BCDA open to selling SCTEX share for P20 billion

MANILA, Philippines — The government wants at least P20 billion from the Metro Pacific Tollways Corp. (MPTC) in the potential sale of its 50 percent stake in the Subic-Clark-Tarlac Expressway (SCTEX).

The Bases Conversion and Development Authority (BCDA) yesterday confirmed that MPTC has proposed to buy out the government’s portion in revenue sharing in SCTEX.

BCDA president and CEO Joshua Bingcang said the agency has received an offer in the range of P20 billion from MPTC for the SCTEX buyout, but the BCDA plans to ask for more to improve its financial standing and benefit state coffers.

Bingcang wants the sale to cover the remaining debt of the BCDA amounting to P20 billion with the Japan International Cooperation Agency (JICA). The BCDA borrowed from JICA to finance the construction of SCTEX, and it is paying that loan until now.

“From our end, in order for us to consider that proposal, our remaining balance of debt to JICA is around P20 billion. We want at least a minimum of that in order to be assured of our debt,“ Bingcang said on the sidelines of a forum organized by the Economic Journalists Association of the Philippines and BCDA.

In 2023, the BCDA received a revenue share of P2 billion from SCTEX, of which P1 billion was paid for debts and P1 billion was recorded as profit.

If the BCDA considers MPTC’s offer to buy out SCTEX, the agency hopes the final price will also include its projected returns from the tollway until the end of the concession period in 2043.

With this, Bingcang hinted that the BCDA may ask for as much as P40 billion from MPTC in its bid to gain full control of the revenue collection of SCTEX.

Bingcang said the BCDA would decide by June whether it will let go of its 50 percent stake in the revenue share of SCTEX. He also said the agency would only agree to any buyout at the right price.

The SCTEX stretches for about 95 kilometers starting from Tarlac City to Hermosa, Bataan, and it is linked to some of the most important infrastructure in Central Luzon, particularly the Clark International Airport, Clark Freeport Zone and Port of Subic.

The expressway is operated by MPTC through its subsidiary North Luzon Expressway Corp.