Philippine Private Public Partnership Projects

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TABLE OF CONTENTS
I. INTRODUCTION
A. Message of the President of the Philippines............................... 1

B. Acronyms.................................................................................. 2
II. THE PHILIPPINES & THE PUBLIC-PRIVATE PARTNERSHIP
A. Economic Agenda of the Aquino Government............................. 6

B. Overview of the PPP Program................................................... 7
C. PPP Process Flow..................................................................... 9
D. Institutional Framework............................................................. 11
E. Success Stories......................................................................... 13
III. PROJECT PROFILE
A. List of Public-Private Partnership Projects 1

a. F or 2011 Rollout
i. Department of Public Works and Highways.................... 24
ii. Department of Transportation and Communications....... 26
b. F or Medium-Term Rollout and Other PPP Projects
i. Department of Agriculture.............................................. 36
ii. Department of Public Works and Highways.................... 52
iii. Department of Transportation and Communications........ 59
iv. Department of Education............................................... 70
v. Department of Health.................................................... 71
vi. Metropolitan Waterworks and Sewerage System............ 82
vii. Local Government Units................................................ 83
B. List of Private Initiative Projects in the Energy Sector 2

a. Luzon................................................................................. 108
b. Visayas................................................................................ 125
c. Mindanao............................................................................. 130
IV. ANNEXES
A. Macroeconomic Updates........................................................... 138

B. Legal Framework...................................................................... 142
C. Tax Regime and Incentives Framework...................................... 161
D. Directory of Government Officials.............................................. 177
V. INDEX.......................................................................................... 180
1 The list of PPP Projects included herein is an initial list that will be constantly updated and expanded.
2 The energy projects included herein are initiated by the private sector.
i
Message of the President
For too long, the Philippines has been

a great hub of untapped potential,
waiting only for partnerships based on
shared aspirations of mutually beneficial
possibilities. Recent events, such as
peaceful, credible elections and a
government with a mandate for change,
drastically changed the outlook of the
country and now, we are ready to take
significant steps to achieve this nation’s
great potential.
There is a newfound optimism in the

Philippines, born of a newfound trust
between the people and their government.
Workers, entrepreneurs and public
officials can look forward to the stability
that provides a firm foundation for a more
vibrant economy.
We are working to develop profitable partnerships with private companies

both domestic and international. We have the resources. We have the human
capital. Filipino citizens, invigorated by a shared sense of professionalism,
integrity, and quality, are working with their leaders to build the policy
foundations for growth.
We are here to propose development projects that will prove mutually

beneficial to your firms and our country. The incentives we have outlined
are intended to display the substantial opportunities we can seize and the
advantages we can gain by working as one.
BENIGNO S. AQUINO III
MANILA
18 November 2010
1
Acronyms
ARMM Autonomous Region in Muslim Mindanao

BIR Bureau of Internal Revenue
BOC Bureau of Customs
BOI Board of Investments
BLT Build-Lease-and-Transfer
BOO Build-Own-and-Operate
BOP Balance of Payments
BOT Build-Operate-Transfer
BRT Bus Rapid Transit
BSP Bangko Sentral ng Pilipinas
BT Build-and-Transfer
BTO Build-Transfer-and-Operate
C-5 Circumferential Road 5
C-6 Circumferential Road 6
CAO Contract-Add-and-Operate
CAAP Civil Aviation Authority of the Philippines
CALA Cavite-Laguna
CBD Central Business District
CIAC Clark International Airport Corporation
CLEX Central Luzon Link Expressway
D/D Detailed Design
DBF Dairy Breeding Farms
DENR Department of Environment and Natural Resources
DMIA Diosdado Macapagal International Airport
DA Department of Agriculture
DepEd Department of Education
DOE Department of Energy
DOF Department of Finance
DOH Department of Health
DOJ Department of Justice
DOT Develop-Operate-and-Transfer
DOT Department of Tourism
DOTC Department of Transportation and Communication
DPT Diphtheria, Pertussis and Tetanus
DPWH Department of Public Works and Highways
ECC Environmental Compliance Certificate
EDC Energy Development Corporation
EIA Environmental Impact Assessment
EPI Expanded Program on Immunization
*Exchange Rate used: PHP45.00 = US$1.00
2
Acronyms
ERC Energy Regulatory Commission

ESA Electricity Sales Agreement
FS, F/S Feasibility Study
FTI Food Terminal Incorporated
GDP Gross Domestic Product
GFI Government Financial Institution
GIR Gross International Reserves
GNP Gross National Product
GOCC Government-Owned and/or Controlled Corporation
HBV Hepatitis B
HiB Haemophilus influenza B
IA Implementing Agency
ICAO International Civil Aviation Organization
IPPA Independent Power Producer Administrator
ICT Information Communication Technology
IT Information Technology
LGU Local Governmen Unit
LRT Light Rail Transit
LTO Land Transportation Office
LRTA Light Rail Transit Authority
MCIAA Mactan Cebu International Airport Authority
MIAA Manila International Airport Authority
MLD Million Litres Per Day
MNTC Manila North Tollways Corporation
MO Multilateral Organizations
MRT Metro Rail Transit
MRF Materials, Recovery Facility
MWSS Metropolitan Waterworks and Sewerage System
MSME Micro, Small, and Medium Enterprises
NAIA Ninoy Aquino International Airport
NCR National Capital Region
NIA National Irrigation Administration
NEDA National Economic and Development Authority
NEDA-ICC National Economic and Development Authority-Investment Coordination Committee
NG National Government
NGCP National Grid Corporation of the Philippines
NLEX North Luzon Expressway
NMIS National Meat Inspection Services
NPC National Power Corporation
3
Acronyms
NPL Non-Performing Loans

NSO National Statistics Office
NSWMC National Solid Waste Management Commission
O&M Operation and Maintenance
ODA Official Development Assistance
PCG Philippine Coast Guard
PDF Project Development Facility
PHP Philippine Peso
PIDF Philippine Infrastructure Development Fund
PhilMEC, PHILMECH Philippine Center for Postharvest Development and Mechanization
PMO Project Management Office
PMO-BOT Project Management Office for Build-Operate-Transfer
PNR Philippine National Railways
PPP Public-Private Partnership
PRA Philippine Reclamation Authority
PSALM Power Sector Assets and Liabilities Management Corp.
PSP Private Sector Participation
R-7 Radial Road 7 (Quezon Avenue, Commonwealth Avenue)
RATS Run After the Smugglers
RATES Run After Tax Evaders
RIPS Revenue Integrity Protection Service
RITM Research Institute for Tropical Medicine
ROO Rehabilitate-Own-and-Operate
ROT Rehabilitate-Own-and-Transfer
ROW Right-of-Way
RP Repurchase (Overnight Lending Rate)
RRP Reverse Repurchase (Overnight Borrowing Rate)
SBFZ Subic Bay Freeport Zone
SEC Securities and Exchange Commission
SLF Sanitary Landfill
SLEX South Luzon Expressway
SLTC South Luzon Tollways Corporation
TBD To be determined
TOR Terms of Reference
TransCo National Transmission Corporation
U/KB Universal and Commercial Banks
USTDA US Trade and Development Agency
ZBB Zero-‐based Budgeting
4
THE PHILIPPINES &
THE PUBLIC-PRIVATE PARTNERSHIP

The Aquino Administration’s Socio-economic Agenda
President Benigno S. Aquino III’s Social Contract with the Filipino People
envisions a country that has achieved inclusive growth and is characterized
by rapid, sustained, and broad-based economic expansion that is focused on
creating more jobs and new opportunities to achieve full employment, and on
significantly reducing poverty.
To attain this vision, the development strategies will be directed towards attaining
a high and sustained economic growth, providing equal access to development
opportunities and formulating effective social safety nets.
To help achieve the high and sustained economic growth needed to generate
productive employment opportunities, the Government will provide an enabling
environment for private sector investment by maintaining stable macroeconomic
environment and pursuing sound and consistent public policies. Measures to
increase the country’s competitiveness will be implemented by investing in
infrastructure, and improving governance by reducing the cost of doing business,
enforcing the rule of law, ensuring the effective and efficient delivery of public
service, and improving the investment programming processes. To achieve a
higher growth path over the medium term, the Government will focus on improving
productivity and creating new opportunities for full employment and efficient
allocation of resources. The levels of private investment and entrepreneurship,
especially among micro, small and medium enterprises (MSME) will also be
raised.
The Government will ensure that different geographical areas, income levels
and social spectra will be given equal access to development opportunities,
so that the expansion of employment opportunities truly translates into poverty
reduction. This will entail more quality investment in human capital, especially in
education, primary health care and nutrition, and other basic social services. The
Government will also level the playing field through equal access to infrastructure,
credit, land, technology, and other productive inputs. And the Government will
implement unbiased and facilitative policies that promote competition as it
improves governance and strengthens institutions.
In gearing up for a high sustained growth, the Government will provide effective
and responsive social safety nets to protect and support those who are unable
to immediately participate in this new economic growth process. These social
safety nets will be formulated and implemented to effectively address the issue
of poverty, as well as the devastating effects of climate change.
6
Overview of the PPP Program
The Philippine Government recognizes the essential role of the private sector as
the main engine for national growth and development. In line with this, pertinent
incentives will be provided to stimulate private resources for the purpose of financing
the construction, operation and maintenance of infrastructure and development
projects normally undertaken by the Government.
The government is willing, on a case-to-case basis, to protect investors from certain

regulatory risks such as court orders or decisions by regulatory agencies which
prevent investors from adjusting tariffs to contractually agreed levels. Such regulatory
risk insurance could take the form of make-up payments from the government to
PPP investors, other guaranteed payments, and adjustments to contract terms.
The specifics of the type of protection to be offered by the government, and the
mechanisms through which such protection will be offered will be part of the contract
terms for each project. Such protection will only be offered for solicited projects
which undergo a competitive bidding process.
Private sector investors will be selected through open competition under fair and
transparent terms. All interested investors will be given a level playing field with
reasonable returns and appropriate sharing of risks without compromising the
protection of public interests. Through this program, end-users will be provided with
adequate, safe, efficient, reliable, and reasonably-priced infrastructure services.
The projects under the PPP Program were selected based on the following criteria:
1. Project Readiness/Preparation
a. For 2011 Rollout
i. Feasibility Study to be completed within 2010 to 2011,
ii. Completed Feasibility Study being reconfigured for PPP, and
iii. Ready to tender in 2011.
b. For Medium-Term Rollout and other PPP Projects

i. Included in the PPP pipeline projects of the Implementing Agencies,
and
ii. Initial preparation ongoing, i.e., concept stage, hiring of consultants
for Feasibility Study preparation.
2. Responsiveness to the sector’s needs (e.g., part of the transport network system,
water supply/sewerage, electric power capacity, etc); and
3. High Implementability (bankable, no major issues).
The Government is committed to facilitating the approval and implementation process

for PPP projects. In accordance with this, solicited proposals will be processed within
7
Overview of the PPP Program
six (6) months. Qualified PPP proposals must complete all necessary documents to
facilitate the approval process.
While the BOT Law allows the government to process unsolicited proposals, solicited
proposals will be actively promoted.
To provide a long-term fund structure to sustain and further promote PPP in the
country, the government together with various Multilateral Organizations (MOs) are
working on establishing the Philippine Infrastructure Development Fund (PIDF).
8
PPP Process Flow
PPP Project Approval and Bidding Flowchart
Process Responsible Party
START
Project Submission to

NEDA -‐ICC
(Complete and qualiﬁed IAs / LGUs
documenta6onE
Project Review and

Evalua6on NEDA Secretariat / LGUs
LGUs / ICC Approval:

•  ICC Technical Board
I"vest'e"t )oordi"a/o" )o''i0ee 1I))2
•  ICC Cabinet NEDA Board
CommiLee
•  NEDA Board
IAs / LGUs / Private Sector

Invita6on and
Prequaliﬁca6on
Prepara6on and Private Sector

Submission of Bids
IAs / LGUs
Evalua6on of Bids
Award and IAs / LGUs

commencement of
Implementa6on
END
*Please refer to the next page for the timeframe for each activity
9
PPP Process Flow
Steps- Government No. of days- No. of days- Steps- Private

Government Private
Implementing agency 1
submits project documents
for NEDA-ICC Approval
NEDA technical staff reviews 20
proposal
NEDA ICC deliberates 1
project and gives approval
publishes Invitation to Bid
44 Bidders prepare pre-
qualification documents and
(can be longer, submit them
45 days is legal
minimum)
1 Bidders submit pre-

qualification documents
evaluates pre-qualification
documents
notifies pre-qualified and
disqualified proponents
(At least 60 days before the 65 Pre-qualified bidders
bid, within the bid prepare bids
preparation period, the (can be longer
implementing agency will depending on
hold a pre-bid conference) complexity of
project; no legal
maximum)
1 Pre-qualified bidders submit
bids
evaluates bids
Implementing agency issues 1
Notice of Award to winning
bidder
Signing of contract with 7
winning bidder
Total No. of Days 69 111
10
Institutional Framework
The following government bodies perform crucial roles in the approval, coordination,
monitoring, promotion and marketing of PPP Projects.
A. Approval
The approval of the National Economic and Development Authority - Investment

Coordination Committee (NEDA-ICC)1 has to be secured for national projects to be
implemented by the implementing agencies (IAs) costing up to PHP 300 Million and
for Local Projects to be implemented by the local government units (LGUs) costing
above PHP 200 Million. In the case of negotiated contracts, the NEDA-ICC also
has to determine the reasonable rate of return on investments and operating and
maintenance costs prior to the negotiation and/or call for proposals. National projects
costing more than PHP 300 Million and negotiated projects (regardless of amount),
shall be submitted to the NEDA Board2 for approval upon the recommendation of the
NEDA-ICC.
LGU projects shall be submitted by the concerned LGU for confirmation, to the
following:
1. municipal development council for projects costing up to PHP 20 million;
2. provincial development council for projects costing above PHP 20 million

up to PHP 50 million;
3. city development council for projects costing up to PHP 50 million; and
4. regional development council or, in the case of Metro Manila projects,

the Regional Development Council for Metropolitan Manila,
for projects costing above PHP 50 million up to PHP 200 million.
B. Coordination and Monitoring
Executive Order (EO) No. 8, issued by the President on September 9, 2010 renamed
the BOT Center as the PPP Center and transferred it (as an attached agency) from
the Department of Trade and Industry (DTI) to NEDA. EO No. 8 specifically provides
that the PPP Center shall cover all PPP Programs and Projects including all variants
or arrangements under the BOT Law and Joint Venture Agreements, among others,
and shall have the following powers and functions:
(a) Conduct project facilitation and assistance to the National IAs, including
GOCCs and LGUs in addressing impediments or bottlenecks
in the implementation of PPP programs and projects;
(b) Provide advisory services and technical assistance, trainings and
11
Institutional Framework
capacity development to agenices/LGUs in PPP project preparation and

development;
(c) Recommend plans, policies, and implementation guidelines related to

PPPs in consultation with appropriate oversight committees, IAs, LGUs,
and the private sector;
(d) Manage and administer a revolving fund to be known

as the Project Development and Monitoring Facility for the
preparation of the business case, pre-feasibility and feasibility
studies and tender documents of PPP programs and projects;
(e) Monitor and facilitate the implementation of the priority PPP programs
and projects of the IAs/LGUs which shall be formulated by the respective
IAs/LGUs in coordination with the NEDA Secretariat;
(f) Establish and manage a central database system of PPP programs and
projects;
(g) Recommend improvements to timelines in processing PPP

programs and project proposals, and monitor compliance of all IAs/LGUs;
(h) Prepare reports on the implementation of the PPP programs and projects
of the government for submission to the President at the end of
each year; and
(i) Perform such other functions which may be critical in expediting and
implementing effectively the PPP programs and projects of
the Government.
C. Promotion and Marketing
EO No. 8 further provides that the functions of the BOT Center with
respect to promotion and marketing of the BOT/PPP Projects shall be undertaken by
the DTI. An amount of PHP 300 Million was constituted as a working fund for the
conduct of a business case, pre-feasibility study and feasibility studies in a timely
manner, for selected PPP programs and projects. The Project Development Facility
(PDF) funds held by the BOT Center was transferred to the Project Development and
Monitoring Facility of the PPP Center.
1 The ICC consists of the Secretary of Finance, as chairman; the NEDA Director-General, as co-chairman; and the Executive Secretary, the Secretaries of Agriculture, Trade and Industry, Budget
and Management and the Governor of the Central Bank of the Philippines, as members.
2 The Board is composed of the President as chairman, the Secretary of Socio-Economic Planning and NEDA Director-General as vice-chairman, and the following as members: the
Executive Secretary and the Secretaries of Finance, Trade and Industry, Agriculture, Environment and Natural Resources, Public Works and Highways, Budget and Management, Labor
and Employment, and Interior and Local Government.
12
Success Stories
The Philippines boasts of a long experience of public-private partnership (PPP)

initiatives, which serves as a rich basis for future investments. With its aggressive
PPP promotion, the government was and is able to attract private partners to invest
not only in traditional infrastructure projects (such as power, transportation, and water
sectors) but also in non-traditional infrastructure and development sectors (such as
information and communications technology, health, and property development).
Through the partnership, the power crisis in the early 1990s was addressed. The
partnership likewise helped improve road network quality, transport linkages and
social services. To date, approximately US$ 19.5 billion in investment has already
been generated since its inception.
The PPP program has helped realize various development projects both at the
national and local levels across various infrastructure sectors.
This section highlights a few of the successful projects that were implemented
through PPPs:
I. North Luzon Expressway (NLEX)

II. Metro Manila Water and Sewerage System (MWSS) Privatization

III. Civil Registry System Information Technology (CRS-IT)

IV. Mandaluyong Public “Marketplace”
13
Sucess Stories: North Luzon Expressway
A. BACKGROUND
In the 1990s, the North Luzon

Expressway (NLEX), which is the main
transport corridor from Metro Manila
to Central and Northern Luzon, was
in a state of disrepair due to decades
of neglect. Population growth and
economic activity along the NLEX
corridor were putting a strain on the
expressway. Thus, rehabilitation and
modernization of NLEX was needed
to handle the 3.0 – 3.5 percent annual growth in transport demand in Central and
Northern Luzon.
Recognizing that modern and well-maintained roads are imperative to sustained

economic growth and competitiveness, the government invited the private sector to
undertake the rehabilitation, expansion, and modernization of NLEX.
B. PROJECT DESCRIPTION
The North Luzon Expressway (NLEX) runs from Balintawak, Quezon City to Sta.
Ines, Pampanga, with a total distance of 84 kilometers. The Expressway has 15
exits and interchanges: Balintawak Toll Plaza, Valenzuela Interchange, Meycauayan
Interchange, Marilao Interchange, Bocaue Toll Plaza, Bocaue Interchange, Tabang
Toll Plaza, Sta. Rita Interchange, Pulilan Interchange, San Simon Interchange, San
Fernando Interchange, Mexico Interchange, Angeles Interchange, Dau Toll Plaza,
and the Dau Interchange (MNTC, 2010).
The Project was undertaken under the Supplemental Toll Operation Agreement
(STOA) among the Republic of Philippines (through the Toll Regulatory Board), the
Philippine National Construction Corporation (PNCC), and the Manila North Tollways
Corporation (MNTC). At the end of the concession period, MNTC will transfer the
Project to the government without cost (Pascual, 2009).

C. TRANSACTION STRUCTURE
The MNTC was granted a concession to rehabilitate, expand, and operate the NLEX
under a public-private partnership (PPP) arrangement.
Proponent
• Manila North Tollways Corporation (MNTC)
14
Joint Venture Partners

• First Philippine Infrastructure Development Corporation (FPIDC)
− One of the leading infrastructure companies in the Philippines
• Philippine National Construction Corporation (PNCC)

− The original operator of both the North and South Luzon expressways
• Egis S.A. of France
− World’s largest toll road operator (over 6,000 km in managed toll
roads)
• Leighton Asia Ltd. Australia

− Australia’s largest construction company
The concession agreement was signed in June 1998 and will expire in December
2030. The NLEX was completed on time and within budget. Operation commenced
in February 2005. MNTC delegated operation of the tollway system to its operator,
Tollways Management Corporation.
The basic terms of the concession agreement are as follows:
• MNTC will assume the financing risk, i.e., finance the project without
government financial guarantee.
• MNTC will build the tollway and take full construction risk.
• MNTC will assume operation and maintenance risk, i.e., operate and
maintain the tollway for 30 years in accordance with government
standards with no government funding support.
• Government will not take on market risk, i.e., government will not bail
out MNTC if revenues are not sufficient.
• To recover the investment, MNTC will collect tolls based on the

authorized toll rates and the approved adjustment formula.
D. FINANCING OF THE PROJECT
Of the US$ 384 million total project cost, debt amounted to US$ 252.2 million. Debt
finance was raised on a limited recourse basis from international commercial banks,
multilateral financial institutions, and bilateral agencies during 2000-2001, in the wake
of the Asian financial crisis.
15
E. IMPACT
• Facilitated broader development of Clark Special Economic Zone,

Angeles City, and San Fernando areas.
• Facilitated development of the regional agriculture and industry.

• Improved road safety resulting from NLEX’s utilization of cutting-edge
communications and traffic management systems.
• Provided a safe, reliable and high-speed access to Central and

Northern Luzon.
• Decentralized economic activities from Metro Manila area.
REFERENCES:
•
Manila North Tollways Corporation. The NLEX Map. Retrieved September 2010, from http://www.mntc.com/NLEX/NLEX_map.htm
•
Pascual, S. (2009). Presentation—Case Study: PHI North Luzon Expressway ROT [Powerpoint presentation]. Retrieved September 2010,
from http://www.adbi.org/conf-seminar-papers/2009/02/05/2871.session.11.2.pascual.case.study.north.luzon.expressway/
16
Success Stories:
METRO MANILA WATER AND SEWERAGE SYSTEM PRIVATIZATION
A. BACKGROUND
Despite efforts, the MWSS has hardly

satisfied the needs of the consuming
public. The agency’s finances were
utterly lacking vis-à-vis the planned
expansion or modernization project
to serve an estimated population of
12,376,853,000 (1995 Census).
Many laws were promulgated for the

purpose of addressing the water crisis.
As a result of numerous legal issuances, the operation of the MWSS was privatized.
The responsibility to operate and improve waterworks system was passed on to the
two private consortia in conformity to the Concession Agreement. This contractual
agreement was entered into by the Republic of the Philippines through the MWSS
with the Maynilad Water Services Inc. (MWSI) for the West Zone and the Manila
Water Company, Inc. (MWCI) for the East Zone.
The East Zone covers the cities of Manila (except San Andres), Pasay, Paranaque,
Caloocan, Muntinlupa, Las Piñas and Valenzuela, parts of Makati and Quezon City,
including the municipalities of Navotas and Malabon. The West Zone, on the other
hand, includes Mandaluyong, Marikina, Pasig, Pateros, San Juan, Taguig, Makati and
parts of Quezon City and Manila. It also services Antipolo City and the Rizal towns of
Angono, Baras, Binangonan, Cainta, Cardona, Jala-jala, Morong, Pililia, Rodriguez,
Tanay, Taytay and San Mateo.
B. TRANSACTION STRUCTURE
The partnership is 25-year concession agreement with Maynilad Water Services Inc.
(MWSI) for the West Zone and the Manila Water Company, Inc. (MWCI) for the East
Zone. The agreement involves the concessionaire’s sole right to manage, operate,
repair, decommission, and refurbish the facilities in the service areas, including the
right to bill and collect for water and sewerage services provided in the service
areas. However, asset ownership remains with the MWSS. Concession procured/
constructed facilities shall likewise be turned-over to the MWSS at the end of the
concession period.
C. BIDDING
The pre-qualification of bidders was held in October 1996. After conducting the
evaluation of the technical and financial proposals submitted by the bidders, the East
Zone Area was awarded to the MWCI, while the West Zone Area was also awarded
to MWSI. (MWSS, 2004)
17
Success Stories:
METRO MANILA WATER AND SEWERAGE SYSTEM PRIVATIZATION
East Zone Proponent

• Manila Water Company, Inc. (MWCI)
− Joint venture between four companies with Ayala Corporation
holding majority control of the partnership. The other three
are foreign companies International Water Limited, United Utilities
and Mitsubishi Corporation.

West Zone Proponent
• Maynilad Water Services, Inc. (MWSI)
− Partnership of Benpres Holdings Corporation (BENPRES), and
Ondeo Water Services, Inc. (formerly Suez Lyonnaise de Eaux).
D. IMPACT
• Increased volume of delivered potable water supply and population to

be served
• Reduced incidence of water related diseases
• 24-hour uninterrupted water supply services
• Expanded water services coverage in both zones
• Reduced percentage of non-revenue water
• Increased numbers of fire hydrants services
• Infused around US$ 8.0 billion to the national economy
• Revenue for MWSS though concession fee payments
E. STATUS
The project is fully operational. Works are ongoing in the identified expansion areas.
REFERENCE:
•
Metropolitan Waterworks and Sewage System (2004). Frequently Asked Questions. Retrieved September 2010,
from http://www.mwssro.org.ph/faq.htm
18
Success Stories:
CIVIL REGISTRY SYSTEM INFORMATION TECHNOLOGY (CRS-IT)
A. BACKGROUND
In 1995, the National Statistics Office

(NSO) had already forecasted an
increase in demand for its services given
a projected 10.31 percent increase
in population from 1995 to 2000. In
early 2000, demand for issuance,
authentication, and certification of civil
registry documents increased to an
average of 10,000 to 12,000 requests
daily. Further, there was a significant
upward trend in the volume of statistical
reports required by other government institutions for their development programs.
In order to address the growing demand for NSO services, computerization was
considered to improve the civil registry system and the organization’s computing
abilities. Hence, the Civil Registry System Information Technology (CRS-IT) project
was developed.
The US$ 65 million multi-phase Build-Transfer-and-Operate (BTO) project involves

automation of the document copy issuance, authentication, and certification of civil
registry documents; conversion of over 120 million civil registry documents into digital
format; establishment of CRS outlets nationwide; building of a wide area network
infrastructure for the communication requirements of the CRS outlets; development
of application and support systems that will run the CRS, and the redesign of business
processes to support the CRS.
C. BIDDING
Eight companies pre-qualified for the project. After a thorough technical and financial
evaluation, Unisys Australia, Limited was declared the winning bidder.
Proponent
• Unisys Australia, Limited
− One of the largest worldwide information technology companies that
designs, builds, and manages mission-critical environments for
businesses and governments.
D. IMPACT
• Enhanced public service delivery through expeditious processing of
requests, shorter lines at the application and payment counters, and
improved facilities for the convenience of the public
• Minimized cases of falsification and fabrication of civil registry documents,

and eradicated fixers who take advantage of the public
• Addressed NSO’s vital statistics production backlog due to enhancement

of NSO’s computing resources and capabilities.
REFERENCE:
•
Unisys. Case Study: Republic of the Philippines National Statistics Office. Retrieved September 2010 from
http://www.unisys.com.ph/clients/national__statistics__office__case__study.htm
19
Success Stories:
MANDALUYONG CITY “MARKETPLACE”
A. BACKGROUND
Since the August 25, 1991 fire which

totally gutted Mandaluyong City’s
public market building, the 7,500
square meters of land remained idle and
unproductive. The consuming public
and the market vendors resorted to do
their buying and selling, respectively, in
the city streets and sidewalks resulting
to traffic congestion, pollution,
sanitation and health problems. In
view of this, the City Mayor, through the City Development Council, decided to build
a new public market through private sector participation. With the passage of RA No.
6957 (BOT Law), the city is the first local government unit to adopt the BOT concept
in infrastructure development.
The project was contracted under two (2) Build-Operate-and-Transfer (BOT)

arrangements that involved the development, financing and construction of a public
market, recreation, parking spaces and commercial complex. The development of a
seven-storey commercial complex called the “Marketplace” costing PHP 450 million
consists of the following:
Floor Features
Ground : Public market and street-front commercial spaces for banks,
grocery, pawnshop and service shops
1st and 2nd : Commercial shops and department stores such as eateries
and dry goods sections
3rd and 4th : 2-storey parking areas
5th : Bowling lanes
6th : 4 movie houses including fast foods, gymnasium, billiard

halls, amusement center and multi-purpose center
Proponents:
• Market Realty Development and Credit Funders Corporation &
Ironcon Builders
20
Success Stories: MANDALUYONG CITY “MARKETPLACE”
Special Purpose Company:

• Macro Funders and Development Corporation
- Business Consortium organized specifically for the project
Macro Founders and Developers, Inc. (MFD) was granted the two (2) BOT
contracts which involve the following:
• Build-and-Transfer (BT) Arrangement – MFD will build the market structure

and transfer its ownership to the city government. Mandaluyong City will
finance and construct 50 percent of the stalls inside the market and the
remaining 50 percent will be constructed by the stall owners through their
association. The city government collects the stall fees while the maintenance
and security of the public market are contracted out to MFD.
• Develop-Operate-and-Transfer (DOT) Arrangement – MFD is given the

right to develop the spaces above the public market, in exchange for building
the ground floor market structure. MFD will operate the commercial complex,
collects the revenues on the use of commercial spaces (without government
share but taxes) for a period of 40 years, after which the commercial complex
is transferred to the city government.
The public market was turned over to the city government for free in September
1993. The rest of the complex is being operated and managed by MFD under
a 40-year concession until it has recovered its investments and realize a
reasonable return in investments.
C. IMPACT
• The BOT arrangements provided a modern public market (was considered

the cleanest in Asia by the CNN TV station) at minimum cost to the city
government;
• Considerable income to government in terms of increased tax collections

not only in the Marketplace but also due to the growth of commercial
activities in the surrounding areas; and
• The value of the land in the vicinity has appreciated substantially.
21
PROJECT PROFILES
FOR 2011 ROLLOUT

List of PUBLIC-PRIVATE PARTERNSHIP PROJECTS: For 2011 Rollout
CALA EXPRESSWAY - CAVITE SIDE SECTION (27.5 KM)
DESCRIPTION
The project will provide vital access between various

economic zones in Cavite Province and NAIA, Manila
Port and Batangas Port, and contribute to the economic
development and decongestion of traffic along
Cavite roads, particularly Aguinaldo Highway. This is
the extension of the ongoing Manila-Cavite Coastal
Expressway Extension and ends at Silang, Cavite
Province. It is an at-grade expressway.
L = 27.5 km
No. of Lanes = 6 lanes
MODE IMPLEMENTATION SCHEDULE

PPP May 2012 to December 2015
PROJECT COST SPONSORING AGENCY
PhP11, 790 Million DPWH
(US$ 262 Million)
PROJECT STATUS
• Detailed Feasibility Study will start in December 2010 and will be completed in August 2011
• Expected date of Bidding /Tendering Schedule – December 2011
• Detailed Design and Construction Schedule – May 2012 – December 2015
CONTACT INFORMATION
Name : MARIA CATALINA CABRAL

Designation : Assistant Secretary
Agency : Department of Public Works and Highways
Telephone No. : (63 2) 304-3319
Fax No. : (63 2) 304-3033
Email Address : cabral.ma_catalina@dpwh.gov.ph
24
NAIA EXPRESSWAY (PHASE II)
DESCRIPTION
NAIA Expressway,
Phase 2
The project will link Skyway and Manila-Cavite Coastal
Expressway. It will provide vital access to NAIA Terminals
1, 2, and 3. Economic zones in Cavite Province will benefit
through easier and faster transportation of products to
NAIA as well as to Manila Port through this link and the
NLEX-SLEX Link Expressway.
L = 4.9 km

PPP November 2011 to September 2015
PhP10, 590Million DPWH
(US$ 235.33 Million)
PROJECT STATUS
• Feasibility Study completed in 2010
• Bidding/Tendering Schedule – May 2011
• Detailed Design and Construction Schedule – November 2011 to September 2015
CONTACT INFORMATION

Telephone No. : (63 2) 304-3319
Fax No. : (63 2) 304-3033
25
LRT LINE 2 EAST EXTENSION PROJECT

DESCRIPTION
The project involves the expansion, operation and

maintenance of existing LRT Line 2. Expansion covers
the construction of a 4 kilometer eastern extension of LRT
Line 2 from Santolan in Pasig City to Masinag Junction in
Antipolo, Rizal with additional 2 passenger stations to be
located at Sta. Lucia Mall and at Masinag.

