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    SC allows government to
    impose toll on Coastal Road
     
    By Joel San Juan
    Reporter

    THE Supreme Court (SC) has issued a ruling affirming the decision of the Court of Appeals (CA) which nullified the writ of preliminary injunction issued by a lower court enjoining the government from collecting toll fees for the use of the Coastal Road that connects Metro Manila to Cavite.

    In effect, the ruling allows the government to impose toll fees on motorists passing along Coastal Road pending the lower court’s resolution on the petition filed by Ernesto Francisco, in his capacity as a taxpayer, seeking to nullify the Toll Operation Agreement (TOA) entered into by the Toll Regulatory Board (TRB) and Public Estates Authority (PEA) and UEM-Mara Philippines Corp. (UMPC).

    UMPC was incorporated by two Malaysian entities, United Engineers (Malaysia) Berhad (UEM) and Majlis Amanah Rakyat (Mara).

    The TOA was intended for the design, construction, operation and maintenance of the R-1 Expressway (Airport Road Junction to Zapote), the C-5 Link Expressway (link between the R-1 Expressway and South Luzon Expressway) and the R-1 Expressway Extension (Zapote to Noveleta, Cavite). All three expressways are components of the Manila-Cavite Toll Expressway Project (Mctep).

    In a 22-page decision penned by Associate Justice Renato Corona, the Court’s First Division held that the CA was correct in nullifying the writ of preliminary injunction issued on June 23, 1998, by Judge Teofilo Guadiz Jr. of the Regional Trial Court of Makati City, Branch 147.

    The SC noted there was no showing that the TRB and PEA abused their discretion in imposing and collecting the toll fees.

    The High Court agreed with the CA that the trial court does not have jurisdiction to issue any restraining order “in any case, dispute or controversy involving an infrastructure project,” as prescribed by Presidential Decree 1818. The provision is intended to prevent delays in the implementation of government projects since it disrupts economic development.

    The Court rejected Francisco’s claim that the Mtcep is not a government infrastructure since it had existed since the 1980s, predating PD 1818, and UMPC merely upgraded it.

    He had also asserted that since the project was financed by a foreign group, it does not “form part of the government capital investment.”

    But, the SC said, the CA correctly held that the Mctep is a government project, since the government, through, the TRB, is one of the contracting parties of the TOA. 

    “It is an infrastructure project because it involves the construction, design, operation and maintenance of the expressways. The collection of toll fees is an activity necessary for the execution, implementation or operation of this infrastructure project of the government,” the SC said.

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