Bredco open to renegotiation-A A +A
Thursday, August 22, 2013
THE BACOLOD Real Estate Development Corporation (Bredco) is open to the plan to renegotiate intimated earlier by Bacolod City Mayor Monico Puentevella following the recent court decision favoring Bredco over the city's past attempt to take over the operation and management of the port, including reclamation works.
Counsel for Bredco, Renecito Novero, told dyRL on Wednesday that the local government could invite the corporation to sit down and discuss what is the reasonable adjustment that can be made to the current annual port fees of P800,000, as well as the other terms and conditions the city needs to renegotiate.
“It is fitting that the city should maintain a friendly and harmonious relationship with the investors and business sector,” Novero said, adding that he is also amenable to the idea of Puentevella not to resort anymore to court litigation and instead opt for a win-win solution.
Novero pointed out that lawyer Simplicio Palanca, president of Bredco, has started paying port fees to the city, even before the development of the reclamation area and the port, and even without certainty if his (Palanca’s) project will be realized.
Novero said Palanca worked hard for it and in good faith, and that, Palanca paid it. “But others have considered it as meager with the operation of the port. Bredco tried its best to generate an income because the investments run to P2 billion,” he said.
Huge spending, too
Every year, according to Novero, Bredco would spend a huge amount for dredging, considering that the area is not naturally deep and it has siltation. And that should be maintained by a regular dredger and Bredco spends P75 million more or less every year for dredging operation alone.
“And this was not known by many, especially by the city officials.” "We need to sit down so that everything will be factual, legal and reasonable," he said.
It can be recalled that the past administration has proposed for an upward adjustment to the port fees from P800,000 to P17.6 million.
The business sector even had an opinion that if there is an increase, it should be from 10 percent, and not more a thousand percent.
Published in the Sun.Star Bacolod newspaper on August 22, 2013.