PPP 2011 - 2014
PHP 11,300 Million DOTC/LRTA
(US$251.11 Million)
PROJECT STATUS
• Pre-FS on Manila LRT Line 2 Extension Project by JETRO completed in March 2010
• FS thru JICA technical assistance to reconfigure the project into PPP to commence in January 2011. FS will
validate extension options, scope of work and project costs
• PPP tender expected by 4th Quarter 2011
CONTACT INFORMATION
Name : RUBEN S. REINOSO, JR.

Designation : Undersecretary for Policy, Planning and Project Management
Agency : Department of Transportation and Communications
Telephone No. : (632) 723-1580
Fax No. : (632) 727-7948
Email Address : rsr@dotc.gov.ph; benny.reinoso@gmail.com
26
MRT/LRT EXPANSION PROGRAM: PRIVATIZATION OF LRT 1 OPERATION AND MAINTENANCE
DESCRIPTION
The project aims to integrate LRT Line 1 operation and

maintenance to a private sector service provider during
the interim period of 3-4 years. After this O&M period,
the LRT Line 1 South Extension Project contractor
is expected to assume overall responsibility for the
integrated LRT Line 1 and MRT Line 3 systems.

PPP 2011 - 2014
(US$171.11 Million)
PROJECT STATUS
• Due diligence review, contract packaging, preparation of bid documents of projects for PPP to be undertaken
by Systra, consultant for MRT 3
• Bidding for Interim O&M provider for LRT Line 1 by 2nd Quarter of 2011 with contract award by 4th Quarter of
2011
CONTACT INFORMATION

Telephone No. : (632) 723-1580
Fax No. : (632) 727-7948
27
MRT/LRT EXPANSION PROGRAM: PRIVATIZATION OF MRT 3 OPERATION AND MAINTENANCE
DESCRIPTION
The project aims to integrate MRT Line 3 operation and

maintenance to a private sector service provider during
the interim period of 3-4 years. After this O&M period,
the LRT Line 1 South Extension Project contractor
is expected to assume overall responsibility for the
integrated LRT Line 1 and MRT Line 3 systems.

PPP 2011 - 2014
(US$140 Million)
PROJECT STATUS
• Bidding for Interim O&M provider for MRT Line 3 by 2nd Quarter of 2011 with contract award by 4th Quarter of
2011
CONTACT INFORMATION

Telephone No. : (632) 723-1580
Fax No. : (632) 727-7948
28
MRT/LRT EXPANSION PROGRAM: LRT 1 SOUTH EXTENSION PROJECT

DESCRIPTION
The project involves the extension of the existing

15-kilometer LRT Line 1 system southward to Bacoor,
Cavite by additional 11.7 kilometers which includes 8
passenger stations with provision for 2 additional future
passenger stations, a satellite depot for light maintenance
to be located at the southern end of the proposed line,
and intermodal facilities installed at high-demand stations,
including the provision of additional rolling stocks to meet
the current demand and additional load requirements
once the MRT Line 3 and LRT Line 1 are integrated.

PPP 2011 - 2015
(US$1,555.55 Million)
PROJECT STATUS
• Bidding for Interim O&M provider for MRT Line 3 by 2nd Quarter of 2011 with contract award by 4th Quarter of
2011
CONTACT INFORMATION

Telephone No. : (632) 723-1580
Fax No. : (632) 727-7948
29
NEW BOHOL AIRPORT DEVELOPMENT
DESCRIPTION
The project involves the construction of a new airport of

international standards with 2,500m X 45m runway to
replace the existing Tagbilaran Airport.

PPP 2012 - 2014
PHP 7,600 Million DOTC/MIAA/CAAP
(US$168.89 Million)
PROJECT STATUS
• Updating of FS to reconfigure the project into PPP and validate project scope, costs and structure
• Preparation of bid documents under consideration for USTDA or Singapore assistance
• PPP bid by 2nd quarter of 2011 with contract award by 4th Quarter 2011
CONTACT INFORMATION

Telephone No. : (632) 723-1580
Fax No. : (632) 727-7948
30
PUERTO PRINCESA AIRPORT DEVELOPMENT
DESCRIPTION
The Project involves the rehabilitation/improvement of the

existing Puerto Princesa Airport to meet the standards
of the International Civil Aviation Organization (ICAO)
through the construction of new landside facilities in
the north western side of the existing runway such as
passenger terminal building, control tower, administration
and operation building, cargo terminal building, rescue
and fire fighting building and other support facilities, the
construction of new apron and connecting taxiways,
upgrading of the existing 2.6 km runway and its strip,
and the provision of new navigational and traffic control
equipment.

PPP 2012 - 2014
PHP 7,600 Million DOTC/MIAA/CAAP
(US$168.89 Million)
PROJECT STATUS
• Updating of FS to reconfigure the project into PPP and validate project scope, costs and structure
• Preparation of bid documents under consideration for USTDA or Singapore assistance
• PPP bid by 2nd quarter of 2011 with contract award by 4th Quarter 2011
CONTACT INFORMATION

Telephone No. : (632) 723-1580
Fax No. : (632) 727-7948
31
NEW LEGASPI (DARAGA) AIRPORT DEVELOPMENT
DESCRIPTION
The project involves the preparation of the detailed

engineering design, and construction of airport
facilities. It also includes land acquisition of about
180 hectares. Project components are the following:
Landside - Passenger Terminal, Cargo Building, Control
Tower, Administration Building, Vehicle Parking Area,
and other site development.

PPP 2012 - 2014
PHP 3,200 Million DOTC/CAAP
(US$71.11 Million)
PROJECT STATUS
• Updating of FS to reconfigure the project into PPP and validate project scope, costs and structure.
• Preparation of bid documents under consideration for USTDA assistance
• PPP bid by 1st quarter of 2011 with contract award by 4th Quarter 2011
CONTACT INFORMATION

Telephone No. : (632) 723-1580
Fax No. : (632) 727-7948
32
PRIVATIZATION OF LAGUINDINGAN AIRPORT OPERATION AND MAINTENANCE
DESCRIPTION
The project involves the privatization of the operation

and Maintenance of the Laguindingan Airport, Misamis
Oriental to reduce government expenditure and increase
current and future service levels of the airport.
The O&M through concession covers the newly

constructed airport on a 393-hectare property complete
Laguindingan with facilities of international standards. The airport can
Airport accommodate 1.2 million passengers per year based on
its Master Plan.

PPP 2011 - 2013
PHP 1,500 million DOTC/MIAA/CAAP
(US$33.33 Million)
PROJECT STATUS
• Preparation of business case and tender documents for the privatization of the airport operation under
consideration for USTDA assistance
• PPP bid by 2nd Quarter of 2011 with contract award by 4th Quarter 2012
CONTACT INFORMATION

Telephone No. : (632) 723-1580
Fax No. : (632) 727-7948
33
PROJECTS FOR THE
MEDIUM-TERM ROLLOUT
AND OTHER PPP PROJECTS

List of PPP PROJECTS:
For Medium-term Rollout and Other PPP Projects
BALOG-BALOG MULTIPURPOSE PROJECT, PHASE II (BBMP-II) JAL
DESCRIPTION
BATANES
ILOCOS
NORTE
APAYAO
CAGAYAN
REGION II
REGION I
ABRA
KALINGA
CAR
ILOCOS
SUR MT. PROVINCE
ISABELA
IFUGAO
LA UNION
BENGUET NUEVA
VIZCAYA
QUIRINO
PANGASINAN
AURORA
NUEVA
ECIJA
TARLAC
ZAMBALES
PAMPANGA
The project will provide irrigation water to 21,935 hectares

BULACAN
REGION III BATAAN

METRO
MANILA µ RIZAL
REGION V
NCR
of presently rainfed areas and mostly affected by the Mt.
CAVITE
LAGUNA CAMARINES
NORTE
QUEZON
BATANGAS
CATANDUANES
Pinatubo lahar deposit and supplemental water to 12,475

CAMARINES
SUR
BALOG-BALOG MARINDUQUE
ALBAY
MULTIPURPOSE
PROJECT – STAGE II
OCCIDENTAL
MINDORO
ORIENTAL
MINDORO
SORSOGON
hectares under the (2) existing irrigation system for a total

area of 34,410 hectares and generate 43.5 megawatt
ROMBLON NORTHERN SAMAR
REGION VIII
Tarlac Province MASBATE
EASTERN
SAMAR
REGION 4 SAMAR
AKLAN
CAPIZ
of hydro-electric power. It envisions the construction of
113.5-meter high rockfill dam across Bulsa River.
LEYTE
ANTIQUE
ILOILO
GUIMARAS
CEBU
REGION VI SOUTHERN
LEYTE
NEGROS BOHOL
OCCIDENTAL
SURIGAO
NEGROS DEL NORTE REGION XIII
PALAWAN ORIENTAL REGION VII (CARAGA)
SIQUIJOR CAMIGUIN AGUSAN
DEL NORTE
REGION X MISAMIS
SURIGAO
DEL SUR
ORIENTAL
MISAMIS
OCCIDENTAL
AGUSAN DEL SUR
BUKIDNON
ZAMBOANGA LANAO
REGION IX DEL NORTE
ZAMBOANGA
DEL NORTE DAVAO
DEL SUR LANAO DEL SUR
COMPOSTELA
VALLEY
NORTH COTABATO
REGION XII DAVAO
ORIENTAL
MAGUINDANAO
BASILAN SULTAN
KUDARAT DAVAO
DEL SUR
SOUTH COTABATO
SULU
SARANGANI
ARMM
TAWI-TAWI
REGION XI

PPP 2012 - 2019
PHP 18,457 Million National Irrigation Administration (NIA)
(US$ 410 Million)
PROJECT STATUS
Updating of Feasibility Study completed in May 2010
CONTACT INFORMATION
Name : MILO M. LANDICHO

Designation : Division Manager A
Agency : National Irrigation Administration
Telephone No. : (63 2) 926-7678
Fax No. : (63 2) 922-2328
Email Address : milo_landicho@yahoo.com
36
JALAUR RIVER MULTIPURPOSE PROJECT, STAGE II (JRMP-II)
DESCRIPTION
BATANES
ILOCOS
NORTE
APAYAO
CAGAYAN
REGION II
REGION I
ABRA
KALINGA
CAR
ILOCOS
SUR MT. PROVINCE
ISABELA
IFUGAO
LA UNION
BENGUET NUEVA
VIZCAYA
QUIRINO
PANGASINAN
AURORA
NUEVA
ECIJA
TARLAC
ZAMBALES
PAMPANGA
REGION III BATAAN

BULACAN
METRO
MANILA µ RIZAL
The project will provide irrigation water to 12,000 hectares
REGION V
NCR CAVITE
LAGUNA
QUEZON
CAMARINES
NORTE of new irrigation area supplemental water to 22,340
hectares under the (5) existing irrigation system for a total
BATANGAS
CATANDUANES
CAMARINES
SUR
BALOG-BALOG MARINDUQUE
area of 34,340 hectares, and generate 11.5 megawatt of

ALBAY
MULTIPURPOSE OCCIDENTAL
MINDORO
ORIENTAL
MINDORO
SORSOGON
PROJECT – STAGE II
Tarlac Province
ROMBLON
MASBATE
NORTHERN SAMAR
EASTERN
REGION VIII hydro-electric power together with domestic water supply
for the locality. It envisions the construction of 106-meter
SAMAR
REGION 4 SAMAR
AKLAN
CAPIZ
ANTIQUE
ILOILO
LEYTE
Jalaur hardfill dam and 46-meter Ulian hardfill dam and

REGION VI
GUIMARAS
CEBU
SOUTHERN
three catchdams including highline canal that would
connect these dams to the existing irrigation systems.
LEYTE
NEGROS BOHOL
OCCIDENTAL
SURIGAO
DEL NORTE
REGION X MISAMIS
SURIGAO
DEL SUR
ORIENTAL
MISAMIS
OCCIDENTAL
AGUSAN DEL SUR
BUKIDNON
ZAMBOANGA LANAO
REGION IX DEL NORTE
ZAMBOANGA
DEL NORTE DAVAO
COMPOSTELA
VALLEY
NORTH COTABATO
REGION XII DAVAO
ORIENTAL
MAGUINDANAO
BASILAN SULTAN
KUDARAT DAVAO
DEL SUR
SOUTH COTABATO
SULU
SARANGANI
ARMM
TAWI-TAWI
REGION XI

PPP 2012 - 2020
(US$ 338 Million)
PROJECT STATUS
Re-conduct of Feasibility Study completed May 2010
CONTACT INFORMATION

Telephone No. : (63 2) 926-7678
Fax No. : (63 2) 922-2328
37
TUMAUINI RIVER MULTIPURPOSE PROJECT MAT
DESCRIPTION
BATANES
ILOCOS
NORTE
APAYAO
CAGAYAN
REGION II
REGION I
ABRA
KALINGA
CAR
ILOCOS
SUR MT. PROVINCE TUMAUINI RIVER
MULTIPURPOSE
ISABELA
IFUGAO
LA UNION
BENGUET NUEVA
VIZCAYA
QUIRINO
PROJECT
PANGASINAN
Isabela
AURORA
NUEVA
The project area is located in the towns of Cabagan,

ECIJA
ZAMBALES TARLAC
PAMPANGA
BULACAN
REGION III BATAAN

METRO
MANILA µ RIZAL
REGION V Ilagan and Tumauini, province of Isabela. It will cover
NCR
the Tumauini Irrigation System, which has a total area
CAVITE
CAMARINES
LAGUNA
NORTE
QUEZON
BATANGAS
CATANDUANES
CAMARINES
of 6,600 hectares (designed area of 6,100 ha. and an

SUR
MARINDUQUE
ALBAY
additional area of 500 ha.).

OCCIDENTAL ORIENTAL SORSOGON
MINDORO MINDORO
ROMBLON NORTHERN SAMAR

MASBATE REGION VIII
EASTERN
SAMAR
REGION 4 SAMAR
AKLAN
CAPIZ
ANTIQUE LEYTE
The project involves the construction of an 81.00-m high

ILOILO
GUIMARAS
CEBU
REGION VI
NEGROS
OCCIDENTAL
BOHOL
SOUTHERN
LEYTE dam across the Tumauini River to impound the river run-
off and then release the water through the outlet works for
SURIGAO
irrigation supply. The available head from the reservoir will

DEL NORTE
REGION X MISAMIS
SURIGAO
DEL SUR
ORIENTAL
MISAMIS
also be used to generate 7 MW of hydroelectric power.

OCCIDENTAL
AGUSAN DEL SUR
ZAMBOANGA BUKIDNON
LANAO
REGION IX DEL NORTE
ZAMBOANGA DEL NORTE DAVAO
COMPOSTELA
VALLEY
NORTH COTABATO
REGION XII DAVAO
ORIENTAL
MAGUINDANAO
BASILAN SULTAN
KUDARAT DAVAO
DEL SUR
SOUTH COTABATO
SULU
SARANGANI
ARMM
TAWI-TAWI
REGION XI

PPP 2012 - 2018
TBD National Irrigation Administration (NIA)
PROJECT STATUS
Feasibility study to be updated
CONTACT INFORMATION

Telephone No. : (63 2) 926-7678
Fax No. : (63 2) 922-2328
38
MATUNO RIVER DEVELOPMENT PROJECT
DESCRIPTION
BATANES
ILOCOS
NORTE
APAYAO
CAGAYAN
REGION II
REGION I
ABRA
KALINGA
CAR
MATUNO RIVER
ILOCOS
SUR MT. PROVINCE
The Matuno River Development Project aims to utilize

ISABELA
IFUGAO
LA UNION
NUEVA
DEVELOPMENT
PROJECT
BENGUET
VIZCAYA
the water resources potential of the Matuno River and to

QUIRINO
PANGASINAN Nueva Vizcaya

promote agricultural development in the municipalities of
AURORA
NUEVA
ECIJA
TARLAC
ZAMBALES
PAMPANGA
REGION III BATAAN

BULACAN
METRO
MANILA µ RIZAL
Bagabag, Bambang, Bayombong, Solano and Villaverde.
REGION V
NCR CAVITE
LAGUNA
QUEZON
CAMARINES
NORTE Stage I of the proposed multi-purpose project aims to
promote agricultural development of an area of about
BATANGAS
CATANDUANES
CAMARINES
SUR
MARINDUQUE
13,690 hectares. It involves the construction of three (3)

ALBAY

MINDORO MINDORO
ROMBLON
MASBATE
NORTHERN SAMAR
EASTERN
REGION VIII diversion dams across the Magat, Matuno and Lanog
Rivers that could provide irrigation water to the service
SAMAR
REGION 4 SAMAR
AKLAN
CAPIZ
ANTIQUE
ILOILO
LEYTE
area through an irrigation canal system.

GUIMARAS
CEBU
REGION VI SOUTHERN
Stage II aims to provide sufficient irrigation water supply,

LEYTE
NEGROS BOHOL
OCCIDENTAL
SURIGAO
PALAWAN REGION VII (CARAGA)
power generation and flood control. It involves the
ORIENTAL
DEL NORTE
REGION X MISAMIS
SURIGAO
DEL SUR
construction of a 147 meter-high dam across Matuno

ORIENTAL
MISAMIS
OCCIDENTAL
AGUSAN DEL SUR
River with a 6-kilometer tunnel connected to the

BUKIDNON
ZAMBOANGA LANAO
REGION IX DEL NORTE
180-megawatt power plant in the Bayombong foothills.

COMPOSTELA
VALLEY
NORTH COTABATO
REGION XII DAVAO
ORIENTAL
The flood control capacity of the reservoir will minimize

MAGUINDANAO
BASILAN SULTAN
KUDARAT DAVAO
DEL SUR
flood damages in the project area.

SOUTH COTABATO
SULU
SARANGANI
ARMM
TAWI-TAWI
REGION XI

PPP 2012 - 2022
PROJECT STATUS
CONTACT INFORMATION

Telephone No. : (63 2) 926-7678
Fax No. : (63 2) 922-2328
39
ILOCOS NORTE IRRIGATION PROJECT-STAGE II (INIP-II)

(PALSIGUAN RIVER MULTIPURPOSE PROJECT) PHI
ILOCOS NORTE
IRRIGATION
DESCRIPTION
PROJECT STAGE II BATANES
PALSIGUAN
IRRIGATION
PROJECT
Ilocos Norte and
ILOCOS
The proposed project entails the construction of a 143.5

NORTE
APAYAO
Abra REGION II
CAGAYAN
ABRA
REGION I
meter high fill type dam across the Palsiguan River in the
KALINGA
CAR
ILOCOS
SUR MT. PROVINCE
province of Abra.
ISABELA
IFUGAO
LA UNION
BENGUET NUEVA
VIZCAYA
QUIRINO
PANGASINAN
AURORA
A 6,150-meter-long headrace tunnel leading to an

NUEVA
ECIJA
ZAMBALES TARLAC
PAMPANGA
REGION III BATAAN

BULACAN
METRO
MANILA µ RIZAL
underground power plant that would generate 36
REGION V
NCR CAVITE
LAGUNA
QUEZON
CAMARINES
NORTE
MW in Nueva Era, Ilocos Norte would be constructed.
Water releases from the turbines would be conveyed
BATANGAS
CATANDUANES
CAMARINES
SUR
MARINDUQUE
by a 2,950-meter tailrace tunnel to a 45.5-meter high

ALBAY

MINDORO MINDORO
ROMBLON
MASBATE
NORTHERN SAMAR
EASTERN
REGION VIII concrete gravity afterbay dam for irrigation of 12,400 ha,
supplemental irrigation of Stage I area, and generation of
SAMAR
REGION 4 SAMAR
AKLAN
CAPIZ
ANTIQUE
ILOILO
LEYTE
6.8 MW of power.
GUIMARAS
CEBU
REGION VI SOUTHERN
An overall area of about 19,640 ha will be irrigated by the

LEYTE
NEGROS BOHOL
OCCIDENTAL
SURIGAO
PALAWAN REGION VII (CARAGA)
project including Stage I. Municipalities that will benefit
ORIENTAL
DEL NORTE
REGION X MISAMIS
SURIGAO
DEL SUR
from the project are Badoc, Pinili, Nueva Era, Batac,

ORIENTAL
MISAMIS
OCCIDENTAL
AGUSAN DEL SUR
Solsona and Cura in Ilocos Norte and Sinait in Ilocos Sur.

ZAMBOANGA BUKIDNON
LANAO
REGION IX DEL NORTE
COMPOSTELA
VALLEY
NORTH COTABATO
REGION XII DAVAO
ORIENTAL
MAGUINDANAO
BASILAN SULTAN
KUDARAT DAVAO
DEL SUR
SOUTH COTABATO
SULU
SARANGANI
ARMM
TAWI-TAWI
REGION XI

PPP 2012 - 2018
PROJECT STATUS
CONTACT INFORMATION

Telephone No. : (63 2) 926-7678
Fax No. : (63 2) 922-2328
40
PHILIPPINE DAIRY DEVELOPMENT PROJECT (PHILMILK)

Dairy Breeding Farm
DESCRIPTION
Milk Testing Center
Dairy Management Center
Milk Vending Units The project consists of 4 major components detailed as
follows:
1. Operation of Dairy Breeding Farms (DBF)
Ten (10) DBFs will be established nationwide- 3 DBFs

each in Luzon and Visayas and 4 DBFs in Mindanao.
Each DBF consists of 100-300 heads of dairy crosses
managed in a Philippine farm using NDA techniques.
These farms shall be the primary sources of local-born
dairy animals for eventual distribution in areas suitable for
dairy.
2. Setting up and Deployment of 2,000 Milk Vending

Units in Metropolitan Cities under Franchising
3. Operation of Milk Testing Center in major air/sea ports
4. Operation of Dairy Management Centers

PPP 2011 - 2020
PHP 1,790 Million National Dairy Authority (NDA)
(US$ 39 Million)
PROJECT STATUS
In a project concept stage; preparation of Feasibility Study is ongoing; farm testing is ongoing, as well
CONTACT INFORMATION
Name : RENE MARTIN DE GUZMAN

Designation : Department Manager, Planning & MIS Department
Agency : National Dairy Authority
Telephone No. : (63 2) 928-8681
Fax No. : (63 2) 928-8681
Email Address : reguz@yahoo.com
41
ORGANIC RICE FARMING PROGRAMME INTE
DESCRIPTION
The DA through the Philippine Agricultural

Development and Commercial Corporation (PADCC)
seeks to intensify the implementation of programs on
food security through agricultural investments. The
program’s campaign includes that 10,000 hectares
rainfed areas planted with certified seeds employing
the conventional rice farming techniques will be
converted into organic farms. Rainfed areas are the
primary target, firstly to gain substantial savings in
production costs, secondly to increase the productivity
level of those areas and increase the physical area for
irrigated fields with organically grown rice.
Fixed capital includes development of small water

impounding projects, reservoir, common service
facilities, warehouses and organic fertilizer production
centers. Working capital includes expenses for
production of organic fertilizers and certified seeds and
purchase of other farm inputs.
Priority areas: Cagayan, Nueva Ecija, Bulacan, Tarlac,

Quezon, Iloilo, Negros Oriental, Bohol, Agusan del Sur,
North Cotabato.

PPP-Build and Transfer 2011 - 2015
PHP 2.2 Billion Department of Agriculture
(US$ 49 Million)
PROJECT STATUS
Project concept has been drafted; Technical inputs from DA-Rice Program and PhilRice have been integrated; Validation
of target areas will be underway once budget for conduct of feasibility study will be ready
CONTACT INFORMATION
Name : MR. MARRIZ B. AGBON

Designation : President
Agency : DA-Philippine Agricultural Development and Commercial Corporation
Telephone No. : (63 2) 926-5446
Fax No. : (63 2) 926-7976
Email Address : marriz.agbon@gmail.com
42
INTEGRATED AGRI-FOOD PARK
DESCRIPTION
The idea of having a one-stop venue for a centralized

agricultural business from production, consolidation,
processing, distribution and marketing can be best
catered in establishing an integrated agri-food park.
The integrated agri-food park shall gear towards

(a) generation of additional agri-industrial economic
activities;
(b) promotion of trade through exports of goods and

services;
(c) promotion on putting in of investment from domestic

and foreign sources;
(d) creation of additional employment opportunities;
(e) development of more infrastructure facilities;
Priority locations: Calamba City, Laguna; Sto. Tomas,

Batangas; and Davao City.

PPP-Build-own-and operate 2011 - 2015
PHP 2.83 Billion Department of Agriculture
(US$ 63 Million)
PROJECT STATUS
Project concept has been drafted; Technical inputs from DA-RFU IV-A and DA-PDS have been integrated; Validation of
target areas will be underway once budget for conduct of feasibility study will be ready
CONTACT INFORMATION
Name : MR. MARRIZ B. AGBON

Agency : DA-Philippine Agricultural Development and Commercial Corporation
Telephone No. : (63 2) 926-5446
Fax No. : (63 2) 926-7976
Email Address : marriz.agbon@gmail.com
43
AGRICULTURAL COMMODITY EXCHANGE SYSTEM (ACES)

ENHANCED ELECTRONIC TRADING SYSTEM FOR CORN (EETS-CORN) CON

DESCRIPTION
The EETS for Corn is a web-based commodity trading,

information exchange and clearing house system that
would help corn sellers link with their markets at the right
place and time, for better prices. This network of trading
centers linked electronically with each other through the
internet also provides a venue for the corn sellers to have
alternative markets for their produce, as well as access
to market data.
Further, the EETS-Corn provides a liquidity mechanism

to accredited corn farmers, with NFA initially procuring
deposited stocks at pre-determined prices (close to
market) while they are waiting for buyers. Bids can be
transmitted electronically via internet and transactions
done in near real time. This electronic system could also
promote transparency and provide a credible monitor of
prices and market trends.

PPP 2011
PHP 850 Million National Food Authority (NFA)
(US$ 19 Million)
PROJECT STATUS
After the EETS’ set-up in June 2009, the necessary support systems, both soft-and-hardware have been developed. In
the same manner, corn buyers have direct access to available supply and price information on corn deposits of participat-
ing corn sellers and eventually fill their requirements. NFA’s buying price is P12.30/kg for Class A and P10/kg for Class B
yellow corn grains.
CONTACT INFORMATION
Name : MA. MERCEDES G. YACAPIN

Designation : Department Manager III
Agency : National Food Authority
Telephone No. : (63 2) 455-7819
Fax No. : (63 2) 929-2931
Email Address : mercy_g_yacapin@yahoo.com
44
CONTRACT FARMING

DESCRIPTION
An improved and modified version of the Corporate

Farming Program, this can be an income-generating
and cost-cutting option for NFA. At present, NFA can
link-up with farmer cooperatives or organizations under
a contract-growing arrangement to produce—not only
for buffer stocking but even for profit—high-value and
ordinary rice, and/or corn varieties.
NFA can also partner-up with private corporations under a

produce-sharing arrangement, with private corporations
putting-up funds for farm inputs and capital expenditures.
NFA can also partner-up with penal colonies and other
government institutions with adjoining rice lands, under
a produce-sharing arrangement. With these contract-
farming arrangements, high value rice varieties can
be produced, enabling NFA to sell organic, brown and
premium rice.

