Priority Road Projects (Expressways)

MARIA CATALINA E. CABRAL, PhDAssistant SecretaryFebruary 8, 2011

PRIORITYPRIORITYPPP ROAD PROJECTS PPP ROAD PROJECTS

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STRATEGIC DIRECTIONSSTRATEGIC DIRECTIONSUpgrading the national road network in terms of quality and safety standards with focus on urban centers and strategic tourism destinations;

Completion of critical bridges along national roads;

Develop more Public-Private Partnership (PPP) projects for much needed infrastructure and level playing field for investments;

Address private sector concerns – Transparency, RROW, regulatory risks and government support;

Pursue contracts for long term maintenance period (5-10 years) in road and bridge construction; and

Introduce innovative technology such as bio-engineering for road slope protection

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EXPRESSWAYSEXPRESSWAYS IN OPERATIONIN OPERATION

Project Name

Subic-Clark-Tarlac Expressway (93.77 km)North Luzon Tollway (82.62 km)C-5 Expressway (Segment 8.1, 2.34 km)Metro Manila Skyway, Stage 1(13.43 km At-grade & 9.30 km Viaduct)

Manila-Cavite Toll Expressway (6.75 km)

South Luzon Tollway (36.03 km)

Southern Tagalog Arterial Road (41.90 km)

Total Length = 286.14 km3

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Project Name

Tarlac- Pangasinan- La Union Toll Expressway (TPLEX) (88.58 km)

North Luzon Tollway, C-5 Expressway Segment 8.2 - 10.23 km Segment 9 - 4.06 km Segment 10 - 5.63 km

NLEx-SLEx Link Expressway (13.4 km)(Unsolicited proposal for NEDA review and subject to Swiss Challenge)

Manila-Cavite Toll Expressway, R-1 Extension (7.00 km)

Metro Manila Skyway, Stage 2 (6.88 km)

Total Length = 135.78 km

EXPRESSWAY UNDER EXPRESSWAY UNDER CONSTRUCTION/PLANNINGCONSTRUCTION/PLANNING

EXISTING SITUATION IN METRO MANILA & NEARBY AREAS

Arterial road network composed of 6 circumferential and 10 radial roads proposed in the late 1960s. All radial roads already completed; however, development of circumferential roads still incomplete;

Three expressways, namely NLEX, SLEX and the Manila-Cavite Toll Road presently functioning independently and not formed as a network;

Heavy traffic is the norm in Metro Manila; and

Travel speed in most major roads in Metro Manila quite slow at less than 20 kph and even less than 10 kph in some major roads including Aguinaldo Highway in Cavite Province.

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EXISTING AND PROPOSED

EXPRESSWAYS : 200 Km SPHERE OF

METRO MANILA

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EXISTING : 286 KM

PLANNED/ON-GOING

CONSTRUCTION : 135 KM

PROJECTS FOR IMPLEMENTATION IN 2011PROJECTS FOR IMPLEMENTATION IN 2011

Cavite-Laguna Expressway (Cavite Side)

NAIA Expressway, Phase II

NLEX-SLEX Link Expressway (Unsolicited Proposal)

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1. Cavite-Laguna Expressway - Cavite Side (27.5 km)

• Vital access between economic zones in Cavite Province and Ninoy Aquino International Airport (NAIA), Metro Manila Ports, Batangas Port and decongest traffic of Cavite roads, particularly Aguinaldo Highway

• 6 lanes, at-grade expressway, with a total length of 27.5 kilometers

• Estimated total project cost is PhP 11.79 Billion (US$ 262 Million)

• ROW acquisition is PhP 0.96 B

Proposed PPP Projects

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CALA (Cavite Side)CALA (Cavite Side)

CALA (Laguna Side)CALA (Laguna Side)

..

Milestones – CAVITE-LAGUNA ExpresswayMilestones – CAVITE-LAGUNA Expressway

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Milestones Date

Hiring of financial transaction advisor Feb, 2010Conduct of Feasibility Study Mar-Nov 2011Completion of ROW acquisition plan and resettlement plan Sept 2011Submission to NEDA Investment Coordination Committee Oct 2011

Preparation of technical/financial plans and tender documents Nov 2011

Procurement and bidding Dec 2011Target Bid Date Apr 2012

2. NAIA Expressway (Phase II)

• The project will link Skyway and Manila-Cavite Coastal Expressway

• Provide vital access to NAIA Terminals 1, 2, & 3

• 4 -lane elevated expressway with a total length of 5.19 kilometers

• Total investment requirement is PhP 10.59 Billion (US$235.33Million)

• ROW acquisition is PhP 1.02 B


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NAIA Expressway, Phase IINAIA Expressway, Phase II

