Batangas-Mla gas pipeline up for NEDA re-approval

MANILA, Philippines - The P10.528-billion Batangas-Manila natural gas pipeline of the Philippine National Oil Co. (PNOC) will be up for re-approval by the National Economic and Development Authority-Investment Coordination Committee (NEDA-ICC) next month following revisions on technical matters, ranking government officials said.

Revisions on the network of the gas pipeline will be presented to the NEDA-ICC prior to its meeting set in mid-October for approval, DOE OIC-Secretary Zenaida Monsada said.

“We will submit (revised proposals) before that. Generally, what we’re going to present is the network of the pipeline, not just the trunkline but the whole network,” she said.

“There were some clarifications on the project structure and design. That’s (tabled for approval) on Oct. 14 (NEDA) ICC level,” Public-Private Partnership (PPP) Center executive director Cosette Canilao said.

Once approved, the BatMan project will be submitted to the Cabinet-level NEDA Board chaired by President Aquino, Canilao noted.

The only energy-related project under the Aquino administration’s flagship Public-Private Partnership (PPP) program, the BatMan is a 121-kilometer transmission pipeline that will transport and supply natural gas from Batangas to Metro Manila.

The NEDA-ICC approved the project last June, which should have been elevated to the NEDA Board.

However, former DOE Secretary Carlos Jericho Petilla said the agency wants further evaluations on the projects due to questions raised on demand under the BatMan study conducted by the Rebel Group early this year.

The Rebel Group was earlier tapped by the PPP Center as advisor for the pipeline, which proposed an end-to-end line without connections for off-takers.

Monsada explained the original project design was only a single track of the gas pipeline, where the DOE found issues on right-of-way and demand.

“From what was approved, there were certain provisions, conditions with issues of right of way with conflicts with expansion programs like with the PNR (Philippine National Railways),” she said.

“What we will be presenting and seeking approval from the NEDA-ICC now is all the three alternative routes,” the DOE official added.

The target for the BatMan is to break ground before the election ban by 2016.