MANILA, Philippines — San Miguel Corp. (SMC) has moved closer to building its proposed South Luzon Expressway Toll Road 5 (SLEX-TR5) with the signing of the supplemental toll operations agreement (STOA) for the project.
The STOA was signed by SMC, the Department of Transportation (DOTr), Toll Regulatory Board, and Department of Public Works and Highways on Friday.
The signed STOA is a vital component of the toll road project, and will be submitted to the Office of the President for approval.
The 420-kilometer SLEX-TR5 which will connect Quezon province and the Bicol region is dubbed by SMC as a “game-changing” infrastructure project which could help the Philippine economy get back on track following the impact of the COVID-19 pandemic.
The project is a four-lane expressway starting from SLEX TR4 in Brgy. Mayao, Lucena City Quezon, ending at the Matnog Ferry Terminal in Sorsogon.
It is a P26.38 billion investment under a build-operate-transfer scheme with a concession period of 30 years.
SMC earlier said the project could be completed in 46 months.
Once finished, it will reduce travel time from Lucena to Matnog from nine hours to 5.5 hours, and connect major urban centers in Quezon and Bicol.
SMC said the project would provide better and safer access to tourist destinations, roro ports, fish ports, and food production/agriculture areas.
In addition, it will also provide a faster road alternative from Metro Manila and hasten the development of new growth centers in the Quezon and Bicol regions and other southern parts of the country.
The project is under a joint venture of San Miguel Holdings Corp. and the Philippine National Construction Corp.