PPP considered for Batman1 gas project

The Philippine National Oil Co. (PNOC) is tapping the PPP Center’s technical assistance fund to determine whether the $2.1-billion, 105-kilometer Batangas-Manila (Batman 1) natural gas pipeline project is suitable as a public-private partnership (PPP) project, according to concerned officials.

Zenaida Y. Monsada, director of the Department of Energy’s (DOE) Oil Industry Management Bureau, said that a study on Batman1 could be done by the end of 2013 or the first quarter of 2014.

Once the study is completed, PNOC may be able to proceed with the bidding for the first phase of the BatMan1 project, which will involve the construction of a 100-kilometer pipeline.

PPP Center executive director Cosette V. Canilao confirmed via text message that the PNOC has tapped the center for funding “to undertake the study and structuring of the Batman1 project for a possible PPP.”

The PPP Center spearheads the Aquino government’s flagship public-private partnership or PPP program.

Monsada considered the BatMan1 project to be a critical infrastructure that could boost the Philippines’ natural gas industry. The pipeline will be constructed to transport and supply natural gas to target markets along its route, from Batangas, Laguna, Cavite, and eventually to Metro Manila. The project will effectively reduce the country’s dependence on oil.