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Chapter 4 INFRASTRUCTURE DEVELOPMENT 4.0 INTRODUCTION Infrastructure facilities are vital to economic development. It supports agricultural production, commerce and trade, tourism and delivery of health services in the region. Infrastructure is an essential requirement to economic, social and production activities as it provides accessibility, mobility and efficiency to business transactions, marketing of goods, delivery of agricultural inputs and basic social services. As of 2005, a total of 17 major Official Development Assistance (ODA) funded programs/projects were implemented in Davao Region with an aggregate cost of P5,619.757 million. During the year, 4 ODA programs/projects with 20 components/sub components were completed. Total cost of completed projects amounts to P1,788.065 million. The completed ODA programs/projects are: a) Southern Mindanao Integrated Coastal Zone Management Project (SMICZMP) funded by the Japan Bank for International Cooperation (JBIC); Agrarian Reform Communities Development Project (ARCDP) funded by World Bank (WB); Agrarian Reform Communities Project (ARCP) funded by the Asian Development Bank (ADB); and Mindanao Rural Development Program (MRDP) funded by World Bank. Among the reported ODA-funded programs/projects implemented in Region XI, biggest fund source was provided by JBIC with 48.27 percent of the total ODA assistance followed by World Bank at 28.52 percent. A total of 33 nationally-funded projects costing ten million pesos and above amounting to P952.022 million were also carried out in 2005. Out of the 33 projects, 20 projects were completed in 2005 with an aggregate cost of P402.193 million. About 50 percent of the nationally-funded projects costing P10 million and above were construction and improvement of national roads and bridges implemented by the Department of Public Works and Highways (DPWH). These projects accounted for P474.5 million of the total investment. The implementation of infrastructure projects in the region was generally carried out smoothly except for some projects that encountered delays and/or suspension due to the problem on the acquisition of right-of-way (ROW), lack of logistics, equipment, construction supplies, and delayed releases of funds, among other problems. The Surigao- Davao Oriental Coastal Road, Mati-Manay Section incurred a negative slippage of 17.44 percent due to the inability of the contractor to adequately finance the daily operational requirements of the project’s implementation. The 6th ADB Road Project, Bridge Seismic Retrofitting Program (BSRP) was suspended pending the approval of the Variation Order by the DPWH while the expansion of New Corella Water District was temporarily suspended pending the resolution of the water rights problem on the identified water source. Only 33 one case related to peace and order was reported and considered a cause of the delay in project implementation during the year. 4.1 TRANSPORTATION NETWORK DEVELOPMENT 4.1.1 Land Transport 4.1.1.1 Roads and Bridges As of 2005, Davao Region’s total road network reached 14,567 kilometers attaining an increase of 3.1 percent over the 2004 level of 14,127.2 kilometers. Local roads comprised 89.9 percent while the rest were national roads. Davao del Sur had the longest road network accounting for 25.8 percent of the region’s total while Davao del Norte had the shortest with 13.1 percent (Table 4.1). The total length of bridges along the national roads spans 24,321.8 lineal meters. Concrete bridges accounted for 65.7 percent of the total length, steel bridges made up 18.7 percent, and bailey and timber bridges accounted for the remaining 15.5 percent. Table 4.1. TOTAL ROAD NETWORK By Category, by Province/City, Davao Region, 2005 (in kilometers) Category Province/City Total National Provincial City Municipal Barangay Compostela Valley 260.58 778.28 0.00 206.55 1,720.99 2,966.40 Davao del Norte 94.43 727.65 0.00 169.81 920.84 1,912.73 Davao Oriental 419.73 491.68 0.00 101.87 1,347.25 2,360.53 Davao del Sur 300.40 350.20 0.00 255.10 2,851.46 3,757.16 Davao City 259.86 0.00 641.49 0.00 884.20 1,785.55 Digos City 23.33 68.85 68.56 0.00 124.84 285.58 IGACOS 24.82 0.00 217.30 0.00 166.24 408.36 Panabo City 32.71 0.00 179.42 0.00 514.50 726.63 Tagum City 47.64 0.00 151.43 0.00 165.02 364.12 Davao Region 1,463.50 2,416.66 1,258.23 733.33 8,695.34 14,567.06 Sources: Department of Public Works and Highways Local Government Units As a result of the road construction, the region’s road density slightly increased from 0.73 kilometer per square kilometer of land area in 2004 to 0.76 kilometer in 2005. The pavement ratio