BY GEROME DALIPE IV
ILOILO City – The city government is evaluating the unsolicited proposal of First Balfour Inc., the engineering and construction arm of Lopez Group, to finance, develop and operate a high-capacity bus (HCB) system using electric-powered buses.
The Public-Private Partnership (PPP) Center recently announced the unsolicited proposal of the First Balfour for a joint venture (JV) with the Iloilo City Government to develop the electric bus rapid transit (e-BRT) in the city estimated at P2.4-billion is undergoing “initial evaluation” by the city’s PPP committee.
The project involves three corridors spanning Diversion Road and Arevalo and Jaro districts using 16 electric-powered buses for each section.
Mayor Jerry Treñas had said they projected the project to start in the first quarter of 2025, while they have yet to finalize the terms for the Swedish-funded study.
The HCB system is an integrated solution supported by technology for operations monitoring and support, including vehicle performance monitoring and management, scheduling, and customer information intended to serve the riding public of Iloilo City.
The project intends to decrease carbon emissions and traffic congestion while promoting local tourism and generating new jobs.
The proposed rapid bus transport system will feature a fleet of electric buses and supporting infrastructure, potentially a bus rapid transit system.
The firm’s proposal aligns with the city’s long-term plan to shift to non-polluting electric vehicles and transform into a highly urbanized center.
First Balfour’s proposal also seeks to integrate into the city’s enhanced Local Public Transport Route Plan (LPTRP) to improve convenience and safety for the riding public.
Parties to the agreement will sign a contract and such the proposal will be subjected to a Swiss challenge, which allows other parties to match or provide a better proposal than the original proponent.
The Swedish government offered one million dollars for a feasibility study to extend the EBRT project to Metro Iloilo municipalities.
Under the PPP Code, the implementing agency shall consider significant issues and concerns in the project implementation.
These include the legal, technical, economic, financial, and commercial feasibility of the project, as well as value for money, climate resilience and sustainability; and social and environmental safeguards.
The development of such a project shall commence only after the conduct of stakeholder consultation, the law provides.
The implementing agency shall secure the approval of their respective city or town council and the local development councils.
The agency is also authorized to “identify, develop, assess, evaluate, approve, negotiate, award, and undertake” the public- partnership projects.
The approval by the National Economic Development Authority (NEDA) is necessary for the proposed project worth more than P15 billion./PN
