A EUROPEAN firm has expressed interest to undertake two of the three segments of the 73-kilometer Metro Cebu Expressway and has reportedly allocated P50 billion for the project.
Department of Public Works and Highways (DPWH) 7 Director Edgar Tabacon said the European firm, which he did not name, has local partners to undertake the project under a Public-Private Partnership (PPP).
Two other firms earlier expressed interest in the project—a Chinese construction company and Metro Pacific Tollways Corp., which is also undertaking the bridge connecting Cebu City and Cordova.
The three phases of the Metro Cebu Expressway are Segment 1, which is from Danao City to Mandaue City; Segment 2, from Mandaue City to Talisay City; and Segment 3, from Talisay City to Naga City.
Tabacon said the government may implement the project using Philippine Government funds or through a PPP. The government may also opt to take out a foreign loan.
DPWH has started work on the 17-kilometer Segment 3 using its funds. An initial funding of P300 million has been released for Segment 3, which will cost P4.4 billion.
The initial allocation was from the 2018 General Appropriations Act (GAA) and another P300 million from the 2019 GAA will be released any time.
Tabacon said the remaining P3.8 billion will be released in three tranches; around P1.2 billion in 2020, P1.2 billion plus in 2021 and another P1.2 billion plus in 2022. (EOB)