San Miguel pays gov't P11-B for NAIA Expressway
MANILA, Philippines - Diversified conglomerate San Miguel Corp. (SMC) has paid the government P11 billion for the contract to build and operate the expressway that will connect the Manila airport terminals to the Entertainment City casino complex.
Presidential spokesman Edwin Lacierda announced that SMC turned over the amount to the Department of Public Works and Highways (DPWH) Wednesday, June 5.
"A formal notice of award was given by DPWH to SMC last May 6. So today, SMC gave the upfront cash payment of P11 billion to DPWH," he said.
Lacierda said SMC might start constructing the NAIA Expressway Phase II project "sometime in June."
SMC won the bidding for the expressway on April 15, beating lone rival Manila North Tollways Corp. of the Metro Pacific Investments Corp. group, which gave an offer of only P305 million.
The upfront payment represents government's share in the project's revenues over the 30-year concession period.
Based on bid documents submitted by SMC, the toll rate for the expressway will range between P35 and P45.
The Build-Transfer-Operate project involves the construction and operation and maintenance of a 4-lane, over 7-km elevated expressway, and a 2.22-km, at-grade feeder road that will start from Skyway.
The project will provide access to Ninoy Aquino International Airport Terminals 1, 2 and 3, and link existing expressways, namely, the Skyway and the Manila-Cavite Toll Expressway.
It will have entry and exit ramps at Roxas Boulevard, Macapagal Boulevard, and the integrated tourism estate, Entertainment City, of state-run Philippine Amusement and Gaming Corp.
The expressway was requested by 4 business groups that are set to open casino complexes in the Pagcor gaming hub.
Lacierda said the expressway would be done in 2 phases.
He said phase II-A would be completed in time for the 2015 Asia-Pacific Economic Cooperation (APEC) Summit to be held in the Philippines.
"Hopefully, the expectation is by or before APEC, that will be completed. There's another phase, II-B, which will connect Skyway to the existing tollways," he explained.
Preparations are now in full swing for the holding of the summit, which will put the country in the world spotlight.
The event will bring together 21 world leaders, who will discuss a range of issues with the aim of boosting political and economic ties. - Rappler.com