Expert on construction: Works on LRT won’t take long

CEBU, Philippines – While the National Economic Development Authority (NEDA) said it will most likely take up to 10-15 years to build the Light Railway Transit (LRT) system, an expert said it may not take this long.

"LRT construction won't take that long since there are technologies available and depending who will be the winning bidder and it can be done phase by phase," said Alberto Agra, chairman of the board of the Philippine Reclamation Authority.

Agra, a certified Public-Private-Partnership specialist, said the project can be done through PPP and within a short period of time.

It was NEDA Secretary Ernesto Pernia, during the Philippine Economic Briefing in Cebu, who said that the LRT can take many years to build, contrary to the statement of Chris Kou, a representative from the Chinese-Singaporean consortium proposing the P155-billion project, who said in a press statement on Sunday that they were expecting to finish the process with the Department of Transportation this year and that construction could begin as early as next year.

Pernia said the LRT has to go through a long process – possibly years – before it gets approval.

He also said an LRT for Metro Cebu is not among the projects scheduled to be approved by NEDA anytime soon and that a continuation of Cebu City's Bus Rapid Transit (BRT) is one of the short term solutions to ease traffic.

But Agra said Cebu City has narrow roads and dedicating one lane to buses will worsen traffic conditions.

"Kailangan ng Cebu yung mass transportation to help solve the traffic situation. The LRT is the best solution kasi it’s elevated from the ground," Agra said, adding, that the project should be the priority.

Presidential Assistant for the Visayas Michael Lloyd Dino has been vocal against the BRT, saying the project is just a waste of money as it will not solve the traffic problem here.

Dino said the BRT can only carry 3,000 passengers per hour while the LRT can carry 8,000 to 9,000 passengers per hour.

Crucial stage

Implementation of the BRT project hit a snag after contracts of personnel in charge of acquiring lots that will be affected by the project were not renewed.

Pernia said the NEDA-Investment Coordination Committee-Cabinet Committee will meet next week to iron things out.

“Well, that’s (NEDA-ICC-CC) the decision making body. That’s the critical one. NEDA already said yes. ICC already said yes already two times. Now, go back to the third time,” Cebu City Tomas Osmeña told The FREEMAN.

"April 25 ICC meeting is a pass or fail milestone," Osmeña said.

Whatever the outcome of the meeting will be, Osmeña said he will continue fighting for the BRT.

The ICC consists of the country’s Secretary of Finance as chairman; NEDA Director-General as co-chairman; the executive secretary; the secretaries of Agriculture, Trade and Industry, and Budget and Management; and the governor of the Central Bank of the Philippines.

In 2014, the NEDA board green lighted the BRT project, which was pegged at P10 billion.

Last year, the body increased the budget to P16.3 billion following the passage of Republic Act 10752 or The Right of Way Act, which requires government implementing agencies to offer the market value of properties to be acquired for infrastructure projects.

Cebu City Administrator Nigel Paul Villarete, an urban planner, said all projects can be referred back to ICC during project implementation if there are fiscal decisions to be made like an increase in project cost or to discuss the project delays.

Just recently, the Commission on Audit (COA) said the national government has to pay P14 million commitment fees to its creditors because of the delay in the implementation of the BRT project and another P2.9 million for administrative cost.

“I don't know for what reason DOTr may have asked for ICC discussion but if it is for stopping the project. I am 100 percent sure the ICC won't accept that.  That's like cancelling Loan Agreements, which are in a form of Bilateral Agreements with the World Bank and the Government of France,” Villarete said.

“And for what? Flimsy unfounded reasons based on feelings, suspicions, doubts, or political interests?  The Cebu BRT still retains an EIRR of 53 percent. Even Secretary Pernia was amazed by its viability he memorized it. I haven't met a NEDA DG (director general) before who can memorize a project's EIRR. The fact that he quoted it only shows how high such feasibility of the Cebu BRT is. And the NEDA-ICC has such a lofty institutional stature it won't be swayed by tsismis or baseless apprehensions,” he added. — /JMO Jean Marvette A. Demecillo (BANAT NEWS)