The Philippine Competition Commission announced that it had approved a new joint venture for a reclamation project in Manila Bay between the city government of Manila and another private partner. The PCC Mergers and Acquisitions Office found no significant lessening of competition from the formation of a joint venture between JBros Construction Corp. and the city government of Manila for the “Manila Horizon” Reclamation Project, similar to the recent approval of Manila Waterfront City. “The transaction is a new area of investment formed for the creation of a residential and commercial real estate development project. This will expand the existing market and likely create an opportunity for the emergence of new markets for commercial and residential real estate within the City of Manila,” the anti-trust body said. There were no impacted consumers or business operation in the relevant regional market, according to the commission. Horizon Manila is a 419-hectare raw-land reclamation and construction project situated south of the Manila-Pasay boundary and east of Roxas Boulevard on the foreshore and offshore areas of Manila Bay. The aim of the project is to create jobs and business opportunities in Manila. JBros Construction is a general and large-scale construction company that has worked on notable projects such as the GSIS building and the National Museum of History. JBros Construction will add money and experience as part of the proposal. Manila, a densely populated metropolis, will contribute access to local waters on which the plant will be built. To build the proposal, the parties formed a contractual joint venture with the purpose of sharing gains, costs, and losses. The resulting unincorporated joint venture would be ruled by a 50/50 split, with Manila getting 51 per cent and JBros Construction getting 49 per cent. Only companies and businesses whose acquisition value meets the thresholds set out in the Philippine Competition Act, such as the Manila Horizon, are subject to PCC merger approval clearance. The PCC's approval is limited to the effects on competition in the affected areas' industrial and residential real estate construction sectors. The said joint venture is the PCC's 212th deal, and the third for reclamation projects, following the approval of joint ventures between Manila Waterfront City and City of Manila and Pasay Harbor City and Pasay City. The PCA requires the PCC, as the country's antitrust regulator, to investigate mergers, acquisitions, and joint ventures of companies in all industries.

Building and construction activity remains poor due to low demand, as shown by a nearly 50% decrease in the value of building works in the fourth quarter of 2020. According to the Philippine Statistics Authority's Construction Statistics from Approved Building Permits, the total value of constructions fell nearly 47% to P63 billion in the fourth quarter of 2020, down from P118 billion in 2019. In addition, the figure was lower than the P67.7 billion recorded in the third quarter of 2020. This is despite the fact that the number of building projects fell to 31,026 in the fourth quarter of 2020, down from 39,242 in the same quarter of 2019. Despite the economy's gradual reopening since last year, demand for construction has yet to resume because workers' capacity remains restricted. Residential construction projects accounted for 71 per cent of all constructions during the time, with 21,892 overall. This form of building, the majority of which were single-family homes, shrank by 20% each year. In addition, the value of residential construction fell by 41% to P32.6 billion. Non-residential projects, mostly commercial structures, have decreased by 29%. At that time, it accounted for 15% of all constructions. During that time, the value of non-residential constructions fell by 53.3 per cent to P26 billion. The rest were changes to existing buildings, such as extensions, alterations, and repairs. Calabarzon continued to have the most construction activity, with 6,368 constructions accounting for 21% of the total. Ilocos and Central Luzon came in second and last, respectively. However, the National Capital Region, with P13.6 billion in revenue, accounted for 22% of the total.

