PPP schools project attracts 15 firms

The Philippine government’s Public-Private Partnership (PPP) for School Infrastructure Project aims to build 9,332 classrooms in its first phase covering Luzon. The second and third phases cover the Visayas and Mindanao. The Department of Education wants all the classrooms under the three-phase project delivered in time for the start of school year 2013-14. INQUIRER FILE PHOTO

The government’s Public-Private Partnership (PPP) for School Infrastructure Project has attracted an initial pool of 15 companies, according to an official of the Department of Education (DepEd). The three-phase project is estimated to cost P10.5 billion initially and the government intends to pay for the infrastructure construction over 10 years using staggered appropriations from the national government.

Education Undersecretary Francisco M. Varela said at a conference in Makati City Wednesday that as of this week, 15 companies have purchased bid documents for the PPP project. The 15 are apparently a mix of local and foreign companies, some of them listed or affiliated with listed companies. It remains to be seen whether they would partner with other companies later on, said Varela, who declined to disclose other details this early in the process.

The first phase of the PPP for School Infrastructure project has three packages: Northern Luzon (660 schools, 2,050 classrooms), Central Luzon (745 schools, 2,999 classrooms) and Calabarzon (1,097 schools, 4,283 classrooms). The DepEd will accept bids for each package, which means there may be three different winners for the first phase. It is also possible that there may be one winning company if its bids turn out to be the lowest for each package.

The DepEd published in January the invitation to pre-qualify and aims to bid out the first phase of the project, which covers Luzon, in June. The department wants all the classrooms under the three-phase project delivered by July 2013, in time for the start of the school year.

The second and third phases will cover the Visayas and Mindanao.

Education Secretary Armin A. Luistro told reporters on the sidelines of the conference that the department was starting to identify target sites and was aiming to bid out the next two phases within 2012.

Public Works Secretary Rogelio L. Singson said the Philippines was new to using the PPP mode for school projects but said he hoped this would gain traction as a new business model so that his department could focus on upgrading the country’s roads and related infrastructure. Singson said the government was committing about 30,000 classrooms under the PPP School Infrastructure Project.