MTD Capital Bhd., Malaysia’s second-largest toll operator, is keen on a number of new toll roads on offer under the government’s Public-Private Partnership (PPP) Program, in particular, those connecting to its primary asset in the country, the South Luzon Expressway (Slex).
Isaac David, president of MTD unit South Luzon Tollway Corp. (SLTC), added that MTD would be open to partnering with other groups for a joint bidding effort.
Isaac said potential projects include the 4-kilometer Daang Hari-Slex link road, the 15.5-km Calamba-Los Baños Expressway, the 14.3-km Cala Expressway-Laguna side section, and the 50-km C-6 Expressway (Global City Link)-South section.
Of that list, only the Daang Hari Road is expected to be auctioned this year. The four projects have a combined value of almost P55 billion, based on data from the Department of Public Works and Highways’ web site.
“We are going to participate in the PPP, especially those connecting to the Slex,” David told the BusinessMirror in a phone interview. “These new roads will be directly connecting and feeding traffic to Slex. Operationally, it would give us an advantage.”
The plan, still subject to final approval by MTD’s board, reflects the Malaysian company’s continued interest in the Philippines, despite recent difficulties that involved raising of toll rates at Slex to help recoup its P13-billion investment to rehabilitate and improve the previously dilapidated expressway.
The full rate increase was implemented in April, after being set back almost one year due to court orders and foot-dragging by the toll regulator.
“We are bullish about the PPP,” David said. SLTC is a joint venture between Philippine National Construction Corp. (PNCC) and MTD Manila Expressways, a subsidiary of MTD Capital.
SLTC holds a 30-year concession to build, rehabilitate and operate Slex from Alabang to Santo Tomas, Batangas for 30 years.
As part of its agreement with the government, SLTC is a also looking to build a fourth toll road for Slex, which will be a new 55-km expressway connecting Santo Tomas to Lucena City in Quezon.
