build-Transfer-and-Operate (BTO) Cooperation Period 35-40 years Status For finalization of project structure

The project is expected to significantly increase the port’s operational performance, reduce vessel waiting times, and attract direct calls of large foreign container vessels in turn reducing shipping costs for import/export cargos to and from Mindanao.

The project involves the financing the construction and upgrading of the existing port infrastructure; & operation and maintenance of the improved port facility, including collection of user fees for cargo & ancillary services

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Operation and Maintenance of the Puerto Princesa Airport

The project involves the operation and maintenance

• f the airside and landside facilities of the existing

airport until completion of new facilities. It also includes O&M of the new facility, management of all sub-concessions, commercial development, and future expansion of the airport.

Implementing Agency DOTC & Civil Aviation Authority

• f the Philippines (CAAP)

Estimated Project Cost USD 71.11 million PPP Structure TBD Cooperation Period 30-35 years Status Feasibility Study nearing completion

Puerto Princesa is an important gateway to the Province of Palawan, a prime tourist destination of the Philippines with numerous unique natural sites. The airport project will play a key role in its development agenda.

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Operation and Maintenance of Iloilo Airport

The project involves the operation & maintenance of the existing facilities of the Iloilo Airport. It also includes the expansion/construction of new passenger terminal(s); enhancement of airside facilities; and installation of all the required equipment & facilities as per applicable standards.

Implementing Agency DOTC & CAAP Estimated Project Cost USD 322.44 million PPP Structure TBD

Cooperation Period

25-30 years Status Feasibility Study nearing completion.

Iloilo is known for its beautiful well-preserved, old-world

• churches. With the helm of the airports’ business functions,

customers can look forward to first-rate amenities and facilities that will improve customer amenities and provide additional facilities to boost the airports’ safety and operational efficiency.

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Operation and Maintenance of Davao Airport

The project involves the operation and maintenance

• f the existing Davao International Airport, including

the enhancement/ development and O&M of airside facilities to meet the enhanced scale of operations at the airport.

Implementing Agency DOTC & CAAP Estimated Project Cost USD 476.44 million PPP Structure TBD

Cooperation Period

25-30 years Status Feasibility Study nearing completion.

Davao is a highly progressive and urbanized city and acts as the main trade, financial, and industry hub of Mindanao. With the greater influx of tourists, the project will enhance passenger safety, security, access, passenger and cargo movement efficiency, and

• perational efficiency.

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Operation and Maintenance of Bacolod Airport

The project involves the operation and maintenance

• f the existing facilities of the Bacolod-Silay Airport;

expansion/ construction of new passenger terminal(s); enhancement of airside facilities; and installation of all the required equipment and facilities as per applicable standards.

Implementing Agency DOTC & CAAP Estimated Project Cost USD 208.89 million PPP Structure TBD

Cooperation Period

25-30 years Status Feasibility Study nearing completion.

Bacolod is the capital of Negros Occidental and is home to the famous Maskara Festival, which is a major tourist attraction of the

• country. The project will boost further the cities’ tourism and

development agenda, allowing a greater influx of tourists to this exciting destination.

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Integrated Luzon Railway Project Phase 1 - North-South Commuter Rail (Malolos-Calamba)

Malolos Calamba

Implementing Agency DOTC Estimated Project Cost USD 6.03 billion

Structure & Cooperation Period

TBD Status Feasibility Study nearing completion. The project involves the development of a 89.7-km commuter rail with 27 stations, one depot, and four interchange stations connecting to LRT1, LRT2, MRT3, and ITS-South Terminal.

The project will upgrade and modernize the PNR Railway system in order to provide a safe, reliable, fast, and convenient rail transport system. It will also facilitate the efficient transport of people, goods and services that will boost economic activities in the region.

Proposed Alignment

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Mass Transport System Loop

Implementing Agency DOTC Estimated Project Cost USD 3.0 billion

Structure & Cooperation Period

TBD Status Feasibility Study nearing completion. The project involves the construction and O&M of a rail system to connect Bonifacio Global City, Makati Central Business District, and the Mall of Asia area in Pasay. It also includes construction of a 16-km tunnel and a 4-km viaduct. The project aims to improve inter-city linkage by providing a higher capacity public transportation system that would facilitate fast & convenient mobility of goods &

• services. It also intends to address the high volume of

vehicular traffic traversing in major business districts of Metro Manila.

