The Philippine Ports Authority (PPA) will privatize the Port of Cagayan de Oro and four other major ports in the next five years, starting this year.
The other four were identified as the ports of Davao, General Santos, Zamboanga and Iloilo.
“We intend to privatize and modernize at least one of this port yearly starting next year and within the next five years. PPA will pursue the full modernization of the Ports of Davao, Cagayan de Oro, General Santos, Zamboanga and Iloilo, while at the same time, attend to the development of smaller but strategic ports in various parts of the country,” PPA general manager Juan Sta. Ana said.
Cargoes handled in Mindanao area includes products such as bananas, pineapples, tuna, agricultural, marine, and other perishable products. They handle bulk of the passengers as well.
Cagayan de Oro has an average of 3.3 mmt cargo volume annually
PPA has allocated capital expenditures for the privatization program.
“We will continue to give priority to the private sector financing channeled through such program considering the enormity of resource requirements to be able to adequately meet the urgent need for the development and delivery of services of these major ports,” Sta. Ana said.
PPA invested a total of P23.915 billion in the last 8 years or about P2.989 billion yearly for the port development.
As of the end September, 33 major infrastructure projects with an estimated cost of P1.53 billion were completed.
portions of article byGenivi Factao of Malaya Business Insight; flickr photo by triple_gunz