bot center presentation to proc2 - the philippine embassy in

A Look At BOT-INFRASTRUCTURE

PROJECTS

Build-Operate-and-Transfer (BOT) Center

The PPP-BOT Program

Projects for Investments

The BOT Center

Outline of Presentation

THE PPP-BOT PROGRAM

Title• An Act Amending Certain Sections of RA 6957, Entitled “An

Act Authorizing the Financing, Construction, Operation and Maintenance of Infrastructure Projects by the Private Sector, and for Other Purposes.”

Declaration of Policy• Recognition of private sector’s role in development• Provision of incentives to mobilize private resources• Climate of minimum government intervention• Specific GOP undertakings to support private sector

Republic Act No. 7718

Contractual arrangement between the government and the private sector whereby the latter finances, constructs and in some cases operates and maintains a facility or project

The private sector is allowed to charge user fees to recover its investments

Both government and private sector share project risks

What is PPP (Public-Private Partnership)-Build-Operate-Transfer (BOT)?

Public Bidding / Solicited Mode

Unsolicited Proposals• Project involves new concept or technology and/or not in

the list of priority projects• No direct government guarantee, subsidy, or equity• IA/LGU concerned must solicit comparative or competitive

proposals

Procurement Modes

Private Sector Participation in BOT/PSP Projects

Bidder/member of consortium for priority infrastructure projects of government

Financier of awarded BOT/PSP projectSupplier of machinery, equipment, materials Sub-contractor to the winning contractorProponent of unsolicited project

From the early 1990’s until December 2008, the Philippine BOT Program has generated capital investment of more than US$19 billion broken down as follows:

THE PHILIPPINE BOT PROGRAM

Status No. of Projects

Project Cost (US$M)

Power 38 8,701.36Transport 8 2,25.00Environment 5 7,839.40IT (National & LGU)

8 290.72

Social Infrastructure

1 1.00

Property Development

9 453.86

TOTAL 63 19,511.34

Awarded OperationalConcluded

US$17,692.9237 Projects



PROJECTS FOR INVESTMENTS

Panguil Bay Bridge Project Balog-Balog Multi-Purpose Project Batangas to Manila Natural Gas Pipeline (BatMan1) Integrated LNG Terminal, Pipeline and Power Plant

Project Isabela Coal Mining and Power Plant Project NAIA Expressway Metro Manila Skyway Project

Projects for Investments

Implementing Agency: Department of Public Works and Highways (DPWH) Project Description:

• The Project entails the construction of a bridge with approximate length of 2,360 meters and approach roads pf 1,240 meters across Panguil Bay between Tangub City, Misamis Occidental and Tubod, Lanao del Norte.

Estimated Project Cost: P4.425B Project Implementation Scheme: BTO (Build-Transfer-Operate) - Solicited

Panguil Bay Bridge Project

Status

• Preparation of the tender documents for procurement of BOT proponents is on-going.

• Prequalification of BOT proponents to commence upon completion of the specimen design based on the geophysical survey and geotechnical investigation.

Contact Person/Details:Director Bienvenida FirmalinoBOT Office – DPWHBonifacio Drive, Port Area, Manila

Tel. No.: (632) 3043762, Fax No.: (632) 3043824

Panguil Bay Bridge Project

Implementing Agency: National Irrigation Authority (NIA) / Tarlac Provincial Government

Project Description:• BBMP Phase II (located in Tarlac) involves the following

components: • (1) construction of the Balog-Balog High Dam and reservoir

with storage capacity of 625 MCM for irrigation, power generation, flood control, and inland fish production purposes,• (2) construction of a hydro-power plant with installed capacity

of 33 MW.

Balog-Balog Multipurpose Project: Phase II

Estimated Project Cost : P8.8B Project Status: • The Project is currently being evaluated if viable for

implementation under the BOT Law. Contact Person / Details:

• Mr. Vicente R. Vicmudo, Ph. D.Project ManagerNational Irrigation Authority

Tel. No.: (045) 982-0443 (045) 982-2948

Balog-Balog Multipurpose Project: Phase II

Implementing Agency• Philippine National Oil Company (PNOC)

Project Description• The BatMan1 Project is a high-pressure gas transmission

pipeline with a total line length of approximately 135 km consisting of three distinct legs. The input pressure at the Onshore Gas Plant in Batangas will range from 60-70 bars.

