MPTC prefers term extension over toll hike

To recoup investments

MANILA, Philippines — To recover investments on toll road improvements, Metro Pacific Tollways Corp. (MPTC) is leaning toward getting its concession agreements expanded instead of burdening motorists with rate hikes.

At the Kapihan sa Manila Bay forum yesterday, MPTC president and CEO Rogelio Singson said the company is negotiating with the Department of Transportation and the Toll Regulatory Board (TRB) on how it can regain its spending for expressway upgrades.

MPTC is spending as much as P28 billion for capital expenditures this year, as it seeks to complete expansion works for its tollways, such as the middle bridge for the Candaba Viaduct.

Singson said MPTC is also investing on the necessary infrastructure to make RFID interoperable by July as ordered by the government and for the convenience of motorists. The company is also preparing to remove toll barriers to minimize traffic buildup.

MPTC is discussing with relevant agencies how it can recover its capex for all of these efforts. On one hand, the operator may request for tariff adjustments that would increase the toll rates in its expressways.

On the other hand, Singson said the government can extend the concession period of MPTC for the operations and maintenance of its tollways.

Singson said the government can expand the concession term for the North Luzon Expressway (NLEX) given that it is set to expire in 2030, based on the website of the TRB.

Singson believes it would be easier to justify stretching the concession deals of the tollways than burdening motorists with additional costs.

MPTC operates some of the biggest toll projects in the Philippines, including NLEX and the Subic-Clark-Tarlac Expressway. In the south, the company maintains the Manila-Cavite Expressway, Cavite-Laguna Expressway, as well as the Cebu-Cordova Link Expressway.

For 2024, MPTC will undertake several projects that seek to improve mobility within and around Metro Manila. For one, NLEX Corp. will begin building the access road between NLEX and C-5 Road to give motorists ease of passage in crossing the two thoroughfares.

Likewise, NLEX Corp. will add one lane in each direction of the San Fernando portion of NLEX to reduce the traffic congestion in the segment.

MPTC will also spend nearly P12 billion in 2024 and 2025 for the expansion of its expressways to the south of the metro.