PPP 2011
PHP 5.0 Million National Food Authority (NFA)
(US$ 0.11 Million)
PROJECT STATUS
On packaging stage
CONTACT INFORMATION
Name : MA. MERCEDES G. YACAPIN

Designation : Department Manager III
Agency : National Food Authority
Telephone No. : (63 2) 455-7819
Fax No. : (63 2) 929-2931
Email Address : mercy_g_yacapin@yahoo.com
45
INTEGRATED LUCBAN LONGGANISA PROCESSING PROJECT
DESCRIPTION
Establishment of common facilities for manufacturing on

Longganisang Lucban. The project will ensure the quality
LUCBAN and hygiene of the product since all the associations
will be using the same facilities. It will be equipped with
quality equipment. Longganisang Lucban is one the
province trademarks.
QU
EZ
ON

PPP 2011 - 2015
PHP 15 Million Department of Agriculture- Region IV-A
(US$ 0.33 Million)
PROJECT STATUS
There are already existing longganisang Lucban manufactures associations. Longganisa is the OTOP of Lucban,
Quezon.
CONTACT INFORMATION
Name : ENGR. ABELARDO R. BRAGAS

Designation : Regional Executive Director
Agency : Department of Agriculture- Region IV-A
Telephone No. : (63 2) 928-3712
Fax No. : (63 2) 928-4132
Email Address : redabragas@yahoo.com
46
AQUACULTURE/MARICULTURE PROJECT
POLILLO DESCRIPTION
ISLAND
PEREZ
Mariculture park is an area in the sea covering 500
TAGKAWAYAN hectares or more. It has communal storm-resistant
mooring system and boundary markers. It is subdivided
into individual “farm plots” for fish cage operations,
seaweed farming and other marine aquaculture activities.
The operator of investor will choose an aquaculture
project. Proposed areas are Tagkawayan, Padre Burgos,
Perez and Polillo Island.
QU
EZ
PADRE BURGOS
ON

PPP 2011 - 2015
PROJECT COST
PHP 50 Million Department of Agriculture- Region IV-A
(US$ 1.1 Million)
PROJECT STATUS
There are already two (2) declared mariculture sites in the province: Tagkawayan and Padre Burgos. The areas are now
open for investors.
CONTACT INFORMATION
Name : ENGR. ABELARDO R. BRAGAS

Designation : Regional Executive Director
Agency : Department of Agriculture- Region IV-A
Telephone No. : (63 2) 928-3712
Fax No. : (63 2) 928-4132
Email Address : redabragas@yahoo.com
47
KABULNAN-2 MULTI-PURPOSE IRRIGATION AND POWER PROJECT
DESCRIPTION
B AT ANE S
ILO CO S
NO R TE
A PA YAO
CAG AY AN
RE GI ON I I
AB RA
REG I ON I K AL IN GA
C AR
IL OC OS
SUR MT. P RO VINC E
IS AB ELA
IF UG AO
LA U NION
BE NG UET N UE VA
V IZ CAY A
QU IR INO
P ANG AS INAN
NU EV A AU RO R A
TAR LA C E CIJA
The project will provide irrigation water to 19,330

ZAM BAL ES
P AMP ANG A
BU LA CAN
REG I ON I II BA TAA N
NC R
ME TR O µ
MA NILA
C AV IT E
RIZAL
R EGI O N V hectares of new rice areas and supplemental water to
11,000 hectares under the existing irrigation system (in
C A MA R I N E S
LA GU NA
N ORT E
Q UE ZON
BA TA NG AS CA TA ND UAN ES
C AMA RINE S
Sultan Kudarat and Maguindanao). It also intends to

SU R
M AR IN DU QU E
AL BAY
provide quality/dependable water for domestic use and

O CCID EN TAL O RIEN TAL SO R SOG O N
MIN DO RO MIND OR O
R OMB LO N NO RT HE RN S AMA R
generate 110 MW of hydro-electric power. It shall have

MA SB ATE REG I ON VI I I
S AMAR EA STE RN
SAM AR
REG IO N 4
A KLA N
C APIZ the following components: (1) Irrigation development; (2).
Power generation; (3) Fisheries development; (4) Flood
LE YT E
AN TIQU E
ILO IL O
G UIMA RA S
control/drainage system; (5) Road/Bridge system; and (6)

CE BU
SOU TH ER N
R EGI O N VI LEY TE
N EG RO S
Reforestation/watershed management. It envisions the

OC CIDE NT AL BO HO L
S UR IG AO
NE GR OS DE L NO RTE R EGI O N X II I
PA LA WA N
OR IENT AL R EGI O N V II (CA RAG A)
construction of 80-meter high zoned-earthfill dam across

SIQ UIJO R C AMIG UIN AG US AN
DE L NO RT E
R EGI O N X M IS AMIS
SU RIG AO
DE L SUR
OR IE NT AL
Maganoy River.
MIS AMIS
OC CIDE NTA L
A GU SAN D EL S UR
BU KID NO N
ZA MBO AN GA L AN AO
KABULN AN-2 REG IO N IX DE L NO RTE Z AMBO AN GA

D EL SU R
DE L NO RT E
LAN AO D EL S UR
D AV AO
MULTIPURPOSE NO RT H CO TA BA TO
C OM PO STE LA
VA LLE Y
R EG IO N X I I
IRRIGATION AND
DA VA O
OR IENT AL
MAG UIND AN AO
POWER PROJECT B AS IL AN
SU LTA N
K UD AR AT DA VA O
Isulan, Sultan Kud arat

DE L SUR
S OU TH C OT AB ATO
S ULU
S AR AN GA NI
ARMM
TA WI-T AWI
REG I ON XI
PROJECT LOCATION MAP

PPP 2011 - 2018
(US$ 319 Million)
PROJECT STATUS
Feasibility Study done by NIA last April 2007. NIA will be updating the project cost together with the financial analysis
this September 2010. The project may be considered for promotion of peace and order in the area.
CONTACT INFORMATION

Telephone No. : (63 2) 926 76 78
Fax No. : (63 2) 922 23 28
48
ESTABLISHMENT OF COLD CHAIN SYSTEMS COVERING STRATEGIC

AREAS IN THE PHILIPPINES

DESCRIPTION
The project will establish f systems consisting of common

service facilities with marketing support in the following
routes: (1) Benguet-Manila; (2) Cagayan-Manila; (3) Visayas
Inter-Island; and (4) Mindanao-Cebu-Manila. These will
reduce postharvest losses, maintain an inventory of quality
perishable goods, promote direct marketing, stabilize
prices and promote food safety consciousness. The major
components are: (1) Organization of key players in the food
supply chain; (2) Setting-up of distribution systems using
appropriate cold chain technologies; and (3) Capacity
building.
Project Locations/Areas of Influence:

1. Benguet-Manila Route (for the vegetable production
areas in Benguet, for transport to Metro Manila)
2. Cagayan-Manila Route (for the fishery, fruit and
vegetable production areas in Cagayan, Isabela and
Nueva Vizcaya, for transport to Metro Manila)
3. Visayas Inter-Island Connections (for the fishery,
fruit and vegetable production areas in all Visayas
Regions, for transport mainly to Metro Cebu)
4. Mindanao-Cebu-Manila Route (for the fishery, fruit
and vegetable production areas in various Mindanao
Regions, for transport mainly to Metro Cebu, and/then
to Metro Manila)

PPP (No Specific Date)
PHP 5,300 Million PhilMech/PFDA
(US$ 117 Million)
PROJECT STATUS
Project concept only; no full-blown project proposal/FS yet (PHILMEC was advised to complete project proposal by
October 2010, for possible submission to NEDA-ICC)
CONTACT INFORMATION
Name : RICARDO L. CACHUELA

Designation : Executive Director
Agency : Philippine Center for Postharvest Development and Mechanization (PhilMech)
CLSU, 3120 Muñoz, Nueva Ecija
Telephone No. : (044) 456-0213; (044) 456-0110; (044) 927-4029
Email Address : execdir@bpre.gov.ph
49
ESTABLISHMENT OF GRAINS CENTRALS WITH BULK HANDLING FACILITY
DESCRIPTION
The project will establish efficient integrated grains

postharvest and bulk handling facilities and services that
will cover all rice and corn postharvest activities including
marketing. These will be put up in major seaports (for the
bulk handling facilities) and priority rice/corn production/
consolidation/demand areas nationwide (for the other
services). The major components are:
(1) Rice Processing/Trading Centers w/Bulk Handling

Facilities/Logistics Support;
(2) Development of Grain Bulk Handling System for
Corn; and
(3) Establishment of Rice Production and Postharvest
Facility Service Centers for Irrigators Associations
(IAs) in the 49 priority rice production areas.

PHP 2,031.21 Million PhilMech
(US$ 45 Million)
PROJECT STATUS
CONTACT INFORMATION

Telephone No. : (044) 456-0213; (044) 456-0110; (044) 927-4029
50
LOGISTICS SUPPORT ON THE AGRI-FISHERY PRODUCTS SUPPLY CHAIN

(TRANSPORTATION OF AGRI-FISHERY PRODUCTS UTILIZING THE SOUTHRAIL MAIN LINE)
DESCRIPTION
The project is expected to reduce postharvest losses in vari-

ous agri-food commodities (grains, fruits, vegetables, meat
and fisheries products) and make efficient food transport
and handling facilities/services in Albay, Camarines Sur,
Quezon, Laguna, and NCR. The major components are:
(1) Establishment of handling (loading/unloading) in Railway
Terminals; and (2) Establishment of Consolidation Centers,
Transport & Storage Facilities and other Infrastructure.
Project Locations/Areas of Influence:
Production areas:
The Bicol Region, specifically Camarines Sur and Albay, as
well as Quezon and Laguna Trading and other consolida-
tion centers: to be set up near the train stations with the
necessary infrastructure support to facilitate for the efficient
loading of goods
Target markets:
to be transported to trading centers in Alabang, Blumentritt
and Divisoria Markets.

PHP 1,500 Million PhilMech
(US$ 33 Million)
PROJECT STATUS
CONTACT INFORMATION

Telephone No. : (044) 456-0213; (044) 456-0110; (044) 927-4029
51
C-5/FTI/SKYWAY CONNECTOR
DESCRIPTION
The project will provide direct access to Food Terminal

Inc. (FTI) from both Skyway and C-5 in order for FTI to be
revitalized. At present, activities in FTI are depressed due
to poor access. Once accessibility is provided, FTI can
be developed as one of the advanced commercial and
residential centers.
L = 3.0 km
Total Length = 6.8 km (including ramps)
No. of Lanes = 2 lanes to 4 lanes

PPP Mid 2012 - Mid 2015
PHP 5,640 Million DPWH
(US$125.33 Million)
PROJECT STATUS
• Feasibility Study completed in 2006
• Detailed Design already completed (August 2010) - under review by the Bureau of Design, DPWH
• Bidding/Tendering Schedule – 3rd Quarter 2011
• Detailed Design and Construction Schedule – 2012 – 2015
CONTACT INFORMATION

Telephone No. : (63 2) 304-3319
Fax No. : (63 2) 304-3033
52
CALA EXPRESSWAY - LAGUNA SIDE SECTION (14.3 KM)
DESCRIPTION
The project will provide vital access between various

economic zones in Cavite Province and NAIA, Manila
Port and Batangas Port, and contribute to the economic
development and decongestion of traffic along Cavite
roads, particularly Aguinaldo Highway and Governor’s
Drive. It is the continuation of CALA Expressway-Manila
Side Section and to be connected with SLEX at Calamba,
Laguna Province. It is an at-grade expressway.
L = 14.3 km.

PPP 2013 - 2015
PROJECT STATUS
• Feasibility Study undertaken in 2006 and to be updated in 2011. Expected completion of feasibility study
updating – end of 2011
• Expected Bidding/Tendering Schedule – 1st Quarter of 2012
• Detailed Design and Construction schedule – 2013 - 2015
CONTACT INFORMATION

Telephone No. : (63 2) 304-3319
Fax No. : (63 2) 304-3033
53
C-6 EXPRESSWAY (GLOBAL CITY LINK) - SOUTH SECTION
DESCRIPTION
The C-6 Expressway will function as a distributor of traffic

coming from expressways in the north and south to the
appropriate location in Metro Manila. The project will
also contribute to sound urban development of Rizal and
Bulacan provinces. The project will start from NLEX at
Bocaue/Marilao boundary and will traverse Sta. Maria,
San Jose del Monte, Rodriguez, San Mateo, Antipolo,
Taytay and Taguig, and connect with Skyway at Bicutan.
A Global City Link is a branch of C-6 Expressway and
will provide vital access to the mega commercial and
business center of Global City.
L = 50.0 km


PPP 2013 - 2016
PHP 40,400.00 Million DPWH
PROJECT STATUS
• Pre-feasibility Study was conducted in 2008
• Feasibility Study will be undertaken starting January 2011 and to be completed in October 2011
• Bidding/Tendering Schedule – 1st Quarter 2012
• Detailed Design and Construction – 2013 – 2016
CONTACT INFORMATION

Telephone No. : (63 2) 304-3319
Fax No. : (63 2) 304-3033
54
CENTRAL LUZON EXPRESSWAY (CLEX) - PHASE II, CABANATUAN-SAN JOSE
DESCRIPTION
The project is an extension of CLEx Phase I and will

connect Cabanatuan City and San Jose City in Nueva Ecija
Province. It will contribute to the development of regional
growth centers so as to decrease overconcentration in
Metro Manila of socio-economic activities. The project
will also provide faster and safer access to Region II.
For PPP: O&M of CLEx Phases 1 and 2, including

construction of Phase 2.
The Phase I (Tarlac-Cabanatuan) will be implemented

through ODA
L = 35.7 km

PPP TBD
(US$315.55 Million)
PROJECT STATUS
• Feasibility Study was completed in January 2010
• Will be decided after completion of Phase I (Tarlac-Cabanatuan Section)
• Tentative Schedule of Implementation – 2015 onwards
CONTACT INFORMATION

Telephone No. : (63 2) 304-3319
Fax No. : (63 2) 304-3033
55
SLEX EXTENSION (TO LUCENA CITY), 2-LANE CAL
DESCRIPTION
The project is an extension of the existing SLEX from

Sto. Tomas, Batangas Province to Lucena City, Quezon
Province. It is a vital link that will provide access to
Quezon Province as well as Region V. It is expected
to contribute to socio-economic development of areas
traversed and Region V. It will also decongest traffic at
Daang Maharlika.
L = 47.8 km

PPP 2013 - 2016
PHP 9,500.00 Million DPWH/
(US$211.11 Million) SLTC (private proponent)
PROJECT STATUS
• SLTC announced to start Detailed Design in 2010
• SLTC to finance, design, construct, operate, and maintain the project and turn it over to the Government after
concession agreement
• Government to issue Supplemental Toll Operation Agreement (STOA) to SLTC to operate the facility as a toll
road by collecting tolls to recover its investment with the agreed rate of return
CONTACT INFORMATION

Telephone No. : (63 2) 304-3319
Fax No. : (63 2) 304-3033
56
CALAMBA – LOS BAÑOS EXPRESSWAY
DESCRIPTION
The project is expected to vitally support tourism

development of Los Baños and its nearby tourism spots,
and contribute to the decongestion of the national road.
The road project will branch off from SLEX at Calamba
and pass through Los Baños City and end at Bay. It is
proposed to be a combined structure of a flood control
dike along Laguna de Bay and a highway, thus two (2)
purposes will be achieved.
L = 15.5 km

PPP 2014 - 2016
PROJECT STATUS
• Business Case Study was undertaken in 2008
• Bidding/Tendering Schedule – 1st Quarter, 2013
• Detailed Design and Construction Schedule – 2014 - 2016
CONTACT INFORMATION

Telephone No. : (63 2) 304-3319
Fax No. : (63 2) 304-3033
57
R-7 EXPRESSWAY MR
DESCRIPTION
The project will be constructed over one of the most

heavily congested corridors in Metro Manila, namely
Quezon Avenue and Don Mariano Marcos Avenue. It will
connect Quezon City and Manila City with a high speed
transport facility, thus decongest traffic of at-grade road.
It will be a partially elevated and partially underground
expressway.
L = 16.1 km

PPP 2016 - 2018
PROJECT STATUS
• Conceptual Stage
• Detailed Design and Construction Implementation Schedule- 2016 - 2018
CONTACT INFORMATION

Telephone No. : (63 2) 304-3319
Fax No. : (63 2) 304-3033
58
MRT/LRT EXPANSION PROGRAM: COMMON TICKETING SYSTEM PROJECT

DESCRIPTION
The project aims to integrate the fare collection system

of the existing MRT 3 and LRTA railway lines. It involves
the bid + financing of the automatic fare collection system
for the 3 urban rail lines, including provisions for out-of-
station point-of-sales.

PPP-Bid+Financing 2011 - 2012
PHP 330 Million DOTC/LRTA
(US$7.33 Million)
PROJECT STATUS
• Bidding for Common Ticketing System by 1st Quarter of 2011 with contract award by 4th Quarter of 2011
CONTACT INFORMATION

Telephone No. : (632) 723-1580
Fax No. : (632) 727-7948
59
KALIBO AIRPORT UPGRADING
DESCRIPTION
The project involves an expanded new Kalibo Airport

Terminal Building that has wider spaces for pre-departing
passengers and also a spacious arrival lobby and
concessions area that will address the present needs
brought by the influx of both local and foreign tourists.
The design concept shall adopt the culture in the area
and will take advantage of the fresh air and ventilation.
The pre-departure area and arrival area shall be open
to traverse the free flow of fresh air but will be located
in a safer portion of the building. The respective area
allocation will be determined in the final design.

PPP 2012 - 2015
TBD MCIAA
PROJECT STATUS
• Feasibility study and master plan preparation through KOICA assistance commenced in September 2010 for
completion by August 2011
• Preparation of business case and bid documents for PPP will be undertaken by 4th Quarter of 2011
• PPP bid by 1st Quarter of 2012 with contract award by 4th Quarter 2012
CONTACT INFORMATION

Telephone No. : (632) 723-1580
Fax No. : (632) 727-7948
60
NAIA TERMINAL 3 UPGRADING AND FULL OPERATIONALIZATION

DESCRIPTION
The project involves the conduct of airport systems

assessment; required rehabilitation/upgrading works and
implementation of corrective structures, systems and
facilities for the full operation of NAIA Terminal 3; and the
interim O&M services to be undertaken by the private
sector.

PPP 2011 - 2013
PHP 2,200 million DOTC/CAAP
(US$48.89 Million)
PROJECT STATUS
Preparation of scope of work for the airport systems consultant, contractor and interim operator ongoing and rehabilita-
tion/upgrading works targeted for completion by end 2011 with 2 foreign airlines operating at NAIA 3 by mid-2011
CONTACT INFORMATION

Telephone No. : (632) 723-1580
Fax No. : (632) 727-7948
61
PRIVATIZATION OF NAIA AND DMIA DEVELOPMENT PRI
DESCRIPTION
The project involves the privatization of the Ninoy Aquino

International Airport (NAIA) and Diosdado Macapagal
International Airport (DMIA) to absorb future growth and
eventually take up its role as the main gateways to the
Philippines.

PPP 2012 - 2015
TBD DOTC/MIAA/CIAC
PROJECT STATUS
• Development of implementation policy framework and strategy for NAIA and DMIA Airports and rail link to pro-
ceed under JICA assistance commencing in November 2010
• PPP bid to be undertaken in 2012

Telephone No. : (632) 723-1580
Fax No. : (632) 727-7948
62
PRIVATIZATION OF NORTHRAIL OPERATION AND MANAGEMENT
DESCRIPTION
The project involves the operation and maintenance of a

newly constructed Northrail on 76.1-km railway line from
Caloocan City in Manila to the Clark Freeport Zone in
Pampanga.

PPP 2012 - 2015
TBD DOTC/NLRC
PROJECT STATUS
• The project is ongoing but the project scope, costs and construction contract under review
• A new project configuration may be proposed with project components that can be implemented through PPP
identified (e.g. O&M, additional rolling stocks, etc). PPP bid to be undertaken in 2012
CONTACT INFORMATION

Telephone No. : (632) 723-1580
Fax No. : (632) 727-7948
63
DEVELOPMENT OF NATIONAL MOTOR VEHICLE INSPECTION AND MAINTENANCE PROGRAM DEV

DESCRIPTION
The project covers the development and operation of a

nationwide computerized motor vehicle inspection sys-
tem.

PPP 2012 - 2015
TBD DOTC/LTO
PROJECT STATUS
• Study on development of National Motor Vehicle Inspection and Maintenance Program to commence by
4th quarter of 2010. The study aims to :
• Determine the overall feasibility of implementing a sustainable National Motor Vehicle Inspection
and Maintenance Program and prepare a corresponding strategic development plan detailing
the action steps for the viable program design
• Enhance the overall capacity of DOTC and LTO in managing the implementation of the future
National Motor Vehicle Inspection and Maintenance Program and the existing and soon-to-be
completed improved MVIS facilities in the country
• Identify the most suitable private sector participation scheme/contractual arrangement for the
implementation and operation of the project (e.g., Joint Venture, Build-Operate-Transfer, etc.)
CONTACT INFORMATION

Telephone No. : (632) 723-1580
Fax No. : (632) 727-7948
64
M DEVELOPMENT OF NEW CEBU PORT
DESCRIPTION
The project aims to develop a new container and

multipurpose terminal at a new site in Mandaue City to
expand port capacity in handling container traffic.

PPP 2012 - 2015
TBD DOTC/CPA
PROJECT STATUS
Feasibility Study will be proposed to JICA for technical assistance. Preparation of business case and PPP arrangement
will be included in the FS scope of work.
CONTACT INFORMATION

Telephone No. : (632) 723-1580
Fax No. : (632) 727-7948
65
BALABAC AIRPORT DEVELOPMENT
DESCRIPTION
The project is proposed to be located in Southern Palawan.

It will cover the construction of new airport facilities (i.e.,
30m x 1,800m runway, taxiway, apron, terminal building
and access road, including air navigational facilities). It
will also involve site acquisition for the new airport.

PPP 2012 - 2014
TBD DOTC
PROJECT STATUS
• Feasibility Study (F/S) and Master Planning completed. Preparation of business case and F/S to reconfigure the
project into PPP. F/S will validate project scope, costs, and structure
CONTACT INFORMATION

Telephone No. : (63 2) 723-1580
Fax No. : (63 2) 727-7948
66
DEVELOPMENT OF THE MINDANAO RAILWAY SYSTEM

DESCRIPTION
The project aims to provide a safe and economical

transport alternative of moving goods and people in
Mindanao, which, in the long run, will help in the socio-
economic development of the island. The proposed
rail will span the whole Mindanao with a total length
of approximately 2000 kilometers. The master plan
indicates connections to all major population centers in
Mindanao. The railway network will be implemented in
phases. Phase-1 construction of an 124-km. railway line
from Iligan City to Cagayan de Oro City in Mindanao. It
will traverse ten (10) coastal municipalities in Misamis
Oriental, namely: Lugait, Manticao, Naawan, Initao,
Libertad, Gitagum, Laguindingan, Alubijid, El Salvador
and Opol.

PPP 2012 - 2016
TBD DOTC
PROJECT STATUS
More detailed FS is required to determine the priority phase for PPP implementation under proposed PROC technical
assistance. PPP bid to be undertaken in 2012
CONTACT INFORMATION

Telephone No. : (63 2) 723-1580
Fax No. : (63 2) 727-7948
67
MARITIME AIDS TO NAVIGATION PROGRAM MA

DESCRIPTION
The project involves the nationwide

upgrading and construction of existing
and new aids to navigation (lighthouses,
vessel traffic system, etc.), respectively.
Under the project, appropriate light dues
will be imposed by the government for the
provision of the aids to navigation services
to the shipping industry.

PPP 2012 - 2016
TBD DOTC/PCG
PROJECT STATUS
Master Plan prepared by the Philippine Coast Guard. Feasibility Study will be undertaken with grant assistance from a
development partner in 2011.
CONTACT INFORMATION

Telephone No. : (63 2) 723-1580
Fax No. : (63 2) 727-7948
68
MAIN LINE SOUTH UPGRADING/MODERNIZATION
DESCRIPTION
The project aims to upgrade and modernize

the 478-kilometer Main Line South from
Caloocan to Legaspi City in Albay through the
construction of standard gauge rail tracks,
acquisition of rolling stock, improvement
of signaling and communication facilities,
introduction of automatic fare collection
system, and improvement/expansion of
station structures and facilities.

PPP 2012 - 2015
TBD DOTC/PNR
PROJECT STATUS
In December 2008, PNR has started the rehabilitation of the Main Line South from Laguna to Albay. The repair work
covers railway sections, particularly bridges, damaged by typhoons from Barangay San Cristobal in Calamba City in
Laguna to Legazpi City in Albay.
The DOTC will explore possible technical assistance from the Peoples Republic of China (PROC) for the conduct of
the master plan and feasibility study on the priority sections: Caloocan to Alabang, Alabang to Lucena, and Lucena to
Legazpi. This study will also confirm the DOTC plan to upgrade the Bicol Line with standard gauge (1435 mm) rail tracks
for ease in acquiring rolling stocks for PNR.
CONTACT INFORMATION

Telephone No. : (63 2) 723-1580
Fax No. : (63 2) 727-7948
69
CONSTRUCTION OF ELEMENTARY AND SECONDARY CLASSROOMS
DESCRIPTION
Education is considered a critical factor not only in

the development of the country’s human resource but
also in economic growth. Ensuring equitable access
to education will help reduce the gap between the rich
and the poor, giving the latter better opportunities in life.
To fulfil this, as well as the country’s commitments to
Education for All, sufficient infrastructure and facilities
should be ensured.
However, the public education system has been

hounded by the chronic problem of classroom
shortage, and nationwide disparities persist in the
student-to-classroom ratio, with the worst in poverty-
stricken Mindanao. With public funds not being
able to fully cover the needs of an increasing school
population, government is seeing as critical the private
participation in the construction of classrooms.

PPP TBD
TBD DepEd
PROJECT STATUS
• The Department of Education (DepEd) is in the process of studying and packaging projects for PPP
• Coverage of the construction of classroom program for PPP will be nationwide
CONTACT INFORMATION
Name : FRANCIS M. VARELA

Designation : Undersecretary for Finance and Administration
Agency : Department of Education
Telephone No. : (63 2) 633-9342
Fax No. : (63 2) 631-9640
Email Address : fmvarela68@gmail.com
70
DOH E-HEALTH PROJECT
DESCRIPTION
The Department of Health intends to improve the

delivery of health care nationwide by through the
use of Information and Communication Technology
(ICT). The DOH E-Health Project seeks to create
a system to gather and aggregate health data
and provide a means to easily access information
by interconnecting all Regional Offices, DOH
specialty and regional Hospitals, PhilHealth and
other related agencies.
The interconnection of all data from CHDs, DOH

Hospitals, PhilHealth, allied agencies and other
health institutions will help promote the exchange
of information, enhance the skills of enhance
the skills of remote health workers, and develop
a knowledge base that can help address health
concerns with ease and immediacy. Data derived
from a fully integrated IT system can be used for
researches, development of programs, assessment
on the effectiveness of policies, and operational
and financial performance review.


PPP 2011
PHP 1.0 billion DOH
(US$ 22 Million)
PROJECT STATUS
Ongoing resource assessment
CONTACT INFORMATION
Name : ENRIQUE T. ONA, MD

Designation : Secretary
Agency : Department of Health
Telephone No. : (63 2) 711-9503/711-9502
Fax No. : (63 2) 743-1829
71
PHILIPPINE ORTHOPEDIC CENTER AS THE PREMIER CENTER FOR BONE DISEASES,

TRAUMA, REHABILITATION, AND COMMERCIAL PRODUCTION OF LIMB PROSTHESIS AIR
DESCRIPTION
As the national trauma center in the country, the

Philippine Orthopedic Center specializes in the provision
of health care delivery services to patients afflicted
with musculoskeletal disorders, accidental injuries and
other related conditions. It is designed to serve as the
country’s center for orthopedics and trauma, including
neurosurgical trauma. As a trauma center, its relevance
in our urbanized and often accident-prone environment—
with trauma ranking as 5th common cause of death—
is without question a necessity, especially for indigent
patients.
The Philippine Orthopedic Center has a very good

potential to engage in the commercial production of
limb prosthesis, considering the abundance of clinical
orthopedic cases and highly-skilled health personnel. This
project will provide additional available resources for the
center’s modernization, rehabilitation and expansion, in
pursuit of its thrust for quality healthcare services.

PPP 2011
PHP 1,500 Million DOH
(US$ 33 Million)
PROJECT STATUS
Ongoing resource assessment; feasibility studies to be undertaken
CONTACT INFORMATION

Telephone No. : (63 2) 711-9503/711-9502
Fax No. : (63 2) 743-1829
72
AIR AMBULANCE PROJECT
DESCRIPTION
The Philippines, being an archipelago, is composed of

around 7,100 islands. Because of its unique geography,
the transportation and communications system entails
tremendous logistics requirements in order to link one
island to another.
In the context of Emergency Medical Services, wherein

time is a key determinant in the survival of critically-
ill patients, a fast, efficient, and reliable means of
transportation and communications services is of utmost
importance.
There is a need to improve the transportation and

communication system of health centers and hospitals,
particularly in remote areas, in order for them to transport
and refer patients in a timely manner to specialty hospitals
and medical centers.
Air Transport service (aircraft which are ambulance-

equipped and aircraft personnel) will be for the account
of the private partner while the medical team and supplies
will be for the account of DOH.

PPP 2011
PHP 500 Million DOH
(US$ 11 Million)
PROJECT STATUS
Pre-development stage
CONTACT INFORMATION

Telephone No. : (63 2) 711-9503/711-9502
Fax No. : (63 2) 743-1829
73
RESEARCH INSTITUTE FOR TROPICAL MEDICINE:

LOCAL PRODUCTION OF EQUINE RABIES IMMUNOGLOBULIN (ERIG)
DESCRIPTION
This project seeks to reduce overall EPI vaccine

procurement costs from international suppliers
through the local production of these vaccines.
While RITM has developed the capability to locally
manufacture certain EPI vaccines, this is hindered
by the lack of production facilities and materials to
commercially market the vaccines.
This project will start with the establishment of an

aseptic filing line at RITM for Pentavalent vaccine
[diphtheria, pertussis and tetanus (DPT)], and
Hepatitis B and Haemophilus influenza B (HiB). This
is seen to reduce the cost of the pentavalent vaccine
by 25% to 30%. The project will also enhance
the capacity of RITM to accelerate vaccine-self-
sufficiency targets.
PPP is an option being considered to fill-in the

financing gaps relative to production facilities
and materials. At least three private vaccine
manufacturing companies have already expressed
interest in undertaking this project.