• It will start from On-Shore Gas Plant in Tabangao, Batangas City to Biñan, Laguna via STAR Highway. Then, from Biñan station, two spur pipelines will be connected which are called Biñan to Rosario (RoBin), Cavite Pipeline and Biñan to Fort Bonifacio, Taguig Pipeline.

Batangas to Manila Natural Gas Pipeline (BatMan1)

Estimated Project Cost• US$131 Million

Project Implementation Scheme:• Joint Venture• BOT scheme

Project Status • PNOC Exploration Corporation (EC) had already acquired the following:• PNOC EC Board Approval• NEDA Board Approval• Environmental Compliance Certificate (ECC)• 100 Letters of Intent from the industrial estates potential gas users• 9 Endorsements from LGUs • NEDA’s support declaring the project as a project of national significance



Contact Persons:•Mr. Rafael E. Del Pilar President and CEO PNOC Exploration Corporation Tel. No.: 840-2015, Fax No.: 840-2348•Mr. Candido M. Magsombol Manager Business Development Department PNOC Exploration Corporation Tel. No.: 479-9255, Fax No.: 840-2044

Implementing Agency:• Philippine National Oil Company

Project Description• The Integrated Project (located within the municipalities of Limay and

Mariveles, Bataan) will be composed of the following:

• setting up of an LNG Receiving Terminal in Limay, Bataan • the gas-fired conversion of the 600 MW Limay Power Plant Blocks A&B• the development of a 600MW Greenfield gas-fired power plant inside

the PAFC Industrial Park and related gas transport pipeline.

Integrated LNG Terminal, Pipeline and Power Plant (Integrated Project)


Estimated Project Cost• LNG Terminal US$ 375.24 million• Limay A/B PP US$ 345.50 million• Limay PAFC PP US$ 345.50 million• Limay A/B Pipeline US$ 3.03 million• Limay PAFC Pipeline US$ 0.13 million• Total Cost US$1069.40 million


Project Status:

• PNOC EC had already acquired the following:• PNOC EC Board Approval• NEDA Board Approval

• Ongoing coordination with parties interested in the integrated LNG terminal and power plant projects

Contact Persons:• Mr. Rafael E. Del Pilar Mr. Candido M. Magsombol President and CEO Manager PNOC Exploration Corporation Business Development Dept. Tel. No.: 840-2015 Tel. No.: 479-9255


Implementing Agency:• Philippine National Oil Company

Project Description:• The Isabela Integrated Coal Mine-Mouth Power Plant Project is

an open pit coal mine project with a Mine-Mouth 50MW coal fired power plant with fluidized bed combustion.

• The project site is located 290 kms North of Manila via Cagayan Valley region. The three different coal deposit concentrations are located in the municipalities of Naguillian, Benito Soliven and portion of the City of Cauayan, province of Isabela, Cagayan Valley

Isabela Coal Mining and Power Plant Project


Estimated Total Project Cost:• Mine US$ 16 million• Power Plant US$ 139 million• Total Cost US$ 155 million

Project Status• PNOC EC had already acquired the following:

• PNOC EC Board approval• NEDA Board approval

• Ongoing review of the project and its economic profitability.• Business plan being finalized• Estimated IRR of 20 – 25%


Contact Persons:• Mr. Rafael E. Del Pilar President and CEO PNOC Exploration Corporation Tel. No.: 840-2015, Fax No.: 840-2348• Mr. Candido M. Magsombol Manager Business Development Department PNOC Exploration Corporation Tel. No.: 479-9255, Fax No.: 840-2044


Implementing Agency:• DPWH

Description• The project involves the construction of an elevated

expressway from Skyway up to Roxas Boulevard, running mostly along existing roads (Sales Street, Andrews Avenue, Domestic Road and MIA Road). The project is proposed to be done in phases: Phase I - Skyway to NAIA Terminal III, 4 lanes, 3.67 Km Phase II - NAIA Terminal III to Roxas Boulevard, 4 lanes, 4.9 km

NAIA Expressway

Project Status • Phase I - Construction on-going.• Phase II - Bid Documents preparation

completed. Contact Person/Details:

Director Bienvenida FirmalinoBOT Office – DPWHBonifacio Drive, Port Area, Manila

Tel. No.: (632) 3043762, Fax No.: (632) 3043824

NAIA Expressway

PROPONENT• Citra Metro Manila Tollways Corporation (CMMTC) – a joint

venture firm of P.T. Citra Lamtoro Gung Persada (CITRA) and PNCC.

