San Miguel Corp. said it will build two game-changing infrastructure projects costing over P120 billion over the next four years to boost the economy battered by the COVID-19 global pandemic.
It identified the two projects as the 420-kilometer South Luzon Expressway Tollroad 5 that will connect Quezon province and the Bicol region and the 19.40-km. Pasig River Expressway that will connect the eastern and western sides of Metro Manila.
San Miguel president and chief operating officer Ramon Ang said a combined P121.8-billion investment would go into the salaries of thousands of workers and payments to local contractors, materials suppliers, haulers and the national and local governments. “As we said before, San Miguel is fully committed to helping our country overcome this crisis. A big part of that is to continue, and not hold back, on new investments. These projects will deliver hundreds of thousands of jobs and put money in the hands of the Filipinos—sustaining and boosting our economic recovery, even as we build for a much better future,” Ang said.
“SLEX TR5 will take four years to complete, and PAREX, three years. By that time, the pandemic would have been far behind us. Other major infrastructure projects would also be complete. Our Bulacan Airport project would also be complete. So imagine: within five years, the Philippines will be transformed, and be better than ever,” he said.
The Toll Regulatory Board, under the Department of Transportation, designated SMC’s proposed SLEX TR5 and PAREX as certified toll road projects.
The Technical Working Group of the TRB, composed of representatives from the DOTr, the Department of Public Works and Highways, the National Economic and Development Authority and Department of Finance, are now holding discussions with SMC and joint venture partner, PNCC, on the technical, financial and legal considerations for the project.
South Luzon Expressway Toll Road 5 is a 420-km., four-lane expressway starting from SLEX TR4 in Barangay Mayao, Lucena City in Quezon province, ending at the Matnog Ferry Terminal in Sorsogon.
San Miguel will invest P26.38 billion under a “Build-Operate-Transfer” scheme with a concession period of 30 years. It can be completed in 46 months.
The Pasig River Expressway is a 19.40-kilometer, six-lane, elevated expressway traversing the entirety of the Pasig River. It will start from Radial Road 10 in Manila and end at a connection of the South East Metro Manila Expressway at Circumferential Road 6.
The total investment of P95.4 billion under a 30-year BOT scheme can be completed in 36 months.
“Hopefully, we will be able to finalize with government and they will find our proposals favorable to the country. In the short to medium term, many of our people need jobs. Among the most affected by the economic impact of COVID-19 are laborers, those who rely on daily wages, and many in the construction industry,” Ang said.
“We also have a lot of engineers or technical and labor workers from abroad who have either lost their jobs or decided to come home to their families, but now face an uncertain future. We can use their talent, experience, know-how and skills to help us build our country back better,” he said.
Ang said other massive infrastructure projects such as its P734-billion airport project in Bulacan would significantly boost local economies, where small and medium local industries develop to provide for the needs of workers and the development itself.
