Neda: Nothing wrong with P12B Ro-Ro project

One of Secretary Jose “Ping” de Jesus’ last acts as a member of President Aquino’s Cabinet may be overturned now that the National Economic Development Authority (Neda) has issued a report that states that findings of anomalies in the Greater Maritime Access (GMA) Ports project “are premature, at best.”

The Neda report, signed by Socio-Economic Planning Secretary Cayetano Paderanga, said the Department of Transportation and Communications’ (DoTC) review on the controversial P11.8-billion project was “suspect” and that conclusions were made using erroneous methodologies.

“The technical rigor of the DoTC Project Review Committee report is suspect,” according to the Neda report, which has been submitted to Malacañang. “Hence, the findings are premature, at best.”

The Neda added that more technical information and analysis would have to be “presented so that a precise comparison of project cost versus similar alternatives can be undertaken.”

A DoTC official, who requested anonymity, said Neda was merely “passing the buck” because it failed to raise the “red flags” about the project when it had the chance.

Neda approved the project in 2007. The Bangko Sentral ng Pilipinas later approved the 149-million euro overseas development assistance (ODA) loan from Paris-based BNP Paribas in 2009.

The project involves the construction of 72 Roll-on, Roll-off (Ro-Ro) ports around the country.

The DoTC, under De Jesus, earlier recommended that the GMA Ports project, approved by the previous administration, be cancelled or renegotiated at the very least.

“The Philippine Ports Authority (PPA) can competently handle any Ro-Ro ports project at a much lower price using locally available materials suitable for each specific port site and to the kind of sea condition we have in the Philippines,” the DoTC had said.

In its review of the project, the DoTC found that locally built concrete ports could be had for less than half the price, and could do the job just as well as French-made ports.

Also, in nearly all the proposed locations, local Ro-Ro ports have already been built, which means adding a French port would be redundant.

However, the Neda report insists that the price of French-made ports against that of local facilities is not an “apples to apples” comparison.

“To conclude, therefore, that the supplier’s technology is expensive based on direct cost comparison (to local ports) requires a leap in logic,” the Neda said.

Incoming DoTC Secretary Mar Roxas, who assumes the post after De Jesus’ June 30 resignation takes effect, has been ordered by the President to conduct his own review of the Ro-Ro project.