Businesses on CBRT route suffer 20-30% sales drop

File photo
File photo

ASIDE from the drivers and operators of public utility vehicles, business establishments on Osmeña Blvd., Cebu City have also been negatively affected by the ongoing construction of Phase 1 of the Cebu Bus Rapid Transit (CBRT) that has narrowed the busy road intended for vehicles.

Representatives of the business establishments who spoke to SunStar Cebu this week all said their sales decreased 20 to 30 percent after work on the CBRT started two months ago.

The first phase of the project, which covers 2.38 kilometers from the Cebu South Bus Terminal (CSBT) on N. Bacalso Ave. to the front of the Capitol building along Osmeña Blvd. and involves the building of four bus stations, is being undertaken by the Hunan Road & Bridge Construction Group Company Limited of China with a target completion of yearend.

The Ong Kin King Baking Company, which sells ingredients for cakes, bread and other food items, revealed that its sales have gradually gone down.

“If we compare it to before the construction of the BRT started, our sales really went down because some customers already have a hard time because they are no longer able to park,” revealed Marisa, an employee.

“When they started closing (the two lanes at the center of the boulevard), some customers could no longer make a U-turn, so sales really went down 25 percent,” Marisa said.

At Just Wash Laundromat, customers decreased by almost half.

“Sales have really been affected by the traffic. Our self-service customers can no longer drop off (their laundry) because the drop-off area is now very far. And those who have cars can no longer drop off,” said Vergie, supervisor of the laundry services.

“In the past, the laundry here accumulated. But now our sales are down 20 to 30 percent. We normally cater to 60 people daily. Now it’s only 20 to 30,” added Vergie.

The same has been experienced by Ngohiong Express, whose customers decreased after construction of the CBRT began.

There are an estimated 150 establishments along Phase 1 of the project, with at least 37 big establishments on the stretch from Arlington Pond St. to R.R. Landon St. alone that include banks, a hospital, supermarket, church, gas station and the regional police headquarters.

Slippage

Engineer Norvin Imbong, project manager of the CBRT, said they are trying to meet the target completion date for Phase 1 of end of December 2023.

Imbong said Friday, April 28, 2023, that there is about a one percent slippage on the work on Phase 1, but he said they are still heading towards meeting the target deadline.

Imbong said 5,094 public utility jeepney (PUJ) drivers and operators who will be affected by the three phases of the P16.3 billion project are beneficiaries of the Social Management Plan (SMP) approved by the World Bank.

The Cebu BRT is financed through a loan from the French government through the Agence Française de Développement (Eur 50.89 million or $55.32 million); the International Bank for Reconstruction and Development ($116 million), the lending arm of the World Bank Group; and the Clean Technology Fund ($25 million) administered by the World Bank. The Philippine Government is providing $87.5 million as counterpart to finance the project.

The budget for the SMP, which is a condition of the World Bank for the use of its funds for the project, will be taken from the coffers of the national government.

Under the SMP, aid to the PUJ drivers and operators would come in the form of cooperative formation and strengthening, skills training, alternative livelihood restoration or financing assistance, the last of which is aid to make up for their lost income due to the reduction in passengers they can now carry daily amid the traffic congestion caused by the construction of the CBRT stations and dedicated lanes.

Phases 2 and 3

Phase 1 runs from the Cebu Provincial Capitol to the Cebu South Bus Terminal (CSBT).

Phase 2 is from CSBT to the South Road Properties and Capitol to Cebu IT Park, while Phase 3 goes from the Cebu IT Park to Talamban.

Imbong said the construction of the entire CBRT will be completed by the year 2025. He added that before the end of this year, the Department of Transportation will already conduct its public bidding for Phases 2 and 3 so that work on these phases can follow immediately.

By the end of 2025, 144 buses will be able to carry an estimated 60,000 passengers every day as they traverse the more than 30-kilometer route from Talisay City to Barangay Bulacao in the south district of Cebu City.

Imbong said the government is open to entering into a public-private partnership for the 144 buses to be used by the BRT, but the amount for these has already been included in the calculation of the budget.

The Land Transportation Franchising and Regulatory Board will look for other routes to transfer the PUJs that used to ply what will now be the CBRT route, but these PUJs can still deliver and pick up passengers at points where the commuters can board the CBRT.

Imbong asked the Cebuanos for patience, saying that after the construction, the passengers will be able to experience comfort again. (CTL)

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