The Metro Pacific Investments Corp. (MPIC) may finally be awarded the critically important connector road linking North Luzon with its southern counterpart even in the absence of a so-called special purpose company (SPC) considered important in pursuing public-sector infrastructure projects, according to the Department of Finance (DOF).
This was learned on Wednesday from Finance Secretary Carlos G. Dominguez III who said the Department of Public Works and Highways (DPWH) may award the North Luzon Expressway (Nlex) to the South Luzon Expressway (Slex).
According to Dominguez, the DPWH may already award the project to MPIC should the agency wish to do so.
It was noted that an issuance of an award notice from the DPWH has not yet been delivered to MPIC, even though it was the only company that made a bid for the project.
“My understanding is that they can award it. If they wish,” Dominguez said.
The delay in awarding the project was traced to a condition requiring the winning bidder to create a SPC that will distinguish the assets of the project builders from those of the winning consortium or bidder, or MPIC in this case. The SPC requirement was mandated by the DOF under then-President Benigno S. Aquino III.
Dominguez said the creation of an SPC for the project was originally intended to distinguish, which assets belonged to whom so that identifying them should not be a problem should anything goes wrong in the development of the project.
“It’s just more convenient for us so that if anything goes wrong it can be very easy to identify the assets involved,” according to Dominguez.
The Nlex to Slex connector road is an 8-kilometer toll road seen to cut travel time from 15 to 20 minutes from Caloocan City to Santa Mesa, Manila, which usual takes at least two hours. Once finished, a toll fee of P87 will be charged on motor vehicles.
The project is estimated to cost P15.74 billion.