BCDA seeks funding from JICA

MANILA, Philippines - State run Bases Conversion and Development Authority (BCDA) announced they are seeking funding from the Japan International Cooperation Agency (JICA) for the development of three feasibility studies for their flagship projects.

The three flagship projects on the BCDA drawing board are a monorail loop system in South Metro Manila, development of the Clark International Airport in Central Luzon, and a high-speed rail system connecting Metro Manila and Clark Special Economic Zone in Angeles, Pampanga.

The BCDA said the three projects, to be implemented through the public-private partnership model, are expected to be completed within President Aquino’s tenure, which ends in 2016, while the preparation of the feasibility study is expected to commence early next year to meet the target date of implementation by 2013. The bidding will start shortly upon completion of the feasibility study.

A four-man BCDA delegation met with JICA Deputy Director General Tanaka Yasushi at the sideline of President Aquino’s recent visit to Tokyo to seek the Japanese financing institution’s approval to fund the feasibility studies.

BCDA chairman Felicito C. Payumo and BCDA president and CEO Arnel Paciano D. Casanova who were part of the presidential entourage joined the initial talks with JICA Deputy Director General Tanaka.

The BCDA executives said JICA Deputy Director General Tanaka was “very receptive and supportive of our proposal,” indicating that a JICA grant to cover the cost of the feasibility studies is in the offing.

“I see it as a vote of confidence by the Japanese investment and financing community for BCDA’s projects to create growth engines that will spur national economic development,” Casanova said. He disclosed that they also met with representatives of three dominant Japanese contractors – Mitsubishi, Hitachi, and Marubeni – who offered to help launch a lobby to speed up JICA’s approval of the grant.

He pointed out, however, that the Japanese contractors’ assistance in the lobby efforts does not necessarily translate into special preferential treatment in the bidding process.

“There are no strings attached, there will be a level field, and all interested contractors are welcome to participate in the bidding,” Casanova said.

He also expressed belief that JICA’s warm response to BCDA’s propositions “apparently stemmed from our strong relations born out of JICA’s funding for the construction of the 93.7-kilometer Subic-Clark-Tarlac Expressway.”