Olongapo SubicBay BatangGapo Newscenter

Thursday, November 17, 2005

Subic-clark-Tarlac work delay to result in P250M losses

By Albert B. Lacanlale

CITY OF SAN FERNANDO -- Government stands to lose P250 million from the delay in the construction of the Concepcion, Tarlac stretch of the Subic-Clark-Tarlac Expressway Project (SCTEP), an official of the Bases Conversion and Development Authority (BCDA) said Wednesday.

Antonio Rex Chan, BCDA executive vice president and SCTEP project director, said since Concepcion Mayor Noel Vilanueva ordered the suspension of SCTEP work in the town as of the first week of October, the BCDA has been losing P5 million everyday for "slippage fee".

Chan attended Wednesday's second meeting of the Regional Development Council of Central Luzon where he reported updates on the ongoing construction of the tollway that would link the economic zones to Pampanga and Olongapo.

Villanueva recently ordered heavy equipment from the Hazama Taisei-Nippon Steel Joint Venture (HTNS), the project contractor, and operations for the project in his turf stopped due to some concerns.

According to the mayor, the town officials were not consulted in the SCTEP design for Concepcion. He said several barangay roads have been closed, threatening to divide the whole town into two, illegal quarrying have been noted outside the allowed quarry sites, and some local fees and permits were not being paid.

In the agreement between the BCDA and Hazama, the two parties had been assigned separate concerns to work on to assure the smooth implementation of the project. Among the BCDA's tasks is to coordinate and get the cooperation of the concerned local government units on the project.

Any party who fails to comply with their tasks as agreed upon in their memorandum of agreement (MOA) is required to pay slippage fee to the other party. In this case, the BCDA is paying Hazama for the delay.

Chan said the work stoppage has already caused a setback of 2.9 percent in the project's over-all work accomplishment.

He said the BCDA has sought the assistance of the government in resolving the problem in Concepcion. This is to prevent the incurring by the state of undue damages in terms of lost time and resources.

He added that the state-owned firm is awaiting a copy of the Department of the Interior and Local Government (DILG) opinion on the legality of the Concepcion mayor's order. (Sun.Star Pampanga/Sunnex)

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