SCTEx open season
As if the recent string of difficulties were not enough for businessman Manuel V. Pangilinan, now the Metro Pacific group stands to lose the Subic-Clark-Tarlac Expressway (SCTEx) toll project after going through two administrations and two rounds of negotiations.
Although the group recently submitted a much improved offer for the project, we heard that Malacañang would soon issue an order to rebid the much-coveted SCTEx operation and management contract.
The SCTEx contract was bagged by Metro Pacific Tollway’s unit, Manila North Tollroad Corp., shortly before the Aquino administration took over but was subjected to a renegotiation under P-Noy’s term in 2011. Negotiations were again pursued a few months ago, but was apparently still insufficient to address the Department of Finance’s concern that the government must get more out of the country’s longest expressway. To recall, the DOF has been seeking a fixed share of the revenue during the life span of the 33-year tollroad concession.
The camp of MVP, which earlier expressed frustration specially after it was dragged into the Trillanes-China “back channeling” controversy, must be disappointed at this changing of the rules.
A source from the MVP camp said if the Palace indeed were to order a rebid, then that transaction would not sit well with the group’s creditors. Also, the source argued it would not only hamper the integration of SCTEx and North Luzon Expressway into one seamless expressway, but also deprive SCTEx motorists of well-maintained roads as well as safe and comfortable travel.
“MNTC is tried, tested and proven to be more efficient and cost-effective. Why rebid?” the source from the MVP group asked.
And as we said before, a rebidding of SCTEx would be an opportunity for MVP’s “frenemy”—the San Miguel group of Ramon S. Ang, in partnership with Star Tollways (which fell short of the technical requirements during the previous bidding)—to give MVP’s group a run for their money with SCTEx, assuming that the former would still participate in the second auction.
On the other hand, MVP’s group may question the rebidding issue in court. But a government source yesterday said this might be a tough call, noting that the group itself had agreed to put approval from the Office of the President as a condition to the closing of the agreement. Open season it truly is. Doris C. Dumlao
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