Funding, health crisis delay 3 major infra projects in Mindanao

Three big-ticket projects in Mindanao are stalled due to funding challenges and Covid-19 pandemic.

In a virtual press conference for the 12th anniversary of the Mindanao Development Authority (MinDA) on Thursday (Feb. 17), MinDA Assistant Secretary Romeo Montenegro identified the three projects which have yet to start as the P23 billion Davao-Samal Bridge, P81.7 billion Mindanao Railway Project Phase 1, and the P10 billion Rio Grande de Mindanao Flood Control project.

Montenegro said the Davao-Samal Bridge is funded by official development assistance (ODA) loans from the Chinese government. However, the loan is still in the discussion stage causing the delay of the project, supposed to start in 2021.

“The Samal Bridge project is still awaiting a loan from China,” Montenegro said.

The Mindanao Railway Phase I is also a China-funded project.  However, due to some adjustments made by the Department of Transportation (DoTr), the government has allocated funds under the General Appropriations Act (GAA), Montenegro said.

But, implementation of the project has been delayed due to the pandemic and discussions on the specifics of the funding allocation, he added. “It’s all up to the Department of Finance,” he said.  

The Mindanao Railway Phase 1 involves building a 100-kilometer train line connecting the cities of Tagum, Davao and Digos.

 Montenegro said the Mindanao Railway Phase 1 will surely start because it has an assured GAA. But as to when, he said, “It’s all up to the Department of Finance and DoTr.”

The Rio Grande de Mindanao project is also a China-funded project but has also a GAA allocation from the Philippine government. Montenegro said the project had initially started but was also affected by the pandemic. It is also awaiting the China loan. Montenegro said unlike the Samal Bridge and Mindanao Railway, the Rio Grande de Mindanao is a private-led project.

When asked what will happen to the three projects under a new administration by July this year, Montenegro said, MinDA will make sure the projects will be implemented as these are identified priority projects for Mindanao. (BY JUDY QUIROS)