D.M. CONSUNJI, Inc. (DMCI) has begun construction on the P10.5 billion Caloocan-Malabon-Navotas water reclamation facility project. The construction company said in a statement that the plant would be able to handle 205 million litres of wastewater every day and will be operational by the third quarter of 2024. The multi-billion-peso water reclamation plant, according to DMCI, will be the country's largest, with 1.2 million households in south Caloocan, Malabon, and Navotas projected to benefit from it. “This is an enormous undertaking because it involves expanding the capacity of a 40-year old facility by over 600%,” DMCI President and Chief Executive Officer Jorge A. Consunji said.  The water reclamation facility is one of Maynilad's large-scale, multi-year capital investment programs, according to DMCI. The Dagat-Dagatan sewage treatment plant in Caloocan City will be rehabilitated and expanded as part of the initiative. The plant was built in the 1980s and has a daily wastewater capacity of 26 million litres. When the project reaches its peak in the first quarter of 2023, DMCI plans to employ about 1,000 direct and indirect employees. “This facility also represents two milestones for DMCI. Aside from being our largest wastewater project, to date, it is our first partnership with JFE Engineering Corp. of Japan,” Consunji said. JFE Holdings' engineering division, JFE Engineering, was ranked in the Fortune Global 500 list in 2020. Caloocan, Pasay, Paraaque, Las Pias, Muntinlupa, Valenzuela, Navotas, Malabon, Manila, Makati, and Quezon City, as well as parts of Cavite province such as Bacoor, Imus, Kawit, Noveleta, and Rosario, receive water from Maynilad. Maynilad is one of three Philippine units of Hong Kong-based First Pacific Co. Ltd., the others being Philex Mining Corp. and PLDT, Inc. Metro Pacific Investments Corp., which owns a majority stake in Maynilad, is one of three Philippine units of Hong Kong-based First Pacific Co. Ltd., the others being Philex Mining Corp. and PLDT, Inc.

  MPCALA Holdings, Inc. said that a 7.2-kilometre portion of the Cavite-Laguna Expressway (CALAX) between the Santa Rosa-Tagaytay Road Interchange and the Silang East Interchange could open by the third quarter of this year. At an online briefing on Thursday, MPCALA President and General Manager Roberto V. Bontia announced that the latest chapter, known as Subsection 5, is scheduled to be finished third quarter this year.  Subsection 5 is part of the 45-kilometre CALAX expressway that runs from Kawit, Cavite to Mamplasan Interchange in Bian, Laguna, and is currently 83 per cent complete. “As soon as the right of way is handed over to us, we will double our construction efforts to avoid any unnecessary delay,” Bontia said. Subsection 5 was inspected by Public Works and Highways Secretary Mark A. Villar and MPCALA Holdings executives on Thursday. Villar said, “As travel restrictions are slowly but surely being lifted, this new subsection of CALAX will help accelerate economic progress in Laguna and Cavite by providing interconnection between the two provinces of Region 4-A. This segment is crucial since it is expected to serve almost 5,000 cars per day, and will ease traffic along Governor’s Drive, Aguinaldo Highway, and Sta. Rosa-Tagaytay Road once opened.” Villar also mentioned that obtaining the right of way has been difficult for the company and the Department of Public Works and Highways. “We are giving our full effort to deliver and eventually open with as little deviation to the original timeline as possible,” he said.  CALAX's first segments, which are currently operational, run from Mamplasan in Laguna to Santa Rosa. According to Villar, the operating segments service about 10,000 vehicles a day. “We target to finish the whole… stretch of CALAX and serve 50,000 cars before 2022 ends,” he said. The project is divided into eight sections: Kawit to Open Canal (section 1), Open Canal to Governor's Drive (section 2), Governor's Drive to Silang (section 3), Silang to Silang East (section 4), Silang East to Santa Rosa (section 5) and Santa Rosa to Mamplasan (section 6). (subsections 6, 7, & 8). The P35.43 billion project is expected to minimize travel time between the Manila-Cavite Expressway and the South Luzon Expressway from 2.5 hours to 45 minutes when fully operational. MPCALA Holdings is a subsidiary of Metro Pacific Tollways Corp., which is one of three main Philippine units of Hong Kong-based First Pacific Co. Ltd., the others being Philex Mining Corp. and PLDT, Inc.

