Vol. XXI, No. 217 [ Business World Online ]
Thursday, June 5, 2008 | MANILA, PHILIPPINES
THE NATIONAL Economic and Development Authority (NEDA) Board confirmed for implementation three new projects worth P41.14 billion in a meeting yesterday at Malacañan Palace, an official statement read.
Two of the approved projects are the Road Enhancement and Asset Preservation Management Program (REAPMP) and the President’s Bridge Program (PBP)-Mega Bridges for Urban and Rural Development Project.
The projects, costing P28.29 billion and P10.73 billion, respectively, will be implemented by the Department of Public Works and Highways (DPWH).
The third is the P2.12-billion Flood and Hazard Mitigation Component of the Bicol River Basin and Watershed Management Project (BRBWMP) to be jointly undertaken by DPWH, the Office of Civil Defense, the Mines and Geosciences Board of the Department of Environment and Natural Resources (MGB-DENR) and the Philippine Atmospheric Geophysical and Astronomical Services Administration of the Department of Science and Technology (PAGASA-DoST).
REAPMP is a sector program type of assistance that aims to enhance the efforts of the government to improve and manage its national road system in an economically, socially, financially and environmentally sound, effective and sustainable manner.
The project cost includes a grant amounting to P97.6 million (0.3% of total project cost).
The biggest portion of the total program cost (51% or some P14.43 billion) will be financed through a loan from the Japan Bank for International Cooperation (JBIC).
The rest will come from allocations under the national budget (39.1% or some P11.05 billion) and the Motor Vehicles User’s Charge special funds (9.6% or about PhP2.71 billion).
REAPMP will be implemented over seven years from 2008-2014.
On the other hand, the PBP is funded by a mix of financing from the French government (88% or around P9.45 billion) and domestic counterpart (12% or some P1.28 billion).
It involves the nationwide construction, installation and establishment of 10-girder type flyovers and 72 national bridges along the country’s congested highways and road networks to improve access along the Strong Republic Nautical Highway and Pan Philippine Highway.
The project will be implemented over four years from the second quarter of the year to 2012.
The Flood and Hazard Mitigation Component of BRBWMP consists of flood mitigation, hazard assessment and mitigation, land acquisition and resettlement.
The project will be implemented over six years from 2008-2013 and will be funded under the World Bank’s Bicol River Basin World Bank Project.
The NEDA Board also cleared the change in costs of two new projects, namely: the Northern Panay Backbone Transmission Project (around P1.91 billion) and the Maramag-Bunawan 230-kilovolt (kV) Power Transmission Project (P3.5 billion).
Both projects are proposed by the National Transmission Corp. (Transco) and financed by Calyon, a subsidiary of French private bank Credit Agricole S.A.
The Northern Panay Back-bone Transmission Project aims to ensure system reliability and operational flexibility and extend transmission services to unelectrified barangays in Northern Panay.
Transco proposed to raise the project cost by 39.11%, or by P535.62 million, from the ICC-approved cost of P1.37 million as it will provide a new distribution point for the Panay sub-grid.
The project is now scheduled to be completed and energized on July 24 next year.
The Maramag-Bunawan 230-kV Power Transmission Project is one of the three components of the Agaga-Kirahon-Maramag-Bunawan 230 kV Power Transmission Project.
It aims to ensure continuous supply of adequate power in Mindanao by allowing uninterrupted power flow by the Agus Complex and by Pulangui IV power plants.
Transco asked for additional fund amounting to P935.48 million, as the bid result exceeded the ICC-approved cost by 36%.
The project will be completed on April 24 next year and will be energized the day after its completion.
______________________________________________________________________
