12 firms keen on tollway project

At least 12 companies have expressed interest in bidding for the 10-year operation and maintenance of the Subic-Clark-Tarlac Expressway (SCTEx).

According to Bases Conversion and Development Authority (BCDA) president and chief executive officer (CEO) Narciso Abaya, 12 companies so far have submitted their letters of intent to participate in the bidding for the operation and maintenance of the 93.77-km SCTEx, reputedly the longest toll road in the country.

The SCTEx is expected to be completed by the end of this year.

Among those who have expressed interest to participate in the bidding are First Philippine Holdings Corp., Mideast Alliance Resources Corp., SNC Lavalin International, Ausphil Tollways Corp., Pacific Concrete Products, Inc, UEM-MARA Philippines Corp., R.D. Policarpio Co. Inc., Metro Pacific Investments Corp., Ayala Property Management Corp., STAR Infrastructure Development Corp., J.V. Angeles Construction Corp., and Pietras Builders Inc.

Abaya said the operation and maintenance contract would cover toll collection, traffic management, roadway maintenance, general administration, greening and landscaping.

BCDA project manager for operation and maintenance and business development Barbara Andal said the BCDA has set a ceiling bid of 12.2 percent from toll fees collected within the 10-year contract period.

According to Andal, "if the winning bidder bids five percent, then the firm would receive five percent of the toll fees collected every year for the 10-year contract period."

Andal added that the rest of the toll fees collected would be allotted for debt servicing of the loan used to finance construction of the expressway.

The BCDA bankrolled the construction of the project through a P21-billion loan from the government of Japan through the Japan Bank for International Cooperation (JBIC).

The BCDA also secured a standby P2.5-billion credit line facility from local banks to ensure that construction of the 93.77-km toll road would be finished on schedule.

Andal said the contract for the operation and maintenance contract will take effect on May 13 of this year and expire on May 3, 2017.

"We expect the winning bidder to be on board by May this year to familiarize them with the state-of-the-art toll collection system set in place to ensure the smooth operations of toll collection, Andal said.