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AWARDED ppp PROJECTS As of november 2020 Republic of the Philippines Public-Private Partnership Center 8th Floor, One Cyberpod Centris EDSA cor. Quezon Ave., Quezon City 1100 (+632) 8709-4146 For more information, please visit: www.ppp.gov.ph For inquiries, e-mail us: [email protected] Or follow our social media accounts: PPPCenter.Philippines @PPP_Ph PPPPinas Public-Private Partnership Center of the Philippines PRINTED NOVEMBER 2020 Table of Contents 3 AmBisyon Natin 2040 and Build, Build, Build 4 PPP Concept 4 PPP Process 5 Legal Framework 6 The PPP Center of the Philippines 7 The PPP Program 8 Awarded PPP Projects 46 Doing Business in the Philippines Ambisyon Natin 2040 AmBisyon Natin 2040 represents the collective long-term vision and aspirations of the Filipino people for themselves and for the country in the next 25 years. It describes the kind of life the Filipinos want to live, and how the country will be by 2040. As such, it is an anchor for development planning across at least four administrations. By 2040, Filipinos will enjoy a strongly rooted, comfortable, and secure life. In 2040, we will all enjoy a stable and comfortable lifestyle, secure in the ​knowledge that we have enough for our daily needs and unexpected expenses, and that we can plan and prepare for our own and our children’s future. Our family lives together in a place of our own, and we have the freedom to go where we desire, protected and enabled by a clean, efficient, and fair government. build, build, build Infrastructure is among the top priorities of the government, with public spending on infrastructure projects targeted to reach Php 8-9 trillion from 2017 to 2022. On April 19, 2017, the government launched the Build, Build, Build portal (www.build.gov.ph), which lists down high impact projects, including PPPs, that are envisioned to increase the productive capacity of the economy, create jobs, increase incomes, and strengthen the investment climate leading to sustained inclusive growth. 43 PPp concept Public-Private Partnership (PPP) can be broadly defined as a contractual agreement between the government and a private firm targeted toward financing, designing, implementing, and operating infrastructure facilities and services that are traditionally provided by the public sector. It embodies optimal risk allocation between the parties—minimizing cost while realizing project developmental objectives. The project is also structured in such a way that the private sector gets a reasonable rate of return on its investment. ppp process DEVELOPMENT STAGE • Project preparation (feasibility study and market sounding activity) • Finalization of project structure APPROVAL STAGE • Project submission to relevant approving bodies • Project assessment and appraisal • Project approval by appropriate approving bodies (local development councils, Investment Coordination Committee, NEDA Board) PROCUREMENT STAGE • Pre-qualification (advertisement of Invitation to Pre-qualify and Bid, pre- qualification conference, submission of pre-qualification documents) • Bid proper (pre-bid conference, bid submission, bid opening and evaluation) • Award and contract signing with the private sector partner IMPLEMENTATION STAGE • Financial close • Implementation (preparation of Detailed Engineering Design, construction, and commissioning) • Turnover of facility/infrastructure back to the government 4 LEGAL FRAMEWORK Republic Act (R.A.) No. 6957 “An Act Authorizing the Financing, Construction, Operation and Maintenance of Infrastructure Projects by the Private Sector and for Other Purposes” As Amended by R.A. No. 7718 The Amended Build-Operate-Transfer (BOT) Law and its Implementing Rules and Regulations (IRR) seek to identify specific incentives, support and undertakings, financial or otherwise, that may be granted to Project Proponents, provide a climate of minimum government regulations, allow reasonable returns on investments made by Project Proponents, provide procedures that will assure transparency and competitiveness in the bidding and award of projects, ensure that Contractual Arrangements reflect appropriate sharing of risks between the government and the Project Proponent, assure close coordination between national government and local government units (LGUs), and ensure strict compliance by the government and the Project Proponent of their respective obligations and undertakings and the monitoring thereof, in connection with or relative to Private Sector Infrastructure or Development Projects to be undertaken under the Amended BOT Law and its Revised IRR. 2013 NEDA Joint Venture (JV) Guidelines Executive Order No. 423, s. 2005 • Section 8 provides that “the NEDA, in consultation with the Government Procurement Policy Board (GPPB), shall issue guidelines