MANILA, Philippines — Dennis Uy’s Chelsea Logistics and Infrastructure Holdings Corp. is getting the upper hand for its unsolicited proposal to modernize the Sasa port in Davao City.
Chelsea said yesterday it was granted the original proponent status (OPS) for the Davao Sasa Port modernization project by the Philippine Ports Authority (PPA), as stated in the certificate of successful negotiation dated Aug. 19.
The OPS comes after the successful negotiation on the scope and details of the project in accordance with the revised guidelines and procedures for entering into joint venture agreements between government and private entities, or the 2013 National Economic and Development Authority (NEDA) JV guidelines.
“We thank the PPA and the Department of Transportation for working closely with us in finalizing the requirements and design of this huge project. As a dominant player in the country’s shipping and logistics industry, Chelsea has been given the opportunity to further upgrade the supply chain management landscape of the country,” Chelsea president and CEO Chryss Alfonsus Damuy said.
Chelsea said the 25-year joint venture agreement for the modernization of Davao Sasa Port will run in five phases, with the first and second phase to be completed in 2021 and 2023, respectively.
The project targets to deliver port capacity expansion, flow improvement of waterborne commerce and inter-island seaborne commerce and foreign trades, and streamlining, enhancement, and optimization of port maintenance and operations.
The company said the project also seeks to promote regional development through the dispersal of industries and commercial activities throughout the region.
“We hope that through this port modernization, our mantra of better shipping, better logistics, better life will redound to the rest of the region,” Damuy said.
With the OPS, Chelsea said its unsolicited proposal would be submitted to competitive challenge in accordance with the 2013 NEDA joint venture guidelines.
The Davao Sasa modernization proposal was submitted by Chelsea to the PPA in August last year.
Chelsea, was established in 2016 to act as the holding company of the shipping and logistics arm business segments of Uy’s Udenna Group
of Companies.
Chelsea has also been awarded in October last year the OPS for its unsolicited proposal for the development, operation, and management of the Davao International Airport over a concession period of 30 years.
The company is also part of the incoming third telco player Mislatel consortium, which is also composed of Udenna Corp. and state-owned China Telecom.