Mitsubishi, Hitachi eye monorail project in Phl

MANILA, Philippines - The Bases Conversion and Development Authority (BCDA) said a consortium composed of Japanese giants Mitsubishi Corp. and Hitachi has shown interest on their proposed monorail project connecting the Ninoy Aquino International Airport (NAIA) Terminal III to the Makati and Bonifacio Global City (BGC) central business districts.

Felicito “Tong” Payumo Jr., BCDA chairman, said the Japanese consortium is looking at the Japan International Cooperation Agency (JICA) for possible funding of a feasibility study they will undertake for the proposed Makati-Taguig-Pasay Monorail Alignment project.

“The conceptual study is already done. It will be used to apply for the funding of the feasibility with JICA,” Payumo said yesterday in a press conference with top BCDA officials at the Marriot Hotel in the Newport City complex in Pasay City.

BCDA will celebrate today its 20th anniversary. On March 13, 1992, Republic Act 7227 otherwise known as the Bases Conversion and Development Act of 1992 was signed into law by then President Corazon C. Aquino. Its mandate was to transform former US military bases into alternative productive civilian use.

Payumo said the two Japanese conglomerates have expressed their interest on the project with the BCDA last year when the officials were in Japan during the state visit there by President Aquino.

Payumo expressed enthusiasm over the monorail project, saying it was expected to hasten the development of the BCDA development lands especially in the Bonifacio Global City, along with that of the Newport City complex and even that of the Ayala CBD in Makati City.

In the BCDA concept plan, phase 1 of the monorail project, estimated to cost from P20 to P25 billion, covers the construction of an elevated monorail line from the NAIA Terminal III to the Guadalupe station of the EDSA-bound Metro Rail Transit (MRT) that will pass through the rapidly developing Bonifacio Global City, and the McKinley Hill business districts.

The Bonifacio Global City is being developed by the BCDA under their joint venture with the Ayalas via the Fort Bonifacio Development Corp. (FBDC). The McKinkey Hill Village, is also a BCDA property being developed under a joint venture with tycoon Andrew Tan’s Megaworld Corporation.

Phase 2 of the project could include the extension of the monorail from the NAIA Terminal III to the NAIA Terminal I and the LRT Line station in Taft Avenue, Pasay.

“This is dependent on the feasibility study to be undertaken by whoever JICA will choose to prepare the feasibility study,” Dean Santiago, BCDA vice president for business development, said in the conference.

Lawyer Arnel Casanova, BCDA president and chief executive officer, said they were happy with the interest of the two prestigious Japanese firms on the project, noting that Mitsubishi was known to have strong financial muscle, while Hitachi was known to have expertise on Monorail technology.

“Hitachi is he leading company on monorail technology,” Casanova noted.

Casanova said they expect the feasibility study to take eight to 10 months. Once done, the BCDA can search for financing for the project.

Options include having the project bid out as a public-private partnership (PPP), making it a fully government-funded project or sourcing overseas development assistance loans.

He said that because of its foreseen benefits to millions of Filipinos in Metro Manila, the new monorail system can become one of the highlight projects of the Aquino administration.

Payumo said the monorail will be a beautiful and environmentally-friendly rail transport system that will interconnect the LRT and MRT lines as well as boost accessibility of the Bonifacio Global City and the McKinley Hill Village district, right up to the NAIA Terminal III.

“We’re very optimistic on the viability of this project. Right now, Taguig suffers from (a lack of) accessibility,” Payumo said.

Payumo noted that they expect minimal right of way problems since the Monorail will pass through mostly BCDA-owned lands.

“Most of the area to be traversed by the Monorial is within the BCDA’s properties. I believe that 80 percent of the right of way is within BCDA lands,” Payumo said.