PPP 2011 onwards
PHP 150 Million Research Institute for Tropical Medicine/DOH/SERVAC
(US$ 3.3 Million)
PROJECT STATUS
• The drafting of the contract between RITM and SERVAC was assisted by DOF-BOT
• The contract was endorsed by RITM to the DOH Execom in 2009
• The contract was sent back to RITM for revision and other requirements as suggested by HPDPB
CONTACT INFORMATION

Telephone No. : (63 2) 711-9503/711-9502
Fax No. : (63 2) 743-1829
74
RESEARCH INSTITUTE FOR TROPICAL MEDICINE: LOCALIZATION OF

PENTAVALENT VACCINE (DPT, HEPAB AND HIB)
DESCRIPTION
Significant amounts of vaccines are purchased by the

DOH from international supplier for its EPI program. RITM
on the other hand has developed the capability to locally
manufacture certain EPI vaccines. However, its capability
is compromised by the lack of production facilities and
materials to commercially market the vaccines.
Harnessing this capability, this project aims to reduce

overall EPI vaccine procurement costs the local
production of vaccines by RITM. This project will start
with the establishment of an aseptic filing line at RITM for
Pentavalent vaccine [diphtheria, pertussis and tetanus
(DPT)], and Hepatitis B (HBV) and Haemophilus influenza B
(HiB). Financially, this will reduce the cost of the pentavalent
vaccine by 25% to 30%. At present, annual procurement
cost of the pentavalent vaccine for EPI is around PHP 1. 2
billion. Partial localization of this vaccine by filling from bulk
preparation to finished vaccine will generate savings of PHP
300 million per year (25% of P1.2 billion). The project will not
only reduce the cost of the vaccines but will also enhance
the capacity of RITM to accelerate vaccine-self-sufficiency
targets.
Public-Private Partnership (PPP) is an option that can

be considered to fill-in the financing gaps relative to the
production facilities and materials. At least three private
vaccine manufacturing companies have already expressed.

PPP 2011 onwards
PHP 500 Million Research Institute for Tropical Medicine/DOH
(US$ 11 Million)
PROJECT STATUS
• The project has been presented to the Execom of DOH by RITM and has been given the go signal to implement
the project through PPP scheme.
• Terms of reference, feasibility study and other documents are being developed by RITM together with the DOF-
BOT. As soon as the terms of reference are completed, the project will be presented to DOH-EXECOM for
approval for public bidding.
CONTACT INFORMATION

Telephone No. : (63 2) 711-9503/711-9502
Fax No. : (63 2) 743-1829
75
SAN LAZARO HOSPITAL AS

THE PREMIERE RESEARCH CENTER FOR INFECTIOUS DISEASES
DESCRIPTION
San Lazaro Hospital is the national institution for all

infectious diseases located in Quiricada St., Sta. Cruz,
Manila with a 500 bed capacity. As the national referral
center for infectious and communicable diseases, it has
an abundance of materials in clinical cases in infectious
diseases which can be used for research purposes
including the conduct of clinical trials for antibiotics and
vaccines.
It has an existing laboratory capability that can be used

to support the conduct of researches.
The combination of all these factors is a fertile ground

for the conduct of researches.

PPP 2011 onwards
(US$ 22 Million)
PROJECT STATUS
Pre-development stage
CONTACT INFORMATION

Telephone No. : (63 2) 711-9503/711-9502
Fax No. : (63 2) 743-1829
76
EVERSLEY CHILES SANITARIUM (CEBU):

OPEN LAND AREA FOR COMMERCIAL OPERATIONS
DESCRIPTION
The DOH has open land area in some DOH-retained

hospitals which can be offered for commercial
operations under terms and conditions beneficial to all
parties concerned. The unused land can be utilized for
commercial purposes to generate alternative funding
sources that will help support the hospital’s operations.
The Eversley Chiles Sanitarium is one of the DOH

retained hospital that has avialble open area which can
be offered for commercial oerpations. The area is in
Barangay Jagobiao, Mandaue City, Metro Cebu. It has
an approximate total land area of fifty two (52) hectares
located in a commercial area where the vacant lot is
along the national road.
Total project cost will depend on the total land area

that will be covered by the PPP. It will also take into
consideration the extent of the commercial operations
that will be established by the interest PPP partner.


PPP 2011
TBD DOH
PROJECT STATUS
Ongoing Assessment
CONTACT INFORMATION

Telephone No. : (63 2) 711-9503/711-9502
Fax No. : (63 2) 743-1829
77
WESTERN VISAYAS SANITARIUM (ILOILO): EST

OPEN LAND AREA FOR COMMERCIAL OPERATIONS NEU
DESCRIPTION
The DOH has open land area in some DOH-retained

hospitals which can be offered for commercial
operations under terms and conditions beneficial to all
parties concerned. The unused land can be utilized for
commercial purposes to generate alternative funding
sources that will help support the hospital’s operations.
One such hospital is the Western Visayas Sanitarium

located in Sta. Barbara, Iloilo. Total land area is 16 hectares
with 7 hectares unoccupied. The unoccupied portion is
along the national road. This is about 15 kilometers away
from the nearest business district and commercial area
of Iloilo City.
Total project cost will depend on the total land area that will
be covered by the PPP. It will also take into consideration
the extent of the commercial operations that will be
established by the interested PPP partner.

PPP 2011
TBD DOH
PROJECT STATUS
CONTACT INFORMATION

Telephone No. : (63 2) 711-9503/711-9502
Fax No. : (63 2) 743-1829
78
ESTABLISHMENT OF MULTI-SPECIALTY CENTERS IN STEM CELL RESEARCH,

NEUROSCIENCES, AND ONCOLOGY IN DOH RETAINED HOSPITALS
DESCRIPTION
Recent advances in medicine—particularly in the

field of neurosciences and oncology—could improve
the quality of healthcare delivery of services in a
globally competitive manner. To improve access and
rationalize affordability of these specialized services
across the country, there is a need to establish multi-
specialty centers outside Metro Manila, specifically in
strategically-located DOH-retained hospitals. Identified
as priority sites are in Visayas and Mindanao.
Among the specialized services that could be provided

through these specialty centers are: 1) stem cell therapy,
which could allow patients with cancer to receive higher
doses of chemotherapy; 2) neuroscience centers, to
help improve treatment for the increasing number of
neurologic disorders, such as Alzheimer’s Parkinson’s
and Huntington’s disease; 3) oncology/cancer centers
that will offer a whole range of preventive, curative
and rehabilitative services, in response to the alarming
increase in cancer prevalence in the country.

PPP 2011
PHP 400 million DOH
(US$ 8.8 Million)
PROJECT STATUS
Planning stage
CONTACT INFORMATION

Telephone No. : (63 2) 711-9503/711-9502
Fax No. : (63 2) 743-1829
79
CONSTRUCTION OF HOSPITAL STAFF HOUSING FACILITIES
DESCRIPTION
At present, patients and their relatives do not have a decent

place to stay should their hospital care require them to
spend a day or two in the area where the patients are
undergoing their medical treatment. Housing facilities are
not available in most, if not all, DOH healthcare facilities.
This has become a critical concern for most hospitals not
only for its patients but for its hospital staff as well who are
at times required to go on 24-hours or are on-call duty.
To ensure provision of a holistic approach to the medical

treatment of patients, state-of-the-art eco-friendly hospital
housing facilities should be constructed. Since hospitals
are usually located in highly urbanized and strategic
places, travelers needing short-term board and lodging
services may find suitable venues for an overnight stay for
a reasonable cost. These will all be based on the premises
and amenities that health care facilities that adopt more
environmentally-friendly products and practices which
can save money, help the environment, minimize health
risks posed by toxic substances, and even promote the
local tourism industry.


PPP 2011
PHP 500 Million DOH
(US$ 11.1 Million)
PROJECT STATUS
CONTACT INFORMATION

Telephone No. : (63 2) 711-9503/711-9502
Fax No. : (63 2) 743-1829
80
CONSTRUCTION OF PHILHEALTH MAIN BUILDING
DESCRIPTION
From the time of its creation, PhilHealth has always

been leasing building premises and office space to
house their main office operations. It was able to
purchase a vacant lot located along East Avenue,
Quezon City across SSS and beside Central Bank of
the Philippines. It is right in the heart of the Quezon City
Central Business District. The vacant lot will be the site
for the PHIC main building.
At present, PhilHealth holds office in a building in Pasig

city with an annual rental expense of P5.7 million per
month (vat inclusive) occupying a total floor area of
13,043 sqm. PhilHealth has the blueprint for their
proposed building with an estimated gross floor area of
52,090 sqm covering the following:
• 7-storey bldg with 2 basement parking
• 13-storey bldg with 2 basement parking
• Warehouse
• Hostel

PPP 2011
(US$ 53.3 Million)
PROJECT STATUS
The architectural design has been completed
CONTACT INFORMATION

Telephone No. : (63 2) 711-9503/711-9502
Fax No. : (63 2) 743-1829
81
KALIWA LOW DAM PROJECT TINU
DESCRIPTION
This Project involves the construction of a low dam

utilizing the Kaliwa River in Barangay Daraitan, Tanay,
Rizal, for a supply volume of 550 million liters per day
(550mld). Other appurtenant structures will also be
constructed such as conveyance tunnels/pipelines and
treatment plant.

PPP 2012 - 2015
PHP 22,950 Million MWSS
(US$ 510 Million)
PROJECT STATUS
FS to be undertaken by 2011
CONTACT INFORMATION
Name : ENGR. MACRA A. CRUZ

Designation : Officer in Charge
Agency : Metropolitan Waterworks and Sewerage Administration (MWSS)
Telephone No. : (63 2) 928-5691
Fax No. : (63 2) 922-2568
Email Address : macra_cruz@yahoo.com
82
TINUY-AN FALLS ECO-TOURISM DEVELOPMENT

DESCRIPTION
The Project will contribute to the economic development

of the City, especially in the tourism industry. The City of
Bislig aims to be one of the best eco-tourism destinations
in Southern Philippines.
The project would involve construction of eco-tourism

structures/facilities within the vicinity of the Tinuy-an
Falls. The project would also involve improvement of the
access road going to the site.

PPP 4th Quarter of 2010 - 4th Quarter of 2013
PHP 100 Million City Government of Bislig/DOT/DPWH
(US$ 2.22 Million)
PROJECT STATUS
• Detailed feasibility study will start on June 2011 and is projected to be completed on November 2011
• Expected date of bidding/tendering is on the 2nd Quarter of 2012
• Detailed design and construction will be on mid-2012
CONTACT INFORMATION
Name : HON. LIBRADO C. NAVARRO/APRODECIO A. ALBA, JR./JOVINO J. REQUINA, JR.

Designation : City Mayor/CPDC/City Engineer
Agency : City Government of Bislig
Telephone No. : (63 86) 853-6089
Fax No. : (63 86) 628-2132
83
GUIMARAS-ILOILO FERRY TERMINAL PROJECT

DESCRIPTION
The Project involves improvement of the port facilities in

the Municipalities of Jordan and Buenavista in Guimaras
Province and in Parolla, Iloilo City. The Parola Port
improvement shall include the establishment of a terminal
building that will house rentable commercial spaces and
offices of the PCG and MARINA, an eco-park, public
parking, docking facilities, commercial stalls and the
future sites for the DENR and the PCG.
The Project will be undertaken through a Public-Private

Partnership scheme with the provincial government of
Guimaras and the city government of Iloilo.

PPP 2011 - 2012
PHP 406 Million City Government of Iloilo
(US$ 9.02 Million)
PROJECT STATUS
• Revised Memorandum of Agreement among the City Government of Iloilo, Provincial Government of Guimaras
and the Philippine Coast Guard are for final signing by the signatories
• Presidential Land Proclamation Application for the project site is now being finalized in the name of the City
Government of Iloilo
CONTACT INFORMATION
Name : JOSE RONI S.J. PENALOSA

Designation : City Planning and Development Coordinator
Agency : City Government of Iloilo
Telephone No. : (63 33) 335-0432
Fax No. : (63 33) 335-0432
Email Address : joseronipen@gmail.com
84
ILOILO DOWNTOWN CENTRAL BUSINESS DISTRICT REVITALIZATION (CBD)

DESCRIPTION
The revitalization of the Downtown Central Business

District (CBD) is one of the priority infrastructure
projects defined in the Metro Iloilo-Guimaras
Economic Development Council Roadmap 2015.
Its Pre-Feasibility Study was financed by the ADB
through a project called the Cities Development
Initiatives for Asia. The project was envisioned to
help boost the area’s unique commercial advantage
by transforming it into a more vibrant and productive
downtown core where people converge and
patronize its array of specialty shops and its unique
heritage tourism charm.
The Art-deco architecture of the Central Market

Building in the Downtown CBD Heritage Zone reflects
the city’s rich cultural and historical background and
its “old world” buildingscape differentiates it from the
usual modern facades and interior designs adopted
by competing malls around the city. Enhanced further
by 42 other similarly-built heritage buildings, the
redeveloped Iloilo Central Market Complex is seen
to help revitalize the Downtown Central Business
District’s commercial activities and increasing its
potential as a heritage tourism destination.

PPP TBD
PHP 750 Million City Government of Iloilo
(US$ 16.67 Million)
PROJECT STATUS
Terms of Reference for bid tender documents are being finalized by the City Treasurer’s Office and the City Accountant’s
Office
CONTACT INFORMATION
Name : JOSE RONI S.J. PENALOSA

Designation : City Planning and Development Coordinator
Agency : City Government of Iloilo
Telephone No. : (63 33) 335-0432
Fax No. : (63 33) 335-0432
Email Address : joseronipen@gmail.com
85
REC
ESTABLISHMENT OF MINI ICE PLANT, COLD STORAGE AND FACILITIES CEN

DESCRIPTION
The Project involves construction and establishment of

a five-ton capacity ice plant and cold storage facility that
intends to serve the fishermen and youth association/
cooperatives of the city. This will be located at Barangay
1, Laoag City adjacent to the City Slaughterhouse.

PPP TBD
PHP 14.27 Million City Government of Laoag
(US$ 0.32 Million)
PROJECT STATUS
Reconfiguration of the project into PPP is to be undertaken
CONTACT INFORMATION
Name : HON. MICHAEL V. FARIÑAS/MRS. MARIA LUISA F. CASTRO/ENGR. FRED C. AGPAOA

Designation : City Mayor/City Planning & Development Coordinator/Assistant City Engineer
Agency : City Government of Laoag
Telephone No. : (63 77) 773-1788/(63 77) 772-0001 loc.231/(63 77) 770-5964
(63 77) 772-0001 loc.264/(63 77) 772-0001 loc.233
Fax No. : (63 77) 771-3168
Email Address : mvflaoag@hotmail.com/cpdolaoag@yahoo.com/fredagpaoa_CEO@yahoo.com
86
RECLAMATION OF LAOAG PADSAN RIVER – ESTABLISHMENT OF A GOVERNMENT

CENTER AND EXPANSION OF THE CENTRAL BUSINESS DISTRICT

DESCRIPTION
The Project involves reclamation of an approximately

fifteen (15- hectare area on both sides of the Laoag
Bridge along the northern bank of the Laoag Padsan
River, parallel to the existing dike. It will have a length of
one kilometer from the west to the east and a width of
one hundred fifty (150) meters from the dike to the middle
of the river.
The reclaimed area shall be used as the site for a

Government Center and expansion of the Central
Business District (CBD).

PPP TBD
PHP 150 Million City Government of Laoag
(US$ 3.33 Million)
PROJECT STATUS
Terms of Reference for bid tender documents are being finalized by the City Treasurer’s Office and the City Accountant’s
Office
CONTACT INFORMATION

Telephone No. : (63 77) 773-1788/(63 77) 772-0001 loc.231/(63 77) 770-5964
(63 77) 772-0001 loc.264/(63 77) 772-0001 loc.233
Fax No. : (63 77) 771-3168
87
EXPANSION OF POTABLE WATER SUPPLY SYSTEM

DESCRIPTION
The Project involves expansion of potable water supply

system. Conduct of technical and financial studies
is being undertaken to identify other potential water
sources; estimated lps discharge to service the rural
barangays not currently serviced by INWD; average daily
water demand; project cost; affordability of consumption
rates; and the benefits to the residents in terms of health
sanitation and consumer satisfaction.

PPP TBD
PHP 20 Million City Government of Laoag
(US$ 0.44 Million)
PROJECT STATUS
Development of project concept is ongoing
CONTACT INFORMATION

Telephone No. : (63 77) 773-1788/(63 77) 772-0001 loc.231/(63 77) 770-5964
(63 77) 772-0001 loc.264/(63 77) 772-0001 loc.233
Fax No. : (63 77) 771-3168
88
MODERNIZATION OF OLONGAPO CITY’S ABATTOIR

DESCRIPTION
The project will address and guarantee the increasing

demand of safe and good quality meat products in the
local and nearby public markets of West Central Luzon,
which includes the commercial, industrial and institutional
market in the Subic Bay Freeport Zone (SBFZ).
The project is a new abattoir facility equipped with cold

storage, and modern equipment that can be utilized
for meat processing like making of hotdogs, tocinos
and other processed meat products. It aims to acquire
a double AA accreditation from the National Meat
Inspection Services (NMIS). The project will ensure that
slaughtered meat in the modern facility are marketable
in nearby municipalities and cities within the country and
even the global market in view of the presence of an
international seaport in the city.

PPP 2nd quarter 2012 - 2nd quarter 2012
PHP 100.0 Million City Government of Olongapo
(US$ 2.22 Million)
PROJECT STATUS
Project conceptualization is ongoing
CONTACT INFORMATION
Name : HON. JAMES GORDON, JR./MAREY BETH D. MARZAN/ENGR. MARIVIC J. NIERRAS

Designation : Olongapo City Mayor/OIC, City Budget Office/OIC, City Planning & Dev’t Office
Agency : City Government of Olongapo
Telephone No. : (63 47) 222-2565
Fax No. : (63 47) 222-4777
Email Address : olongapo@hvisions.com/bonggo@info.com.ph
89
OLONGAPO CITY CENTRALIZED PUBLIC TRANSPORT TERMINALS

DESCRIPTION
The project will considerably decongest traffic in the

central business district areas of the City particularly
along the roads utilized as public utility vehicle terminal.
As a central loading and unloading hub, it will facilitate the
commuters’ transport in the most convenient, efficient
and organized way.
The project primarily involves construction of public

transport terminal facilities. The facility will regularly lodge
in and dispatch more than 3,000 units of public utility
vehicles, tricycles, jeepneys, mini-bus and provincial
buses. The transport terminals will likewise have
provisions for commuters’ amenities, porter services,
fast food outlets, recreational, commuter assistance desk
and medical emergency services.
To support the project, a capacity building component

will be conducted for the management of operations of
the terminals and the traffic scheme in general. Trainings
on transport terminal operations and traffic management
will be provided.

PPP 2nd quarter 2013 - 2nd quarter 2013
PHP 400 Million City Government of Olongapo
(US$ 8.89 Million)
PROJECT STATUS
Project conceptualization is ongoing
CONTACT INFORMATION

Telephone No. : (63 47) 222-2565
Fax No. : (63 47) 222-4777
90
INFORMATION TECHNOLOGY (IT) PARK

DESCRIPTION
The Project involves establishment of IT facility at the

Iloilo Provincial Government property at Brgy. Magsaysay,
Lapaz, Iloilo City. The first floor will be occupied by
commercial establishments supportive of IT activities
while the remaining floors will accommodate call centers
and will be capable of housing multiple communication
facilities.
The building will be provided with IT facilities and amenities

according to industry standards. A parking space will be
provided to accommodate more tenants.

PPP 2011 - 2012
PHP 380.0 Million Provincial Government of Iloilo
(US$ 8.45 Million)
PROJECT STATUS
Included in the initial list of projects proposed for PPP implementation
CONTACT INFORMATION
Name : GOV. ARTHUR D. DEFENSOR/RAUL N. BANIAS, MD., MPA/MARIO N. NILLOS

Designation : Governor/Provincial Administrator/Provincial Planning and Devt. Coordinator
Agency : Iloilo Provincial Government
Telephone No. : (63 33) 336-8151/338-1698/335-8008/509-5091
Fax No. : (63 33) 335-8008
Email Address : rnbanias@yahoo.com/mar_nillos@yahoo.com
91
ILOILO GOVERNMENT CENTER

DESCRIPTION
The Project involves construction of a multi-storey

structure that would house government agencies
needing office space on a lease basis. The building will
also be designed to accommodate commercial spaces/
convenience stores to address the needs of the tenants
and transacting public.
Complementary features and services will be provided

to facilitate faster and easier public and business
transactions.
The proposed site for the government center is the vacant

lot owned by the Iloilo Provincial Government beside the
new Iloilo Provincial Capitol building.

PPP 2001 - 2012
PHP 500.0 Million Provincial Government of Iloilo
(US$ 11.11 Million)
PROJECT STATUS
CONTACT INFORMATION

Telephone No. : (63 33) 336-8151/338-1698/335-8008/509-5091
Fax No. : (63 33) 335-8008
92
HOMETEL CUM STUDENT CENTER

DESCRIPTION
The proposed structure will be constructed at the Iloilo

Provincial Government property in front of the West
Visayas State University beside the DepEd, Division of
Iloilo in Lapaz, Iloilo City.
The strategically located center will be a 3-storey

dormitory will have modern facilities, including 24-hour
internet connection, modern communication system and
other amenities. The center will have a receiving hall for
visitors and guests, and a large well-ventilated study hall.

PPP 2011 - 2012
PHP 115 Million Provincial Government of Iloilo
(US$ 2.56 Million)
PROJECT STATUS
CONTACT INFORMATION

Telephone No. : (63 33) 336-8151/338-1698/335-8008/509-5091
Fax No. : (63 33) 335-8008
93
CONSTRUCTION AND OPERATION OF ICE PLANT AND COLD STORAGE FACILITIES

DESCRIPTION
The Project involves establishment of an ice plant that will

produce five (5) MT of 150-kg block ice every two (2) days
and an open cold storage space that can accommodate
a volume 5 cu. m. The cold storage space can be rented
on a daily basis depending on the needs of the users.
Three major cold rooms will be constructed to store
animal, fish, fruits and vegetable products.
The facility, which is to be pursued under a BOT scheme,

will be constructed at a vacant City-owned lot near the
New Legazpi City Public Market at Barangay Kapantawan.

PPP 2012
PHP 10.0 Million City Government of Legazpi
(US$ 0.22 Million)
PROJECT STATUS
Conceptualization stage
CONTACT INFORMATION
Name : HON. CARMEN GERALDINE B. ROSAL

Designation : City Mayor
Agency : City Government of Legazpi
Telephone No. : (63 52) 820-1400
Fax No. : (63 52) 820-1843
Email Address : geraldinebrosal@yahoo.com
94
ES LEGAZPI CITY INFORMATION TECHNOLOGY IT PARK

DESCRIPTION
The Project involves establishment of an IT Park that would

replace the existing Ibalong Centrum for Recreation. The
IT Park will have fiber optic telecommunication facilities,
uninterruptible power supply, computer security and
building monitoring and maintenance system, IT business
and technology incubation centers, fire protection system,
100% emergency back-up power system, central shiller-
type air conditioning system and executive toilets. It
will also have the following amenities: convenience and
specialty shops, gymnasium and health spa, food court,
open-air courtyard, business and executive lounge.

PPP 2012
PHP 50.0 Million City Government of Legazpi
(US$ 1.11 Million)
PROJECT STATUS
Development/structuring stage
CONTACT INFORMATION
Name : HON. CARMEN GERALDINE B. ROSAL

Agency : City Government of Legazpi
Telephone No. : (63 52) 820-1400
Fax No. : (63 52) 820-1843
Email Address : geraldinebrosal@yahoo.com
95
BPO-ICT BUILDING

DESCRIPTION
The project involves construction of a BPO-ICT building

and putting up the necessary facilities to enable locators
to establish their business in the city. It is envisioned that
the project would facilitate Vigan City’s inclusion in the list
of emerging investment destinations.

PPP 2011-2013
PHP 10.0 Million City Government of Vigan
(US$ 0.22 Million)
PROJECT STATUS
Listed as a Priority PPP Project
CONTACT INFORMATION
Name : HON. EVA MARIE S. MEDINA

Agency : City Government of Vigan
Telephone No. : (63 77) 722-2466
Fax No. : (63 77) 722-3838
Email Address : admin@vigancity.gov.ph
96
TAAL LAKE FISH PORT & PROCESSING COMPLEX

DESCRIPTION
The establishment of the Taal Lake Fish Port and

Processing Complex is expected to accelerate growth of
fishery activities in the City. It aims to make the City of
Tanauan the transshipment point of Taal Lake fish harvest
and the agricultural products of the 11 lakeside towns.
It is envisioned that with the fishing port and processing

complex, there will be improvement in the quality and
marketability of fish catch; efficiency of fishery unloading
operations; adequacy of facilities and technology for
processing, storing, and distributing fishery products;
efficiency of product handling procedures; and availability
and quality of shelter, maintenance, and repair facilities
for fishing vessels.

PPP 2011 - 2012
PROJECT COST
TBD City Government of Tanauan
PROJECT STATUS
Development/structuring stage
CONTACT INFORMATION
Name : HON. SONIA TORRES AQUINO/ATTY. HERMINIGILDO G. TRINIDAD, JR.

Designation : City Mayor/City Administrator
Agency : City Government of Tanauan
Telephone No. : (63 43) 778-1902/(63 43) 778-6489
Fax No. : (63 43) 778-1902
Email Address : secretariat.mo.tanauancity@gmail.com
97
PRIVATIZATION OF TANAUAN PUBLIC MARKET & SLAUGHTERHOUSE

DESCRIPTION
The project intends to sustain the efficient and profitable

operation of the Public Market and Slaughterhouse and
keep its competitiveness among the trading centers.
The project also aims to deliver efficient services to the

public; eliminate ambulant and sidewalk vendors by
providing additional market space; decongest traffic;
provide clean and sanitary market and slaughterhouse;
and generate additional revenues for the City of Tanauan.

PPP 2012
TBD City Government of Tanauan
PROJECT STATUS
For Pre-Feasibility Study
CONTACT INFORMATION
Name : HON. SONIA TORRES AQUINO/ATTY. HERMINIGILDO G. TRINIDAD, JR.

Designation : City Mayor/City Administrator
Agency : City Government of Tanauan
Telephone No. : (63 43) 778-1902/(63 43) 778-6489
Fax No. : (63 43) 778-1902
Email Address : secretariat.mo.tanauancity@gmail.com
98
DAVAO DEL NORTE CONVENTION CENTER AND COMMERCIAL COMPLEX DEVELOPMENT

DESCRIPTION
The project involves development of the ten (10)-hectare

Provincial Government property into convention center
and commercial complex facilities in partnership with the
private sector.

PPP 2011 - 2012
PHP 300.0 Million Provincial Government of Davao Del Norte
(US$ 6.667 Million)
PROJECT STATUS
Preparation of a detailed feasibility study has yet to be undertaken
CONTACT INFORMATION
Name : HON. RODOLFO P. DEL ROSARIO/ENGR. JOSIE JEAN R. RABANOZ

Designation : Governor, Davao Del Norte/PG Department Head, PPEDO
Agency : Provincial Government of Davao Del Norte
Telephone No. : (63 84) 217-3199/(63 84) 400-3276/(63 84) 400-5250
Fax No. : (63 84) 217-3199/(63 84) 400-3276/(63 84) 400-5250
Email Address : davaonorte@yahoo.com
99
REGIONAL GOVERNMENT CENTER (RGC) PROJECT PHASE - 1 DAV

DESCRIPTION
The transfer of regional offices of all departments and

agencies from Zamboanga City to Pagadian City is
mandated under Executive Order No. 429 s. 1990. This
Executive Order was further reinforced by Memorandum
Circular No. 75 issued on November 12, 2004.
The City of Pagadian, mindful of its mandate to establish

an RGC as provided for in section 12 of Republic Act
7160, otherwise known as the Local Government Code
of 1991, already acquired an 18.9-hectare raw land as
the RGC site. The RGC is expected to accommodate
buildings for 17 regional line agencies.

PPP – Build-Transfer Scheme Mid 2011 - Mid 2012
PHP 184.70 Million City Government of Pagadian
(US$ 4.10 Million)
PROJECT STATUS
• Feasibility Study - Completed
• Expected Bidding/Tendering Schedule – 2nd quarter of 2011
• Construction Schedule – 3rd quarter of 2011 to 2nd quarter of 2012
CONTACT INFORMATION
Name : SAMMUEL S. CO/ENGR. LEONILA L. SISONA

Designation : City Mayor/Executive Director, PRCMCO
Agency : City Government of Pagadian
Telephone No. : (63 62) 214-1986/(63 62) 214-4948/(63 62) 214-4222
Fax No. : (63 62) 215-3780
Email Address : sammyco_pagadian@yahoo.com/nelsis_2006@yahoo.com
100
DAVAO DEL NORTE INTEGRATED WATER RESOURCE DEVELOPMENT PROJECT (DNIWRDP)

DESCRIPTION
The project involves development of a bulk water facility

which will provide potable and domestic water needs of
Tagum City, Panabo City, New Corella, Asuncion, Carmen
and Braulio E. Dujali, all in Davao del Norte. The project
would utilize available potential water resources, including
water from the Tagum River, springs in New Corella, and
continued use of some existing deep wells.