The firm that manages the operations and maintenance of Clark International Airport, Luzon International Premier Airport Development (LIPAD) Corp., plans to open the airport's new passenger terminal building to commercial domestic flights in July with "contactless passenger solutions," according to its top official. “It will open by July for domestic operations,” LIPAD Chief Executive Officer Bi Yong S. Chungunco said.  She stated that the interior design of the building is well underway. LIPAD intends to enforce a "silent airport scheme," with the aim of making the airport the "quietest" in the Philippines. This ensures that boarding and departure calls will no longer be made unless there is an emergency. In a statement, the firm said, “Travelers will rely on posted updates for quick reference. Passengers will be more at ease with the options that have no face-to-face interaction. Among these are the common-use self-service kiosks (CUSS) and the self-service bag drops. Travellers can check-in at these kiosks, shared by other airlines and that are without the need for ground staff.” Chungunco said the interior design of the new passenger terminal building would be "deeply intuitive," as the company strives to offer passengers a sense of familiarity. “For travellers to be fully relaxed and at ease, the processes must not be confusing. Travellers of all kinds have varying backgrounds and such a design allows for each traveller to have that feeling of being guided through the process through the interplay of finer details, even with the protocols for safe distancing and all necessary measures to ensure passenger safety in a pandemic,” LIPAD said. Megawide Construction Corp. and GMR Infrastructure Ltd. constructed the new terminal building, which can handle 8 million passengers a year. Clark airport currently has a passenger capacity of 4.2 million per year. The old passenger terminal building, according to Chungunco, could be turned into a vaccination centre.

Philippine Infradev Holdings Inc. announced that it had signed new agreements for the funding and acquisition of lots for the $3.7 billion Makati City Subway Project. In a filing with the stock exchange, Philippine Infradev said Makati City Subway Inc. had signed a term sheet agreement with Richer Today Inc. (RTI) to create a joint venture company that would finance and acquire lots in and around Manila. RTI agreed to release at least P775.885 million within 120 days of signing the term sheet, with at least P234.73 million to be released within 10 days of signing, according to the group. “Station 5 has been identified as the main construction site where the tunnel boring machines will be assembled and lowered,” Philippine Infradev said. According to the company, the first group of engineers from its Chinese contractor had arrived and were finalizing construction plans. The 10-station train system runs for ten kilometres and makes stops at strategic locations in Makati. Meanwhile, the company announced that it had reached an agreement with Hong Kong Binjiang Industrial Limited to mutually terminate MSCI's share purchase agreement. “It has been almost 1 year since the transactions contemplated in the agreement were submitted to the Philippine Competition Commission for approval, and to date, the same is still pending review,” the company said. “The effectivity of the transactions contemplated in the agreement, specifically the release of funds earmarked by HK Binjiang, was conditioned on the PCC’s approval of the transactions.” In February 2020, MSCI signed an investment agreement with HK Binjiang which will gain a 35-per cent direct interest in MCSI under the terms of the agreement by purchasing 15 million common shares for $30 million, payable within 10 business days of the agreement's effective date. For $72 million, HK Binjiang will purchase 36 million primary common shares of MCSI. The proposed 10-kilometre subway project will connect key locations in Makati, including Ayala Avenue's central business district, Makati City Hall, the Poblacion Heritage Site, the University of Makati, the Ospital ng Makati, and other new neighbourhoods. By 2024 or 2025, the project is expected to be finished.

To meet their target start of operations, the Department of Transportation (DOTr) has fast-tracked the construction of Philippine National Railways (PNR) Clark Phases 1 and 2. Running from Tutuban in Manila to Malolos, the 38-kilometre PNR Clark Phase 1 is the first part of the North-South Commuter Railway (NSCR). The overall rate is at 43 per cent with an 11.78 per cent construction phase rate as of the end of January. Once finished, the expected travel time will now be 30 to 35 minutes from the original 1 hour with passengers at 330,000 daily.  “This will be partially operable by the fourth quarter of 2021 and full operations in the second quarter of 2024,” PNR general manager Junn Magno said. Meanwhile, as of the end of January, the 53-km PNR Clark Phase 2 from Malolos to Clark in Pampanga has an overall progress rate of 27.79 per cent. Once completed, travel time between Bulacan and Pampanga will be cut to 30 minutes or 35 minutes from the original 1 hour. It can also bring 150,000 people daily. The second segment may be partially operational by the second quarter of 2023, while fully operational by the third quarter of 2024.  PNR Calamba, a 56-km line that runs from Solis, Manila to Calamba, Laguna, is the last segment and is expected to cut travel time from three hours to just one hour.

