Carbon Market redevelopment project: Mayor backs JVA review

CEBU, Philippines — Cebu City Mayor Nestor Archival has expressed support for the City Council’s move to review the joint venture agreement (JVA) between the Cebu City Government and Megawide Corp. for the Carbon Market redevelopment project, even as councilors grappled with sub-judice concerns during yesterday’s session.

The discussion reflected efforts to balance possible legal risks with growing calls for accountability in the multibillion-peso deal.

Councilor Sisinio Andales, through a resolution, proposed the creation of an eight-member JVA Review Committee composed largely of neophyte councilors and members who were not part of the body that approved the agreement in 2021.

“If the council thinks nga kinahanglan, let’s do that,” Archival said during his regular press conference held for the first time at the PCO-Visayas Media Hub.

The proposed committee would conduct a comprehensive review of the 50-year contract, assess its social, cultural and economic impact, and recommend safeguards to protect public welfare while preserving the heritage value of the century-old public market.

Archival said City Hall would not create a separate body and would instead defer to the council’s authority on the matter.

“No. If there is that resolution and that resolution states that there will be a committee or a technical working group, we can do that. There’s no problem about that,” he said.

During the regular session, however, Councilor Joel Garganera urged caution, citing the sub-judice rule because of ongoing legal and contractual issues involving the project.

“Given that there is an ongoing legal and contractual issue surrounding this JVA, we must be mindful. Any statement or action from this body that may pre-empt, influence, or appear to interfere with matters pending before the courts may place this council in a difficult situation,” Garganera said.

He moved that the matter first be referred to the standing committees on Markets, Housing and Laws for study, coordination and recommendation.

After lengthy discussions and two recesses, Garganera reiterated his motion to amend Andales’ resolution by replacing the immediate creation of a special review body with committee referral. Andales later accepted the suggestion.

“Instead of immediately proceeding in plenary, we refer this matter to the appropriate committee and members, particularly the Committee on Markets, the Committee on Housing, and the Committee on Laws for proper study, coordination and recommendation,” Garganera said.

Councilor Alvin Arcilla then moved that the three committees open their schedules to all councilors.

Garganera also introduced a corollary motion recalling his March resolution to convene the Project Oversight Committee to monitor compliance with the JVA, address stakeholder concerns, and ensure vendor welfare.

Andales, meanwhile, requested the Commission on Audit’s Fraud Audit Office to determine whether the agreement is advantageous to the city.

Council members eventually reached a consensus that the JVA would undergo a layered review process.

The agreement, signed in 2021, grants Megawide and its subsidiary Cebu2World Development Inc. the rights to modernize and operate the Carbon Market District under a 50-year contract.

The redevelopment, targeted for completion in December 2026, aims to transform Carbon Market into a modern commercial and heritage hub.

While supporters cite its potential to spur economic growth and tourism, critics have raised concerns over vendor displacement, privatization of public space, and the erosion of cultural identity. — (FREEMAN)