DOTC bids for ₱24 Million Airport in Bukidnon, Naga, Surigao

The Department of Transportation and Communications (DOTC) is bidding out three contracts worth about ₱24 million for feasibility studies on the proposed Bukidnon airport and the upgrade of airports in the cities of Surigao and Naga.

 

In an invitation to bid, DOTC said it would bid out three contracts on September 26 for consultants interested in undertaking feasibility studies on the proposed infrastructure projects.

 

The agency is set to bid out the contract worth ₱8.91 million for the feasibility study on the proposed Bukidnon Airport.

 

The government has also earmarked ₱7.47 million for the feasibility study on the upgrade of the airport in Surigao City and another ₱7.25 million for a study on the upgrade of the airport in Naga City.

 

The DOTC said it would come up with a short-list of five prospective bidders per project. Only those in the short-list can submit formal bids.

 

It added that the criteria for short-listing of both biddings are: applicable experience of the firm (50 percent), qualification of personnel who may be assigned to the job vis-à-vis extent and complexity of the undertaking (30 percent), and current workload relative to capacity (20 percent).

 

These airport projects are part of the government's program to pump-prime the economy, generate jobs and provide efficient and better transport system in the countryside.

 

The Department of Budget and Management (DBM) earlier released P4.6 billion to the DOTC for key airport projects including improvements at the Ninoy Aquino International Airport Terminal 1 under the Public-Private Partnership (PPP) scheme.

 

Of the total amount, about ₱1.64 billion would go to the rehabilitation of the NAIA Terminal 1 including restoring the airport's structural integrity and begin long-delayed maintenance activities, such as repair of its mechanical, electrical, plumbing, and fire protection systems and retrofitting of the overall structure.

 

Furthermore, about ₱2 billion was earmarked for the new Legazpi (Daraga) Airport development project while P800 million was set aside for the development of Tacloban Airport.

 

The DBM also released another ₱160 million for the development of an access point to Central Mindanao via North Cotabato through the Central Mindanao Airport.

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Aboitiz group plans $3.6 Billion USD fund raising for Coal-Fired Plants

The Aboitiz Group is preparing to raise debt to fund three coal-fired power plants with an estimated cost of $3.6 billion.

 

Aboitiz Equity Ventures chief finance officer Stephen Paradies told reporters they are finalizing project financing for three plants located in Davao, Subic and Quezon.

 

Paradies said the company is likely to fund 75 percent of the required total investment for the three power facilities from the local debt market.

 

 "We hope to close a deal with banks for at least one project before the year ends," he said. The balance of the required investment will come from equity.

 

Paradies said AEV had cash of around P30 billion as of end-June this year.

 

The planned 300-megawatt coal-fired power plant that will be built by Aboitiz Power subsidiary Therma South in Davao is expected to cost around $650 million.  The group plans to secure P18 billion to P20 billion in debt to fund the project.

 

For the 600-megawatt facility in Subic, a joint venture with power utility giant Manila Electric Co. and Taiwan Cogeneration through Redondo Peninsula Energy Inc., Aboitiz Power intends to borrow P36 billion to P40 billion to fund its 25-percent share.  The project will cost about $1.2 billion.

 

Aboitiz Power may also have to raise $600 million for the 400MW expansion of its coal-fired power plant in Pagbilao, Quezon.  Cost per megawatt is $2 million for a total project cost of about $800 million.

Paradies said the company is confident it would at least match last year's financial performance after posting good first semester results that saw a 16-percent rise in net income.

 

Aside from power generation and distribution, the Cebu-based Aboitiz clan also has interests in banking, food production and real estate development.

 

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