Gov’t to set major roadworks in motion: 3 crucial arteries in Luzon

The Department of Public Works and Highways (DPWH) is finalizing auction plans for three more major toll roads—two located south of Metro Manila and another north of the capital—set for the second half of 2014.

According to DPWH Undersecretary Rafael Yabut, the projects are the 43.6-Laguna Lakeshore Expressway Dike and the 14.72-kilometer Calamba-Los Baños Expressway, which will be linked with the South Luzon Expressway.

In the north, the agency will bid out the Central Luzon Link Expressway (Clex), a 65-kilometer stretch that will link Tarlac to San Jose, Nueva Ecija. Clex will also connect the Subic-Clark-Tarlac Expressway and the Tarlac-Pangasinan-La Union Expressway, Yabut said.

By setting the roadworks in motion, the government hopes to create a seamless highway system in Luzon, as it improves the country’s infrastructure deemed crucial to the economy.

“The detailed engineering is ongoing  and we hope to be able to submit it to Neda (National Economic Development Authority) by December, when we have the indicative costs,” said Yabut, who also chairs the DPWH’s bids and awards committee.

The projects are expected to generate strong private sector interest, Yabut said. The Lakeshore development, for instance, would have other business components such as reclamation “for future property development,” drainage and waste quality management.

But the final project structure for the projects has yet to be determined, Yabut noted.

In the case of Clex, he said, the government would likely adopt a hybrid scheme—part official development assistance (ODA) and part public-private partnership.

This means the P15.9-billion, 30.7-kilometer Phase I of Clex, which runs from Tarlac to Cabantuan may be ODA-funded, while the  35.7-kilometer Phase II may be funded by the private sector. The concessionaire will operate the full stretch of Clex, he explained.

The DPWH is moving forward with the 47-kilometer Cavite-Laguna Expressway, with four groups formally signifying their interest on Wednesday. The prequalification results will be released on Nov. 24 with the actual bids seen to take place on Jan. 20 next year, Yabut said.

Opting to bid solo, for now, were Malaysia’s AlloyMTD and San Miguel Corp.’s Optimal Infrastructure Corp. Development Inc., the DPWH said.

The two others groups are Metro Pacific Tollways Development Corp., which partnered with Leighton Contractors (Philippines) Inc.; and a group led by the Ayala Corp. and Aboitiz Group.