Milestones – NAIA Expressway, Phase IIMilestones – NAIA Expressway, Phase II

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Milestones Date

Feasibility Study Completed Hiring of Transaction Advisor (under JICA/DBP) Feb 2011 Completion of ROW acquisition plan and resettlement plan 1st Qtr of 2011 Submission to NEDA June 2011 NEDA Review and approval July 2011 PPP Procurement and bidding Aug-Nov 2011 Contract Signing Jan 2012 Detailed Design and Construction Feb 2012 – Dec

2014

3. NLEX-SLEX Link Expressway

• To close the gap and complete the north-south Luzon industrial beltway transport axis by connecting NLEx and SLEx

• It starts at Caloocan City and ends at Makati City. It is an elevated expressway over PNR right-of-way.

• Submitted by MPTC as an unsolicited proposal.

• Endorsed to NEDA for evaluation and approval.

• Expected Date of Bidding (Swiss Challenge) – 2nd Quarter of 2011.

• Detailed Design and Construction Schedule – 3rd Quarter of 2011 – 2014.

• Estimated total project cost is PhP 21 Billion (US$ 467 Million)

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NLEX-SLEX Link Expressway

NLEX-SLEX Link Expressway

PPP Pipeline of Projects for ImplementationPPP Pipeline of Projects for Implementationin the Medium Termin the Medium Term

(For Bidding Beyond 2011)

Length (Km) Cost

1. Cavite-Laguna Expressway – Laguna Side

Section

14.3 PhP 7.00 B (US$ 155.56 M)

2. C-5/FTI/Skyway Connector 6.8 PhP 5.64 B (US$ 125.33 M)

3. C-6 Expressway (Global City Link) – South Section

50.0 PhP 40.4 B (US$ 897.78 M)

4. C-6 Expressway (Laguna de Bay Flood

Control Dike Expressway)

43.6 PhP 18.59 B (US$ 413.11 M)

5. Central Luzon Expressway (CLEX), Phase 2 (Cabanatuan-San Jose)

35.7 PhP 11.81 B (US$ 262.44 M)

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Length (Km) Cost

6. SLEX Extension (to Lucena City), 2-lane

47.8 PhP 9.5 B (US$ 211.11 M)

7. Calamba-Los Banos Expressway 15.5 PhP 5.9 B (US$ 131.11 M)

8. R-7 Expressway 16.1 PhP 23.98 B (US$ 532.89 M)

9. NLEX East/La Mesa Parkway 103.0 PhP 38.8 B (US$ 862.22 M)

Total 332.80 PhP 161.62 B(US $ 3,591.55 M)

PPP Pipeline of Projects for ImplementationPPP Pipeline of Projects for Implementationin the Medium Termin the Medium Term

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Other DPWH PPP ProjectsOther DPWH PPP Projects(For Implementation in the Medium Term) (For Implementation in the Medium Term)

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Project Title 1. Central Luzon Expressway (CLEX), Phase I, Tarlac-Cabanatuan

Description• Support development of regional urban centers in

Central Luzon and the Pacific Ocean Coastal areas in order to decrease overconcentration of socio-economic activities in Metro Manila

• Decongest traffic at Daang Maharlika• An initial 2-lane to be constructed with a total length

of 28.2 kilometers • Estimated total project cost PhP 11.5 Billion (US$

255.56 Million)

•Project Status/Milestones• Feasibility Study was completed in January, 2010.• Preparatory Study for proposed Overseas

Development Assistance (ODA-JICA) – Mar-Oct 2011• Submission to NEDA – Nov 2011• Detailed Design and Construction Schedule – 2012-

2014• Proposed PPP Scheme: Type 5

Central LuzonExpressway

(CLEX), Phase II


(CLEX), Phase II


(CLEX), Phase I


(CLEX), Phase I

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Project Title 2. CALA Expressway - Laguna side section (14.3 km)

Description• Provide vital access between various economic zones

in Cavite Province and NAIA, Manila Ports, Batangas Port

• Decongest traffic along Cavite roads, particularly Aguinaldo Highway and Governor’s Drive.

• Continuation of CALA Expressway-Manila Side Section and to be connected with SLEX at Calamba, Laguna Province.

