NEDA: Cebu projects still awaiting approval

Lack of feasibility studies delaying big-ticket projects

CEBU, Philippines - Contrary to criticisms that the national government has denied Cebu of development projects, the National Economic and Development Authority said the Regional Development Council has actually been pushing for big-ticket projects in Central Visayas, particularly Cebu.

However, NEDA-7 regional director Efren Carreon said the approval of the development projects are still pending owing to the lack of feasibility studies. Carreon said before the NEDA Board approves a particular project, a feasibility study should first be presented.

“The point I would like to make is that if you have complete documents and the project is well done, then it’s quite easy to defend that,” Carreon told The FREEMAN in an interview. “In the absence of a feasibility study, what can we present?”

"We have to make our homework done. If we want the board to approve our big ticket projects, [the proponents] have to finish the feasibility studies," he added.

During the Mega Cebu Leaders’ Convergence Meeting last month, Roberto Aboitiz, co-chairman of the Mega Cebu Movement, criticized the national government for not prioritizing Cebu in terms of development projects, as earlier reported here.

However, Carreon clarified that some big projects proposed for Central Visayas were already approved during the previous board meetings.

He added that what Aboitiz presented was based on the recent NEDA Board meeting where no projects were discussed and approved for Cebu.

He said the major RDC projects approved by the NEDA Board are valued at more than P36 billion.

These projects include: the P653-million upgrading of the Malinao Dam in Pilar, Bohol which is proposed by the National Irrigation Administration (implementation period: 2014-2016); the P10.941-billion Cebu Bus Rapid Transit system funded by World Bank and Transportation Department (IP: 2015-2017); the P17.5-billion Mactan Cebu International Airport Passenger Terminal Building project by GMR-Megawide Consortium (IP: 2015); and the P7.2-billion new Bohol Airport funded by Japan International Cooperation Agency through concessional loan (IP: 2014-2017).

NEDA's Investment Coordination Committee evaluates the fiscal, monetary and payments implications of major national projects and recommends to the President the timetable of their implementation on a regular basis. 

Future projects

Incoming big projects include the proposed third bridge that will link mainland Cebu and Cordova town and the construction of Cebu international container port.

A master plan for drainage project to solve the flooding problem in Cebu should also be done, he said.

The economic planning agency said the region-wide roads, bridges and drainage projects, communal irrigation and small water impounding projects are funded by the General Appropriations Act.

In addition, the council is now pushing for the construction of a container port in Cebu to solve the current port problems, Carreon noted, saying this should have been done a long time ago. 

He added the delayed shipments in local seaports have resulted the costs of transportation and goods to go up.

On the other hand, Philippine Retailers Association president Robert Go earlier said many cargo shipments are delayed because of strict examination of goods.

Carreon said: "We're also pushing for dedicated roads for big trucks kay they are causing traffic. Mo-compete man gud sila sa passenger vehicles and private cars."

Furthermore, the NEDA said it was monitoring 18 service contracts in region seven involving renewable energy developments -- hydro, solar, wind, geothermal, biomass, ethanol and methane recovery projects.

The Energy Department informed the agency that eight hydro plants are currently supplying power to the grid, it said.

NEDA added local governments must improve in investment promotion and streamlining of business permit licensing system.  (FREEMAN)