The 11 big railway infrastructure projects of the Duterte administration has caused the Department of Transportation (DOTr) to triple its capital expenditure from P90.756 billion in 2021 to P278.3 billion in 2022.  Among these projects include the P9.5 billion LRT-2 East (Masinag) Extension, the P22 billion MRT-3 Rehabilitation, the P3 billion Common Station, the P65 billion LRT-1 Cavite Extension, the P68.2 billion MRT-7, the P50 billion Philippine National Railways (PNR) Clark Phase 1, key facilities of the P357 billion Metro Manila Subway Project, and the P82 billion Mindanao Rail Project. Some of the recent developments: construction of the PNR Clark Phase 1 from Tutuban to Malolos in Bulacan has a 43 per cent overall progress; MRT-3’s full rehabilitation will be completed this December; LRT-1 Cavite Extension Project Package will be fully operational fourth quarter this year; the LRT-2 East (Masinag) Extension Project, from Marikina Station to Antipolo Station, will be inaugurated on April 26, 2021, and will start partial operations the next day; the Mindanao Railway Project Phase 1, the Tagum-Davao-Digos Segment will be partially operable in March 2022; MRT-7 will be partially operational in December 2021 and fully operational in December 2022. Meanwhile, tunnel boring for the 1st Metro Manila subway will commence in the third quarter of 2021.  The annual direct economic cost of congestion in Metro Manila amounts to P1.277 trillion, which made the current administration allocate P7 to P8 trillion for infrastructure projects, much more than the total state investments in the sector for the past two decades. 

According to the Department of Transportation (DOTr), a total of P741.4 billion of capital expenditures (capex) is going to be used for the development of multiple railway projects in Luzon and Mindanao. Timothy John Batan, the transport undersecretary for railways, said that the government is allocating this budget for at least 11 railway projects to decongest Metro Manila, moving the country to progress. Among some of these railway projects include: LRT-1 Cavite Extension - P65 billionLRT-2 East Extension - P9.5 billionLRT-2 West Extension - P10.1 billionMRT-3 Rehabilitation - P30 billionMRT-4 - P49.8 billionMRT-7 - P68.2 billionMetro Manila Subway - P357 billionCommon Station - P2.95 billionNorth-South Commuter Railway - P777.6 billionSubic-Clark Railway - P50 billionPNR Bicol / South Long Haul - P175.3 billionMindanao Railway - P81.7 billionBatan added that from 77 kilometres in 2016, the railway network will soon expand to 1,209 km by 2025, comparable to the 170.2 km rail network of Jakarta, Seoul's 490 km, Tokyo's 700 km, and Shanghai's 690 km.Aside from the funding from the government, the available funds will also come from the official development assistance (ODA) loans from Japan International Cooperation Agency, Asian Development Bank, the Chinese government, and from the public-private partnership (PPP) scheme, Batan said."We really need mass public transport. And trains or railways are the most efficient form of mass public transport with the highest capacity. That is why we are pushing for the funding of these projects even through loans," Batan said.He noted that ODA loans are offered to the Philippines for as low as 0.1 per cent per annum, 40 years to pay, with 12 years grace period for payment.He hopes that this railway project will decongest and replace thousands of jeepneys and cars on the road.

