The Philippine Ports Authority (PPA) has terminated its contract with the builder of the Zamboanga Port Passenger Terminal Building (PTB) due to repeated delays and a design that no longer meets current needs.
PPA assistant general manager for engineering James Gantalao said the decision followed public inquiries and social media posts from individuals seeking transparency on the project.
“Unfortunately, we had to terminate the contract because what we envisioned back in 2021 when the project was started no longer met current operational requirements,” Gantalao said in a statement.
He cited inclement weather, location-specific challenges and evolving design considerations as reasons for halting the project, calling the Zamboanga Port “one of the busiest and most strategic gateways in Mindanao.”
The project faced unavoidable delays due to the COVID-19 pandemic, which caused spikes in material prices and difficulties in mobilizing workers. The PPA said despite these issues, the contractor continued work at a slow pace, leading the PPA to issue formal notices and warnings to expedite the project.
The Zamboanga Port is a major hub for passenger and cargo traffic serving the Zamboanga Peninsula, Basilan, Sulu, Tawi-Tawi and neighboring ASEAN countries.
The PTB was originally designed to handle 3,500 passengers at any given time, making it one of the largest and most modern terminal buildings in Mindanao.
Gantalao said the original goal was to provide passengers with spacious, air-conditioned waiting areas with comfortable seating and proper facilities.
He said the PPA does not pay down payments or mobilization fees and has not released any advance payments to the contractor.
“To date, out of the reported 56-percent physical accomplishment, the contractor has only collected 18 percent of the total contract price,” he said.
“This ensures the public that sufficient funds will remain available to complete the project as planned,” said Gantalao.
Gantalao also addressed a separate issue of ticket scalping raised by Senator Raffy Tulfo, saying the PPA is not mandated to intervene with the sale of vessel tickets.
He said the agency is working with government agencies such as the Maritime Industry Authority (MARINA), the Philippine Coast Guard (PCG) and the Zamboanga City local government to advocate for necessary changes.
 has terminated its contract for the Zamboanga Port Passenger Terminal Building, citing prolonged delays, an outdated design, and evolving operational needs. The project faced setbacks from the COVID-19 pandemic and a slow-moving contractor.){kind=link}