MANILA, Philippines—Metro Pacific Investments Corp. (MPIC) said it was optimistic it would soon get a response from the government on its concession contract for the 94-kilometer Subic-Clark-Tarlac Expressway (SCTEx) following the conclusion of the mid-term elections two weeks ago.
MPIC president Jose Ma. K. Lim told reporters that the company had refrained from pushing for talks on SCTEx in recent months “because we knew the administration was preoccupied with the elections.”
MPIC, through subsidiary Metro Pacific Tollways Corp., submitted last February a revised proposal to the Bases Conversion Development Authority (BCDA), the state-run agency which built SCTEx, after its second “improved” offer was rejected.
“The [third] proposal is the one that I think will be discussed very soon. At least that is what we were told,” Lim said. “The DOF [Department of Finance] is prepared to take it up again with the president.” Officials of BCDA and DOF did not immediately respond for comment.
BCDA President Arnel Casanova previously said that Metro Pacific Tollways’ second proposal involved increasing the total nominal proceeds to be paid to the government to P90 billion from about P65 billion previously.
Metro Pacific Tollways won the concession for SCTEx in 2010 under the term of President Arroyo. The 33-year concession, similar to several other contracts awarded during the Arroyo administration, came under review when President Aquino took over in 2010, resulting in the current delays.
The MPIC unit runs SCTEx, which connects to its own North Luzon Expressway, but toll revenues still go to the BCDA.
Allowing the private-sector to run SCTEx makes sense for the government as this will relieve it of heavy debt-service payments.