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Business

Metro Cebu Expressway to bid out O&M next year

Elijah Felice Rosales - The Philippine Star

MANILA, Philippines — Private firms will get the chance to bid for the operations and maintenance (O&M) of the Metro Cebu Expressway (MCE) by as early as next year, according to the Department of Public Works and Highways (DPWH).

Public Works Undersecretary Maria Catalina Cabral told reporters that the DPWH has submitted a list of projects for approval to the National Economic and Development Authority (NEDA).

One of the projects relayed to the NEDA was the 73-kilometer MCE that seeks to connect Naga City in the south of Cebu to Danao City in the north.

Cabral said the DPWH has proceeded with the construction of the MCE using local budget, but plans to offer the extension and O&M of the expressway to the private sector. The agency looks to start soliciting bids by as early as the first quarter of 2023.

“We are now doing some portions using local funds. Hopefully, once it is approved by NEDA, we are tendering the private sector the extension and operations and maintenance,” Cabral said.

In September, the operator of the Cebu-Cordova Link Expressway (CCLEX) told the government to expedite its decision on whether the P94 billion MCE will be put out for privatization.

CCLEX Corp. hopes to bag the contract for the expressway that is made up of three segments: Segments 1 and 2 spanning from Danao City to Talisay City and Segment 3 running from Minglanilla to Naga City.

CCLEX Corp. will rely on its reputation of raising and operating the popular bridge in Cebu in its bid to secure the deal for MCE, a project also eyed by Enrique Razon Jr.’s Prime Infrastructure Capital Inc.

Apart from the MCE, Cabral said the DPWH is waiting for NEDA to approve the Bataan-Cavite Interlink project that could end up being financed by the Asian Development Bank. The agency hopes to finish the engineering design for the P176-billion bridge by the first quarter of next year.

“We have just submitted a lot of proposals to the National Economic and Development Authority. They are now reviewing the pipeline of projects not only for the private sector, but also for ODA financing,” Cabral said.

The Bataan-Cavite Interlink Bridge – which will feature four lanes – is expected to reduce travel time between Bataan and Cavite to just 20 minutes, from five hours at present.

Aside from this, the project includes the construction of two cable-stayed bridges on both sides of Corregidor Island, with the north bridge spanning 400 meters and the south bridge extending for 900 meters.

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