PPP, NIA to start market-sounding activity for P38 Billion irrigation projects

MANILA, Philippines — The Public-Private Partnership (PPP) Center and National Irrigation Administration (NIA) are set to start the market-sounding activity for three priority irrigation projects worth a total of P37.9 billion next week to gauge private sector interest.

In a project advisory, the PPP Center said a preliminary market sounding activity for the Upper Banaoang Irrigation Project, Ilocos-Norte-Ilocos Sur-Abra Irrigation Project (INISAIP), and Tumauini River Multipurpose Project (TRMP), will run from Sept.4 to 15.

“As part of the initial stages of project development, the PPP Center and NIA are conducting this preliminary market-sounding activity to solicit insights and feedback on the project terms from interested private sector investors,” the PPP Center said.

Through the market-sounding activity, the agencies want to ascertain the level of interest of the private sector to undertake the projects.

In addition, the market-sounding activity aims to gather feedback from potential project sponsors, contractors or operators and financiers.

It will also help identify potential issues or problems that may affect the viability of the projects.

Participants will be asked to accomplish a market-sounding questionnaire for their insights and feedback.

Upon submission of the accomplished questionnaire, interested firms may request one-on-one discussions with NIA and PPP Center project teams.

The PPP Center said the three projects “were identified as priority PPP projects to contribute to the expansion of and upgrading of infrastructure and modernization of agriculture and agribusiness.”

Last June, the NIA board of directors approved the development of the three priority irrigation projects for PPP.

Through the P6.6-billion Upper Banaoang Irrigation Project, the aim is to construct an impounding dam with Malapaao River in Abra as its water source.

With a potential service area of 5,000 hectares of agricultural land, the project is also designed to engage in fish culture and develop hydroelectric power projects.

Meanwhile, the P22.7 billion INISAIP II is intended to serve approximately 11,100 hectares of agricultural land with the Palsiguan River as the main source of irrigation water.

The project is intended to irrigate sub-areas of Ilocos Norte such as Nueva Era, Cura, Madupayas, Pinili, Badoc-Sinait and Batac-Paoay through a network of link canals.

As for the P8.6 billion TRMP, the aim is to expand the coverage of the existing Tumauini Irrigation System (TIS) to 32 barangays located in the municipalities of Tumauini, Cabagan, and the City of Ilagan, Isabela.

While the TIS was originally designed to potentially irrigate 6,100 hectares, only around  3,000 hectares are being served  at present due to insufficient water-river runoff, especially during the summer season.