g
Accelerating
     Private-Public Partnership (PPP)
       to Achieve Inclusive Growth
      Regional Economic Managers Briefing and Dialogue with
                  President
                  P id t Benigno
                            B i   S.
                                  S Aquino
                                     A i III
                        Marriott Hotel, Cebu City
                    Cayetano
                    C    t   W.
                             W Paderanga
                                P d        JJr.
                 Socioeconomic Planning Secretary
9/15/2010                                                     1
                                 Outline
            •   Economic Development Agenda
            •   PPP Development Strategies
            •   Executive Order No. 8
            •   Powers & Functions of PPP Center
            •   PPP Infrastructure Projects
                 Projects Ready for FY 2011
                 Projects for 2012 and beyond
            • Project Approval Process
9/15/2010                                          2
            Aquino
             q     Administration’s Economic
                 Development Agenda
• Aquino government’s
         government s national development objective: create
employment opportunities and reduce poverty
• The g
      government strategies
                       g    for inclusive g
                                          growth are:
       Attain a high and sustained economic growth by
        encouraging private sector participation
       Equalize
        E     li access to
                         t development
                            d    l      t opportunities
                                               t iti
       Implement social safety nets
9/15/2010                                                      3
            PPP Development Strategies
 • Focus on infrastructure support facilities for tourism,
   agriculture, social services, and growth centers
 • Provide
   P id incentives
            i      ti   tto stimulate
                             ti l t private
                                      i t resources
 • Ensure competition, fairness and transparency
 • Provide assistance in preparation of business case, pre-FS,
                                                           pre FS,
   full FS, detailed engineering, tender document, etc
 • Fast-track project approval process
 • Protect
   P t t public
              bli interest
                    i t    t
 • Create the PPP Center
9/15/2010                                                            4
                  Executive Order No. 8
      “Reorganizing and Renaming the Build-Operate and
        Transfer (BOT) Center to the Public-Private Partnership
        (PPP) Center of the Philippines and Transferring its
        Attachment from the Department of Trade and Industry to
        the National Economic and Development Authority and
        for other Purposes” (9 September 2010)
9/15/2010                                                         5
            Powers and Functions of the PPP Center
    • Assist Implementing Agencies (IAs) and Local Government
      Units (LGUs) in addressing the bottlenecks in PPP
      implementation;
    • Provide technical assistance to IAs/LGUs in PPP project
      preparation and development;
    • Recommend plans, policies and guidelines related to PPP
      implementation;
    • Manage and administer the Project Development and
      Monitoring Facility for the preparation of business case, pre-FS,
      FS;
    • Monitor and facilitate the PPP implementation;
    • Establish and manage a central PPP database system;
    • Recommend improvements in PPP processing; and
    • Prepare year-end reports to the President.
9/15/2010                                                         6
             PPP Infrastructure Projects
 • 2011 Rollout/Tender (Short list):10 projects
     Estimated investment requirement: Php127.8 billion
 • 2012 and beyond (Long list): 73 projects
     Competitive selection: 28 projects (Php263
                                         (Php263.55 billion)
     Indicative Power Projects (open for partnership with other
      private companies): 43 projects (Php 348.5 billion)
 • Total estimated PPP investment requirement: Php 739.78
   billion
9/15/2010                                                          7
                   Projects Ready for 2011
                        Project Title                         Estimated Cost
                                                               (Milli Php)
                                                               (Million Ph )
   MRT/LRT Expansion Project                                           70,000
   MRT Line 2 Phase 2 (Line 2 East Extension)                          11,299
   New Bohol Airport                                                    7,543
   Development of City Terminal for DMIA                      To be determined
   Privatization of Laguindingan Airport O & M                To be determined
   Puerto Princesa Airport                                              4,362
   NLEx-SLEx Link Expressway                                           21,000
   CALA Expressway
        E          - Manila
                     M il side
                            id section
                                  ti                                   10,500
                                                                       10 500
   Supply of Treated Bulk Water for Metro Manila              To be determined
   Daraga International Airport                                         3,075
                                           Indicative Total           127,779
9/15/2010                                                                      8
            Projects for 2012 and beyond
 The 28 PPP projects for competitive selection includes the
   following:
     airports,
     roads,
     rail,
     water supply,
              supply
     irrigation
     school buildings,
     health facilities,
     solid waste management services, and
     other
        th sociali l supportt projects.
                                 j t
9/15/2010                                                     9
                                 Project Approval Process
                     Process Flow                          Solicited (6 months)   Unsolicited (9 months)
Project Identification & Preparation
 Note: Agency/LGU prepares F/S & the contract including 
 all necessary documents and submits to the Approving
 all necessary documents and submits to the Approving 
 Body for approval. At this stage, tender documents are 
 also being prepared.
Approval by the Approving Body                                  1 month                 1 month
 (ICC, NEDA Board, Local Sanggunians)
Conduct of Public Bidding                                       5 months                8 months
      Advertisement/Invitation to Prequalify & to Bid               √                       √
      Issuance of Request for Proposal/Bid Preparation              √                       √
      ((i.e., Eligibility, Technical & Financial)
                 g      y                       )
       Preparation and Submission of Comparative                    X                       √
       Proposals
       Bid Submission and Evaluation                                √                       √
      Determination of the Winning Proponent                        X                       √
      Approval of Contract Award                                    √                       √
      Issuance of Notice of Award                                   √                       √
      Execution / Approval of Contract                              √                       √
      Issuance of Notice to Commence, Implementation                √                       √
      & Contract Implementation
   9/15/2010
                                                                                                     10
                          g
               Accelerating
     Private-Public Partnership (PPP)
       to Achieve Inclusive Growth
      Regional Economic Managers Briefing and Dialogue with
                  President
                  P id t Benigno
                            B i   S.
                                  S Aquino
                                     A i III
                        Marriott Hotel, Cebu City
                    Cayetano
                    C    t   W.
                             W Paderanga
                                P d        JJr.
                 Socioeconomic Planning Secretary
9/15/2010                                                     11