By Arjay L. Balinbin, Senior Reporter
THE CONSTRUCTION of a new international container port in Consolacion, Cebu is targeted to begin in January, the Transportation department said.
The P10-billion New Cebu International Container Port will handle all-foreign containerized cargo to complement the Cebu Baseport.
“Construction/civil works (are) targeted to start in January 2022,” according to a document from the Department of Transportation (DoTr) obtained by BusinessWorld.
The project is expected to be completed by the fourth quarter of 2024.
In January this year, the DoTr sought potential bidders for the civil works contract of the port project.
“The works to be performed by the contractor under this contract comprise, but (are) not limited to, detailed engineering design and construction of berthing facilities, revetment for reclamation, dredging and reclamation, road, bridge, water supply and drainage, electric installation, architectural facilities, and electronic communication facilities,” the department said in its invitation for pre-qualification.
The project, according to the Finance department, has an estimated overall cost of P10.1 billion.
In 2018, Finance Secretary Carlos G. Dominguez III signed a $172.64-million loan agreement with the Export Import Bank of Korea for the construction of the new container port in Cebu.
The government will provide P1.4 billion or $26.09 million for the port project, which “aims to free up the existing seaport in the province and provide a more efficient and reliable transport infrastructure for the unimpeded flow of goods and services in the Visayas,” the Finance department said in a statement on its website.
“It will include a berthing facility with a 500-meter quay wall length that can simultaneously accommodate two 2,000 TEU (Twenty-foot Equivalent Unit) vessels; operating facilities and structures for containers such as a freight station and inspection shed; an access road and bridge; and a dredged waterway and turning basin,” it said.
The loan carries a preferential interest rate of 0.15% per year for non-consulting services and 0% for consulting services. The maturity period is 40 years, inclusive of a 10-year grace period.
On March 9, 2020, the Transportation department signed a consulting services contract with the joint venture of South Korea’s Yooshin Engineering Corp., Sekwang Engineering Consultants Co. Ltd., and Korea Engineering Consultants Corp. in association with SVTI.
Under the contract, the consulting services will be financed out of the proceeds of the loan and should not exceed $5.44 million.