MPTC readies P60B as toll road projects continue

Font Size

CAPITAL expenditure for 2020 has been fully funded via project financing and equity from parent firm. — BW FILE PHOTO

METRO PACIFIC Tollways Corp. (MPTC) is setting aside P60 billion for this year’s capital expenditure (capex) as the toll road operator continues with the implementation of expressway projects, its finance chief said.

“It’s (capex) fully funded already via project financing. The equity portion comes from our parent company Metro Pacific Investments Corp. (MPIC),” MPTC Chief Financial Officer Christopher Daniel C. Lizo told reporters last week when asked about the funding source.

He said this year’s budget, which is three times higher than the P20 billion spent in 2019, will be used to fund the Cebu-Cordova Link Expressway (CCLEx), Cavite-Laguna Expressway (CALAx), C5 South Link of the Manila-Cavite Expressway (CAVITEx), and North Luzon Expressway-South Luzon Expressway (NLEx-SLEx) Connector Road.

MPTC had planned to earmark P45 billion for 2019, but Mr. Lizo said there were delays in the acquisition of rights of way (ROWs).

He noted that the company had spent only “P20 billion plus” for the toll road projects last year.

He said the company is hoping all ROWs will be delivered on time this year.

Mr. Lizo said further that the company had fully acquired the ROWs for CCLEx, 80% for C5 South Link of the Manila-Cavite Expressway (CAVITEx), 60% to 70% for NLEx-SLEx Connector Road, and 100% for CALAx.

May kaunting delay last year (There was a slight delay last year). As you know, only three of eight subsections of CALAx have been opened,” he said.

He added that the Department of Public Works and Highways had assured him that all ROWs would be acquired within the first half of 2020.

“Then construction works will go full blast,” he said.

MPTC is the tollways unit of MPIC, one of the three key Philippine units of Hong Kong-based First Pacific Co. Ltd., the others being Philex Mining Corp. and PLDT, Inc.

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has a majority stake in BusinessWorld through the Philippine Star Group, which it controls. — Arjay L. Balinbin