PPP – Build-Transfer Scheme 2011 - 2013
PhP 3,500 Million Provincial Government of Davao Del Norte
(US$ 77.78 Million)
PROJECT STATUS
Detailed Feasibility Study completed in 2004 needs updating
CONTACT INFORMATION
Name : HON. RODOLFO P. DEL ROSARIO/ ENGR. JOSIE JEAN R. RABANOZ

Designation : Governon, Davao Del Norte/PG Department Head, PPEDO
Agency : City Government of Davao Del Norte
Telephone No. : (63 84) 217-3199/(63 84) 400-3276/(6384) 400-5250
Fax No. : (63 84) 217-3199/(63 84) 400-3276/(6384) 400-5250
Email Address : davaonorte@yahoo.com
101
LIGAO CITY INTEGRATED LAND TRANSPORT TERMINAL

DESCRIPTION
The proposed construction of Ligao City Integrated Land

Transport Terminal, being centrally located at the 3rd
District of Albay, is considered as one of the transport
nodes in the Legazpi-Iriga-Naga-Daet Growth Corridor
(LINDGC) of RDC V.
Ligao City is 64 kms from Naga City and 30 kms from

Lergazpi, aand located along the Phil-Japan Friendship
Highway (Maharlika Highway). The proposed project will
not only cater to the transport sector of Ligao City but will
service the nearby municipalities of Pioduran, Guinobatan
and Oas as well.
The Ligao City Integrated Land Transport Terminal, to be

built on a 1.5-ha lot, involves the construction of a new
terminal for buses and jeepneys, with berthing, parking
and servicing facilities, warehouse and cargo storage,
restrooms, restaurants and commercial spaces.

PPP/BOT, BOO Mid 2011 - onwards
PHP 52.0 Million City Government of Ligao, Albay
(US$ 1.16 Million)
PROJECT STATUS
• Project concept available-site development plan, perspective, front elevation
• Proposed on a 14,876-sq. meter available lot
• Pre-FS available
CONTACT INFORMATION
Name : HON. LINDA P GONZALEZ

Agency : City Government of Albay
Telephone No. : (63 52) 485-1385/(63 52) 837-1001
Fax No. : (63 52) 485-1115/(63 52) 837-1400
102
LIGAO CITY TOWN CENTER (REDESIGNING OF PUBLIC MARKET)

DESCRIPTION
The proposed re-designing of the existing public market

which is highly congested, entails the construction of a
new wet and dry market (2-storeys) and covered plaza (for
trade exhibits, flea markets, etc.). The site development
will include parking areas and walkways.

PPP – BOT, BOO 1st Quarter of 2011 - procurement
PROJECT COST (2003 ESTIMATE) SPONSORING AGENCY
PHP 155.0 Million City Government of Ligao, Albay
(US$ 3.44 Million)
PROJECT STATUS
• 1,0347 sq. meter- lot is available
• Site development plan, perspective, building floor area and lot size allocation estimates are available
• Pre-Feasibility Study available
CONTACT INFORMATION
Name : HON. LINDA P GONZALEZ

Agency : City Government of Albay
Telephone No. : (63 52) 485-1385/(63 52) 837-1001
Fax No. : (63 52) 485-1115/(63 52) 837-1400
103
RECLAMATION OF THE NAVOTAS COASTAL AREA

DESCRIPTION
The proposed reclamation is along the coast of Manila

Bay with an estimated land area of 160 hectares. It is
envisioned to become a major investment center for the
city which is meant to house a rich mix uses and activities
ranging from residential components to commercial and
industrial. The entire reclaimed area is to be characterized
by multi-use and mixed use developments that would
cater to various needs of users.
It is identified to play the following roles: as a waterfront

destination and public space; as a residential district; as a
commercial center; as a civic center; and as logistic hub.

PPP/BOT, BOO TBD
PHP 12,000 Million City Government of Navotas
PROJECT STATUS
• Conceptual master plan completed
• Feasibility study for Phase I will be prepared
CONTACT INFORMATION
Name : HON. JOHN REY M.TIANGCO

Agency : City Government of Navotas
Telephone No. : (63 2) 283-3792/(63 2) 281-8602
Fax No. : (63 2) 281-8861
Email Address : jmt@tuna.ph
104
EXPANSION AND DEVELOPMENT OF EAST BAJAC BAJAC PUBLIC MARKET

DESCRIPTION
The project will address the increasing demand of market

and trading facilities and considerably reduce informal and
ambulant street vendors. Amidst the increasing migration for
the past several years, the project will substantially facilitate
the increasing volume of trading and commerce activity in
the City.
The project is primarily a construction of a 5-storey building

with an estimated 1,941 commercial units and 171 parking
slots for public and private vehicles. The 1st and 2nd floor
will be allotted for agricultural and manufacturing foods. The
3rd floor will be the market administrative and processing
center and the 4th floor will be the parking area for vehicles.
Maximizing the structure, the building will feature a roof
deck for purposes of emergencies and other exigencies.
Following the establishment of the project, a capacity
development component for the market management and
administrative organization will be conducted. Trainings
on product standard inspections and market operations
will be provided. This particular component will be the City
Government’s counterpart in the project.

BOT 1st quarter 2012 - 4th quarter 2012
(US$ 20.93 Million)
PROJECT STATUS
City Government facilitated preparation of the project concept
CONTACT INFORMATION

Telephone No. : (63 47) 222-2565
Fax No. : (63 47) 222-4777
105
DRIFTWOOD BEACH MARINA AND TERMINAL

DESCRIPTION
The project will address transport needs of an increasing

number of shipbuilding workers and employees, currently
estimated to be around 20,000, who regularly use the
strenuous Cawag – Subic Road.
The project is a terminal port primarily for ferry boats

traversing the Subic Bay to Olongapo City and from
the port of Hanjin Heavy Industries and Construction
Company (HHICC). The project will cut down the
transportation time by a minimum of 40 minutes providing
workers and employees with more time for rest and other
recreational activities.
The terminal port will likewise have provision for

commuters’ amenities, communication services,
porter services, fast food outlets, recreational, workers’
assistance desk and medical emergency services.

PPP - BOT 1st Quarter 2012 - 4th Quarter 2012
(US$ 2.22 Million)
PROJECT STATUS
City Government facilitated preparation of Project concept and detailed drawings
CONTACT INFORMATION

Telephone No. : (63 47) 222-2565
Fax No. : (63 47) 222-4777
106
PRIVATE INITIATED PROJECTS
FROM THE ENERGY SECTOR

List of Private Initiative Projects In The Power Sector: Luzon
NORTHWIND PAMPLONA PROJECT NOR
DESCRIPTION
Construction of a 30 MW wind energy power plant in

Pamplona, Cagayan Valley.
The proponent is Northeast Wind Systems Corporation

(NEWSC).

Project Location : Northern Luzon

Private Initiated 2011
PHP 3,375 Million DOE
(US$ 75 Million)
PROJECT STATUS
• Completed 5-year wind data measurement

• Entered Memorandum of Agreement with the Cagayan Electric Cooperative I and II for joint cooperation in the
development of the project
• Secured endorsements from the Sangguniang Panlalawigan of the Province of Cagayan, Sangguniang Bayan of
the Municipality of Pamplona, officials of the prospective host barangays of Bidduang, Allasitan and Nagattatan
• Conducting initial survey on the applied area
• Submitted documentation to the local Community Environment and Natural Resources Office for project
evaluation, issuance of Environmental Certificate of Compliance and foreshore lease agreement
• Application for Wind Energy Service Contract is under evaluation
CONTACT INFORMATION
Name : MR. NEILS JACOBSEN

Agency : Northeast Wind Systems Corporation
Telephone No. : (63 2) 815-9521/815-8251 to 52
Fax No. : (63 2) 818-2551
Email Address : nwind@mozcom.com
108
NORTHWIND APARRI PROJECT
DESCRIPTION
Construction of a 40 MW wind energy power plant in

Aparri, Cagayan Valley.
The proponent is Northwind Group of Companies.


(US$ 100 Million)
PROJECT STATUS
Ongoing wind data measurement
CONTACT INFORMATION
Name : MR. NEILS JACOBSEN

Agency : Northeast Wind Systems Corporation
Telephone No. : (63 2) 815-9521/815-8251 to 52
Fax No. : (63 2) 818-2551
Email Address : nwind@mozcom.com
109
MULTI-FUEL BIOMASS POWER PLANT BUR
DESCRIPTION

Construction of a 2 x 17.5 MW biomass power project in

Pangasinan.
Included in the Phase 2 projects to be implemented by

Green Power Pangasinan Philippines, Inc.
Project Location : Central Luzon

BOT 2012 (Phase 1); 2013 (Phase 2)
(US$ 49 Million)
PROJECT STATUS
• Company registered with the Security Exchange Commission

• Project registered with Board of Investments
• Obtained Environmental Compliance Certificate
• Barangay and Municipal Endorsements expected to be obtained by end of-September 2010
• Completed Resource Assessment
• Signed biomass supply contract with Global Biomass Corporation and biomass supply contracts with
individual farmers’ cooperatives and irrigators’ associations to be signed by 4th Quarter 2010
• Engineering, Procurement and Construction contract awarded to Poyry Energy Incorporated
• Initial power plant design under preparation
• Public consultations currently being organized
• Intends to apply for a loan package with financial institutions
• Application for Biomass Renewable Energy Operating Contract is pending
CONTACT INFORMATION
Name : MR. STEVE WATERFIELD

Designation : Chief Executive Officer
Agency : Global Green Power PLC Corporation
Telephone No. : (63 2) 635-9688/631-2745
Fax No. : (63 2) 638-8164
Email Address : steve.waterfield@global-green-power.com
110
BURGOS WIND POWER PROJECT

DESCRIPTION

Construction of a 40 MW wind power plant in Saoit and

46 MW in Nagsurot, Burgos, Ilocos Norte. A 42-kilometer
transmission line shall be constructed to connect to a
substation in Laoag.
The proponent is Energy Development Corporation.

(US$ 258 Million)
PROJECT STATUS
• Ongoing bidding activities
• Wind Energy Service Contract No. 2009-09-004 was awarded on September 14, 2009
CONTACT INFORMATION
Name : MR. RAYMOND H. QUIROZ

Designation : Manager, Strategy Management Division
Agency : Energy Development Corporation (EDC)
Telephone No. : (63 2) 840-1890/667-7332 815-9521/815-8251 to 52
Fax No. : (63 2) 840-1890
Email Address : quiroz@energy.com.ph
111
MULTI-FUEL BIOMASS POWER PLANT TAN
DESCRIPTION
Construction of a 2 x 17.5 MW biomass power project in

Barangay Tabon-Tabuating, San Leonardo, Nueva Ecija.
The feedstock to be used are rice husk, rice straw, corn

straw, cane tops, and leaves, coconut husk and other
energy crops.
Included in the Phase 1 projects to be implemented by

Green Power Nueva Ecija Philippines Inc.

Private Initiated 2013 (Phase 1); TBD (Phase 2)
(US$ 49 Million)
PROJECT STATUS
• Registered company with the Security Exchange Commission

• Project registered with the Board of Investments
• Preparation of Initial Environmental Examination to obtain the Environmental Compliance Certificate
• Energy Sales Agreement is under negotiation with off-takers
• Land acquisition is under negotiation
• Finished preliminary and intermediate plant design
• Signed biomass supply contract
• Applied with the National Grid Corporation of the Philippines for the conduct of the Grid Impact Study
• Application for Biomass Renewable Energy Operating Contract is pending
CONTACT INFORMATION

Telephone No. : (63 2) 635-9688/631-2745
Fax No. : (63 2) 638-8164
112
TANAWON GEOTHERMAL PROJECT

DESCRIPTION
Construction of an integrated 40 MW steamfield and

geothermal power plant with 0.8 kilometer 230kV
transmission line in Bacman Geothermal Field, Sorsogon.

Project Location : Southern Luzon

(US$ 200 Million)
PROJECT STATUS
• Ongoing assessment of geothermal resource
• Ongoing discussions with potential Engineering, Procurement and Construction contractors
• Initial civil works are ongoing
• Under Geothermal Service Contract No. 2009-10-003
CONTACT INFORMATION

Telephone No. : (63 2) 840-1890/667-7332 815-9521/815-8251 to 52
Fax No. : (63 2) 840-1890
113
COAL-FIRED POWER PLANT COA

DESCRIPTION
Construction of 2 x 150 MW coal-fired power plant in

Naglatore, Cawag, Subic.
The proponent is Redondo Peninsula Energy

Incorporated.


Private Initiated Unit 1 (150 MW) - 2013; Unit 2 (150 MW) - 2013
(US$ 540 Million)
PROJECT STATUS
• Obtained Environmental Compliance Certificate from Subic Bay Metropolitan Authority and Department of
Environmental and Natural Resources
• Grid Impact Studies approved by the National Transmission Corporation in 2007
• Signed Memorandum of Understanding with the National Grid Corporation of the Philippines authorizing the
connection to the 230 kV transmission line
• Renewed Certificate of Registration and Tax Exemption as a Subic Freeport Zone Enterprise
• Registered project with Board of Investments
• Land Lease Agreement with Subic Bay Metropolitan Authority/Department of Environmental and Natural
Resources is under negotiation
• Financing is under negotiation
• Engineering, Procurement and Construction contract is under negotiation
• Advance site preparatory activity (civil works, levelling, etc) to commence on October 2010
CONTACT INFORMATION
Name : MR. WILFREDO BACAREZA

Designation : Vice-President
Agency : Redondo Peninsula Energy Inc.
Telephone No. : (63 2) 793-2800
Fax No. : (63 2) 817-9508
Email Address : wilfredo.bacareza@aboitiz.com
114
COAL-FIRED POWER PLANT

DESCRIPTION
Construction of an initial 1 x 135 MW coal-fired power

plant in Phase II of the Phoenix Petroterminal and
Industrial Park at km 118, National Highway, Brgy. Puting
Bato West, Calaca, Batangas. Provisions shall be made
for the installation of a second 1 x 135 MW unit in the
future.
The power plant will utilize an Atmospheric Circulating

Fluidized Bed boiler.

The proponent is Trans Asia Oil and Energy Development
Corporation (TAOil).


(US$ 486 Million)
PROJECT STATUS
• Signed contract with the Bacnotan Industrial Park Corporation for the purchase of industrial lots
• Obtained Environmental Compliance Certificate
• Grid Impact Study to be conducted by the National Grid Corporation of the Philippines on January 2011
• MOA to be signed with Semirara Mining Corporation for the coal supply
• MOA to be signed with Engineering, Procurement and Construction contractor
• Electricity Sales Agreement with a cement company is expected to be concluded by end of September
CONTACT INFORMATION
Name : DR. FRANCISCO L. VIRAY

Designation : President and Chief Executive Officer
Agency : Trans Asia Oil and Energy Development Corporation
Telephone No. : (63 2) 870-0100/870-0249
Fax No. : (63 2) 870-0433
Email Address : flviray@phinma.com.ph
115
KALAYAAN PUMPED STORAGE POWER PLANT III (CBK EXPANSION) MAU

DESCRIPTION
Construction of a 360 MW hydro power plant in Lumban,

Laguna.
The proponent is J Power and Sumitomo Corporation.


(US$ 720 Million)
PROJECT STATUS
• Conducting feasibility study and Environmental Impact Analysis study
• Secured Environmental Compliance Certificate
• Grid Impact Studies completed by the National Transmission Corporation
CONTACT INFORMATION
Name : MR. MASAHIRO IKEZAWA

Agency : J Power and Sumitomo Corporation
Telephone No. : (63 2) 884-1351
Fax No. : (63 2) 884-1360
Email Address : MIkezawa@cbkpower.com
116
MAUBAN WIND FARM PROJECT

DESCRIPTION
Construction of a 12 MW wind power plant in Mauban,

Quezon.
The proponent is Quezon Power Philippines.


(US$ 30 Million)
PROJECT STATUS
• Gathering registration requirements
• Pre-development stage
CONTACT INFORMATION
Name : MR. SIMO SANTAVIRTA

Designation : General Manager
Agency : Quezon Power Philippines
Telephone No. : (63 2) 687-2180
Fax No. : (63 2) 687-2186 to 87
Email Address : ssantavirta@intergen.com
117
RANGAS GEOTHERMAL PROJECT

DESCRIPTION

geothermal power plant in Bacman Geothermal Field,
Bacon, Sorsogon.
The proponent is Energy Development Corporation

(EDC).


(US$ 200 Million)
PROJECT STATUS
• Ongoing resource assessment and feasibility studies
• Under Geothermal Service Contract No. 2009-10-003
CONTACT INFORMATION

Telephone No. : (63 2) 840-1890/667-7332 815-9521/815-8251 to 52
Fax No. : (63 2) 840-1890
118
BALINTINGON RIVER MULTI-PURPOSE PROJECT
DESCRIPTION
Construction of a 30 MW hydro power plant in General

Tinio, Nueva Ecija.
The proponent is the National Irrigation Administration.


(US$ 60 Million)
PROJECT STATUS
Signed Memorandum of Agreement with Concord Pacific Investment Holdings Limited, Inc. for the conduct of the
feasibility study
CONTACT INFORMATION
Name : MR. ANTONIO S. NANGEL

Designation : Acting Administrator
Telephone No. : (63 2) 929-6071 to 78/926-7678
Fax No. : (63 2) 926-2846
Email Address : administrator@nia.gov.ph
119
QUEZON POWER EXPANSION PROJECT

DESCRIPTION

Installation of 500 MW additional capacity in the coal

power plant in Mauban, Quezon.
The proponent is Quezon Power Philippines.


(US$ 900 Million)
PROJECT STATUS
• Obtained Environmental Compliance Certificate from Department of Environment and Natural Resources
• Grid Impact Study completed by National Transmission Corporation
• Development Stage
CONTACT INFORMATION
Name : MR. SIMO SANTAVIRTA

Designation : General Manager
Agency : Quezon Power Philippines
Telephone No. : (63 2) 687-2180
Fax No. : (63 2) 687-2186 to 87
Email Address : ssantavirta@intergen.com
120
MANITO-KAYABON GEOTHERMAL PROJECT

DESCRIPTION

geothermal power plant in Bacman Geothermal Field,
Bacon, Sorsogon.

(EDC).

(US$ 200 Million)
PROJECT STATUS
Ongoing resource assessment and feasibility studies
CONTACT INFORMATION

Telephone No. : (63 2) 840-1890/667-7332 815-9521/815-8251 to 52
Fax No. : (63 2) 840-1890
121
MINDORO BIOMASS POWER PROJECT

DESCRIPTION
Construction of 17.5 MW biomass power plant in

Mindoro.
This project is included in the Phase 3 of projects to be

implemented by Global Power Mindoro Philippines, Inc.


(US$ 35 Million)
PROJECT STATUS
• Company registered with Securities and Exchange Commission

• Completed the Biomass Supply Assessment
• Ongoing site selection
• Finished preliminary and intermediate plant design
• Preparing requirements for initial Environmental Examination
• Preparing registration with the Board of investments and Application for Grid Impact Study
• Ongoing selection of Engineering, Procurement and Construction contractor
CONTACT INFORMATION

Telephone No. : (63 2) 635-9688/631-2745
Fax No. : (63 2) 638-8164
122
PAGBILAO EXPANSION PROJECT

DESCRIPTION

Installation of 400 MW additional capacity in the coal
plant in Pagbilao, Quezon.
The proponent is Team Energy Corporation.


Private Initiated TBD
(US$ 720 Million)
PROJECT STATUS
• Conducting further studies in view of current events, including the bidding that will be conducted by
the Power Sector Assets and Liabilities Management Corporation for the Independent Power Producer
Administrator of the 700 MW contracted capacity of Pagbilao Power substation and the world-wide
financial crisis
• Ongoing discussion with local government officials of Quezon for possible settlement of real property
tax issue
CONTACT INFORMATION
Name : MR. TATSURO YAMAOKA

Designation : Executive Vice President for Operation
Agency : Team Energy Corporation
Telephone No. : (63 2) 552-8000/552-8005
Fax No. : (63 2) 551-7089
Email Address : tatsuro.yamaoka@teamenergy.ph
123
PAGUDPUD WIND POWER PROJECT

DESCRIPTION
Construction of 40 MW wind power plant in Pagudpud,

Ilocos Norte.

(EDC).


(US$ 100 Million)
PROJECT STATUS
• Currently updating the feasibility study

• Work Program approved by Energy Development Corporation Management last June 2010
• Acquiring permits and right of way for the installation of wind mast
• Wind Energy Service Contract No. 2010-02-040 awarded on February 19, 2010
CONTACT INFORMATION

Telephone No. : (63 2) 840-1890/667-7332 815-9521/815-8251 to 52
Fax No. : (63 2) 840-1890
124
List of Private Initiative Projects In The Power Sector: Visayas
VILLASIGA HYDROPOWER PROJECT

DESCRIPTION
Construction of an 8 MW hydro power plant in Sibalom,

Antique.
The proponent is SUNWEST Water & Electric Company

Incorporated.

Project Location : Western Visayas

PHP 720 Million DOE
(US$ 16 Million)
PROJECT STATUS
• Completed construction of 25.55 kilometers access road and hauling of heavy equipment to the project site
• Completed 50% construction of facilities
• Completed 20 meters (out 1 kilometer) of tunnelling
• Entire project is 18% completed
• Mini-Hyrdo Contract was converted to Hydro Service Contract No. 2010-02-086 on February 2, 2010
CONTACT INFORMATION
Name : MR. JOSE SILVESTRE M. NATIVIDAD

Agency : Sunwest Water & Electric Co., Inc.
Telephone No. : (63 2) 632-7812/470-1789
Fax No. : (63 2) 4701789
Email Address : jsn@sunwest.com.ph
125
NEGROS BIOMASS POWER PROJECT
DESCRIPTION
Construction of 17.5 MW biomass power plants in

Negros.
The project is included in the Phase 1 projects to be

implemented by Global Green Power PLC.
Project Location : Eastern Visayas

PHP 562.50 Million DOE
(US$ 12.50 Million)
PROJECT STATUS
• Preparing registration with the Board of Investment and Application for Grid Impact Study
• Ongoing selection of Engineer and Engineering, Procurement and Construction contractor
CONTACT INFORMATION

Telephone No. : (63 2) 635-9688/631-2745
Fax No. : (63 2) 638-8164
126
SAMAR BIOMASS POWER PROJECT
DESCRIPTION
Construction of 17.5 MW biomass power plant in Samar.

implemented by Global Green Power PLC.


(US$ 35 Million)
PROJECT STATUS
• Company registered with the Securities and Exchange Commission
• Ongoing registration with the Board of Investments and application for Grid Impact Study
• Ongoing selection of the Engineering, Procurement and Construction contractor
CONTACT INFORMATION

Telephone No. : (63 2) 635-9688/631-2745
Fax No. : (63 2) 638-8164
127
DAUIN GEOTHERMAL PROJECT
DESCRIPTION

geothermal power plant in Dauin, Negros Oriental.

(EDC).
Project Location : Central Visayas

(US$ 200 Million)
PROJECT STATUS
• Awarded with Geothermal Renewable Energy Service Contract No. 2009-10-002
CONTACT INFORMATION

Telephone No. : (63 2) 840-1890/667-7332 815-9521/815-8251 to 52
Fax No. : (63 2) 840-1890
128
SOUTHERN LEYTE GEOTHERMAL PROJECT (FORMERLY CABALIAN GEOTHERMAL)
DESCRIPTION

geothermal power plant in Southern Leyte.

(EDC).


(US$ 200 Million)
PROJECT STATUS
• With existing Geothermal Service Contracts No. 07 awarded under Presidential Decree No. 1442
CONTACT INFORMATION

Telephone No. : (63 2) 840-1890/667-7332 815-9521/815-8251 to 52
Fax No. : (63 2) 840-1890
129
List of Private Initiative Projects In The Power Sector: Mindanao Lis
BUNKER-FIRED POWER PLANT

DESCRIPTION

Construction of a 20 MW bunker fired power plant.
The proponent is Mindanao Energy Systems, Incorporated

(MINERGY).

Project Location : Northern Mindanao

PHP 900 Million DOE
(US$ 20 Million)
PROJECT STATUS
Currently in the final negotiation phase with the supplier of the equipment as well as with the Engineering, Procurement
and Construction turnkey contractor
CONTACT INFORMATION
Name : MRS. CONSUELO G. TION

Designation : President and Chief Operating Officer
Agency : Mindanao Energy Systems, Incorporated
Telephone No. : (63 2) 631-1581 to 84/(63 88) 857-5097/(63 88) 857-2043/(63 88) 857-3775
Fax No. : (638822) 726-019
Email Address : cgtion@cepalco.com.ph
130
nao List of Private Initiative Projects In The Power Sector: Mindanao
SOUTHERN MINDANAO COAL-FIRED POWER STATION
DESCRIPTION
Construction of a 200 MW coal power plant in Maasim,

Sarangani.
The proponent is Conal Holdings Corporation.

Project Location : Southern Mindanao

Private Initiated 2013 (Phase I); 2014 (Phase II)
(US$ 360 Million)
PROJECT STATUS
• Secured Environmental Compliance Certificate permit in April 2009
• Construction of Phase 1 (100 MW) starts at the end of the first quarter of 2013
• Construction of Phase 2 (100 MW) will start within 18 to 24 months after the commencement of construction of
Phase 1
CONTACT INFORMATION
Name : MR. TIRSO G. SANTILLAN

Agency : Conal Holdings Corporation
Telephone No. : (63 2) 812-0294
Fax No. : (632 ) 812-1005
Email Address : tgsagc@globenet.com.ph
131
TAGOLOAN HYDROPOWER
DESCRIPTION
Construction of a 68 MW hydro power plant in Bukidnon.
The proponent is First Gen Mindanao Hydro Power

Corporation.


PhP 6,120 Million DOE
(US$ 136 Million)
PROJECT STATUS
• Completed feasibility study
• Awarded with Hydro Service Contract No. 2009-10-006 on October 23, 2009
CONTACT INFORMATION
Name : MR. FRANCIS GILES B. PUNO

Agency : First Gen Mindanao Hydro Power Corporation
Telephone No. : (63 2) 449-6293/(63 2) 449-6400
Fax No. : (63 2) 635-2322
132
BUKIDNON BIOMASS POWER PROJECT

DESCRIPTION
Construction of a 35 MW biomass power plant in

Bukidnon.

implemented by Green Power Bukidnon Philippines,
Incorporated.


PHP 1,496.25 Million DOE
(US$ 33.25 Million)
PROJECT STATUS
• Company registered with the Securities Exchange Commission
• Ongoing registration with the Board of Investments and application for Grid Impact Study
CONTACT INFORMATION

Telephone No. : (63 2) 635-9688/631-2745
Fax No. : (63 2) 638-8164
133
DAVAO BIOMASS POWER PROJECT

DESCRIPTION

Construction of 17.5 MW biomass power plant in Davao

City.
The project is included in the Phase 3 of projects to

be implemented by Green Power Davao Philippines,
Incorporated.

Project Location : Davao Region

PHP 1,496.25 Million DOE
(US$ 33.25 Million)
PROJECT STATUS
• Preparing requirements for registration with the Board of Investments and application for Grid Impact Study
CONTACT INFORMATION

Telephone No. : (63 2) 635-9688/631-2745
Fax No. : (63 2) 638-8164
134
CAMIGUIN ISLAND WIND POWER PROJECT

DESCRIPTION

Construction of a 5 MW wind power project in Camiguin.


