by Roderick T. dela Cruz
[ manilastandardtoday.com ] April 19, 2010
The Bangko Sentral has approved in principle a loan of 272.34 million euros or P16.5 billion from Belgium for the redevelopment of the Laguna Lake over a three-year period.
Bangko Sentral deputy governor Diwa Guinigundo said the loan from the Fortis Bank of Belgium will help improve the lake’s capacity as catch basis and prevent flooding in nearby cities and towns.
The Environment department will carry out the project, which became more urgent following the typhoons last year that caused the lake to overflow.
The loan is payable in 12.5 years, with a grace period of 2.5 years and an annual interest rate based on the 6-month London Interbank Offered Rate.
In October 2009, the board of the National Economic and Development Authority approved a total budget of P18.5 billion for the project, which involves the dredging of the heavily silted lake.
The lake has become shallow over the years, with an average depth of only 2.8 meters at present, from as much as 6.5 meters a century ago, because of the garbage that found its way into the lake.
More than 8 million people live in the Laguna de Bay region. The 94,900-hectare lake has a 285 kilometer shoreline embracing towns and cities in Metro Manila, Laguna, Rizal.
Last year, about 3 million people were displaced after the water level at the lake went up to 14 meters above the lakebed. It has a normal depth level of 12.5 meters from the lakebed, containing about 2.5 billion cubic meters of fresh water.
The Laguna de Bay Rehabilitation Project involves the dredging of Laguna Lake navigational lane and the entire eight-kilometer stretch of the Napindan Channel, according to Neda.
It includes reclamation of lakeshore areas for wastewater treatment facilities, and development of ports and marinas. Around five areas are being considered for reclamation while four Sewage Treatment Plants are to be established, although there were no specific details yet.
To be developed are transport systems, including the development of Laguna Ferry Systems and service repair centers. In particular, 12 ferry stations are to be constructed around the Laguna de Bay region.
The project, to be carried out by the Environment and Natural Resources Department, is expected to be implemented in three years, or from 2010 to 2012.
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