regarding joint venture agreements (JVA) with the private entities with the objective of promoting transparency, competitiveness and accountability in government transactions, and, where applicable, complying with the requirements of an open and competitive public bidding.” • These Guidelines are applicable to government-owned and/or controlled corporations (GOCCs), government corporate entities (GCEs), government instrumentalities with corporate powers (GICPs), government financial institutions (GFIs), and state universities and colleges (SUCs). Local Government PPP Code/JV Ordinance • The Local Government Code (R.A. 7160) allows LGUs to enter into JV and other cooperative arrangements. • Department of the Interior and Local Government (DILG) issued Memorandum Circular (MC) No. 2016-120 or the Guidelines for the Implementation of Public-Private Partnership for the People Initiative for Local Governments (LGU P4). The MC encourages LGUs to adopt an LGU P4 Code where one of the suggested modalities is JV. On December 10, 2019, the Supplemental Guidelines for the Implementation of Public-Private Partnership for the People Initiative for Local Governments (LGU 5 THE PUBLIC-PRIVATE PARTNERSHIP CENTER OF THE PHILIPPINES By virtue of Executive Order No. 8, series of 2010, as amended by Executive Order No. 136, series of 2013, the PPP Center is mandated to facilitate the implementation of the country’s PPP Program and projects. The PPP Center is the main driver of the PPP Program. It serves as the central coordinating and monitoring agency for all PPP projects in the Philippines. It champions the country’s PPP Program by enabling implementing agencies in all aspects of project preparation, managing the Project Development and Monitoring Facility (PDMF), providing project advisory and facilitation services, monitoring implementation of awarded projects, and empowering agencies through various capacity building activities. It provides technical assistance to national government agencies (NGAs), government- owned-and-controlled corporations (GOCCs), government financial institutions (GFIs), state universities and colleges (SUCs), and local government units (LGUs) to help develop and implement critical infrastructure and other development projects. The Center also advocates policy reforms to improve the legal and regulatory frameworks governing PPPs in order to maximize the potential of these infrastructure and development projects in the country. Through Executive Order No. 136, the PPP Center shall act as the Secretariat of the PPP Governing Board. The Board is the overall policy-making body for all PPP-related matters, including the PDMF. It is responsible for setting the strategic direction of the Philippine PPP Program and creating an enabling policy and institutional environment for PPPs. 6 The PHILIPPINE PPP PROGRAM The 1987 Constitution explicitly acknowledges the critical role that the private sector plays in the development agenda of the country. The government envisions the implemention of infrastructure projects to generate significant employment opportunities, boost economic activities, and attain inclusive growth. In response, the Duterte Administration aims to address the infrastructure requirements of the Philippines by accelerating the country’s annual infrastructure spending to account for 7% of the gross domestic product, with public-private partnership (PPPs) playing a key role. Guided by the principles of transparency, accountability, and good governance, the PPP Program engages the private sector as vital partners who can bankroll critical infrastructure projects that will deliver much needed services for its growing populace. Under the hallmark of good governance, the Philippine government assures that the private sector will be able to do business in an environment that nurtures fair and transparent transactions. The government ensures that the interests of both the private sector and its citizens are balanced, where policies and procedures are continually enhanced. The robust pipeline of PPP projects is a product of the government’s continuing efforts to deliver viable and well-structured infrastructure projects that will attract investors to bring their business to the Philippines. 7 completed & operational projects Muntinlupa-Cavite Expressway (mcx)/ Daang Hari-SLEX Link Road Project The Daang Hari–South Luzon Expressway (SLEX) Link Road Project, or what is now called the Muntinlupa-Cavite Expressway (MCX), is a 4-km, 4-lane toll road, beginning from the junction of Daang Reyna and Daang Hari in Las Piñas/Bacoor, Cavite, to SLEX through the Susana Heights Interchange in Muntinlupa, traversing the New Bilibid Prison Reservation. The link-road uses the Susana Heights Interchange as exit and entry from

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