PHP 562.50 Million DOE
(US$ 12.50 Million)
PROJECT STATUS
• Work program approved by the Energy Development Corporation Management in June 2010
• Pre-development stage
CONTACT INFORMATION

Telephone No. : (63 2) 840-1890/667-7332 815-9521/815-8251 to 52
Fax No. : (63 2) 840-1890
135
Annexes

Macroeconomic Updates
OVERVIEW
In the second quarter of 2010, the Philippines posted its 45th consecutive quarter
of positive economic growth since 1999 despite countless endogenous and
domestic shocks including the recent global financial crisis. Supported by a
favorable inflation environment, sound banking sector, strong external payments
position, growth in foreign remittances and healthy domestic consumption, the
macroeconomic environment remained stable through the crisis.
Moving forward, the economy is expected to grow further with manufacturing,

private services, trade, finance, construction and private and public consumption
as main growth drivers. To set an enabling environment for accelerated growth,
the new administration is committed to improving governance and transparency
in government. It will also focus on implementing a fiscal agenda that will allow
for a virtuous cycle in which a strong commitment to raising revenues and tight
expenditure discipline will contribute to a reduction in government debt over the
medium term, higher public capital spending and stronger economic growth.
Sustained growth, in turn, will enable the Aquino administration to achieve its
social objectives within a sound fiscal framework.
ECONOMIC HIGHLIGHTS
Economy sustains robust growth
Gross Domestic Product (GDP) surged to 7.9

percent in the second quarter of 2010, bringing 10
first semester GDP growth to 7.9 percent. The 8.2
7.9
recovery in the global economy, strong growth 8
in international trade, improvement in investor 6

and consumer confidence, and election-related
spending contributed to the resurgence in 4
economic activities. On the supply side, growth 2
was driven by the industry sector due to the
robust growth in manufacturing and increase in 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 6M'10
construction activities. The services sector also GNP GDP
continued to provide support to overall growth Source: National Statistics Coordination Board
while agricultural production contracted due to
El Niño and the lingering effect of the typhoons that hit the country late last year.
On the demand side, investments in fixed capital grew heftily and consumption
remained upbeat providing significant support to GDP growth. The country’s
net exports also substantially improved reflecting the continuing recovery of the
global economy. Separately, Gross Naitonal Product (GNP) grew by 8.2 percent
in the first half due to the sustained strong inflow of remittances from overseas
Filipinos.
138
Inflation remains within target range
Headline Inflation eased to 3.5 percent year-on-year

in September 2010 from 4.0 percent in August due to
the decline in the prices of most commodity groups, 10
particularly food, light and fuel. Meanwhile, core 8
inflation also dropped to 3.8 percent from 4.2 percent 6
in the previous month. During the first 9 months of 4

4.1
this year, headline and core inflation averaged 4.1 3.8

2
and 3.8 percent, respectively. The favorable inflation
environment helped allow the Bangko Sentral ng 0
2001 2002 2003 2004 2005 2006 2007 2008 2009 9M '10
Pilipinas (BSP) to maintain policy rates at 4 percent Ave. Headline Ave. Core
Source: Bangko Sentral ng Pilipinas

for the overnight borrowing rate (RRP) and 6 percent
for the overnight lending rate (RP) since July 2009.
External position continues to strengthen

70 9.4 10
60 Gross international reserves (in USD bn) 53.8

Gross International Reserves (GIR) have more than 50
8
tripled since 2001. As of end-September 2010, 40

6
GIR grew to a record high of US$53.8 billion. The 30

4
current level of GIR could cover 9.4 months worth 20

2
10
of imports of goods and payments of services and 0 0
income. It is also equivalent to 5.3 times the country’s 2004 2005 2006 2007 2008 2009 9M'10
GIR (lhs) Import Cover (rhs) - in months

short-term external debt based on residual maturity. Source: Bangko Sentral ng Pilipinas
The country’s Balance of Payments (BoP)

stood at a surplus of US$6.5 billion as of 10 20
end-September 2010. Latest available data for 8 Balance of Payments

& OF Remittances (in USD bn) 12.2
16
current account showed that it also registered a 6

12
surplus of US$4.4 billion during the first half of 2010 on 4
3.5
8
account of sustained resilience of OF remittances and 2
4
BPO revenues. Meanwhile, Overseas Filipinos’ (OF) 0
remittances reached US$1.5 billion in August 2010, -2

2001 2002 2003 2004 2005 2006 2007 2008 2009 8M'10
0
registering a year-on-year growth of 9.8 percent. For Balance of Payments (lhs)

* BOP stood at a surplus of US$6.5 billion as of end-Sept 2010
Remittances (rhs)
the first 8 months of the year, remittances totaled Source: Bangko Sentral ng Pilipinas
US$12.2 billion, higher by 7.4 percent year-on-year.
139
Foreign investments supported by investors’ continued confidence in the

Philippine economy
In the first 7 months of 2010, foreign direct investments (FDI) posted net inflows of US$954
million. Meanwhile, foreign portfolio investments (FPI) registered a net inflow of US$1.4
billion in the first 9 months of 2010, more than 6 times higher than the same period a year
ago.
Meanwhile, total FDI approved by Board of Investments (BOI), Clark Development Corporation
(CDC), Philippine Economic Zone Authority (PEZA), and Subic Bay Metropolitan Authority
(SBMA) in the first semester of 2010 reached P60.5 billion, 153 percent higher than the
P23.9 billion worth of investments approved in the same period in 2009.
Banking sector remains fundamentally sound and stable
The non-performing loans ratio (NPL) of the Philippine Banking System stood at 4.0
percent in the first quarter of this year, while NPL (inclusive of interbank loans) of
universal and commercial banks (U/KBs) stood at 3.3 percent as of end-August 2010.
Moreover, banks remained capitalized at 18 Capital Adequacy & Asset Quality Ratios (in %) 20
levels above the BSP regulatory requirement 16 16.0 18
16
14
and the Basel International Standard. As 12 14.9 14
12
of end-March 2010, the capital adequacy 10
8
10
ratios within the Philippine banking system 6 4.5
4.0
8
6
stood at 14.9 percent and 16.0 percent on 4
2
4
2
a solo and consolidated basis, respectively. 0 0
2003 2004 2005 2006 2007 2008 2009 3M '10
N P A (lhs ) N P L ( lhs )
C A R -‐c o ns o lidated (rhs ) C A R -‐s o lo (rhs )
Source: Bangko Sentral ng PIlipinas
A manageable fiscal profile
Improvements in the National Government’s

(NG) fiscal position have, in recent years,
contributed to a significant decline in its
0 0
deficit-to-GDP ratio, which fell from 5.3 -100
percent in 2002 to a low of 0.9 percent in 2008. -2
In 2009, however, the deficit-to-GDP ratio rose

-200
-3.9
to 3.9 percent as the Government posted a

-4
-300
fiscal deficit of P298.5 billion on lower level National Government Fiscal Position -325
of tax revenues, higher expenditures due to -400

2002 2003 2004 2005 2006 2007 2008 2009 2010P
-6
the fiscal and economic stimulus measures NG Balance; in Php bn (lhs) Deficit-to-GDP Ratio in % (rhs)
implemented to blunt the effects of the global

financial crisis and lower revenues from
140
Macroeconomic Framework
privatization. Revenue collection reached P1.12 trillion while expenditures amounted

to P1.42 trillion.
For the first 7 months of 2010, the NG deficit reached P259.8 billion which is P13.9
billion lower than the P273.7 billion target for the period. Total revenue collections
improved to P894.7 billion, or 6.5 percent
higher than the same period last year. In line 90 National Government Debt-to-GDP (in %)
with the government’s firm commitment to 80
improve tax collection efficiency, Bureau of
70
Internal Revenue (BIR) collections grew by 57.6
60
9.0 percent to P607.3 billion while Bureau of
50
Customs (BOC) collections reached P191.0 2004 2005 2006 2007 2008 2009 2010P
billion up 15.5 percent compared with the same Source: Department of Finance
period last year. Meanwhile, total expenditures
reached P1,154.5 billion or 7.2 percent higher
than the P1,077.3 billion posted in the same period last year. The Government
remains committed to attaining this year’s 3.9 percent deficit-to-GDP target.
Meanwhile, the NG debt-to-GDP ratio stood at 56.5 percent as of the first semester
of 2010 from a peak of 78.2 percent in 2004. Of the total NG outstanding debt, 43.4
percent is foreign while 56.6 percent is domestic. As of June 2010, total debt service
as percent of GDP stood at 0.2 percent, still below the 8.9 percent program for 2010.
ECONOMIC AND POLICY OUTLOOK
In 2010, GDP is expected to exceed the 5.0 to 6.0 percent target while inflation is
expected to fall between the 3.5 to 5.5 percent target range.
The new administration will pursue its overarching objectives of poverty reduction,
increased investments and accelerated growth within the framework of fiscal
sustainability. In line with this, the primary effort will be on increasing tax collections. This
will be done by improving the effectiveness of existing administrative measures such as
Run After the Tax Evaders (RATEs), Run After The Smugglers (RATS) and Revenue Integrity
Protection Service (RIPS). The government also shifted to zero-based budgeting (ZBB)
in preparing the P1.6 trillion 2011 budget to ensure the efficient use of government funds.
The key goal is to maintain a manageable deficit level which will result in continuous
reduction in debt, sustained macroeconomic stability and growth, and at the same time
create fiscal space to allow government to increase capital investments in support of
growth. Finally, recognizing the role of the private sector in national development, the
new administration is committed to fast-tracking the implementation of public-private
partnerships to complement government infrastructure investments and push growth
moving forward.
141
Legal Framework
A. The Philippine Constitution
The Constitution is the fundamental organic law of the Philippines. No enactment of

the Philippine Government can be law, and no act can be lawful and valid, unless it
is in accordance with the Constitution.
The following provisions of the Constitution set forth the rights and limitations of
parties to a PPP Project.
1. Limitations on Land Ownership
a. Public Land
Only Filipino citizens, of legal age, are qualified to acquire by purchase

disposable public agricultural lands. Under Article XII, Section 3 of the
Constitution, private corporations or associations may not hold such
alienable lands of the public domain except by lease, for a period not
exceeding twenty-five years, renewable for not more than twenty-five years,
and not to exceed one thousand hectares in area. Citizens of the Philippines
may lease not more than five hundred hectares, or acquire not more than
twelve hectares thereof by purchase, homestead, or grant. Section 3 further
provides that taking into account the requirements of conservation, ecology,
and development, and subject to the requirements of agrarian reform, the
Congress shall determine, by law, the size of lands of the public domain
which may be acquired, developed, held, or leased and the conditions
thereof. Sections 22 and 23 of Commonwealth Act (CA) No. 141 further
state that only a corporation of which “at least 60 percent of the capital
stock belongs wholly to citizens of the Philippines, and which is organized
and constituted under the laws of the Philippines,” may purchase any tract
of public agricultural land.
b. Private Land
With respect to private lands, Article XII Section 7 of the Constitution provides
that “save in cases of hereditary succession, no private lands shall be
transferred or conveyed except to individuals, corporations, or associations
qualified to acquire or hold lands of the public domain.” Private land means
any land of private ownership. The capacity to acquire private land is made
dependent upon the capacity to acquire or hold lands of the public domain.
Private land may be transferred or conveyed only to individuals or entities
qualified to acquire or hold lands of the public domain. Thus, Filipino citizens
and domestic corporations (at least 60 percent of the outstanding capital
stock entitled to vote of which is held by Philippine nationals) can acquire
142
Legal Framework
private land. Foreign individuals and foreign corporations (i.e, corporations

organized under foreign law or domestic corporations where more than 40
percent of the outstanding capital stock entitled to vote is held by non-
Philippine nationals) are disqualified under the Constitution from acquiring
or in any way holding lands of the public domain, so that they are likewise
disqualified from acquiring private lands. However, what is proscribed by
the Constitution is the vesting of title to lands in favor of foreign individuals or
foreign corporations. The prohibition does not extend to the lease of private
lands to aliens or the grant in their favour of usufructuary rights over private
lands. Therefore, the Investor’s Lease Act (Republic Act No. 7652), provides
that any foreign investor is allowed to lease private lands for a period of fifty
(50) years, renewable once for a period of not more than twenty-five (25)
years, as long as the leased land is used solely for the purposes of or in
connection with the investment.
2. Exploration, Development, and Utilization of Natural Resources
Article XII Section 2 of the Constitution provides that the exploration,

development, and utilization of natural resources shall be under the full control
and supervision of the State. The State may directly undertake such activities, or it
may enter into co-production, Joint Venture, or production-sharing agreements
with Filipino citizens or corporations or associations whose capital is owned by
such citizens. Such agreements may be for a period not exceeding 25 years,
renewable for not more than 25 years, and under such terms and conditions as
may be provided by law. However, the President of the Philippines may enter
into agreements with foreign-owned corporations involving either technical or
financial assistance for large-scale exploration, development, and utilization of
minerals, petroleum, and other mineral oils according to the general terms and
conditions provided by law, based on real contributions to the economic growth
and general welfare of the country. The President shall notify the Congress of
every contract entered into in accordance with this provision, within thirty days
from its execution.
3. Public Utilities
Article XII, Section 11 of the Constitution provides that the grant of a franchise
for the operation of a public utility shall be limited to Philippine citizens or to
corporations at least sixty percent of whose capital is owned by Philippine
citizens. It states:
Section 11. No franchise, certificate, or any other form of authorization

for the operation of a public utility shall be granted except to citizens
of the Philippines or to corporations or associations organized under
143
Legal Framework
the laws of the Philippines at least sixty per centum of whose capital
is owned by such citizens, nor shall such franchise, certificate, or
authorization be exclusive in character for a longer period than fifty
years. Neither shall any franchise or right be granted except under the
condition that it shall be subject to amendment, alteration, or repeal
by the Congress when the common good so requires. The State
shall encourage equity participation in public utilities by the general
public. The participation of foreign investors in the governing body
of any public utility enterprise shall be limited to their proportionate
share in its capital, and all the executive and managing officers of
such corporation or association must be citizens of the Philippines.
(Emphasis supplied.)
The term “public utility” is not defined under the Constitution and even in
current legislation. Instead, the term “public service” which is more often used
interchangeably with the term “public utility” is defined in Section 13(b) of
Commonwealth Act (CA) No. 146, as amended, otherwise known as the Public
Service Act (PSA) as follows:
The term ‘public service’ includes every person that now or hereafter
may own, operate, manage, or control in the Philippines, for hire or
compensation, with general or limited clientele, whether permanent,
occasional or accidental, and done for general business purposes,
any common carrier, railroad, street railway, traction railway, subway
motor vehicle, either for freight or passenger, or both with or without
fixed route and whatever may be its classification, freight or carrier
service of any class, express service, steamboat, or steamship line,
pontines, ferries, and water craft, engaged in the transportation of
passengers or freight or both, shipyard, marine railways, marine
repair shop, [warehouse] wharf or dock, ice plant, ice-refrigeration
plant, canal, irrigation system, gas, electric light, heat and power,
water supply and power, petroleum, sewerage system, wire or
wireless communications systems, wire or wireless broadcasting
stations and other similar public services: x x x
Philippine courts generally hold that the classification of an activity as a public

service or utility depends on whether the person undertaking the activity makes
its service or product available to the public indiscriminately and whether the
public has a right to demand the same.
144
Legal Framework
4. Filipinization of Certain Areas of Investment
Article XII Section 10 of the Constitution provides that the Congress shall, upon
recommendation of the economic and planning agency, when the national
interest dictates, reserve to citizens of the Philippines or to corporations or
associations at least sixty per centum of whose capital is owned by such
citizens, or such higher percentage as Congress may prescribe, certain areas
of investments. Thus, when the national interest dictates, certain areas of
investments may be reserved to citizens of the Philippines or to corporations
at least 60 percent of whose capital is owned by such citizens, or such higher
percentage as Congress may prescribe. This provision has been implemented
through various laws prescribing minimum Philippine ownership requirements
for certain industries.
B. The BOT Law

(Republic Act No. 6957, as amended by Republic Act No. 7718)
The Philippines recognizes the importance of Public-Private-Partnership (PPP) to

accelerate infrastructure development. This is the very reason why the country’s
policy makers have deemed it imperative to establish a legal and policy framework
that clearly sets forth the mechanics and processes for such kind of participation.
One of the main advantages of doing PPP in infrastructure development in the

Philippines is that there is an established legal framework that spells out the rules
of such an engagement at the very start. All that prospective investors and/or
proponents have to do is to conform to the rules. There are roadmaps that investors
can follow in the process of:
• pre-qualifying to do business in the country;

• structuring proposals and bidding for projects;
• complying with the project approval process;
• formalizing award and finalizing contracts; and
• registering and starting a project.
A clear legal framework hastens the project approval process (since the steps to be
followed are clearly specified) and gives comfort to investors that well-structured
project contracts will be respected and honored. Compliance with sound procedures
also ensures a level playing field and makes the implementation process transparent
and legally tenable. In the end, a level playing field and transparency will attract more
investors and protect public/consumer welfare.
The landmark legislation that clearly lays the groundwork for private sector participation
in Philippine infrastructure development is Republic Act No. 7718, otherwise known as
145
Legal Framework
the Amended Build-Operate-and-Transfer (BOT) Law, which includes Implementing

Rules and Regulations. Under this law, private project proponents are allowed to
enter into contractual arrangements either with national infrastructure implementing
agencies (IAs) or local government units (LGU) to undertake the construction, financing,
operation and maintenance of infrastructure facilities. This arrangement defines the
essence of project implementation, and is clearly set forth in the Declaration of Policy
of the BOT Law, which reads:
“It is the declared policy of the State to recognize the indispensable role of the private
sector as the main engine for national growth and development and provide the most
appropriate incentives to mobilize private resources for the purpose of financing the
construction, operation and maintenance of infrastructure and development projects
normally financed and undertaken by the Government. Such incentives, aside from
financial incentives as provided by law, shall include providing a climate of minimum
Government regulations and procedures and specific Government undertakings in
support of the private sector.”
In the BOT contractual arrangement, the project proponent has the following rights:
• To operate the facility over a fixed period, not to exceed 50 years;
• To charge facility users tolls, fee and rentals; and
• To recover construction, operation, and maintenance expenses and earn
reasonable return on investment.
Highlights of RA 7718
• Use of different BOT variants. The Amended BOT Law authorizes the
use of nine specific variants. In addition, other variants can be used provided
approval is secured from the Office of the President. The availability of more
variants provides implementing agencies and proponents with greater flexibility
and wider options in structuring projects to meet different project conditions.
1. Build-Operate-and-Transfer (BOT)
2. Build-and-Transfer (BT)
3. Build-Own-and-Operate (BOO)
4. Build-Lease-and-Transfer (BLT)
5. Build-Transfer-and-Operate (BTO)
6. Contract-Add-and-Operate (CAO)
7. Develop-Operate-and-Transfer (DOT)
8. Rehabilitate-Own-and-Transfer (ROT)
9. Rehabilitate-Own-and-Operate (ROO)
10. Other variations as may be approved by the President of the
Philippines
146
Legal Framework
• Applicability for wider range infrastructure sectors. Practically all

infrastructure sectors are allowed for BOT-type implementation including such
non-traditional areas such as Information Technology (IT), housing, tourism,
education and health. Applicable sectors include power plants, highways, ports,
water supply, irrigation, reclamation, government buildings, slaughterhouses,
warehouses, public markets, solid waste, drainage and other projects as may
deemed appropriate.
• Specified levels of approvals. The roles of approving bodies for national as

well as LGU projects are clearly specified including the limits of such approvals.
• Right of proponent to collect tolls, fees, rentals. A project proponent is

allowed to recover investments through any of the following:
— Tolls, fees, rentals and other charges from the users of

the BOT facility for a fixed term not to exceed 50 years;
— A share in the revenue of the project; and
— Other non-monetary payments.
• Entitlement to reasonable return. In general, the BOT Law entitles a project

proponent to reasonable return to his invested capital. The return should
reflect the prevailing cost of capital in domestic and international markets. For
negotiated contracts which are public utilities and monopolies, the return is
determined by existing laws, which in no case to exceed 12 percent of return
on rate base.
• Government support for BOT projects. Recognizing that there may be a

need for the government to share in the risks and costs of a project to make
it financially viable, a variety of government undertakings are allowed under
prescribed conditions. These include:
• Cost sharing. Projects with difficulty in sourcing funds may be partially

financed from direct government appropriations (GAA) and/or official
development assistance (ODA) funds. Financing from either GAA or ODA
should not exceed 50 percent of project cost.
• Investment Incentives. Projects costing PHP 1 Billion and above are

entitled to get incentives as provided for under the Omnibus Investment Code
upon registration with the Philippine Board of Investments (BOI).
• Other Government Undertakings. Government agencies may also execute

specific undertakings or credit enhancements such as direct government
subsidy, direct government equity, performance undertaking, and legal and/or
security assistance.
147
Legal Framework
C. Investment Laws
Section 133 of the Corporation Code of the Philippines (Batas Pambansa Bilang 68)
provides:
SECTION 133. Doing Business Without License. — No foreign

corporation transacting business in the Philippines without a license,
or its successors or assigns, shall be permitted to maintain or intervene
in any action, suit or proceeding in any court or administrative agency
of the Philippines; but such corporation may be sued or proceeded
against before Philippine courts or administrative tribunals on any
valid cause of action recognized under Philippine laws.
Thus, a foreign corporation that intends to transact business in the Philippines is

required to obtain a license to do business in the Philippines (or engage in business
through the other modes of entry to be discussed below) in order to be able to sue
in the Philippines.
Under Section 3(d) of the Foreign Investments Act of 1991 (Republic Act No. 7042;
hereinafter, the “FIA), the phrase “doing business” includes the following activities:
“* * *soliciting orders, service contracts, opening offices, whether

called “liaison” offices or branches; appointing representatives or
distributors domiciled in the Philippines or who in any calendar year
stay in the country for a period or periods totalling one hundred eighty
(180) days or more; participating in the management, supervision
or control of any domestic business, firm, entity or corporation in
the Philippines; and any other act or acts that imply a continuity
of commercial dealings or arrangements, and contemplate to that
extent the performance of acts or works, or the exercise of some of
the functions normally incident to, and in progressive prosecution
of, commercial gain or of the purpose and object of the business
organization * * *”
On the other hand, Rule I, Section 1(f) of the Rules and Regulations Implementing the
FIA provides that the following activities shall not be considered as doing business
in the Philippines:
• Mere investment as a shareholder by a foreign entity in domestic

corporations duly registered to do business, and/or the exercise of
rights as such investor;
• Having a nominee director or officer to represent its interest in

such corporation;
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• Appointing a representative or distributor domiciled in the

Philippines which transacts business in the representative’s or
distributor’s own name and account;
• The publication of a general advertisement through any print or

broadcast media;
• Maintaining a stock of goods in the Philippines solely for the

purpose of having the same processed by another entity in the
Philippines;
• Consignment by a foreign entity of equipment with a local

company to be used in the processing of products for export;
• Collecting information in the Philippines; and
• Performing services auxiliary to an existing isolated contract

of sale which are not on a continuing basis, such as installing in
the Philippines machinery it has manufactured or exported to the
Philippines, servicing the same, training domestic workers to operate
it, and similar incidental services.
The FIA provides for two Foreign Investment Negative Lists (FINL). List A shall
enumerate the areas of activities reserved to Philippine nationals by mandate of
the Constitution and specific laws. List B shall contain the areas of activities and
enterprises regulated pursuant to law. Executive Order No. 858, issued on February
5, 2010, promulgated the eighth FINL.
A foreign corporation may establish its economic presence in the Philippines in

several ways, some of which are enumerated below.
1. Philippine Branch Office
A foreign corporation may set up a branch in the Philippines by obtaining a

license to transact business from the Philippine SEC. A branch is an extension
of the foreign corporation (i.e., incorporated and existing under foreign laws),
but may engage in exactly the same activities as its parent company in the
Philippines. Since a branch is merely an extension of the foreign corporation
and is therefore wholly foreign-owned, it cannot, for instance, own land in the
Philippines. The branch does not have a personality separate and distinct from
its head office. As such, the head office may be held responsible for any liability
of the branch in excess of its investment.
The required minimum assigned capital is US$ 200,000.00. This amount may
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be reduced to US$ 100,000.00 if advanced technology as determined by the

Philippine Department of Science and Technology (DOST) is involved or the
business directly employs at least 50 employees. This required amount does not
apply to enterprises that export at least 60 percent of their output or domestic
purchases.
The following documents will have to be submitted to the SEC:
• Form F-103 (FIA Application for Branch Office);
• Name Verification Slip;
• Authenticated copy of the Board Resolution authorizing the establishment

of a branch in the Philippines; designating the resident agent to whom
summons and other legal processes may be served to the foreign corporation;
and stipulating that in the absence of such agent or upon cessation of its
operation in the Philippines, any summons or legal processes may be served
to SEC as if the same is made upon the corporation at its home office;
• Financial Statements as of a date not exceeding one year immediately prior

to the application, certified by an independent certified public accountant
of the home country and authenticated before the Philippine Consulate/
Embassy. If the foreign corporation has been engaged in any operations or
has been in existence for more than a year, the financial statements must be
audited by an external auditor. The SEC requires a current ratio of at least
1:1 and a debt to equity ratio of not more than 3:1;
• Proof of Inward Remittance, such as bank certificate;
• Registration Data Sheet;
• Resident Agent’s acceptance of appointment (not required if the resident

agent is the signatory in the application form).
A branch is required by law to deposit government securities with actual market

value of at least PHP 100,000.00 with the SEC within 60 days from the issuance
of the SEC license to transact business in the Philippines, and thereafter, within
six months after each fiscal year, additional securities equivalent in market
value to two percent of the amount by which the gross income of the branch
exceeds PHP 5,000,000.
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2. Domestic Subsidiary
A subsidiary is a corporation which, while incorporated and existing under

Philippine laws, is either wholly-owned or at least majority-owned by a foreign
“parent” corporation. The advantage of a domestic subsidiary over a branch
office is that a subsidiary has a separate and distinct juridical personality from
its parent corporation, so that the liability of the parent corporation to creditors
of the subsidiary is limited to its shareholdings in the domestic subsidiary.
Nationality requirements as provided in the FINL must still be observed.
The following documents will have to be submitted to the SEC:

• Articles of Incorporation
• By-Laws
• Form F-100 (FIA Application for Foreign Corporations)
• Name Verification Slip
• Bank Certificate of Deposit of Paid-In Capital
• Treasurer’s Affidavit
• Certificate of Inward Remittance
• Registration Data Sheet
The required minimum paid-up capital is US$ 200,000.00. This amount may
be reduced to US$ 100,000.00 if advanced technology as determined by
the Philippine DOST is involved or the business directly employs at least 50
employees. The minimum paid up capital of US$ 200,000.00 does not apply
to an enterprise that exports 60 percent or more of its output or domestic
purchases.
3. Representative Office
A representative office promotes the products and/or services of the Company

it represents, but cannot conclude contracts with local entities on behalf of
its parent Company. Such contracts must be directly entered into between
the Company head office and the local entity. Its activities are limited to the
promotion and dissemination of information about the Company’s products
and/or services.
By the nature of the activities allowed of a representative office, it cannot

derive income from the Philippines. Some of the acceptable activities of a
representative office are the following:
• dissemination of foreign market information;
• promotion for export of Philippine products specially non-traditional

products;
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• acting as a message or communication centre between interested parties

and the head office;
• promotion of products presently being distributed in the Philippines;
• to render, assist and give technical know-how and training to existing and
future customers of the Company’s products;
• to provide and facilitate better communication and contact between its

head office and affiliated companies on one hand and present and future
customers on the other;
• to inform potential customers of price quotations of the head office and

affiliated companies;
• to conduct and make surveys and studies of the market, economic and
financial conditions in the Philippines; and
• to attend to the needs of end-users of its products in the Philippines

advising them on the proper care and maintenance of their equipment and
to communicate to its head office problems that call for consultations.
The amount initially to be remitted is at least Thirty Thousand US Dollars (US$

30,000.00). Thereafter, an inward remittance of at least US$ 50,000.00 a year
for operating expenses is required by the BOI.
4. Joint Venture
A foreign corporation may also opt to enter into a JV with a domestic corporation
by forming another domestic corporation. Existing nationality requirements, as
discussed above, with respect to certain industries must still be observed. If
foreign interest exceeds forty percent (40%) of the outstanding capital stock
of the JV corporation, the required minimum paid-up capital is Two Hundred
Thousand US Dollars (US$ 200,000.00). This amount may be reduced to One
Hundred Thousand US Dollars (US$ 100,000.00) if advanced technology as
determined by the Philippine DOST is involved or the business directly employs
at least fifty (50) employees. The minimum paid up capital of US$ 200,000.00
does not apply to enterprises that export sixty percent (60%) or more of its
output or domestic purchases.
5. Purchase of the shares of an existing domestic corporation
A foreign investor may also acquire shares in an existing domestic corporation.