DESCRIPTION• An elevated expressway that will link the South Luzon

Expressway (SLE) and the North Luzon Expressway (NLE) from Alabang, Muntinlupa to Balintawak, Caloocan City with a total length of 33.68 Kms. Stage 1 - A six (6) lane elevated expressway from Bicutan to Buendia,

with the Ayala Central Business District Access Ramps (9.3 kms.) and the rehabilitation of the South Luzon Expressway from Magallanes to Alabang (13.43 kms.)

Stage 2 – Elevated expressway from Bicutan to Alabang (6.88 Kms.) Stage 3 – Elevated expressway from Buendia to NLE Balintawak

(17.50 Kms.)

Metro Manila Skyway Project

ESTIMATED PROJECT COST (in Million Pesos)• Stage 1 - 11,170• Stage 2 - 8,000• Stage 3 - 29,859• Total - 49,029

PROJECT STATUS • Stage 1: Completed in December 1999. Presently operational and

maintained by PNCC Skyway Corporation.• Stage 2:

PERTCONSULT is the Independent Consultant. Renardet S.A. is the Supervising Consultant.

Construction of 13 pier heads of the existing columns are completed.Parcellary plan/ROW acquisition plan approved.

• Stage 3: Updating of feasibility study


Contact Person/Details:Director Bienvenida FirmalinoBOT Office – DPWHBonifacio Drive, Port Area, Manila

Tel. No.: (632) 3043762, Fax No.: (632) 3043824


THE BOT CENTER

Presidential Executive Order 144 (2002)

Presently lodged the BOT Center under DTI’s Industry and Investments Group (IIG) along with the Board of Investments and other infrastructure agencies (National Development Company, Philippine Economic Zone Authority)

THE BOT Center under DTI

A. Promotion of the BOT and PPP Program and Projects under the National Infrastructure Development Plan• Provision of capacity building and hands on training to IAs)

and LGUs in developing and promoting their BOT/PPP projects• Provision of technical advisory assistance through the Project

Development Facility• Provision of promotional and marketing support to variuos

BOT/PPP investment opportunities of other government corporations and intrumentalities

• Institutionalization and implementation of an inter-agency BOT/PPP Strategic Promotion and Development Plan through the BOT Center-led Inter-Agency Committee and Advisory Board (IACAB)

Mandate

B. Policy Advocacy • Formulation of BOT/PPP policy guidelines to ensure

transparent, consistent and expeditious preparation, review, approval and implementation of BOT/PPP projects

• Initiation and/or participation in BOT/PPP policy reviews/reform agenda

• Institutionalization of an advocacy program in pursuit of an effective and sustainable BOT/PPP program implementation

Mandate

Provide capacity building and training programs to IAs and LGUs as well as other government bodies in various aspects of BOT/PPP project development

Provide technical and financial support to IAs and LGUs on BOT/PPP projects eligible under the Project Development Facility (PDF) guidelines

Provide promotion and marketing support to IAs and LGUs through marketing campaigns, investment matching and other investment facilitation work in coordination with the Board of Investments and other investment promotion offices

Advocate policy reforms in BOT/PPP policy dialogues, formulation and reviews

Provide general information on the Philippine BOT/PPP program, policies, processes and guidelines, as well as specific projects for promotion

Services

SUMMARY

There is a consistent recognition of the value of private sector financing and efficiency.

The BOT Law has paved the way for PPP Framework to evolve.

The BOT Center (PPP Unit) plays a major role in promoting PPP for infrastructure.

There are a lot of opportunities for the private sector in infrastructure development through the PPP-BOT.

THANK YOUBuild-Operate-and-Transfer CenterDepartment of Trade & Industry4/F GA Yupangco Bldg.339 Sen.Gil J. Puyat Ave.1200 Makati City, Philippines

Tel. No: (+63 2) 899-8821Fax No: (+63 2) 896-8452

www.botcenter.gov.ph