• 6 lanes, at-grade expressway, length of 14.3 km.• Estimated Cost Php 7.0 Billion (US$ 155.56Million)• Implementation schedule - 2013 to 2015

Project Status/Milestones Feasibility Study by JICA was undertaken in 2006. Feasibility Study to be updated – Mar-Oct 2011 under

Technical Assistance of JICA Submission to NEDA – Nov 2011 Expected Bidding – 1st Quarter of 2012. Detailed Design and Construction – 2013 – 2015 Proposed PPP Scheme: Type 3 + Type 5

CALA Expressway(Cavite Side)

CALA Expressway(Cavite Side)

CALA Expressway(Laguna Side)

CALA Expressway(Laguna Side)

Project Title 3. C-5/FTI/Skyway Connector

Description• Provide direct access to Food Terminal Inc. (FTI) from

both Skyway and C-5,.• Length 6.8 km (including ramps)• 2 to 4 lanes• Estimated cost Php 5.64 Billion (US$125.33 Million)• Implementation schedule - 2012 to 2015

Project Status/Milestones

• Feasibility Study was completed in 2006• Detailed Design already completed ( August, 2010)-

under review by the Bureau of Design, DPWH• Expected Bidding– 3rd Quarter 2011• Detailed Design and Construction – 2012 – 2015• Proposed PPP Scheme: Type 2

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C-5/FTI/Skyway Connector

C-5/FTI/Skyway Connector

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Project Title 4. C-6 Expressway (Global City Link) - South SectionDescription• Function as a distributor of traffic coming from

expressway in the north and south to appropriate location of Metro Manila

• Starts from NLEx at Bocaue/Marilao boundary and traverses Sta. Maria, San Jose del Monte, Rodriguez, San Mateo, Antipolo, Taytay and Taguig and connected with Skyway at Bicutan. A Global City Link is a branch of C-6 Expressway and provide a vital access to commercial and business centers.

• 4 lanes, length 50.0 km• Estimated cost Php 40.4 Billion (US$ 897.78 Million)• Implementation schedule - 2013 to 2016.

Project Status/Milestones• Pre-feasibility Study was completed in 2008.• Feasibility Study started last January 17, 2011 to be

completed on December, 2011 under TA of KOICA• Bidding– 1st Quarter 2012• Detailed Design and Construction – 2013 – 2016• Proposed PPP Scheme: Type 3 + Type 5

C-6 Expressway(North Section)

C-6 Expressway(North Section)

C-6 Expressway(South Section)C-6 Expressway(South Section)

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Project Title 5. C-6 Extension (Laguna de Bay Flood Control Dike Expressway)

Description• The project is an extension of the north and south

section of C-6 Expressway. This expressway will also serve as a flood control measure in Laguna de Bay coastal area and will contribute to its land development.

• L = 43.6 km., 2-lane• Estimated Cost = Php 18.59 Billion (US$ 413.11 Million)

Project Status• Feasibility Study will be undertaken yet• Requested Technical Assistance to conduct FS from the

Chinese Government; request submitted to NEDA and Chinese Embassy (January 27, 2011)

• Tentative Schedule (FS)– 2012• Detailed Design – 2013• Construction – 2014 0nwards

C-6 E

xpressw

ay

(Ph

ase I)C

-6 Exp

ressway

(Ph

ase I)

C-6 E

xpressw

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(Ph

ase 2)C

-6 Exp

ressway

(Ph

ase 2)

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Project Title 6. SLEx Extension (to Lucena City), 2-laneDescription• Extension of the existing SLEx from Sto. Tomas,

Batangas Province to Lucena City, Quezon Province.• Vital link to provide access to Quezon Province as well

as Region V. It will contribute to socio-economic development of areas traversed and Bicol Region

• Decongest traffic at Daang Maharlika• 2 lanes, length 47.8 km• Estimated cost PhP 9.5 Billion (US$ 211.11 Million)• Implementation schedule - 2013 to 2016

Project Status/Milestone• 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

• Proposed PPP Scheme: Type 3 + Type 5

SLEX Extension(to Lucena City)SLEX Extension(to Lucena City)

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Project Title 7. Calamba – Los Baños Expressway

Description• Supports tourism development of Los Baños and its

nearby tourism spots• Decongest existing national road leading to Laguna. It

will branch off from SLEx at Calamba and passes through Los Baños City and ends at Bay

• Combined structure of a flood control dike along Laguna de Bay and a highway, thus two (2) purposes will be achieved

• 4 lanes, length 15.5 km• Estimated cost PhP 5.9 Billion (US$ 131.11 Million)• Implementation schedule - 2014 to 2016Project Status/Milestone• Business Case Study was undertaken in 2008 by AusAid

Technical Assistance in 2008• DPWH will conduct feasibility study –May-Dec 2011• Submission to NEDA – January 2012• Bidding/Tendering Schedule – 1st Quarter, 2013• Detailed and Construction Schedule – 2014 – 2016• Proposed PPP Scheme: Type 5

Calamba – Los BañosExpressway


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Project Title 8. R-7 ExpresswayDescription• The project will be constructed over one of the most

heavily congested corridors in Metro Manila, namely Quezon Avenue and Don Mariano Marcos Avenue.

