Razon firm drops P12 billion proposal to develop Iloilo Commercial Port Complex

Engr. Eduardo Goles and Enrique Razon Jr.

The International Container Terminal Services Inc. (ICTSI) of tycoon Enrique Razon Jr. has withdrawn early this year its unsolicited proposal to modernize the Loboc port in Iloilo City and Naluoyan port in Dumangas.

Engr. Eduardo P. Goles, Port Management Office (PMO) manager for Panay and Guimaras of the Philippine Ports Authority (PPA) told HilwayNews today that “the long process in the evaluation” by NEDA of the proposal has prompted ICTSI to abandon its original proponent status (OPS) on the project.

The PPA granted in August 2019 an OPS to ICTSI for the Loboc and Naluoyan port build-operate-transfer projects, which would have afforded ICTSI preferential treatment during a “Swiss challenge”.

Swiss challenge is a form of bidding where another competent firm may present a better offer to match the OPS holder’s terms.

PMO Manager Goles clarified however, that “the PPA is proceeding with the Loboc port upgrading project under the Port Terminal Management Regulatory Framework (PTMRF) where private contractors could join in the public bidding”.

He disclosed that the PMO in Iloilo City has submitted the pertinent papers to the PPA head office and could be out soon as the terms of reference (TOR) are finalized.

Under the PTMRF, investments are categorized into four tiers ranging from a fully privatized concession to a PPA managed port, depending on the investment requirements of a port terminal, Engr. Goles explained.

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