Existing nationality requirements must, however, still be observed.
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D. The Local Government Code (Republic Act No. 7160)
Article X Section 1 of the Constitution provides that the territorial and political
subdivisions of the Republic of the Philippines are the provinces, cities, municipalities,
and barangays. It also provides for autonomous regions in Muslim Mindanao and
the Cordilleras. Section 2 of Article X of the Constitution further provides that the
territorial and political subdivisions shall enjoy local autonomy. This is bolstered by
Section 5 of the same Article which provides that each LGU shall have the power to
create its own sources of revenues and to levy taxes, fees, and charges, subject to
such guidelines and limitations as Congress may provide, consistent with the basic
policy of local autonomy.
Article X Section 3 of the Constitution mandates the enactment of a LGC which shall
provide for a more responsive and accountable local government structure instituted
through a system of decentralization with effective mechanisms of recall, initiative,
and referendum, allocate among the different LGUs their powers, responsibilities,
and resources, and provide for the qualifications, election, appointment and removal,
term, salaries, powers and functions and duties of local officials, and all other matters
relating to the organization and operation of the local units.
Section 302 of the Local Government Code (LGC) provides that LGUs may enter into
contracts with any duly qualified individual contractor for the financing, construction,
operation, and maintenance of any financially viable infrastructure facilities under the
BOT agreement, subject to the provisions of the BOT Law.
It shall be the duty of the LGU concerned to disclose to the public all projects eligible
for financing under Section 302, including official notification of duly registered
contractors and publication in newspapers of general circulation and in conspicuous
and accessible public places. Local projects under the build-operate-and-transfer
agreement shall be confirmed by the local development councils.
The following are the conditions for BOT projects under Section 302 of the LGC:
• The provincial, city or municipal engineer, as the case may be, upon
formal request in writing by the local chief executive, shall prepare the plans
and specifications for the proposed projects, which shall be submitted to the
sanggunian (the local legislative council) for approval.
• Upon approval by the sanggunian of the project plans and specifications,

the provincial, city, or municipal engineer shall, as the case may be, cause to
be published once every week, for two (2) consecutive weeks in at least one (1)
local newspaper which is circulated in the region, province, city or municipality
in which the project is to be implemented, a notice inviting all duly qualified
contractors to participate in a public bidding for the projects so approved. The
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conduct of public bidding and award of contracts for local government projects
under this section shall be in accordance with this Code and other applicable
laws, rules and regulations. In the case of a BOT agreement, the contract
shall be awarded to the lowest complying bidder whose offer is deemed most
advantageous to the local government and based on the present value of its
proposed tolls, fees, rentals, and charges over a fixed term for the facility to be
constructed, operated, and maintained according to the prescribed minimum
design and performance standards, plans, and specifications. For this purpose,
the winning contractor shall be automatically granted by the LGU concerned
the franchise to operate and maintain the facility, including the collection of
tolls, fees, rentals, and charges.
• Any contractor who shall undertake the prosecution of any project under
this section shall post the required bonds to protect the interest of the province,
city, or municipality, in such amounts as may be fixed by the sanggunian
concerned and the provincial, city or municipal engineer shall not, as the case
may be, allow any contractor to initiate the prosecution of projects under this
section unless such contractor presents proof or evidence that he has posted
the required bond.
• The contractor shall be entitled to a reasonable return of its investment

in accordance with its bid proposal as accepted by the LGU concerned. In the
case of a BOT agreement, the repayment shall be made by authorizing the
contractor to charge and collect reasonable tolls, fees, rentals, and charges
for the use of the project facility not exceeding those proposed in the bid and
incorporated in the contract: Provided, that the LGU concerned shall, based
on reasonableness and equity, approve the tolls, fees, rentals and charges:
Provided, further, that the imposition and collection of tolls, fees, rentals and
charges shall be for a fixed period as proposed in the bid and incorporated in
the contract which shall in no case exceed fifty (50) years: Provided, finally, that
during the lifetime of the contract, the contractor shall undertake the necessary
maintenance and repair of the facility in accordance with standards prescribed
in the bidding documents and in the contract.
E. Foreign Exchange Regulations
The registration of foreign investments (i.e., those made by non-residents) with the
Bangko Sentral ng Pilipinas (BSP) or with investor’s designated custodian bank on
behalf of the BSP is optional. It is required only if the foreign exchange (FX) needed
to fund the repatriation of capital and the remittance of dividends/profits accruing
thereon will be purchased from Authorized Agent Banks (AABs) and subsidiary/
affiliate forex corporations (AAB-forex corps).
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F. Public Finance Laws
The World Bank [in Philippines: Meeting Infrastructure Challenges, World Bank
(2005)] has identified the two roles of the Government in the context of PPPs: (1)
to provide the legal and institutional framework, and (2) to identify the appropriate
instruments for public support of infrastructure projects. Among the instruments in
the government’s arsenal are tax breaks and incentives (discussed below), direct and
indirect subsidies, capital contributions, guarantees, and in-kind grants.
Both Republic Act No. 245 (enacted in 1948) and Republic Act No. 4860 (the “Foreign
Borrowings Act), enacted in 1966, and amended several times since, refer to the
authority of the President of the Philippines to incur such guarantees.
Republic Act No. 245 provides that in order to meet public expenditures authorized
by law or to provide for the purchase, redemption, or refunding of any obligations,
either direct or guaranteed, of the Philippine Government, the Secretary of Finance,
with the approval of the President, after consultation with the Monetary Board, is
authorized to borrow from time to time on the credit of the Republic of the Philippines
such sum or sums as in his judgment may be necessary, and to issue therefore
evidences of indebtedness of the Philippine Government. Republic Act No. 245, in
Section 2, goes further and provides that –
• The Secretary of Finance shall cause to be paid out of any moneys in

the National Treasury not otherwise appropriated, or from any sinking fund
provided for the purpose by law, any interest falling due, or accruing, on any
portion of the public debt authorized by law.
• He shall also cause to be paid out of any such money, or from any such
sinking funds the principal amount of any obligations which have matured,
or which have been called for redemption or for which redemption has been
demanded in accordance with terms prescribed by him prior to date of issue
• He may, if he so chooses and if the holder is willing, exchange any such

obligation with any other direct or guaranteed obligation or obligations of the
Philippine government of equivalent value.
Republic Act No. 245 also appropriated, as a continuing appropriation, out of any
moneys of the National Treasury not otherwise appropriated, such sums as may be
necessary from time to time to carry out the provisions of Section 2.
Republic Act No. 4860 --
• Authorizes the President of the Philippines to obtain such foreign loans or

credits, or to incur such foreign indebtedness as may be necessary to finance
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approved economic development purposes of projects
• Authorizes the President of the Philippines to guarantee, on behalf of

the Republic of the Philippines, foreign loans obtained or bonds issued by
corporations owned or controlled by the Government of the Philippines for
economic development purposes including those incurred for purposes of
relending to the private sector.
• Provides that Congress shall appropriate the necessary amount of any

funds in the National Treasury not otherwise appropriated, to cover the payment
of the principal and interest on such loans, credits, or indebtedness as and
when they shall become due.
Republic Act No. 4860 imposes a ceiling for foreign borrowings and guarantees. A
loan granted under RA No. 8182 (the Official Development Assistance Act of 1996) is
excluded from such ceiling.
Section 4B of Republic Act No. 4860 moreover provides that the President may,
upon recommendation of the Minister of Finance in consultation with the National
Economic Development Authority, agree to a provision in a loan agreement or contract
for the availment or utilization of proceeds of foreign loans or credits of foreign loans
or credits concluded with a foreign government or with an international lending
institution owned by a foreign government, exempting the assets of such foreign
government or lending institution in the Philippines from expropriation, sequestration,
nationalization, seizure, or similar measures. The Philippines has, since then, entered
into bilateral investment treaties containing similar provisions.
G. Labor Laws and the Employment of Foreign Nationals
Philippine labor law generally covers the employment of individuals who render
services in the Philippines, regardless of the place where the individuals were actually
or first employed. The terms that govern an employment relationship include an
employment contract, any applicable collective bargaining agreement, wage orders
issued by the Department of Labor, and other laws as well as implementing rules
and directives from the Department of Labor. Employees generally are not entitled
to management representation, although the Constitution provides that employees
have a right to participate in policy and decision-making processes affecting their
rights and benefits as may be provided by law.
Employees who have attained regular status, i.e. an employee who has been engaged
to perform activities which are usually necessary or desirable in the usual trade or
business of the employer, or has rendered at least six months of service, are entitled
to security of tenure and cannot be terminated except for just or authorized causes.
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The just causes for dismissal are: serious misconduct or wilful disobedience by the
employee of the lawful orders of his employer or representative in connection with his
work; gross and habitual neglect by the employee of his duties; fraud or wilful breach
by the employee of the trust reposed in him by his employer or duly authorized
representative; commission of a crime or offense by the employee against the
person of his employer or any immediate member of his family or his duly authorized
representative; or other causes analogous to the foregoing. The authorized causes
for dismissal are the installation of labor saving devices, redundancy, retrenchment
to prevent losses, or the closing of operation of the establishment.
The normal consequences of a finding that an employee has been illegally dismissed
are that the employee is entitled to be reinstated to his former position without loss
of seniority rights and to the payment of backwages. However, in case reinstatement
is no longer possible due to strained relations, the Courts may order the payment of
separation benefits in lieu of reinstatement in addition to backwages.
Redundancy is deemed to exist when the services of an employee are in excess of

what is reasonably demanded by the actual requirements of the company. There
are no specific regulations for redundancies. Although in case of termination of
an employee due to redundancy, the terminated employee is entitled to separation
pay of one (1) month pay or to at least one (1) month pay for every year of service,
whichever is higher.
As mandated by law, both the employer and the employee contribute to the
Social Security System (SSS) for the social security benefits of the employees; to
the Philippine Health Insurance Corporation for medical insurance benefits of the
employees in accordance with the National Health Insurance Program; and to the
Home Development and Mutual Fund (HDMF) for certain other employee benefits.
Employers are also required to pay employees an annual 13th Month Pay equivalent
to one (1) month salary.
An enterprise registered with the Board of Investments (‘BOI) may employ foreign
nationals in supervisory, technical or advisory positions for a period not exceeding
five (5) years from its registration, extendible for limited periods at the discretion of
the BOI. When the majority of the capital stock of a registered enterprise is owned by
foreign investors, the positions of president, treasurer, and general manager or their
equivalents may be retained by foreign nationals beyond the five year period.
Foreign nationals under employment contract, their spouses and unmarried children
under twenty-one (21) years of age shall be permitted to enter and reside in the
Philippines during the period of employment of such foreign nationals.
A registered enterprise shall train Filipinos as understudies of foreign nationals in

administrative, supervisory and technical skills and shall submit annual reports on
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such training to the Board.
Every foreign national employed under this incentive granted to BOI-registered

enterprises shall register with the BOI within sixty (60) days from his arrival in the
country or within thirty (30) days after commencement of employment. For this
purpose, the foreign national shall present his passport and other travel documents;
his alien certificate of registration (ACR) and certificate of residence issued by the
Bureau of Immigration.
The permits and registrations required for foreign employees are:
1. Department of Labor and Employment (DOLE): Alien Employment

Permit (AEP)
The DOLE requires employers intending to employ foreign nationals to obtain

an AEP on behalf of their alien employees. Generally, an employment permit
issued to a non-resident alien shall be valid for a period of one (1) year starting
from date of issue, unless otherwise earlier revoked for cause. Such permits
may be renewed upon approval of the Regional Director of the DOLE.
2. Bureau of Immigration: Visa Application and Alien Registration
An alien may be admitted for pre-arranged employment together with his or

her spouse and/or unmarried children below 21 years of age. They can have
an authorized stay of two (2) years extendible for another two (2) years at any
given time. The Bureau of Immigration issues a “9(g) Visa” for aliens applying
for admission for pre-arranged employment.
An alien staying in the Philippines under a 9(g) Visa should likewise register with
the Bureau of Immigration and obtain an ACR or I-card.
H. Environmental Laws
For the project to be approved by the NEDA-ICC, an application for the

issuance of an Environment Compliance Certificate (ECC) has to be filed with
the Department of Environment and Natural Resources (DENR) and the ECC
must be actually issued by the DENR prior to project implementation. The
ECC certifies that: (a) the proponent has complied with all the requirements
of the Environmental Impact Statement (EIS) System and has committed to
implement its approved Environmental Management Plan. The ECC contains
specific measures and conditions that the project proponent has to undertake
before and during the operation of the project, and in some cases, during the
project’s abandonment phase to mitigate the identified environmental impact
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[Section 3(d), DENR Administrative Order No. 30-03 (June 30, 2003)].
I. Dispute Settlement
Republic Act No. 9285 provides that international commercial arbitration shall be
governed by the Model Law on International Commercial Arbitration adopted by the
United Nations Commission on International Trade Law (UNCITRAL). The UNCITRAL
Model Law provides that, among other criteria, an arbitration is international if
the parties to an arbitration agreement have, at the time of the conclusion of that
agreement, their places of business in different States. However, only parties to the
Contract are bound by its arbitration clause, and such clause cannot oust a Philippine
court of jurisdiction in a suit filed by non-parties to the Contract. On the other hand
the Philippines is a party to several bilateral investment treaties (BITs), and such BITs
commonly require each Contracting State to observe all investment obligations it has
assumed with respect to investors from the other Contracting State.
J. Procurement Laws
The procurement of infrastructure projects, goods, and consulting services by

all branches and instrumentalities of government, its departments, offices and
agencies, including GOCCs and LGUs is governed by Republic Act No. 9184 or the
Government Procurement Reform Act (GPRA) which was enacted on January 10,
2003. Government procurement, under the framework of the GPRA, is governed by
the following principles:
• Transparency in the procurement process and implementation.

• Competitiveness by providing equal opportunity participation in public
bidding.
• Streamlined procurement process that will be uniformly applicable and
adaptable to advances in modern technology.
• System of accountability for public officials and private parties involved
in the procurement process and contract implementation.
• Public monitoring of the procurement process and contract
implementation to ensure compliance with the GPRA and with contract
terms
The GPRA applies to procurement of infrastructure projects, goods and consulting

services. Infrastructure projects are defined in the law as including the “construction,
improvement, rehabilitation, demolition, repair, restoration or maintenance of
roads and bridges, railways, airports, seaports, communication facilities, civil
works components of information technology projects, irrigation, flood control and
drainage, water supply, sanitation, sewerage and solid waste management systems,
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shore protection, energy/power and electrification facilities, national buildings,

school buildings, hospital buildings and other related construction projects of the
government.” Goods are defined as “all items, supplies, materials and general
support services, except consulting services and infrastructure projects, which
may be needed in the transaction of public businesses or in the pursuit of any
government undertaking, project or activity, whether in the nature of equipment,
furniture, stationery, materials for construction, or personal property of any kind,
including non-personal or contractual services such as the repair and maintenance of
equipment and furniture, as well as trucking, hauling, janitorial, security, and related
or analogous services, as well as procurement of materials and supplies provided by
the procuring entity for such services.” Consulting services are defined as “services
for Infrastructure Projects and other types of projects or activities of the Government
requiring adequate external technical and professional expertise that are beyond the
capability and/or capacity of the government to undertake such as, but not limited to:
(i) advisory and review services; (ii) pre-investment or feasibility studies; (iii) design;
(iv) construction supervision; (v) management and related services; and (vi) other
technical services or special studies.”
A Government Procurement Policy Board (GPPB) is established under the GPRA

to: (a) protect national interest in all matters affecting public procurement, having
due regard to the country’s regional and international obligations; (b) formulate and
amend, whenever necessary, the implementing rules and regulations of the GPRA
and the corresponding standard forms for procurement; (c) ensure that procuring
entities regularly conduct procurement training programs and prepare a procurement
operations manual for all offices and agencies of government; and (d) conduct an
annual review of the effectiveness of the GPRA and recommend any amendments
thereto, as may be necessary.
The GPPB is composed of the Secretary of the Department of Budget and

Management, as Chairman, the Director-General of the National Economic
Development Authority, as Alternate Chairman, with the following as Members;
the Secretaries of the Departments of Public Works and Highways, Finance, Trade
and Industry, Health, National Defense, Education, Interior and Local Government,
Science and Technology, Transportation and Communications, and Energy, or their
duly authorized representatives and a representative from the private sector to be
appointed by the President upon the recommendation of the GPPB. The GPPB may
invite a representative from the Commission on Audit to serve as a resource person.
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Tax Regime and Incentives Framework
A. The Omnibus Investments Code of 1987 (Executive Order No. 226),

as amended by Republic Act No. 7918
The Omnibus Investments Code is an investments incentive law which seeks to

encourage investments in desirable areas of activities by providing for specific
incentives to domestic and foreign investors. Its provisions are implemented by
the Board of Investments (BOI), whose duties include the annual preparation of the
Investments Priorities Plan (IPP) and the processing and
approval of applications for BOI registration and availment of incentives.
The IPP is a listing of specific and generic activities, with either pioneer or
non-pioneer status, that qualify for incentives. It is prepared annually by the
BOI after consultation with other government agencies and the private sector.
Under Executive Order No. 226, a pioneer enterprise is normally given six (6) years
of ITH, while a non-pioneer enterprise is given four (4) years of ITH as tax incentive.
The 2010 IPP provides that, in general, projects with a sovereign

guarantee or a guaranteed rate of return are not entitled to ITH. Projects
with take or pay provisions are not entitled to ITH. Projects with sovereign
guarantee for risks other than commercial risks may be granted ITH subject to
certification as such by the agency/institution providing the guarantee.
Pioneer status with non-pioneer incentives may be granted to projects that meet the
minimum investment requirement as provided in the Specific Guidelines of the IPP.
The 2010 IPP covers Infrastructure Projects, specifically transport (air, water, and
mass rail transport), water (water supply and/or distribution), logistics, energy
(power generation projects, projects/activities under the privatization plan of
the Power Sector Assets and Liabilities Management (PSALM) Corporation,
power generation projects located in missionary areas, and rehabilitation of power
plants), waste management facilities, mass housing, physical infrastructure, pipeline
projects for oil and gas, and projects under the Build-Operate-Transfer (BOT) Law.
1. Specific Infrastructure Projects/Activities
a. Transport. This covers air, water and mass rail transport.
(1) Air Transport. This includes passenger and/or cargo operation

for commercial purposes. Lease with option to purchase an aircraft may
be allowed. Pure lease may be allowed provided that the lease contract is
for a minimum of five (5) years. Acquisition of additional aircraft/s may be
registered as new project. Any of the following may qualify for pioneer
status: (a) Serving the missionary/developmental routes, as indicated in
the Certificate of Public Convenience and Necessity (CPCN); and (b) Air
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transport projects involving purchase/lease-purchase of brand new aircraft.

For lease-purchase, the option to purchase should be exercised before the
end of the 4th year of ITH availment. All applications for registration must
be endorsed by the Civil Aeronautics Board (CAB), when applicable. Such
endorsement must contain information on the routes to be served. Prior
to start of commercial operation of each aircraft, the registered enterprise
must submit a Certificate of Airworthiness issued by Civil Aviation Authority
of the Philippines (CAAP).
(2) Water Transport. This covers domestic, overseas, and Roll-On/

Roll-Off (RORO) shipping.
(a) Domestic/inter-island shipping. This covers pure cargo,

passenger, and passenger-cargo vessel operations including RORO
Terminal System operations. The following are the qualifications for
registration: (1) Must be a Philippine shipping enterprise
accredited with the Maritime Industry Authority (MARINA); (2) Vessel
must be registered and operated under the Philippine Flag; (3) RORO
vessels must not be more than fifteen (15) years old and must be
at least 250 gross tonnage (GT) for those serving primary routes; (4)
Tankers must be double-hulled and not more than ten (10) years old; (5)
High speed passenger crafts must not be more than five (5) years old;
(6) Vessels other than tankers and high speed passenger crafts must
be at least 200 GT and must not be more than fifteen (15) years old.
The age of the vessel shall be reckoned from the date of launching as
indicated in the vessel’s Class Certificate. Any of the following may
qualify for pioneer status: (1) RORO operator/enterprise serving the
missionary routes, as indicated in the Certificate of Public Convenience
(CPC) issued by MARINA; or (2) Acquisition of brand new vessels.
(b) Overseas shipping. The following are the qualifications for

registration: (1) must be a Philippine shipping enterprise accredited with
the MARINA; (2) Vessel must be registered and operated under the
Philippine Flag; (3) Vessels must be at least 500 GT and must not be
more than fifteen (15) years old. The acquisition of brand new vessels may
qualify for pioneer status. The acquisition of additional vessel/s may be
registered as new project. The lease or charter of foreign-owned vessel
with option to purchase may be allowed. Pure lease or bareboat charter
may be allowed provided the lease contract is for a minimum of one (1)
year; Provided further, that any replacement of vessels shall be covered
by the enterprise’s existing registration involving the leased vessel, which
shall be valid for at least five (5) years. All applications for registration
must be endorsed by the MARINA. All vessels must be seaworthy and
must obtain valid Class and Statutory Certificates as required by MARINA.
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(3) Mass Rail Transport. This covers mass rail transport system for
passengers and cargoes in line with the transport development plans
and programs of the Department of Transportation and Communications
(DOTC).
b. Water Supply and/or Distribution. This covers the supply and/or

distribution of water. Supply of water shall be limited to supply of
bulk water extracted from surface water sources and treated for
commercial purposes. Distribution activity must involve extraction of water from
surface water sources, treatment and installation of a piping network
that includes water main service pipelines and flow metering systems.
Applicants must submit a copy of its Certificate of Public Convenience
(CPC) or its equivalent. Projects involving any of the foregoing areas of
water operations, dedicated to a particular industrial estate, industrial
community, or subdivision, are not qualified for registration under this listing.
c. Logistics. This covers ports, terminals, natural gas refueling stations,

warehouses, post harvest facilities and relocation of oil terminals.
(1) Ports. This covers the development and operation of airports and
seaports. All applications for registration must be endorsed by the CAAP
or the Philippine Ports Authority (PPA), whichever is applicable.
(2) Terminals.
(a) Passenger/Intermodal terminals. The following are the

qualifications for registration: (1) Must have new facilities with parking,
comfort rooms, ticketing and reservation office, air-conditioned waiting area
and provide shuttle services; and (2) Must cater to shipping lines or airlines
and/or different land transportation systems (rail system, buses, taxis, etc.).
(b) Cargo terminals/Container yards. The following are the

qualifications for registration: (1) Must have new facilities; and (2)
Must have a system of ingress and egress to prevent traffic build-up/
obstruction of thoroughfares on a 24-hour basis as
certified by DOTC, Metropolitan Manila Development
Authority (MMDA) and/or other Competent National Authority.
(c) LNG/CNG storage terminals. The following are the qualifications

for registration: (1) Must have new facilities; (2) Must cater to shipping
vessels and land transport or a combination of both; and (3) Must cater to
at least one (1) clientele, other than the proponent’s own business. Prior
to start of commercial operation, the registered enterprise must submit a
copy of its Permit to Operate issued by the Department of Energy (DOE).
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(d) Natural gas refueling stations. This covers the establishment

and operation of natural gas refueling station and related infrastructures
and facilities in accordance with relevant Philippine National Standard
(PNS). Foreign-owned corporations must comply with the Retail Trade
Law (Republic Act No. 8762). Prior to start of commercial operation, the
registered enterprise must submit a copy of its Permit to Operate issued
by the Department of Energy (DOE).
(3) Warehouses. This covers the establishment and operation of IT-

enabled and automated warehousing facilities.
(4) Post Harvest Facilities. This covers the establishment and

operation of cold storage, freezing, bulk handling and storage facilities.
The refrigeration system should use non-ozone depleting substances.
(5) Relocation and putting up of a new oil terminal. Projects that

cost at least PHP 1 billion may be granted pioneer status but with non-
pioneer incentives. All applications for registration must be endorsed
by the DOE. All applications for registration must show such project’s
compliance with appropriate land use/zone plans including safety and
security measures prescribed by the local government unit (LGU)/
agency that approved the same.
d. Energy. This covers any of the following: (1) Grid-connected

power generation projects except oil-fired plants; (2) Missionary power
generation projects located in off-grid and Qualified Third Party (QTP) areas;
(3) Rehabilitation of power plants; (4) Projects/activities under the PSALM
privatization plan. All PSALM-privatized power generation projects must
involve rehabilitation of plant facilities. Whenever applicable, plant efficiency
should increase by 50 percent for hydro electric and diesel engine power
generating plants and thermal efficiency should increase by 50 percent for
coal and oil fired thermal power generating plants to qualify for ITH. Only
income based on approved contracts by the Energy Regulatory Commission
(ERC) may be entitled to ITH. Any of the following may qualify for pioneer
status: (1) Power generation projects using renewable energy sources; (2)
Power generating plants located in missionary areas; (3) Projects that cost
at least the Philippine Peso equivalent of US$1 million per megawatt but
with non-pioneer incentives; (4) Privatized power generating plants but with
non-pioneer incentives; (5) Rehabilitation of power plants but with capital
equipment incentives only.
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e. Waste Management Facilities. This covers the establishment of

toxic and hazardous waste (THW) treatment facilities. The following
are the qualifications for registration: (1) Must involve treatment,
storage and disposal (TSD) ; (2) Must be capable of handling toxic and
hazardous waste (THW); (3) Must handle only locally-generated wastes.
Prior to start of commercial operation, the registered enterprise must
submit a copy of its TSD Facility Permit issued by the EMB of the
Department of Environment and Natural Resources (DENR). If handling
radioactive wastes, the registered enterprise must submit a License to
Operate a Radioactive Waste Management Facility from the Philippine Nuclear
Research Institute (PNRI) of the DOST in addition to the TSD Facility Permit.
f. Low-Cost and Socialized Mass Housing. Low cost housing refers

to a housing program for low and middle-income groups substantially
constructed by the private sector as a business venture. Socialized
housing refers to a housing program or project covering houses and lots
undertaken by the government or private sector for underprivileged and
homeless citizens. The following are the qualifications for registration:
General requirements:
• The cost of housing units shall not exceed the amount for
socialized and low cost housing as set by the Housing and Urban
Development Coordinating Council (HUDCC)
• All low cost mass housing projects must comply with the
socialized housing requirement by developing an area for socialized housing
equivalent to at least 20 percent of the total subdivision area or total
subdivision project cost for horizontal housing and 20 percent of the
total cost of building construction and site preparation for
vertical housing projects whether within or outside the same city or
municipality. This may be done through any of the following modes: (1)
Development of a new settlement; (2) Slum upgrading or renewal of areas
for priority development either through zonal improvement programs
or slum improvement and resettlement programs; and (3) Joint-venture
projects with either the local government units or any of the housing
agencies.
• Must be new or expanding mass housing project

• Minimum of twenty (20) livable dwelling units in a single site or
building
• Project shall conform with the design standards set forth in the
Rules and Regulations to Implement Batas Pambansa Bilang 220
and other related laws
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A project shall be considered as an expansion if it will locate adjacent or

contiguous to an existing mass housing project owned by the same entity
and shall share common facilities with the existing project.
Requirements for vertical housing projects:

• At least 51 percent of the total floor area, excluding common
facilities and parking areas, must be devoted to housing units
Any of the following may be considered as an expansion project:

• Unfinished projects, the construction of which had stopped for at
least one (1) year. Only the unsold units may qualify for registration
• Conversion to low cost or socialized housing project of a building

originally intended for commercial, office spaces, or exclusive
condominiums
• Construction of additional floors or annexes intended for mass

housing units
Projects that have already been completed and have incurred sales (booked
sales) of housing packages shall, in general, not qualify for registration.
The ITH shall be limited only to the revenue generated from the registered
housing project. There shall be no double availment of similar incentives for
socialized housing projects that avail of incentives under R.A. No. 7279 or
the Urban Development and Housing Act (UDHA). Projects in less-served
areas, as may be determined by the Board, may be entitled to four (4) years
ITH otherwise, three (3) years. In general, projects in NCR may be entitled to
three (3) years.
g. Physical Infrastructure.
(1) This covers the development, including rehabilitation, upgrading,

and/or expansion, and/or operation of tollroads, highways, railways, roads,
and bridges.
(2) This also covers the establishment of telecommunication

infrastructure as endorsed by National Telecommunications Commission
(NTC).
Upgrading of existing physical infrastructure may be registered as a new

project provided that the cost of upgrading already approximates at least 90
percent of the prevailing cost of constructing a new physical infrastructure,
as certified by Competent National Authority. If the cost of upgrading the
physical infrastructure is less than 90 percent of the prevailing cost of
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constructing a new physical infrastructure, the project may be registered

as a modernization activity but not entitled to ITH. For projects that will
involve the development and operation of physical infrastructure to be
undertaken by separate entities, both the developer and operator may
qualify for registration. However, the developer may be entitled only to
incentive on capital equipment directly needed for the operation of the
physical infrastructure. Projects that cost at least the Philippine Peso
equivalent of US$100 million may be granted pioneer status but with non-
pioneer incentives.
h. Pipeline Projects for Oil and Gas. This covers the establishment
of infrastructure for transport of petroleum products and natural gas,
petrochemical, and similar products. All applications for registration must be
endorsed by the DOE and/or other concerned Competent National Authority.
i. Projects under the BOT Law. Application for registration must include
an endorsement from concerned government agency or corporation or LGU,
a copy of supply contract, and other relevant supporting documents. BOT
projects that cost at least PHP 1.0 billion may be granted pioneer status but
with non-pioneer incentives.
2. Fiscal Incentives. Income Tax Holiday (ITH) of six (6) years from commercial
operation for pioneer enterprises and four (4) years for non-pioneer enterprises.
3. Other Fiscal Incentives. The other fiscal incentives available if the BOT
project is BOI-registered are, as follows:
• Additional Deduction for Labor Expense;

• Tax and Duty Exemption on Imported Capital Equipment;
• Tax Credit on Domestic Capital Equipment;
• Tax Credit for Taxes and Duties on Raw Materials;
• Exemption from Taxes and Duties on Imported Spare Parts; and
• Exemption from Wharfage Dues and any Export Tax, Duty, Impost and
Fees.
4. Non-Fiscal Incentives
• Simplification of Customs Procedure;
• Unrestricted Use of Consigned Equipment for an unlimited period
subject to
• posting of re-export bond;
• Employment of Foreign Nationals; and
• Guaranteed repatriation of foreign investments and earnings thereon.
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B. The Renewable Energy Act of 2008 (Republic Act No. 9513)
Under the Renewable Energy Act of 2008, renewable energy developers (RE
Developers) of renewable energy (RE) facilities, including hybrid systems, in proportion
to and to the extent of the renewable energy component, for both power and non-
power applications, are entitled to the following incentives:
1. Income Tax Holiday (ITH) — a duly registered RE developer is exempt

from income taxes for the first 7 years of its commercial operations. Additional
investments in the project are also entitled to additional income tax exemption
which shall not be more than 3 times the period of the initial availment of the
ITH. The discovery and development of new RE resource shall be treated as a
new investment and shall be entitled to a fresh package of incentives.
2. Duty-free Importation of RE Machinery, Equipment and Materials — within

10 years from the issuance of a certificate of registration to an RE developer,
the importation of machinery and equipment, and materials and parts thereof,
including control and communication equipment shall be exempt from tariff
duties.
3. Special Realty Tax Rates on Equipment and Machinery — Realty and

other taxes on civil works, equipment, machinery, and other improvements
of a registered RE Developer, actually and exclusively used for RE facilities,
shall not exceed 1.5 percent of their original cost less accumulated normal
depreciation or net book value. In case of an integrated resource development
and generation facility, the real property tax shall only be imposed on the power
plant.
4. Net Operating Loss Carry-Over (NOLCO) — The NOLCO of the RE

Developer during the first three (3) years from the start of commercial operation
which had not been previously offset as deduction from gross income shall be
carried over as a deduction from gross income for the next seven (7) consecutive
taxable years immediately following the year of such loss. The operating loss
resulting from the availment of incentives is not entitled to NOLCO.
5. Corporate Tax Rate — After seven (7) years of ITH, RE Developers shall
pay a corporate tax of 10 percent on its net taxable income.
6. Accelerated Depreciation — In case an RE project fails to receive an

ITH before full operation, it may apply for Accelerated Depreciation in its tax
books, using a rate not exceeding twice the rate which would have been used
had the annual allowance been computed in accordance with the Tax Code of
1997 and existing rules and regulations. However, if the RE Developer applies
for Accelerated Depreciation, the project or its expansions shall no longer be
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entitled to ITH.
7. Zero Percent Value-Added Tax Rate — The sale of fuel or power generated
from renewable sources of energy such as, but not limited to, biomass, solar,
wind, hydropower, geothermal, ocean energy and other emerging energy
sources using technologies such as fuel cells and hydrogen fuels, shall be
subject to zero percent (0%) value-added tax (VAT). This shall also apply to
the process of exploring and developing renewable energy sources up to its
conversion into power, including services performed by subcontractors and/or
contractors. RE Developers shall be entitled to zero-rated VAT on its purchases
of local supply of goods, properties and services needed for the development,
construction and installation of its plant facilities.
8. Cash Incentive of Renewable Energy Developers for Missionary

