DoTr: Swiss challenge for airport done by Q1
Credit to Author: LISBET K. ESMAEL| Date: Fri, 21 Dec 2018 17:27:22 +0000
THE Department of Transportation (DoTr) is looking to complete the Swiss challenge to San Miguel Corp.’s proposal to build an airport in Bulacan province by the first quarter of 2019, its chief said on Friday.
Transportation Secretary Arthur Tugade told reporters that he would settle issues raised by the Department of Finance (DoF) on Wednesday by having a meeting with the National Economic and Development Authority (NEDA) Board.
“[K]kung ma-terminate [ang kontrata], kailangan walang babayaran ang government (The government should not be liable to pay if the contract is terminated),” Tugade said at the sidelines of an event.
“Tinitingnan din ‘yung joint and solidary commitment ng San Miguel Corp. (We’re also looking at the joint and solidary commitment of San Miguel Corp.),” he added.
In San Miguel’s proposal—which secured original proponent status in October—its subsidiary San Miguel Holdings Corp. would build, operate and maintain a 2,500-hectare airport in Bulacan’s Bulakan town. The construction of a passenger terminal with airside and landslide facilities and an airport toll road are also included. The project is expected to cost P735 billion.
Finance Secretary Carlos Dominguez 3rd had expressed doubts on San Miguel Holdings’ capability to finance the project, saying it was “incapable of undertaking a P700-billion project.”
He wanted a “joint liability agreement” between San Miguel and San Miguel Holdings.
The transportation chief was also confident of discussing the issue to the proponent, as the group has been “open to suggestion [of a] counter offer,” he said.
As the proponent, San Miguel is expected to face other groups wanting to challenge its proposal by presenting better offers.
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