CEBU City Mayor-elect Nestor Archival proposed to renegotiate the contract between the City Hall and Megawide Construction Corp. for the Carbon Public Market renovation, in consideration of the more than 4,000 vendors.
In a news forum on Tuesday, May 20, 2025, Archival described the existing contract, the 2021 Joint Venture Agreement (JVA) between the Cebu City Government and Megawide, as one-sided and disadvantageous to the vendors.
However, the project started with challenges, particularly the opposition of various market vendors and associations, fearing rental hikes and displacement, and the scrutiny of some City Council members, including Archival as an incumbent councilor.
While acknowledging the validity of the contract, which previous administrations had enacted, he plans to meet with the Megawide representative to work on the renegotiation.
He also intends to endorse the proposal to the incoming council for action.
Archival noted that one aspect of the existing contract was tariff increases. He added that the council has already approved a new tariff rate for the public market.
“Every time a vendor gets inside that area, they have to pay a certain amount… Let us say that 4,000 vendors would not fit inside that area,” he said in a mix of Cebuano and English.
He explained that limited space might force vendors to sell their products elsewhere to accommodate others.
“The moment they get inside, they have to pay. But the moment they’re done, they have to pull out their goods and when they return they have to pay again,” he said.
The renegotiation, Archival believes, will also help the vendors retain their opportunity to earn a living.
“And at the same time, the prices of goods and commodities will not increase in Carbon. Because when we look at the tariff rates, which have already been approved, the price of fish per bale is already P300 from the old rate of P30,” he said.
He added that if there will be no renegotiation and the tariff rates remain, prices of commodities in Carbon Public Market will be more expensive in comparison to other small public markets in Cebu City.
On Dec. 11, 2024, vendors staged a protest rally outside the City Hall, objecting to the project.
During that time Archival proposed a resolution recalling and revoking on Nov. 6 council resolutions over the adoption of the approval of the Cebu City Zoning Board on the variance application of Cebu2World Development Inc. on the land classification of Warwick Barracks from Institutional 2 to Commercial 2.
Cebu2World Development Inc., a subsidiary of Megawide, applied for the variance for the construction of Market Redevelopment Phase 1B (Barracks and the main public market), citing potential rent increases, loss of stall spaces and others.
Under the JVA, Cebu2World will lead the modernization of the Carbon Public Market in three phases: the development of Carbon Market Units 1 and 2 and Compaña Maritima (Phase 1), Freedom Park (Phase 2) and Sitio Bato and Unit 3 (Phase 3).
On Dec. 12, Lydwena Eco, deputy general manager of C2W, said the firm envisioned the Carbon Public Market Development Project as a food and tourism hub by 2030.
Eco assured vendors there would be no increase in rental rates and other charges on the upcoming renovation of the Carbon Public Market. All rentals and charges at the public market will follow the Market Code of the Cebu City Government, as stipulated under the JVA.
While any amendments such as rate adjustment on the Market Code has to be proposed, deliberated, and approved by the council, Eco said that C2W is not allowed to charge the vendors beyond the Market Code.
The Carbon Public Market redevelopment is a major infrastructure and urban renewal initiative in Cebu City, with a total investment estimated at P5.5 billion. Megawide secured a P1.1 billion contract for the design and construction of Block 2, a key component of the project expected to be completed by early 2026. This block will complement existing attractions such as The Barracks hawker center, the Sto. Niño Chapel and Freedom Park, aiming to create a vibrant commercial and cultural hub. / EHP