for national roads was initially estimated at 58.8 percent. This is expected to increase to 63 percent with the completion of the various foreign-assisted and nationally-funded road projects. The completion of the initial section of the opening of the Talaingod-Bukidnon road increases the potential of the road’s influence of areas for agricultural production. The rehabilitation/improvement of Monkayo-Tagum Road Section under the Philippine-Japan Friendship Highway Rehabilitation Project funded by the JBIC which was started in 2004; the improvement of Surigao-Davao Oriental Coastal Road, Mati-Manay Section and the improvement of Malalag-Malita Section under the National Roads Improvement and Management Project (NRIMP-1), are expected to improve mobility and access in trade between Davao Region and Caraga Region and Davao Region and Region XII, respectively. 34 Under the President’s Bridge Program (PBP), seven (7) steel bridges more were installed that replaced the old and dilapidated bailey and timber bridges. These were distributed as follows: Davao del Norte, 3 bridges; Davao del Sur, 1 bridge; Davao City, 2 bridges; and Compostela Valley, 1 bridge. The installation of these bridges provided access of rich agricultural production areas to the market centers. 4.1.1.2 Vehicle Registration The total number of motor vehicles registered in Region XI in 2005 reached 189,621, indicating a 7.9 percent growth over the 2004 figure of 175,694. This growth, however, was way lower than the previous year’s growth rate of 16.8 percent. Registration renewals comprised 79.9 percent of the total registration. New registration declined by 2.6 percent from the previous year’s figure of 39,138. Private vehicles accounted for 98.7 percent of the total. The newly registered vehicles “for hire,” likewise decreased from 144 in 2004 to 100 in 2005. The reduction of “for hire” vehicles could be attributed to the continuous increase in the prices of fuel and vehicle spare parts. Around 57 percent (109,142) of motor vehicles registered were motorcycles while 35 percent (67,146) were cars and jeeps. Trucks/buses and trailers totaled 12,068 and 1,265, respectively. Davao City recorded the highest number of registered vehicles, accounting for 47 percent (90,008) of the total. This figure was higher by 0.52 percent than the 2004 registration of 89,540. The region’s motor vehicle density was approximately 13 vehicles per kilometer of road, one vehicle higher than the 2004 figure of 12 vehicles per kilometer of road. The continuing Increase in motor vehicle density will eventually result to traffic congestion, as already experienced in major urban centers of the Region such as the cities of Davao, Tagum and Digos, if no additional routes will be opened. 4.1.1.3 Licensing The total number of licenses issued in 2005 reached 150,045. This figure is 7.7 percent higher than the 2004 licenses issued of 139,214. Efficiency in processing of licenses through complete automation is the primary factor that encouraged prospective drivers to avail of licenses. 4.1.2 Sea Transport Sasa Port in Davao City is the main base port in the region. It serves both domestic and foreign vessels and handles the bulk of passengers and cargo shipments in the region. Two other public ports that also handle domestic shipping operations are located in Malalag, Davao del Sur and Mati, Davao Oriental. However, operations in these ports are very minimal since they are rarely visited by ships due to inadequate and underdeveloped facilities. The volume of cargoes handled for both domestic and foreign vessels at the Sasa Port increased from 7,818,298 million metric tons in 2004 to 8,084,716 million metric tons in 2005. The total passengers handled likewise increased from 2,180,682 in 2004 to 35 2,986,246 in 2005. The increase in the number of sea transport passengers could be attributed to the continuous improvement of the port facilities which made the handling of services efficient. The prohibitive cost of air fare and the comparatively lower cargo handling costs favored the use of the sea transport, especially for low income earners. Total ship calls at the Sasa Port during the year reached 27,893. Table 4.2 shows the shipping, cargo and passenger statistics in Region XI for CY 2004-2005. Table 4.2. SHIPPING, CARGO AND PASSENGER STATISTICS Davao Region, 2004-2005 Particulars 2004 2005 Shipcalls 26,563 27,893 Domestic 25,010 26,196 Foreign 1,553 1,697 Cargo Throughput (MT) 7,818,298 8,084,716 Domestic 3,595,882 3,556,808 Foreign 4,222,416 4,527,908 Transit Cargo - - Passenger Traffic 2,180,682 2,986,246 Disembarking 1,090,621 2,000,266 Embarking 1,090,061 985,980 Source: Phil.