Presentation is loading. Please wait.

Presentation is loading. Please wait.

Comprehensive and Integrated Infrastructure Program Philippines Development Forum Cebu City, Philippines March 8, 2007.

Similar presentations


Presentation on theme: "Comprehensive and Integrated Infrastructure Program Philippines Development Forum Cebu City, Philippines March 8, 2007."— Presentation transcript:

1 Comprehensive and Integrated Infrastructure Program Philippines Development Forum Cebu City, Philippines March 8, 2007

2 Promoting Global Competitiveness and Exports to Create Jobs To strengthen and sustain our global competitiveness and create 10 million jobs, we will focus on five strategic measures: 1. Make food plentiful at reasonable prices to make our labor cost globally competitive. 2. Reduce cost of electricity to make cost of running our machines and our manufacturing processes regionally competitive. 3. Modernize physical infrastructure and logistics system at least cost to ensure efficient movement of goods and people. 4. Mobilize and disseminate knowledge to upgrade our technologies and increase our people s productivity. 5. Reduce red tape in all government agencies to reduce transaction costs.

3 CIIP Investment Requirement by Financing Source Total investments = PhP 1,983.9 billion Private Sector PhP663.2 B 33.4% Other Sources PhP86.7B 4.4% National Government PhP848.5 B 42.8% LGUs PhP44.4 B 2.2% GFIs PhP3.7B 0.2% GOCCs PhP337.3 B 17% Private Sector PhP663.2 B 33.4% Private Sector PhP663.2 B 33.4% Other Sources PhP86.7B 4.4% Other Sources PhP86.7B 4.4% National Government PhP848.5 B 42.8% National Government PhP848.5 B 42.8% LGUs PhP44.4 B 2.2% LGUs PhP44.4 B 2.2% GFIs PhP3.7B 0.2% GFIs PhP3.7B 0.2% GOCCs PhP337.3 B 17% GOCCs PhP337.3 B 17%

4 National Government Total Budget Requirement (CIIP vs. DBM Proposed Budget 2006-2010) - - 0100200300400500600700800900 Total CIIP (2006-2010+) Budget (2006-2010) (PhP Billion) ` Total P848.5 Reqt. 2006-2010 P429.7 Reqt. beyond 2010 P418.8 Spill-over implementation of some projects beyond 2010 can be accelerated. Total 2006-2010 = P605 Surplus P175.3 - 0100200300400500600700800900 Total CIIP (2006-2010+) Budget (2006-2010) (PhP Billion) ` Total P848.5 Reqt. 2006-2010 P429.7 Reqt. beyond 2010 P418.8 Spill-over implementation of some projects beyond 2010 can be accelerated. Total 2006-2010 = P605 Surplus P175.3

5 Criteria for Selection (List of Selected Priority Infrastructure Projects) a) Must be in the Comprehensive and Integrated Infrastructure Program (CIIP)/SONA b) Ready-to-Go Projects c) Reasonable Rate of Return d) No Major Issues e) High Socio-economic impact

6 Location: Bicol Region 1. BICOL EMERGENCY POWER RESTORATION PROJECT (Facilities damaged by typhoon Reming) Description: Component 1: Installation of temporary 230 KV by-pass sections & repair of 887 wooden & steel poles. Component 2: Replacement of 116 toppled steel towers & repair of other damages to substation facilities & equipment. Implementing Agency: TRANSCO Total Project Cost: PhP 1,115 Million Financing Mode: Loan Implementation Period: Immediate Remarks: Approved in principle by ICC-CC on 13 December 2006 due to emergency nature. 1. BICOL EMERGENCY POWER RESTORATION PROJECT (Facilities damaged by typhoon Reming) Description: Component 1: Installation of temporary 230 KV by-pass sections & repair of 887 wooden & steel poles. Component 2: Replacement of 116 toppled steel towers & repair of other damages to substation facilities & equipment. Implementing Agency: TRANSCO Total Project Cost: PhP 1,115 Million Financing Mode: Loan Implementation Period: Immediate Remarks: Approved in principle by ICC-CC on 13 December 2006 due to emergency nature.

