Vol. XXI, No. 231 [ BusinessWorld Online ]
Wednesday, June 25, 2008 | MANILA, PHILIPPINES
THE TRANSPORTATION and Communication department wants to extend the planned Panay rail project to Caticlan to accommodate tourists particularly those going to Boracay island, a government official said.
Transport Undersecretary Guiling A. Mamondiong said the project "will be more viable" if it goes beyond the proposed Iloilo City to Roxas City route. "We will update our study on the project. We are already looking for consultants," Mr. Mamondiong said in an interview.
The extended project will reach 200 kilometers from the initial plan of 117 kilometers, costing more than $400 million.
"There are two options for this. It could be financed through BOT (build-operate-transfer) or ODA (official development assistance)," Mr. Mamondiong said.
The rail system is intended to support agro-industrial activity in Panay, but Mr. Mamondiong said the project will carry both passenger and cargo when completed.
"The purpose is similar to the Mindanao rail project," Mr. Mamondiong said.
The department is currently reviving plans for a rail system in Mindanao, a project which was shelved when talks collapsed between the government and the potential German financers. — A.B.L. Lorenzo
________________________________________________________________________