The civil works of the new Cebu international container port will start during the second half of 2021.This was revealed during the online 160th Maritime Forum of the Maritime League, Engr. Romel Pagarom, acting manager of CPA’s Planning and Monitoring Division, said that the groundbreaking of the NCICP is scheduled for August 16.The cost of the project is $118 million (roughly P5.9 billion) with around 35 months or approximately 3 years to build it, he said. But of course, there have been a few delays to the project. The National Economic and Development Authority (NEDA) in 2016 gave CPA, with the Department of Transportation (DOTr) as its lead implementing agency, the clearance to pursue the project. The construction of the project was supposed to start in 2018 but was pushed back to November 2020. Pagarom also added that they face several issues before proceeding with the civil works - Road-Right-Of-Way (RROW) acquisition which will connect the international port to the main road in Barangay Tayud (the MOA has already been drafted), and the need to work on the working visa of the South Korean consultants. Around P132 million is expected to be downloaded to Consolacion’s coffers if the agreement’s implementation would finally push through.“MOA was forwarded by Legal Service to the Office of the Secretary on January 20, 2021, for Sec. (Arthur) Tugade’s approval prior transfer of funds to the LGU of Consolacion. Thus, the PMU (Project Management Unit) will closely monitor the approval of the MOA and preparation of request for fund transfer of P132 million to LGU Consolacion,” said Pagarom.For the working visa of the consultants, project proponents will be sending out a reiteration letter to the Department of Foreign Affairs (DFA). Last January 20, 2020, DOTr issued the notice of award for the US$5.4-million consultancy services for the NCICP project to South Korea-based Yooshin Engineering Corporation.Some of the features of this new facility include a berthing facility with a 500-meter long quay wall that can host two 2,000 twenty-foot equivalent unit (TEU) vessels at the same time; operating facilities and structures for containers; a bridge and an access road; and a dredged waterway and turning basin.This will soon serve international cargoes and the current CIP will be transformed into a domestic port to address the decongestion problems.

The construction of the new segments of the P15-billion Cavitex C-5 Link Expressway is underway, which may open to the public second quarter of 2022.According to Roberto V. Bontia, Cavitex Infrastructure Corporation (CIC) president and general manager, the company would "stick to the timeline as close as we can be" to open the new segments in 2022."We are doubling our efforts on the construction of Segment 2 and Segment 3A-2 this beginning of 2021," he said.With construction activities in full throttle, CIC said that the C5 Link Expressway is composed of Segments 2 and 3. Segment 2 is a 1.9-kilometre, 2x3 lane expressway from Cavitex (R1) Expressway to a proposed interchange at Sucat Segment 3A-2. The interchange is a sub-section of Segment 3 and is a 1.6-kilometre, 2x3 lane expressway from Merville to RSG Subdivision in Parañaque.When opened, this expressway can host up to 500,000 motorists a day, and also cut travel time from 1 hour to 10 minutes. With the construction, however, motorists may experience heavy traffic along that path. “There will definitely be an effect on the passage of our motorists in the construction areas," Bontia said. "We are working together with our [joint venture] partner the Philippine Reclamation Authority and the PEATC (PEA Tollway Corporation) on the implementation of the traffic management activities at Cavitex R1 segment," he added.

With many infrastructure projects ongoing, the construction industry is set to make a comeback this year. According to the Philippine Constructors Association (PCA) President Wilfredo Decena, the construction companies can contribute greatly to the recovery of the economy after going down 26% last year, bringing the national gross domestic product (GDP) to a steep 9.5% year-on-year drop. Recently, Fifth Solutions increased its growth forecast for the construction industry to 9.5% this year, near the 10% growth pre-pandemic. Decena said that what would contribute to the growth of the economy is timely spending on infrastructure, in spite of the private construction investments, with the national government allocating P1.1 trillion of the P4.5 trillion national budget. In the PCA regular meeting, he said, “We are hearing of contractors, particularly the small and medium companies, being unable to close any projects at this time. Public investments need to fill the gap until investor confidence is restored.”Decena also added that contractors should immediately pay since they were already shouldering the costs of any COVID-issues.The PCA also said that they should rethink the supply chain conditions, and work on the spiralling costs of materials, as well as the possible entry of foreign contractors in the country - which would eventually displace Filipino contractors. “This is happening while other countries have taken steps to protect and support their local industry amid the global pandemic,” Decena said.PCA also said that it is further expanding its knowledge and skills program to address the challenges of a shortage of skilled labour and that its members should continue following safety protocols.

