P307 billion railway projects to boost logistics activities

MANILA, Philippines — The Department of Transportation (DOTr) wants to maximize three railway projects worth P307 billion for freight activities to quicken the flow of goods and services across the Philippines.

Transportation Undersecretary Timothy John Batan said that the agency is eyeing to utilize long haul railways in Luzon and Mindanao to boost trade within the regions.

Batan said the government plans to use the P175-billion Philippine National Railway (PNR) South long haul project, P81.7-billion Mindanao railway Project Phase 1 and P50-billion Subic-Clark railway project as freight infrastructure upon their completion.

“The DOTr is reviving the capability of the Philippine railway network to handle cargo. Currently, there are three investment approved projects expected to contribute to freight transport,” Batan said.

Batan said the PNR South long haul, also called PNR Bicol, could be tapped for logistics use as it stretches 639 kilometers and holds 35 stations. The rail line seeks to connect Metro Manila with Southern Tagalog and Bicol Region.

Also, Batan said the government is capitalizing on the Mindanao Railway Phase 1, the Tagum-Davao-Digos segment, and the Subic-Clark railway to boost trade activities in Mindanao and Central Luzon, respectively.

Apart from this, the transport official said the government expects the completion of commuter railways like the P488.4-billion Metro Manila Subway to ease the volume of private vehicles on the road and create additional space for logistics and transport.

“Aside from long haul railway projects, the ongoing massive expansion of commuter railways is also expected to decongest roads by incentivizing the modal shift from private vehicles to public transport making more road space available for movement,” Batan said.

The first subway of the country, stretching 33 kms across seven cities in Metro Manila, from Valenzuela City to Pasay City, would cut travel time between Quezon City and the Ninoy Aquino International Airport to 35 minutes.

According to Batan, the government is also building freight railways in the provinces to support trading growth outside of Metro Manila.

He added that the DOTr is serious in reviving the Panay Railways as instructed by President Marcos in his first State of the Nation Address.

A group of Philippine firms called the Philtrak consortium plans to spend as much as P30 billion to restore the decommissioned rail line in Panay.

The agency also hopes that the PNR North main line, the counterpart of PNR Bicol, and the Mindanao Railway Phase 2 would proceed under the Marcos administration.