BRT to displace 108 businesses in route

CEBU, Philippines - Around 108 business enterprises in Cebu City would be dislocated once construction of the Bus Rapid Transit would start.

This was contained in a Department of Transportation and Communication’s social impact assessment final report.

The affected businesses are on the land and/or in structures in the proposed Cebu BRT route, which is a 23-kilometer median system consisting of one terminal, 19 median stations, and three interchanges. The mass transport system would run from Barangay Bulacao in the south-western end of the city to Barangay Talamban in the north.

As reported by Woodfields Consultant Incorporated, which DOTC commissioned to undertake the BRT study, displacement of the said businesses would result to an estimated income losses amounting to P36.1 million a year.

The said establishments, however, would be compensated far less than the said amount.

“If ever this is indeed representative of the total income losses, the total compensation will be less than this amount as this is annual income. In the eligibility and entitlement matrix, total income losses will be capped at a maximum of three (3) months,” read the report.

Asked for her comment, Cebu Chamber of Commerce and Industry President Ma. Teresa Chan said she believes that “BRT will help save fuel because of decrease in number of private and public vehicles due to ease in public transport and better traffic.”

“Benefits are expected to more than offset the costs…. There will always be costs but the decision (is) for the good of the majority and future and economic growth of Cebu (and) should always prevail,” she said.

Chan, however, said something should be come up with to mitigate the negative effects on those who would be disturbed by the project.

The national government will be spending P1.27 billion to acquire and develop resettlement sites in Barangays Sinsin and Labangon; compensate land and structure owners affected by the project, and recompense potential income losses as a result of the BRT.

An estimated P620.5 million is needed to purchase approximately 9.3 hectares of land, 70 percent (6.63 hectares) of which is private, for the project.

“A total of 243 structures are found to be standing on this land. Most of these structures are one-storey tall. These structures have an estimated floor area of two hectares. The cost of reconstructing these structures is estimated to cost PhP499.97 million. In addition to these, the Cebu BRT will impact fences and parking lots.” the report said.

Based on a socio-economic survey, 69 of the 243 structures are purely residential or mixed commercial and residential in use. The occupants are either lot owner or renters.

The same study mentioned that the total resettlement cost for at least 69 households is pegged to reach P110. 7 million, excluding transfer costs and food allowances.

Woodfield has recommended to separate public transport vehicles from mixed traffic and to improve pedestrian crossings and traffic signalization to make the mass transport effective.

Woodfields said  these considerations should help reduce vehicle and pedestrian accidents.

The project, if finished, is expected to reduce travel time; increase economic productivity through mobility of goods and services; reduce air emissions through reduction in average energy consumption and GHG emissions and; provide equitable access, convenient, comfortable, safe and secured public transport system.

“It should be recognized that economic growth is directly proportional to the mobility of goods and services, including the forward and backward market linkages. For Cebu City to spur sustainable economic growth and urbanization, the recognition of the importance of transport planning and traffic management should be undertaken on a more strategic, broader and holistic perspective,” the consultancy firm added.— (FREEMAN)