Philippines Approves Project Changes for Railway, Airport to Spur Infrastructure Investment

MANILA, Philippines — The Economic Development (ED) Council, chaired by President Marcos, approved changes to the North-South Commuter Railway’s (NSCR) operations and maintenance and the Mactan-Cebu International Airport (MCIA) public-private partnership (PPP) projects. In a statement, the Department of Economy, Planning and Development (DEPDev) said the ED Council approved the changes during its Sept. 16 meeting. For the NSCR in particular, the ED Council approved changes in the parameters, terms and conditions to encourage firms to submit competitive proposals for the rail project that will link Central Luzon, Metro Manila and Southern Luzon. Partial operations of the railway are expected to start in December next year. “The NSCR is an investment in opportunity,” said DEPDev Secretary and ED Council vice-chair Arsenio Balisacan. “Improved mobility will expand access to jobs, markets, education and services across regions, reflecting our commitment to a more productive, resilient and inclusive economy,” he added. Also approved was the extension of the concession period for the MCIA for longer investment recovery. Apart from enabling necessary airport improvements, the extension will reduce the pressure to increase passenger service charges. Under the contract variation, MCIA concessionaire Aboitiz InfraCapital Cebu Airport Corp. commits to provide nearly P15 billion for capacity augmentation and investments. During the meeting, the ED Council also approved changes in the scope, cost and implementation timelines of three development projects. These are the Technical Education and Skills Development Authority’s Supporting Innovation in the Philippine Technical and Vocational Education and Training System Project, the Department of Public Works and Highways’ Road Network Development Project in Conflict-Affected Areas in Mindanao and the Department of Social Welfare and Development’s Reducing Food Insecurity and Undernutrition with Electronic Vouchers Project. In the same meeting, the ED Council directed a further review of proposed guidelines on class suspensions. Through the review, the aim is to provide clear protocols for schools and local government units during tropical cyclones, earthquakes, storm surges, poor air quality volcanic hazards and extreme heat. “Refining this policy is a matter of urgency,” Balisacan said. “We must protect our learners and teachers while ensuring the continuity of education in the face of evolving risks,” he added. Earlier, he said that class suspensions affect not just learning outcomes but overall economic activity.