Metro Pacific Investments Corp. (MPIC) and Harbour Center Port Terminals plan to embark on a five-year capital expenditure program costing up to P6 billion to redevelop the Manila North Harbor, one of the country’s oldest but busiest domestic ports.
In an interview, MPIC chairman Manuel Pangilinan said there is a need to redevelop the Manila North Harbor to make it viable.
He pointed out that the harbor is heavily silted and needs to be dredged. In addition, there may be a need to undertake reclamation to expand the area, Pangilinan, who is the managing director and CEO of MPIC’s Hong Kong-based parent First Pacific Co., said he sees a bright future for the Manila North Harbor once redeveloped. “It can be a hub for mineral shipments, for one.”
Last Nov. 20, MPIC, Harbour Center and Philippine Ports Authority (PPA) officials signed a compromise agreement to finally put an end to a court battle delaying the privatization of the Manila North Harbor.
The agreement was then submitted to the court for approval, which is necessary for the withdrawal of the case earlier filed by MPIC and Harbour Center against PPA for the latter’s refusal to award the contract for the management and operation of North Harbor to the consortium, the lone bidder.
MPIC owns 50 percent of the joint venture with the other half owned by the Reghis Romero-owned Harbour Center.
Once the contract is finally awarded, Harbour Centre will become the country’s largest terminal operator by volume.
The North Harbor currently accounts for more than half of the country’s total domestic port business. Its proposed Terminal 1 will service roll on-roll off container and passenger vessels, Terminal 2 will service container and passenger vessel, while Terminal 3 will be allotted to conventional, non-containerized, bulk or break-bulk vessels and passenger vessels.
The port business is one of the sectors identified by MPIC as new engines for growth alongside tollways, water, healthcare and eventually mining.