Davao City council stops P19-B port bidding

Subscribe Now December 20, 2015 at 11:12am

The City Council of Davao has issued a resolution stopping the bidding for the proposed P19-billion Davao Sasa Port Modernization project and this was welcomed by the local business community and other stakeholders.

The Sangguniang Panlungsod of Davao formally opposed the PPP project through a resolution stopping the bidding because of “the irregular procedure as well as the various questions raised against the Sasa Port Modernization project now being bid out without prior consultation and expressed approval of the local government as provided for by the Local Government Code.”

The bidding process being managed by the Department of Transportation and Communications (DOTC) and the Private-Public Partnership (PPP) Center.

The City Council resolution cited Section 2 (c) of Republic Act 7160, otherwise known as the Local Government Code, which provides that: “It is likewise the policy of the State to require all national agencies and offices to conduct periodic consultations with appropriate local government units, non-governmental and people’s organizations, and other concerned sectors of the community before any project or program is implemented in their respective jurisdictions.”

The resolution also based its objection to Section 27 of the same law, which states that: “Prior Consultations Required – No project or program shall be implemented by government authorities unless the consultations mentioned in Section 2 (c) and 26 hereof are complied with, and prior approval of the sanggunian concerned is obtained.”

“This unnecessary project was being forced upon Davao without the proper consultation. This resolution will now enable Davaoeños to contribute meaningfully toward defining the correct need and use of Sasa Port,” said Anflocor Management and Investment Corp. president Alexander Valoria.

He noted that the project faces overwhelming reactions, concerns, apprehensions, questions and opposition from the Davao City Chamber of Commerce & Industry, consumers, informal settlers, labor unions and other affected sectors.

They pointed out that there is no plan for break-bulk and bulk cargo, which is important for Davao City. Sasa Port is actually designed for break bulk cargo vessels, which is vital to the economy of Davao City.

About 500,000 metric tons of steel, wheat, fertilizer, motor vehicles, heavy equipment and other cargo not suitable for containers went through Sasa Port in 2014, according to Philippine Ports Authority (PPP) statistics.

They are also asking why there are no provisions for cruise vessels which are important in the tourism plans of Davao. They pointed out that the Department of Tourism (DOT) has identified Davao as a potential destination for cruise tourism.

This important sector of the economy is where government intervention is very much needed because there are no private sector players willing to invest in port infrastructure for cruise tourism due to market uncertainty.

Afraid of the traffic congestion being reported around the Port of Manila, Davaoeños warned that the proposed container terminal will worsen the traffic congestion north of Davao City.

The area of Sasa is a highly urbanized area that is crowded with commercial establishments and residential subdivisions that already suffer from severe traffic congestion.

Source: mb.com.ph

« Davao airport passes international standard Davao gets boost from Asian hotel brand »