Electrification — A RE developer shall be entitled to a cash generation-based
incentive per kilowatt-hour rate generated, equivalent to fifty percent (50%) of
the universal charge for power needed to service missionary areas.
9. Tax Exemption of Carbon Credits — Proceeds from the sale of carbon

emission credits shall be exempt from all taxes.
10. Tax Credit on Domestic Capital Equipment and Services — A tax credit
equivalent to one hundred percent (100%) of the VAT and custom duties that
would have been paid on the RE machinery, equipment, materials and parts had
these items been imported shall be given to an RE operating contract holder
who purchases machinery, equipment, materials, and parts from a domestic
manufacturer.
An RE Developer of hybrid and cogeneration systems utilizing both RE sources and

conventional energy shall also be entitled to the tax exemptions and/or incentives as
mentioned above on the equipment, machinery and/or devices utilizing RE resources.
In addition to the incentives granted to RE Developers, manufacturers, fabricators

and suppliers of locally-produced RE equipment and components, duly registered
with the BOI, are entitled to the following privileges:
1. Tax and Duty-free Importation of Components, Parts and Materials — all

shipments necessary for the manufacture and/or fabrication of RE equipment
and components shall be exempted from importation tariff and duties and VAT.
2. Tax Credit on Domestic Capital Components, Parts and Materials — A

tax credit equivalent to 100 percent of the amount of the VAT and custom
duties that would have been paid on the components, parts and materials had
these items been imported shall be given to an RE equipment manufacturer,
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fabricator, and supplier who purchases RE components, parts and materials

from a domestic manufacturer.
3. Income Tax Holiday and Exemption — an RE manufacturer, fabricator and

supplier of RE equipment shall be fully exempt from income taxes for a period
of 7 years starting from the date of recognition/accreditation.
4. Zero-rated Value-Added Tax Transactions — all manufacturers, fabricators

and suppliers of locally produced renewable energy equipment shall be subject
to zero-rated VAT on its transactions with local suppliers of goods, properties
and services.
In accordance with the Renewable Energy Act of 2008, the Renewable Energy Sector
is declared a priority investment sector that will regularly form part of the country’s
Investment Priority Plan. All entities duly accredited by the DOE under the said law
shall be entitled to all the incentives provided therein.
Farmers engaged in the plantation of biomass resources, such as, but not limited
to, jatropha, coconut, and sugarcane, shall be entitled to duty-free importation and
be exempted from VAT on all types of agricultural inputs, equipment and machinery
within 10 years from the effectivity of the law.
C. The Mini-hydroelectric Power Incentive Act (Republic Act No. 7156)
Under the Mini-hydroelectric Power Incentive Act, mini-hydroelectric power

developers engaged in the construction and installation of hydroelectric-power-
generating plants with an installed capacity of not less than 101 kilowatts nor more
than 10,000 kilowatts, are entitled to tax incentives or privileges, as follows:
1. Special Privilege Tax Rates — after the lapse of ITH, all grantees to
develop potential sites for hydroelectric power and to generate, transmit and
sell electric power are taxed at 10 percent of their net taxable income from
the sale of electric power and from transactions incident to the generation,
transmission and sale of electric power.
2. Tax and Duty-free Importation of Machinery, Equipment and Materials —

within 7 years from the award date, importation of machinery and equipment,
materials and parts shipped with such machinery and equipment shall not be
subject to tariff duties and VAT provided that the said machinery, equipment,
materials and parts are not manufactured domestically in reasonable quantity
and quality at reasonable prices, are directly and actually needed and will be
used exclusively in the construction and impounding of water, transformation
into energy, and transmission of electric energy to the point of use, are covered
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by shipping documents in the name of the duly registered developer, and with
prior approval of the Office of Energy Affairs (OEA) was obtained before such
importation was made.
3. Tax Credit on Domestic Capital Equipment — within 7 years from the award
date, a tax credit equivalent to 100 percent of the value of the VAT and customs
duties that would have been paid on the machinery, equipment, materials and
parts had these items been imported shall be given to an awardee-developer
who purchases machinery, equipment, materials and parts from a domestic
manufacturer, provided that such machinery, equipment, materials and parts
are directly needed and will be used exclusively by the awardee-developer and
it is with prior approval by the OEA.
4. Special Realty Tax Rates on Equipment and Machinery — realty and

other taxes on civil works, equipment, machinery and other improvements of a
registered mini-hydroelectric power developer shall not exceed 2.5 percent of
their original cost;
5. Value-added Tax Exemption — exemption from the VAT on the gross

receipts derived from the sale of electric power whether through the NPC grid
or through existing electric utility lines; and
6. Income Tax Holiday —registered mini-hydroelectric power developers

shall be fully exempt from income taxes for a period of 7 years from the start of
commercial operations.
D. The Philippine Clean Water Act of 2004 (Republic Act No. 9275)
The Philippine Clean Water Act provides an incentive scheme to encourage local
government units (LGUs), water districts (WDs), enterprises, or private entities,
and individuals, to develop, undertake, or actively participate the promotion, of an
effective water quality management program.
Industrial wastewater treatment and/or adoption of water pollution control technology,

cleaner production and waste minimization technology shall be classified as preferred
areas of investment under the BOI’s annual priority plan and shall enjoy the applicable
fiscal and non-fiscal incentives as may be provided for under the Omnibus Investment
Code, as amended. Fiscal incentives provided under the Philippine Clean Water Act,
are as follows:
1. Tax and Duty Exemption on Imported Capital Equipment — within 10

years from the law’s effectivity, LGUs, WDs, enterprises or private entities shall
enjoy tax-and-duty-free importation of machinery, equipment and spare parts
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used for industrial wastewater treatment/collection and treatment facilities,

provided, they are not manufactured domestically in sufficient quantity, of
comparable quality and at reasonable prices and they are reasonably needed
and will be used actually, directly and exclusively for the activities mentioned,
and it is done with the approval of the BOI.
2. Tax Credit on Domestic Capital Equipment — within ten (10) years from
the law’s effectivity, enterprises or private entities and individuals shall be
entitled to a tax credit equivalent to 100 percent of the value of the national
internal revenue taxes and customs duties that would have been waived on the
machinery, equipment, and spare parts, had these items been imported.
3. Tax and Duty Exemption of Donations, Legacies and Gifts —legacies, gifts
and donations to LGUs, WDs, enterprises, or private entities and individuals,
intended to the support and maintenance of effective water quality management
program shall be exempt from donor’s tax and shall be deductible from the gross
income of the donor for income tax purposes. Imported articles donated to
LGUs, WDs, local water utilities, enterprises, or private entities and individuals
to be used exclusively for water quality management programs shall also be
exempt from the payment of customs duties and applicable internal revenue
taxes.
E. The Ecological Solid Waste Management Act of 2000 (Republic Act No. 9003)
The Ecological Solid Waste Management Act of 2000 provides for an incentive
scheme intended to encourage LGUs, enterprises, or private entities, including
NGOs, to develop, undertake, or actively participate in any program geared towards
the promotion of an effective solid waste management program. The fiscal incentives
are as follows:
1. Tax and Duty Exemption on Imported Capital Equipment — within 10

years from the law’s effectivity, LGUs, enterprises or private entities shall enjoy
tax-and-duty-free importation of machinery, equipment and spare parts used
for industrial wastewater treatment/collection and treatment facilities, provided,
they are not manufactured domestically in sufficient quantity, of comparable
quality and at reasonable prices and they are reasonably needed and will be
used actually, directly and exclusively for the activities mentioned, and it is
done with the approval of the BOI.
2. Tax Credit on Domestic Capital Equipment — within ten (10) years from the
law’s effectivity, enterprises, private entities, including NGOs shall be entitled to
a tax credit equivalent to 50 percent of the value of the national internal revenue
taxes and customs duties that would have been waived on the machinery,
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equipment, and spare parts, had these items been imported.
3. Tax and Duty Exemption of Donations, Legacies and Gifts — legacies, gifts
and donations to LGUs, enterprises or private entities, including NGOs, for the
support and maintenance of effective solid waste management programs shall
be exempt from all internal revenue taxes and customs duties, and shall be
deductible in full from the gross income of the donor for income tax purposes.
LGUs, enterprises or private entities availing of tax incentives shall also be entitled
to the applicable non-fiscal incentives under the Omnibus Investments Code, as
Amended.
Businesses and industries that are engaged in the recycling of wastes shall also be
provided with incentives which shall include simplified procedures for the importation
of equipment, spare parts, new materials, and supplies, and for the export of
processed products.
F. The Tourism Act of 2009 (Republic Act No. 9593)
The Tourism Act of 2009 provides for fiscal and non-fiscal incentives which may
be given to registered tourism enterprises within Tourism Enterprise Zones (TEZs),
subject to the discretion of the Tourism Infrastructure and Enterprise Zone Authority
(TIEZA), as follows:
Fiscal Incentives
1. Income Tax Holiday - new enterprises in Greenfield and Brownfield

Tourism Zones shall be exempt from income tax for a period of 6 years, from
the start of business operations. The ITH may be extended by not more than
6 years, if a substantial expansion or upgrade of facilities is undertaken by the
enterprise before the expiration of the first 6 years. Net operating losses for
any taxable year immediately preceding the current taxable year which had
not been previously offset as deduction from gross income shall be allowed to
carry over as deduction from the gross income for the next six (6) consecutive
years immediately following the year of the loss. An existing enterprise in a
Brownfield Tourism Zone shall also enjoy the same incentives as mentioned
in the preceding paragraph. An existing enterprise in a Brownfield Tourism
Zone may avail of a non-extendible ITH, which shall not exceed 6 years, if it
undertakes extensive expansion or upgrade of facilities.
2. Gross Income Taxation - a new enterprise may opt to pay a 5 percent tax
on its gross income In lieu of all other national and local taxes, license fees,
imposts and assessments, except real estate taxes and such fees as may be
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imposed by the TIEZA.
3. Capital Investment and Equipment - registered enterprises shall be entitled

to a 100 percent exemption from all taxes and customs duties on importations
of capital investment and equipment.
4. Transportation and Spare Parts - importation of transportation and spare

parts of new and expanding registered enterprises shall be exempt from customs
duties and national taxes, provided they are not manufactured domestically in
sufficient quantity, of comparable quality and at reasonable prices, and they
are reasonably needed and will be used exclusively by an accredited tourism
enterprise.
5. Goods and Services - registered enterprises shall be entitled to a 100

percent exemption from all taxes and customs duties on importation of goods
actually consumed in the course of services actually rendered by or through
registered enterprises within a TEZ, provided that goods shall not be imported
for the purpose of operating a wholesale or retail establishment in competition
with the Duty Free Philippines Corporation (DFPC), and a tax credit equal to all
national internal revenue taxes paid on all locally-sourced goods and services
used by the registered enterprise for services actually rendered within the TEZ.
6. Social Responsibility Incentive - a registered enterprise shall be entitled

to a tax deduction equivalent to a reasonable percentage, not exceeding 50
percent of the cost of environmental protection or cultural heritage preservation
activities, sustainable livelihood programs for local communities, and other
similar activities.
Non-Fiscal Incentives
1. Employment of Foreign Nationals - a registered enterprise may employ

foreign nationals in executive, supervisory, technical or advisory positions for
such reasonable periods and under such terms as may be provided by the
TIEZA Board.
2. Special Investor’s Resident Visa - a foreign national who has made an

investment of at least US$200,000.00 in a registered enterprise shall be entitled
to a special investor’s resident visa.
3. Foreign Currency Transactions – registered enterprises shall have the right

to repatriate all of the proceeds of the liquidation of the foreign investments,
the right to remit earnings from a foreign investment and the right to remit such
sums as may be necessary to meet the payments of interest and principal
on foreign loans and foreign obligations arising from technological assistance
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contracts, all in the currency in which the investment was originally made and
at the exchange rate prevailing at the time of repatriation or remittance.
4. Requisition of Investment - there shall be no requisition of the property of

registered enterprises, except in the event of war or national emergency, and
only for the duration thereof, in which case, the affected person shall be entitled
to just compensation, and shall have the right to repatriate such compensation.
5. Lease and Ownership of Land - lands and buildings in each TEZ may be leased
to foreign investors for a period not exceeding 50 years, renewable once for a period
of not more than 25 years. The leasehold right acquired under long-term contracts
may be sold, transferred or assigned, subject to the conditions prescribed in the
Investor’s Lease Act.
Fiscal and other incentives provided to tourism enterprises NOT located within TEZs
are as follows:
1. Availment of Economic Incentives - tourism enterprises NOT located within

TEZs may avail of economic incentives found under existing laws, such as the
Omnibus Investments Code, Foreign Investments Act, the Special Economic
Zone Act, and the Bases Conversion and Development Act, among others.
2. Income Tax Holiday - an existing accommodation establishment not

located within a TEZ shall be entitled to claim an income tax holiday for up to
6 years for any significant expansion, renovation or upgrade in its facilities in
relation to the amount of the original investment. They shall also be entitled
to import capital equipment free of taxes and duties when necessary for such
expansion, renovation or upgrade.
3. Availment of Incentives under the Omnibus Investments Code- tourism

enterprises may avail of incentives under the Omnibus Investments Code,
provided that tourism activities shall always be included in the Investment
Priorities Plan, rules and regulations concerning the grant of incentives to
tourism enterprises shall be jointly formulated by the Board of Investments
and the Department of Tourism and the income tax holiday under the Omnibus
Investments Code shall also apply to existing accommodation enterprises
undergoing substantial capital infusion for expansion or substantial upgrade of
facilities. Accredited tourism enterprises shall be entitled to import transportation
and accompanying spare parts free of taxes and duties, provided that such
shall be exclusively used by the enterprise in its operations , and such are
not manufactured domestically in sufficient quantity, comparable quality and
prices.
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G. The HEALTH Sector
Only hospitals that are organized as non-stock and non-profit corporation enjoy
exemption from income tax [Section 30, National Internal Revenue Code of 1997, as
amended (“Tax Code”)]. On the other hand, proprietary hospitals are subject to the
preferential income tax rate of 10 percent (10%) on their taxable income [Section 27
(B), Tax Code].
Previously, a Medical Tourism Park is entitled only to 4-year ITH [Resolution No.
06-512, or the Guidelines for the Registration of Medical Tourism Special Economic
Zones (Medical Tourism Parks/Centers) and Medical Tourism Locator-Enterprises
under Republic Act No. 7916 or the Special Economic Zone Act of 1995] which is
defined as “an area which has been developed into a complex capable of providing
medical infrastructures and other support facilities, in compliance with DOH and
DOT requirements, such as but not limited to medical accommodations, wellness
centers, spa, health farms, sports and recreational facilities, and rehabilitation facilities
required by Medical Tourism Enterprises, as well as amenities required by foreign
patients including professionals and workers involved in Medical Tourism activities.”
A Medical Tourism Park shall have a minimum lot area of one (1) hectare. For a health
facility to enjoy the preferential tax incentives provided under the PEZA law, it must
primarily be registered with PEZA. In view of the Tourism Act of 2009, we believe that
a medical tourism park will now be entitled to a 6-year ITH.
H. The EDUCATION Sector
If the educational institution is non-stock and non-profit, or if it is a government

educational institution, it shall be exempt from income tax in accordance with
Section 30 of the Tax Code. If it is a proprietary educational institution proprietary
educational institutions are subject to income tax at the rate of ten percent (10%)
imposed on their taxable income for the year, provided that their gross income from
unrelated trade, business or other activity does not exceeds fifty percent (50%) of the
total gross income from all sources; otherwise, they shall be subject to the regular
corporate income tax rate of thirty percent (30%) imposed on their entire taxable
income.
A “proprietary educational institution” is any private school maintained and

administered by private individuals or groups with an issued permit to operate
from the Department of Education, Culture and Sports (DECS), or the Commission
on Higher Education (CHED), or the Technical Education and Skills Development
Authority (TESDA), as the case may be.
176
Directory of Government Officials
Secretary Cesar V. Purisima

Department of Finance
6F, Department of Finance Bldg., Roxas Boulevard, Manila, Philippines
Tel. No.: (63 2) 523-9215/523-9219
Fax No.: (63 2) 526-8474
Email: cpurisima@dof.gov.ph
Secretary Gregory L. Domingo
Department of Trade and Industry
Industry and Investments Bldg. Sen. Gil Puyat Ave., Makita City,
Tel. No.: (63 2) 890-9333/896-1166
Fax No: (63 2) 899-5518
Email: secretary@dti.gov.ph
ECONOMIC CLUSTER
Secretary Florencio B. Abad
Department of Budget and Management
General Solano St., Malacañang, Manila, Philippines
Tel. No.: (63 2) 735-4926
Fax No.: (63 2) 735-4936
Email: abad@dbm.gov.ph; abad.dbm@gmail.com
Governor Amando M. Tetangco, Jr.
Bang ko Sentral ng Pilipinas
A. Mabini St. cor. P. Ocampo St., Malate, Manila, Philippines
Tel. No.: (63 2) 523-8809/523-2608
Fax No.: (63 2) 536-0076
Email: atetangco@bsp.gov.ph
Director-General Cayetano W. Paderanga, Jr.
National Economic and Development Authority
12 Jose Maria Blessed Escriva Drive, Ortigas Center, Pasig City, Philippines
Tel. No.: (63 2) 631-3716/631-3747
Fax No.: (63 2) 631-3747
Email: cwpaderanga@neda.gov.ph
Secretary Enrique T. Ona

Department of Health
SOCIAL INFRASTRUCTURE
2/F DOH Building, San Lazaro Compound, Sta. Cruz, Manila

Tel. No: (63 2) 743-6393 loc. 1125
Fax No.: (63 2) 743-1829
Email: etona@doh.gov.ph
Secretary Bro. Armin Luistro FSC
Department of Education
2/F Rizal Bldg., University of Life Meralco Avenue, Pasig City
Tel No.: (63 2) 633-7208/633-7228
Fax No.: (63 2) 636-4876
Email: sec@deped.gov.ph
177
Directory of Government Officials
Secretary Proceso J. Alcala

Department of Agriculture
Elliptical Road, Diliman, Quezon City, Philippines
Tel. No.: (63 2) 920-4358/929-8183 loc. 2209, 2211, 2212, 2241
Fax No.: (63 2) 920-3986/926-6426
Email: spja_osec@da.gov.ph; spja_osec@yahoo.com
Secretary Jose Rene D. Almendras
Department of Energy
Energy Center, Merritt Rd., Fort Bonifacio, Taguig City, Philippines
Tel. No.: (63 2) 840-2008
Fax No.: (63 2) 812-6194
Email: rdalmendras@doe.gov.ph
Secretary Alberto A. Lim
INFRASTRUCTURE
Department of Tourism
DOT Building, T.M. Kalaw Street, Rizal Park, Manila, Philippines
Tel. No.: (63 2) 524-1751
Fax No.: (63 2) 521-7374
Email: aalim@tourism.gov.ph
Secretary Jose P. de Jesus
Department of Transportation and Communications
The Columbia Tower, Brgy. Wack-Wack, Ortigas Avenue, Pasig City, Philippines
Tel. No.: (63 2) 723-4698/726-7125
Fax No.: (63 2) 726-7229
Email: jpj@dotc.gov.ph
Secretary Rogelio L. Singson
Department of Public Works and Highways
Bonifacio Drive, Port Area, Manila, Philippines
Tel. No.: (63 2) 304-3300
Fax No.: (63 2) 304-3020
Email: singson.rogelio@dpwh.gov.ph
Secretary Jesse M. Robredo

Department of Interior and Local Government
A. Francisco Gold Condominium II, EDSA cor. Mapagmahal St., Diliman, Quezon City
Tel. No.: (63 2) 925-0330/925-1148
Fax No.: (63 2) 925-0332
OTHERS
Email: jmrobredo@dilg.gov.ph
Secretary Ramon A. Carandang
Presidential Communications Development and Strategic Planning Office
3/F New Executive Building, Malacañan Palace, Manila City
Tel. No.: (63 2) 736-0719
Fax No.: (63 2) 735-6167
Email: ricky.carandang@pcdspo.gov.ph
178
INDEX
OTHERS

INDEX
Page Agency
Project Sector Location
Number Contact
Agricultural Commodity Exchange System
DA-National
(ACES) / Enhanced Electronic Trading System 44 ICT Nationwide
Food Authority
for Corn
Air Ambulance Project 73 Miscellaneous Nationwide DOH
Aquaculture / Mariculture Project 47 Miscellaneous Luzon DA
Balabac Airport Development 66 Airports Luzon DOTC
Balog-Balog Multipurport Project, Phase II
36 Irrigation Luzon NIA
(BBMP-II)
City
BPO-ICT Building 96 Miscellaneous Luzon Government of
Vigan
C-5/FTI/Skyway Connector 52 Roads Luzon DPWH
C-6 Expressway (Global City Link)- South
54 Roads Luzon DPWH
Section
CALA Expressway- Cavite Side Section (27.5
24 Roads Luzon DOTC
km)
CALA Expressway- Laguna Side Section (14.3
53 Roads Luzon DPWH
km)
Calamba-Los Baños Expressway 57 Roads Luzon DPWH
Central Luzon Expressway (CLEX)-Phase II,
55 Roads Luzon DPWH
Cabanatuan-San Jose
City
Construction and Operation of Ice Plant and Cold
94 Miscellaneous Luzon Government of
Storage Facilities
Legazpi
Construction of Elementary and Secondary
70 Schools Nationwide DEPED
Classrooms
Construction of Hospital Staff Housing Facilities 80 Miscellaneous Nationwide DOH
Construction of Philhealth Main Building 81 Miscellaneous Luzon DOH
DA-National
Contract Farming 45 Agriculture Nationwide
Food Authority
Provincial
Davao del Norte Convention Center and Government of
99 Miscellaneous Mindanao
Commercial Complex Development Davao del
Norte
Provincial
Davao del Norte Integrated Water Resource Government of
101 Water Mindanao
Development Project Davao Del
Norte
Development of National Motor Vehicle
64 ICT Nationwide DOTC
Inspection and Maintenance Program
Development of New Cebu Port 65 Ports Visayas DOTC
Development of the Mindanao Railway System 67 Rail Mindanao DOTC
DOH E-Health Project 71 ICT Nationwide DOH
City
Driftwood Beach Marina and Terminal 106 Miscellaneous Luzon Government of
Olongapo
DA-Philippine
Center for
Establishment of Cold Chain Systems covering Postharvest
47 Miscellaneous Nationwide
Strategic Areas in the Philippines Development
and
Mechanization
DA-Philippine
Center for
Establishment of Grains Central with Bulk Postharvest
50 Miscellaneous Nationwide
Handling Facility Development
and
Mechanization
City
Establishment of Mini Ice Plant, Cold Storage,
86 Agriculture Luzon Government of
and Facilities
Laoag
Establishment of Multi-Specialty Centers in Stem
Cell Research, Neurosciences, and oncology in 79 Medical Visayas, Mindanao DOH
DOH Retained Hospitals
180
INDEX
Page Agency
Number Contact
Eversley Chiles Sanitarium (Cebu): Open Land
77 Miscellaneous Visayas DOH
Area for Commercial Operations
City
Expansion and Development of East Bajac Bajac
Public Market
Olongapo
City
Expansion of Potable Water Supply System 88 Water Luzon Government of
Laoag
City
Guimaras-Iloilo Ferry Terminal Project 84 Miscellaneous Visayas Government of
Iloilo
Provincial
Hometel cum Student Center 93 Miscellaneous Visayas Government of
Iloilo
Ilocos Norte Irrigation Project Stage II (Palsiguan
40 Irrigation Luzon NIA
River Multipurpose Project)
City
Iloilo Downtown Central Business District
85 Miscellaneous Visayas Government of
Revitalization
Iloilo
Provincial
Iloilo Government Center 92 Miscellaneous Visayas Government of
Iloilo
Provincial
Information Technology Park 91 ITC Visayas Government of
Iloilo
DA- Philippine
Agricultural
Development
Integrated Agri-Food Park 43 Agriculture Luzon
and
Commercial
Corporation
Integrated Lucban Longganisa Processing
46 Miscellaneous Luzon DA
Project
Jalaur River Multipurpose Project, Stage II
37 Irrigation Visayas NIA
(JRMP-II)
Kabulnan-2 Multi-Purpose Irrigation and Power
48 Irrigation Mindanao NIA
Project
Kalibo Airport Upgrading 60 Airports Visayas DOTC
Kaliwa Low Dam Project 82 Water Luzon MWSS
City
Legazpi City Information Technology IT Park 95 Miscellaneous Luzon Government of
Legazpi
City
Ligao City Integrated Land Transport Terminal 102 Miscellaneous Luzon Government of
Ligao
City
Ligao City Town Center (Redesigning of Public
Market)
Ligao
DA-Philippine
Center for
Logistics Support on the Agri-Fishery Products
Postharvest
Supply Chain (Transportation of Agri-Fishery 51 Miscellaneous Nationwide
Development
Products Utilizing the Southrail Main Line)
and
Mechanization
LRT Line 2 East Extension Project 26 Mass Transit Luzon DOTC
Main Line South Upgrading/Modernization 67 Rail Luzon DOTC
Maritime Aids to Navigation program 68 Miscellaneous Nationwide DOTC
Matuno River Development Project 39 Irrigation Luzon NIA
City
Modernization of Olongapo City's Abbatoir 89 Miscellaneous Luzon Government of
Olongapo
181
INDEX
Page Agency
Number Contact
MRT/LRT Expansion Program: Common
59 Mass Transit Luzon DOTC
Ticketing System Project
MRT/LRT Expansion Program: LRT 1 South
Extension Project
MRT/LRT Expansion Program: Privatization of
LRT1 Operation and Maintenance
MRT/LRT Expansion Program: Privatization of
MRT3 Operation and Maintenance
NAIA Expressway (Phase II) 25 Roads Luzon DPWH
NAIA Terminal 3 Upgrading and Full
61 Airports Luzon DOTC
Operationalization
New Bohol Airport Development 30 Airports Visayas DOTC
New Legaspi (Daraga) Airport Development 32 Airports Luzon DOTC
City
Olongapo City Centralized Public Transport
Terminals
Olongapo
DA- Philippine
Agricultural
Development
Organic Rice Farming Programme 42 Agriculture Nationwide
and
Commercial
Corporation
DA- National
Philippine Dairy Development Project (Philmilk) 41 Agriculture Nationwide
Dairy Authority
Philippine Orthopedic Center as the Premier
Center for Bone Diseases, Trauma,
72 Medical Luzon DOH
Rehabilitation, and Commercial Production of
Lamb Prosthesis
Privatization of Laguindingan Airport Operation
33 Airports Mindanao DOTC
and Maintenance
Privatization of NAIA and DMIA Development 62 Airports Luzon DOTC
Privatization of Northrail Operation and
63 Rail Luzon DOTC
Management
City
Privatization of Tanauan Public Market and
Slaughterhouse
Tanuan
Puerto Princesa Airport Development 31 Airports Luzon DOTC
R-7 Expressway 58 Roads Luzon DPWH
Reclamation of Laoag Padsan River- City
Establishment of a Government Center and 87 Miscellaneous Luzon Government of
Expansion of the Central Business District Laoag
City
Reclamation of Navotas Coastal Area 104 Miscellaneous Luzon Government of
Navotas
City
Regional Government Center Project- Phase 1 100 Miscellaneous Mindanao Government of
Pagadian
Research Institute for Tropical Medicine: Local
Production of Equine Rabies Immunoglobulin 74 Medical Nationwide DOH
(ERIG)
Research Institute for Tropical Medicine:
Localization of Pentavalent Vaccine (DPT, 75 Medical Nationwide DOH
HEPAB, and HIB)
San Lazaro Hospital as the Premier Research
76 Medical Luzon DOH
Center for Infectious Diseases
SLEX Extension (to Lucena City), 2-Lane 56 Roads Luzon DPWH
City
Taal Lake Fish Port and Processing Complex 97 Miscellaneous Luzon Government of
Tanuan
City
Tinuy-An Fall Eco-Tourism Development 83 Miscellaneous Mindanao Government of
Bislig
Tumauini River Multipurpose Project 38 Irrigation Luzon NIA
Western Visayas Sanitarium (Iloilo): Open Land
78 Miscellaneous Visayas DOH
for Commercial Operationjs
182

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indd 1 11/15/10 11:32 AM

A. Message of the President of the Philippines............................... 1

II. THE PHILIPPINES & THE PUBLIC-PRIVATE PARTNERSHIP

A. Economic Agenda of the Aquino Government............................. 6

III. PROJECT PROFILE

A. List of Public-Private Partnership Projects 1

B. List of Private Initiative Projects in the Energy Sector 2

A. Macroeconomic Updates........................................................... 138

For too long, the Philippines has been

There is a newfound optimism in the

We are working to develop profitable partnerships with private companies

We are here to propose development projects that will prove mutually

BENIGNO S. AQUINO III

ARMM Autonomous Region in Muslim Mindanao

ERC Energy Regulatory Commission

NPL Non-Performing Loans

Printer-FA.indd 5 11/15/10 11:32 AM

The government is willing, on a case-to-case basis, to protect investors from certain

b. For Medium-Term Rollout and other PPP Projects

3. High Implementability (bankable, no major issues).

The Government is committed to facilitating the approval and implementation process

PPP Project Approval and Bidding Flowchart

Process Responsible Party

Project Submission to

Project Review and

LGUs / ICC Approval:

IAs / LGUs / Private Sector

Prepara6on and Private Sector

Award and IAs / LGUs

Steps- Government No. of days- No. of days- Steps- Private

1 Bidders submit pre-

The approval of the National Economic and Development Authority - Investment

1. municipal development council for projects costing up to PHP 20 million;

2. provincial development council for projects costing above PHP 20 million

3. city development council for projects costing up to PHP 50 million; and

4. regional development council or, in the case of Metro Manila projects,

B. Coordination and Monitoring

(b) Provide advisory services and technical assistance, trainings and

capacity development to agenices/LGUs in PPP project preparation and

(c) Recommend plans, policies, and implementation guidelines related to

(d) Manage and administer a revolving fund to be known

(g) Recommend improvements to timelines in processing PPP

C. Promotion and Marketing

The Philippines boasts of a long experience of public-private partnership (PPP)

I. North Luzon Expressway (NLEX)

In the 1990s, the North Luzon

Recognizing that modern and well-maintained roads are imperative to sustained

Joint Venture Partners

• Philippine National Construction Corporation (PNCC)

• Leighton Asia Ltd. Australia

The basic terms of the concession agreement are as follows:

• To recover the investment, MNTC will collect tolls based on the

D. FINANCING OF THE PROJECT

• Facilitated broader development of Clark Special Economic Zone,

• Facilitated development of the regional agriculture and industry.

• Provided a safe, reliable and high-speed access to Central and

• Decentralized economic activities from Metro Manila area.

Despite efforts, the MWSS has hardly

Many laws were promulgated for the

East Zone Proponent

• Increased volume of delivered potable water supply and population to

In 1995, the National Statistics Office

The US$ 65 million multi-phase Build-Transfer-and-Operate (BTO) project involves