ILOILO CITY—Mayor Jerry Trenas expressed hope the unsolicited proposal of International Container Terminal Services Inc. (ICTSI) to upgrade the city’s existing commercial port in Barangay Loboc, Lapuz will push through.
ICTSI estimated in 2019 an investment of over P8.7 billion to fully develop the Iloilo port over the life of the concession that will be agreed on with the Philippine Ports Authority (PPA).
“There was also an offer from ICTSI but it was not moving. Hopefully, after two public hearings by the PPA, the port development will move. The port, since that was developed in the 70s, no additional development was put in. There are now three to four international shipping lines who showed intention,” Trenas said.
He said ICTSI presented a proposal to the local economic development office to convert the existing port into a container port and improve berthing facilities and add equipment.
“I think they want to develop the RORO port. At the moment at the RORO port, there is no terminal. If ICTSI comes in, we will be able to accommodate more international and domestic vessels; have a better RORO port,” Trenas said.
The Philippine Chamber of Commerce and Industry – Iloilo Chapter also called for the expansion and improvement of the commercial port.
The PCCI-Iloilo Chapter sent a letter to Trenas appealing for the improvement of the port and cited Public-Private Partnership (PPP) as ideal for the project.
The Iloilo City Local Development Council’s Executive Committee issued a resolution on Oct. 19, 2023 urging the Department of Transportation to privatize, repair and improve the commercial port.
It said the accessibility of a locality to domestic and international transportation and logistics is an essential factor in the expansion and development of local trade, commerce and tourism and for which related transportation and infrastructure are of utmost importance.
It said PPP is widely adopted by national government agencies and local government units and have proven to be an affordable and practical method in establishing and operating infrastructure projects.
“The privatization of the Iloilo City international port through a public-private partnership is deemed as the most expeditious and efficient course of action to expand, improve and develop the said seaport with minimal to no financial burden upon the government, which said financial constrains would otherwise pose as a hindrance to the development of the same,” the LDC said.
The LDC already endorsed ICTSI’s unsolicited proposal to the National Economic Development Authority (NEDA) for the development, operation and maintenance of the Iloilo Commercial Port Complex (ICPC) through Resolution No. 1 Series of 2021, but it has not progressed into a favorable action or result to date.
Trenas, as chairman of the Infrastructure Development Committee (IDC) of the Regional Development Council (RDC), asked PPA general manager Jay Daniel Santiago through a letter dated Sept. 5, 2023 to prioritize fund allocation for the development of the Iloilo City International Port.
The Iloilo City international port recorded for the Western Visayas the highest economic growth rate among all regions at 9.3 percent which exceeds the national average of 7.2 percent.
The LDC said Iloilo City registered an up-scaled economic growth since 2021 thus the need for the improvement of its facilities to accommodate an increased number of container ships and international sea vessels.