North Luzon Expressway. INQUIRER FILE PHOTO
MANILA, Philippines—Metro Pacific Tollways Corp., which operates North Luzon Expressway (NLEx), said its revenue could increase by as much as 14 percent this year from the addition of new tollroads, a company official said.
Ramoncito Fernandez said spending plans were also variable and would depend on whether the company would finally be allowed to take control of the Subic-Clark-Tarlac Expressway (SCTEx).
Metro Pacific Tollways won the 94-kilometer SCTex under the previous administration, however, subsequent reviews under President Aquino prompted the company to revise its offer several times.
Recently, the current administration said it was satisfied with the company’s latest offer, but this should be subjected to a Swiss challenge. Fernandez said the company would oppose this for its lack of legal basis.
Nevertheless, when asked about revenue projections, Fernandez said it was “within the vicinity of P8 billion” compared to an estimated P7 billion in 2013.
The company is opening this year the Smart Connect Interchange to MacArthur Highway. This will then be extended to C-3 in Caloocan at a cost of P10.5 billion.
The 8-kilometer connector road, valued at P18 billion, is the single-largest component of the company’s capital spending plan for the next two years.
The project aims to reduce congestion in Metro Manila by providing a more direct link between NLEx and South Luzon Expressway via an elevated expressway mainly running over Philippine National Railway tracks.
The 8-km connector road, meanwhile, will start from C-3 to PUP Sta. Mesa in Manila.
The project, which still requires the Toll Regulatory Board’s final approval, is expected to start construction by July this year for completion in June 2016.
To partly finance the projects, Metro Pacific subsidiary Manila North Tollways Corp. is planning to sell P7 billion in bonds.
BDO Capital and Investment Corp., First Metro Investment Corp., SB Capital Corp. and PNB Capital are arranging the maiden bond offering to be launched within the quarter.