7 2. PALAWAN SOUTH ROAD (Junction Irawan-Narra-Abo-Abo Section-Bataraza-Rio Tuba Section) Description: Rehabilitation/improvement of the 217.18 km road, which serves as the main trunkline of the Southern Municipalities of Palawan. Implementing Agency: DPWH Total Project Cost: PhP 3,130.62 Million Financing Mode: Loan Implementation Period: 2007-2010 Remarks: Endorsed by ICC-TB on 5 December 2006 for ICC-CC approval. EIRR = 29.66 %; NPV @ 15% = PhP 2.441 Billion Location:

8 3. PANGUIL BAY BRIDGE Description: Construction of main bridge, approach viaducts, & approach roads that provide direct transport link between Central Mindanao & Northern Mindanao. Implementing Agency: DPWH Total Project Cost: PhP 2,670.92 Million Financing Mode: GOP/PPP Implementation Period: 2007-2010 Remarks: Project approved by the ICC on 18 January 2007. Misamis Occidental Lanao Del Norte Tubod Tangub Project Location

9 Location: Sucat,Paranaque & Binan, Laguna 4. BINAN-SUCAT 230 KV T/L PROJECT Description: Installation of an additional 14 kms of 230 kV line at Biñan & Sucat substations to increase the power transfer capacity of the existing Biñan-Sucat line. Implementing Agency: TRANSCO Total Project Cost: PhP 870.43 Million Financing Mode: Loan or PPP Implementation Period: 2007-2008 Remarks: Approved by the ICC – CC on 15 February 2007. FIRR = 28.23%; FNPV = PhP 5.62 B at WACC = 11.67% EIRR = 63.54%; ENPV = PhP 35.47 B at SDR = 15% 4. BINAN-SUCAT 230 KV T/L PROJECT Description: Installation of an additional 14 kms of 230 kV line at Biñan & Sucat substations to increase the power transfer capacity of the existing Biñan-Sucat line. Implementing Agency: TRANSCO Total Project Cost: PhP 870.43 Million Financing Mode: Loan or PPP Implementation Period: 2007-2008 Remarks: Approved by the ICC – CC on 15 February 2007. FIRR = 28.23%; FNPV = PhP 5.62 B at WACC = 11.67% EIRR = 63.54%; ENPV = PhP 35.47 B at SDR = 15%

10 5. LINE 1 NORTH EXTENSION PROJECT Description: Construction of a 5.4-km elevated line seamlessly from Monumento Station of Line 1 to North Avenue Station of Line 3. Implementing Agency: LRTA Total Project Cost: PhP 6,209 Million Financing Mode: BT Implementation Period: 2007-2010 Line 1 North Extension (Monumento-North EDSA) Proposed for Construction: Existing Light Rail Network: MRT 3 (North EDSA-Taft) LRT Line 1 (Monumento-Baclaran) NCR Line 1 North Extension (Monumento-North EDSA) MRT 3 (North EDSA-Taft) LRT Line 1 (Monumento-Baclaran) Proposed for Construction: Existing Light Rail Network: LRT 1 North Extension

11 6. NORTHRAIL-SOUTHRAIL LINKAGE PROJECT (Alabang to Calamba, 27.1 kms) Phase II Description: Rehabilitation of the Existing 27.105 km into a double track railway & the acquisition of five (5) new 3-car train sets. Implementing Agency: DOTC / PNR Total Project Cost: PhP 4,520.93 Million Financing Mode: Loan Implementation Period: 2007-2010 Remarks: Approved by ICC on 13 December 2006. EIRR = 18.39%; NPV @ 15% = PhP 871.6 M

12 7. LRT LINE 6 (Line 1 South Extension) Description: Extension of the existing LRT Line 1 from Baclaran station to the cities of Parañaque, Las Piñas, & Adjoining municipalities of Bacoor, Imus, & Dasmariñas in the Cavite province. Implementation Agency: LRTA Total Project Cost: PhP 35,474.4 Million Financing Mode: Loan/GOP/BOT Implementation Period: 2007-2010 Remarks: Approved by ICC-CC on 13 December 2006 & NG budgetary requirements is being discussed. EIRR: 20% (high VOT assumption), 16% (low VOT assumption) NCR Proposed for Construction: Existing Light Rail Network: LRT Line 1 (Monumento-Baclaran) Line 1 South Extension/Line 6 (Baclaran-Bacoor) LRT Line 6

13 8. AGNO RIVER INTEGRATED IRRIGATION PROJECT Description: Rehabilitation of Agno River Irrigation System (ARIS) & Ambayaoan-Dipalo River Irrigation System (ADRIS) with a total of 34,450 has. service areas in Pangasinan, Region I. Rice production is projected to increase by 120,000 metric tons per year benefiting around 28,000 farm families. Implementing Agency: National Irrigation Administration (NIA) Total Project Cost: PhP 7,861.86 Million Financing Mode: Loan Implementation Period: 2007-2009 Remarks: Already approved by the NEDA Board. Location: Pangasinan, Region I (service area)

14 9. NORTH LUZON EXPRESSWAY EXTENSION PROJECT (NLEEP-I) Description: Construction of an 84.5 km road; 12 interchanges & toll collection facilities; & 2 major bridges crossing Agno & Bued Rivers totaling 2.85km, to support socio-economic activities in Regions I, III, CAR & Metro Manila, & help decongest traffic at McArthur Highway. Implementing Agency: DPWH Total Project Cost: PhP 19,350 Million Financing Mode: GOP/BOT Implementation Period: 2007-2011 Remarks: Revised proposal is being prepared with scaled-down cost of ROW requirements & proposed implementation arrangement thereof.

