Philippines advances Agus-Pulangi rehab, flood control extension and Samal bridge fixes

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PH advances key infrastructure

Highlights

Agus-Pulangi Hydropower Complex rehabilitation aims to restore capacity to 1,001.96 MW and annual output to 4,305 GWh, with a proposed P4/kWh tariff cap pending ERC approval.
Metro Manila Flood Management Project Phase 1 pumping station completion deadline extended to May 31, 2027 for seven remaining stations, without increasing project scope or cost.
Project BALAY dormitories for five state universities each cost P165.6 million, with government upfront payments of 30% or 10% and annual payments starting 2028 at 3% interest.

Project pipeline and implementation timetable

As reported by BusinessWorld Online, citing the Presidential Communications Office, the Economy and Development Council reviewed plans covering the rehabilitation of Mindanao’s Agus-Pulangi Hydropower Complex, the extension of works on Metro Manila flood control projects and implementation issues tied to the Samal Island-Davao City Connector.

The proposed Agus-Pulangi rehabilitation would restore generating capacity to 1,001.96 megawatts from existing levels and raise annual power output to 4,305 gigawatt-hours from 3,746 gigawatt-hours. The administration says the project is intended to support a more reliable electricity supply for households and businesses in Mindanao.

The project will be carried out through a proposed 25-year partnership between Power Sector Assets and Liabilities Management Corp. and a consortium of San Miguel Global Power Holdings Corp. and Sta. Clara International Corp. The agreement could be extended for another 25 years, subject to government approval, while the proposed tariff is capped at P4 per kilowatt-hour pending Energy Regulatory Commission approval.

PSALM has received three unsolicited proposals for the project, with two still under evaluation. The government is targeting the selection of a private partner by December, and rehabilitation works are expected to begin in 2027.

Regional infrastructure and financing impact

The council also reviewed a proposal to move the completion deadline for seven remaining pumping stations under Phase 1 of the Metro Manila Flood Management Project to May 31, 2027. These stations are part of the original target of 38 facilities under the flood control program, and the PCO says the extension would be the second and final one without changing the approved project scope or cost.

President Ferdinand R. Marcos, Jr. has also directed the Department of Public Works and Highways to resolve funding and implementation issues affecting the Samal Island-Davao City Connector, a 3.98-kilometer, four-lane cable-stayed bridge linking Davao City and Samal Island.

Separately, the council reviewed Project BALAY, a pilot housing initiative for five state universities and colleges in partnership with the Commission on Higher Education and the Pag-IBIG Fund. Each dormitory is estimated to cost P165.6 million, with the government providing either a 30% or 10% upfront payment and Pag-IBIG financing the balance.

Annual government payments starting in 2028 would reach P61.56 million under the 30% option and P82.58 million under the 10% option over nine years at a 3% interest rate. The PCO says the dormitory project still needs presidential approval, concurrence from the Monetary Board and a forward obligational authority from the Department of Budget and Management.

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