The Philippines' first social infrastructure public-private partnership (PPP) – a schools project – has been awarded to two consortia, with 13 companies also expressing an interest in building the country’s $378 million NAIA Expressway project.
The schools project was split into three batches, awarded to the private partners via 10-year build-lease-transfer contracts for the design, construction and maintenance of 9,301 classrooms across three regions of the Philippines.
A consortium of BF Corporation/ Riverbanks Development will build 2,157 classrooms with a team of Citicore Investment Holdings and Megawide Construction Corporation building the remaining 7,144 classrooms.
The winning bids were below the PhP16.4 billion (€314 million; $387 million) approved budget for the contract.
Also in the pipeline is the $377.6 million Ninoy Aquino International Airport (NAIA) Expressway project, for which 13 companies have bought bid documents, including:
– San Migual Corporation;
– D. M. Consunji;
– Macquarie Capital Securities;
– Metro Pacific Tollways Corporation;
– Ayala Corporation;
– Megawide Construction Corporation;
– EEI Corporation;
– Alloy MTD Philippines.;
– DAELIM Philippines;
– J. E. Manalo Construction;
– C. M. Pancho Construction;
– Egis Projects;
– M/S IL & FS Transportation Network.
The proposed 9.97-kilometre expressway project is expected to provide access to the three terminals of NAIA and the planned Entertainment City in Pasay via links from the existing Skyway. It will include the construction of at least six on-ramps and six off-ramps, new toll plazas and roads.
The winning bidder will be given a 30-year concession.
The government, through a facility pooled together by the Philippine Amusement Gaming Corporation (Pagcor) and the four investors in its Entertainment City resorts casino project, will provide a debt facility of PhP6.5 billion to the winning bidder.
The Development Bank of the Philippines and the International Finance Corporation, the private sector arm of the World Bank, will serve as transaction advisors for the project.
The deadline for submission of pre-qualifications is set for September 18. Construction is expected to take approximately two years with full operations scheduled to start in 2016.
A third PPP project for the Manila Metro Line (LRT) extension, maintenance, and operation will launch later this year. The deadline for submission of pre-qualifications is September 28.