• Connect Quezon City and Manila City with high speed transport facility, thus decongest traffic of at-grade road. It will be partially elevated and partially underground expressway

• 4 lanes, length 16.1 km• Estimated cost Php 23.98 Billion (US$ 532.89 Million)

Project Status• DPWH will explore possible Technical Assistance to

conduct feasibility study• Detailed Design and Construction Implementation

Schedule - 2016 to 2018• Proposed PPP Scheme: Type 2



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Project Title 9. NLEx East/ La Mesa ParkwayDescription• The project will form an important transport axis in

the eastern area of Region III• It will serve for the growing areas of Bulacan and

Nueva Ecija Provinces• The project starts at Don Mariano Marcos Avenue in

Quezon City, traverses almost parallel to Daang Maharlika, serving the areas of San Miguel, Gapan and Cabanatuan City

• Decongest traffic at Daang Maharlika• 4 lanes, length 10.9 (La Mesa Parkway) and 92.1 (NLEx

East)• Estimated cost Php 32.53 Billion (US$ 722.89 Million)

Project Status/Milestones• NLEx East: Conceptual Stage. DPWH will explore

possibility for any available TA for the Feasibility Study• La Mesa Parkway: unsolicited proposal was submitted

in 2001, and original proponent status was given to AusPhil Tollways Corp. in 2007

• Proposed PPP Scheme: Type 3 + Type 5

NLEX EastNLEX East

La Mesa ParkwayLa Mesa Parkway

Five (5) types of PPP schemes:

• Type 1 – Pure BOT type

Government : ROW Acquisition

Private Sector : Design, construction and operation and maintenance;

Investment will be recovered by toll revenue; and shoulder revenue risk

• Type 2 – BOT Type with Government Subsidy/Financial Support

Government : ROW Acquisition, Up-front subsidy (50% maximum of total

cost) or Government Financial Support (GFS)

Private Sector : Design, construction and operation and maintenance;

Investment will be recovered by toll revenue; and shoulder revenue risk

• Type 3 – Segment Dividing Type (Project will be divided into Government Segment and Private Segment)

Government : ROW Acquisition of both segments; Design and Construction

of Government segment; and will be leased to the private sector

at the lease fee of 0-100% of Government Expenditure

Private Sector : Design and Construction of Private segment; O&M of both

segments; Investment will be recovered by toll revenue of both segments;

Private Sector pays lease fee to the Government; and shoulder revenue risk

STRATEGY FOR IMPLEMENTATIONSTRATEGY FOR IMPLEMENTATION25

Strategy for ImplementationStrategy for Implementation

Five (5) types of PPP schemes:

• Type 4 – Service Payment Type

Government : ROW Acquisition; During O&M period, Government will pay to

Private Sector service fee to recover its investments; Toll revenue will be

turned over to the Government. If toll revenue is not enough to pay the

service fee, the Government will add a subsidy and shoulder revenue risk

Private Sector : Design, construction and operation and maintenance; and

receive service fee annually to recover investments

• Type 5 – Lease Type

Government : ROW Acquisition; and Design and Construction

Private Sector : O&M; Leases the facility from the Government (Lease fee

ranges from 0-100% of Government Expenditures;) and shoulder revenue risk 26

PROJECT SCREENING AND SELECTION OF PRIORITY PROJECTS

First Screening

Particular Weight

1. Functional Importance of a link in HSH Network and Improvement of Inter-modal Linkage

17%

2. Urgency based on contribution to traffic decongestion 17%3. Project Readiness 15%

4. Contribution to National/Regional Socio-Economic Development 10%5. Initial Investment Fund 10%6. Environmental and Social Impact 8%7. Impact of a project on viability of Existing Toll Expressway 3%8. Economic and Financial Viability 20%

Total 100%

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PROJECT SCREENING AND SELECTION OF PRIORITY PROJECTS

Second Screening

Particular Weight

1. Necessity & Urgency of the Project 45%

2. Profitability & Fund Procurement Difficulty 30%

3. Implementability 25%

T o t a l 100%

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OTHER DPWH PPP PROJECTS UNDER DEVELOPMENTOTHER DPWH PPP PROJECTS UNDER DEVELOPMENT

Long Term Performance Based Road Maintenance Projects

This is a contracting methodology which will ensure good roads throughout the contract duration (e.g. 10 years or more) for a specified level of service

National Bridge Program

This will involve the design, construct and 10-yr maintenance contract for national bridges which are identified as priority under the Bridge Management System.

Weighbridge Operation

Aims to privatize the operation of weighbridge to have an efficient control of overloading along the selected pilot service area

Metro Cebu and Mindanao Expressway Projects

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Documents

Priority Road Projects (Expressways)