15 10. QUIRINO HIGHWAY Description: Improvement/rehabilitation of the existing 91.192 km road, of which 69.537 km is Proposed for improvement to PCCP & application of Asphalt Concrete (AC) overlay, & the remaining 21.655 km PCC pavement in good condition for application of AC only. Implementing Agency: DPWH Total Project Cost: PhP 1,621.88 Million Financing Mode: Loan Implementation Period: 2007-2009 Remarks: ICC-TB endorsed the project on 5 December 2006 for ICC-CC approval. EIRR = 29.75 %; NPV @ 15% = PhP 1.205 Million Camarines Norte Camarines Sur Region 5

16 Micro-Economic Reforms Transportation (Air and water services, including port services) Telecommunications Power

17 Cost of Business POWER: 10-25 % of costs LOGISTICS: 25-30% of costs TELECOMMUNICATIONS: 5% of costs

18 ADB on Improving Philippine Competitiveness Infrastructure -Ranks behind Malaysia and Thailand in ICT indices -Power cost in RP highest compared with Thailand, China and Singapore Comparative Indices and Rates Country ICT Indices (2005)Commercial Electricity Rates (2005) US cents/KWh WEF- Network Readiness EIU-IBM e-Readiness Philippines Thailand China Singapore 70 34 50 2 51 44 11 13.6 7.2 8.2 10.6 Source: NSCB and WESM, Senate

19 ADB on Improving Philippine Competitiveness Logistics -Relative quick export time and customs clearance but highest cost to export among ASEAN and China Trading Across Borders Country Time for exports (days) Cost to export (US$ per container) Average days for customs clearance (air) Philippines Thailand China Singapore 18 24 18 6 1,336 848 335 382 45424542 Source: World Bank

20 End of Presentation http://www.neda.gov.ph

21 CIIP Investment Requirement by Sector Total investments = PhP 1,983.9 billion Transportation PhP952 B 48% Support toARCs PhP18.1 B 0.9% Social Infrastructure PhP177.8 B 9% Communications PhP33.1 B 1.7% Water Resources PhP346.9 B 17.5% Power and Electrification PhP456 B 23% Transportation PhP952 B 48% Transportation PhP952 B 48% Support toARCs PhP18.1 B 0.9% Support toARCs PhP18.1 B 0.9% Social Infrastructure PhP177.8 B 9% Social Infrastructure PhP177.8 B 9% Communications PhP33.1 B 1.7% Communications PhP33.1 B 1.7% Water Resources PhP346.9 B 17.5% Water Resources PhP346.9 B 17.5% Power and Electrification PhP456 B 23% Power and Electrification PhP456 B 23%

22 NG Investment Allocation of PhP429.7 B for 2006-2010 (by Super Region) (2006 to 2010)

23 Civil Aeronautics Board (CAB) Civil Aeronautics Board (CAB) Investment Effect: Hotels, resorts, and other related businesses Competitiveness Effect: Cost of Air Transport Total Economy: Tourists Arrivals Employment Generation 1 million additional tourists means 1 million new jobs

24 Investment Effect: May discourage investment by competitors Competitiveness Effect: Cost of Cargo Handling Turnaround Time Total Economy: Logistics Efficiency Export Cost Philippine Ports Authority (PPA) Philippine Ports Authority (PPA)

25 Maritime Industry Authority (MARINA) Maritime Industry Authority (MARINA) Investment Effect: Investment in Shipping Competitiveness Effect: Cost of Sea Transport Total Economy: Logistics Efficiency Inter-island Trading

26 National Telecommunications Commission (NTC) National Telecommunications Commission (NTC) Investment Effect: Investment in Telecommunication Facilities Call Centers, BPOs Competitiveness Effect: Cost of Telecommunications (reduced because of VOIP, but further reduction possible) Total Economy: Business transaction costs and efficiency

27 Energy Regulatory Commission (ERC)/EPIRA Legislation Energy Regulatory Commission (ERC)/EPIRA Legislation Investment Effect: High cost may discourage investments in machinery Competitiveness Effect: Cost of electricity Total Economy: Labor productivity Wages/workers income Household/consumer welfare

28 Civil Aeronautics Board (CAB) Philippine Ports Authority (PPA) Maritime Industry Authority (MARINA) National Telecommunications Commission (NTC) Energy Regulatory Commission (ERC) Agencies Prone to Regulatory Capture


Download ppt "Comprehensive and Integrated Infrastructure Program Philippines Development Forum Cebu City, Philippines March 8, 2007."

Similar presentations


Ads by Google