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Motor Vehicle Inspection System Project

The project is intended to be the national network of Motor Vehicle Inspection Centers (MVICs) using automated inspection methods that will be linked to the information system of the Land Transportation Office.

Implementing Agency DOTC-Land Transportation Office (LTO) Estimated Project Cost USD 313.11 million Structure & Cooperation Period TBD Status Feasibility Study nearing completion

The project involves the development,

• peration and maintenance of national

network of MVICs. It aims to improve the efficiency, effectiveness, reliability, and transparency of motor vehicle inspection in the country.

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LRT Line 1 Extension to Dasmariñas Project

Implementing Agency DOTC Estimated Project Cost TBD

Structure & Cooperation Period

TBD Status On-going conduct of Feasibility Study

The project will extend further the LRT Line 1 covering approximately 15 km of service line which start at the proposed terminus of the LRT Line 1 Cavite Extension Project in Bacoor to Dasmariñas, Cavite. The ongoing study is looking into possible private sector’s participation in the financing, design, and construction of the 15- kilometer rail line from Bacoor to Dasmariñas, Cavite.

PPP Projects in Water Sector

(by project status)

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[1] Project for Roll-out

1 Bulacan Bulk Water Supply Project

[1] Project for NEDA Board Approval

1 New Centennial Water Supply Source Project

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Bulacan Bulk Water Supply Project

Implementing Agency Metropolitan Waterworks and Sewerage System (MWSS) Estimated Project Cost USD 542.22 million PPP Structure Build-Operate-Transfer (BOT) Cooperation Period 32 years (inclusive of a 2-year construction period) Status For roll-out

The project aims to develop water resources, conveyance, & water treatment facilities to meet the immediate and future demands for good quality water in the rapidly urbanizing province of Bulacan. The project involves construction and

• peration of bulk water distribution system

facilities including water treatment and conveyance structures to the water districts in the province.

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New Centennial Water Supply Source Project

Implementing Agency MWSS Estimated Project Cost USD 417.33 million PPP Structure Build-Lease-and-Transfer (BLT) Cooperation Period 25 years Status For NEDA Board approval

The project aims to increase Metro Manila’s raw water supply to meet future potable water

• demand. It will also be a redundant water

source reducing Metro Manila’s dependence

• n the Angat Dam Reservoir.

The project involves financing, design, and construction of the Kaliwa Dam, intake facilities &

• ther appurtenant facilities, and a

water conveyance tunnel.

PPP Project in Power Sector

(by project status)

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[1] Project with On-going Studies

1 Batangas-Manila (BatMan) 1 Natural Gas Pipeline Project

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Batangas-Manila (BatMan) 1 Natural Gas Pipeline Project

The project involves the construction of natural gas transmission & distribution pipeline facilities from Batangas to transport and supply natural gas to Batangas, Laguna, and Cavite.

Implementing Agency Philippine National Oil Company Estimated Project Cost TBD Structure & Cooperation period TBD Status On-going conduct of Feasibility Study

It is intended to make natural gas from the Malampaya gas field available to consumers in the industrial, commercial, transport, and residential sectors in the Southern Tagalog Region and eventually in Metro Manila.

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What we want to achieve by 2016

1.Robust pipeline of PPP projects

• at least 50 projects in the pipeline in various stages of the

project cycle

• at least 15 PPP contracts signed
• at least 7 projects completed
• at least 10 infrastructure projects handed over to the private

sector for Operation & Maintenance (O&M) 2.Solid PPP legal and policy framework 3.Transparent, predictable and tested procedures 4.Standard contract agreements that uphold reasonable returns and fair risk allocation to the private sector while safeguarding public interest

PUBLIC-PRIVATE PARTNERSHIP CENTER OF THE PHILIPPINES

NEDA Complex, EDSA, Diliman, Quezon City Contact Details:

(632) 990-0721 | www.ppp.gov.ph

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