The Department of Transport has begun seeking bidders for the first package of the World Bank-funded Cebu Bus Rapid Transit (Cebu BRT) project.The department said in its website, “The P1.05-billion contract covers sidewalk improvement and construction of trunk lines, stations, and other appurtenances from “Capitol to Cebu South Bus Terminal, including urban realm enhancement (link to the port) along Osmeña Boulevard.”It added that the project should be completed in 240 days. The department will do the bidding through World Bank’s international competitive bidding procedures, and the firms should not have a conflict of interest, such that it is “providing goods, works, or non-consulting services resulting from or directly related to consulting services for the preparation or implementation of a project that is provided or were provided by any affiliate that directly or indirectly controls, is controlled by, or is under common control with that firm.”Considered to be a conflict of interest is its link with family or business relationships and when a firm “submits more than one bid, either individually or as a joint venture partner in another bid, except for permitted alternative bids.”“Any firm found to have a conflict of interest shall be ineligible for award of a contract,” the World Bank said.The department said that the bidding documents may be downloaded from its website and that firms should pay a non-refundable fee of $250 for the bidding documents not later than the submission of their bids.A pre-bid conference will be held on March 2.“All bids must be accompanied by a bid security in the amount and form indicated in the bidding documents,” it said.Meanwhile, the Department said regarding the Cebu BRT, expected to serve around 600,000 passengers each day, “The 13.2-kilometre bus rapid transit lane will traverse the South Road Properties (SRP) through Mambaling, up to IT Park, with 17 stations, two terminals, and one depot. Along with the BRT, there will be a 20.2-kilometre bus feeder system to run with mixed traffic, complemented with sidewalk bus stops/shelters along the following routes: Cebu IT Park-Talamban, Mambaling-Bulacao, and Talisay-SRP.”

The P30-billion Cebu-Cordova Link Expressway (CCLEx) is expected to be “substantially completed” this December, according to its developer.“CCLEx is expected to be substantially completed in December 2021,” Cebu Cordova Link Expressway Corp. (CCLEx) said in a statement posted on its official website. “As of January 2021, the overall engineering, procurement and construction (EPC) contract of CCLEx is at 68.21% while construction progress alone is at 59.68%.”A subsidiary company of Metro Pacific Tollways Corp., the tollways arm of Metro Pacific Investments Corporation (MPIC), CCLEx recently finished the two main bridge pylons that will link the city of Cebu to Cordova, in the south of Mactan Island. This was supposed to open in March last year.CCLEx President and General-Manager Allan G. Alfon said last year that they had to review the impact of the pandemic on the completion timeline.

According to the Department of Public Works and Highways (DPWH), a total of P1.23 billion has been allocated under the 2021 General Appropriations Act (GAA) for the feasibility studies of 82 infrastructure projects nationwide.DPWH Secretary Mark Villar said that these projects are undergoing preliminary and detailed engineering design, economic analysis, technical studies, and traffic impact assessment.“On top of thousands of ongoing projects under DPWH, 82 new high-impact projects are being studied so we can further improve road network across the country,” he said. “Timely studies are critical as they lay the foundation for the implementation of civil works phase.”Villar said that in Luzon, 33 proposed projects have already received government funding amounting to P36.9 million and P11 million for the Ilocos region. Meanwhile, the Cordillera Administrative Region has received PHP94.4 million for seven projects; four in Region 2 (Cagayan Valley) worth PHP37.5 million; four in Region 3 (Central Luzon) -- PHP60 million.Other funding for projects includes seven in Region 4-A (Calabarzon) -- PHP126.3 million; four in Region 4-B (Mimaropa) worth PHP68.6 million; five projects in Region 5 (Bicol) -- PHP47.1 million In the Visayas region, 19 projects composed of three in Region 6 costing PHP66.4 million; six in Region 7 (Central Visayas) costing PHP106.2 million; the 10 projects in Region 8 (Eastern Visayas) -- PHP108.9 million In Mindanao, 29 projects: Region 9 (Zamboanga Peninsula) - PHP71.4 million; 11 projects in Region 10 (Northern Mindanao) -- PHP160.4 million; four projects in Region 11 (Davao) costing PHP51.5 million; two projects in Region 12 (Soccsksargen) with PHP17.4 million’ and eight projects in Region 13 (Caraga).The Poblacion Sta. Maria-Malungon Road, an inter-regional road connecting Davao del Sur to Sarangani has also received study funding amounting to PHP17.4 million.