DOTr says talks about transport projects with China will restart

The Department of Transportation (DOTr) said Sunday that it has agreed with the Chinese Embassy in Manila to restart negotiations for major transportation projects in the country.

Transport Secretary Jaime Bautista and Chinese Ambassador Huang Xilian had their first meeting on Thursday, August 11, the DOTr said.

“The two officials discussed resumption of talks for the major China-funded railway projects such as the PNR South Long Haul Project (North-South Commuter Railway), Subic-Clark Railway and Mindanao Railway (Tagum-Davao-Digos),” the department wrote on Facebook.

Earlier, Transportation Undersecretary for Railways Cesar Chavez said the Chinese government did not act on the Duterte administration’s request for loan financing for three major railway projects, therefore these were considered withdrawn and have to be renegotiated by the present government.

Chavez said that the Duterte administration’s National Economic and Development Authority (NEDA) Board approved the three railway projects to be funded by official development assistance (ODA) loans from China.

However, the negotiations that began in 2018 failed to prosper because China did not act on the Philippine government’s requests for funding.

Also, Chavez said that President Bongbong Marcos ordered them to renegotiate the loan agreements for the three railway projects, noting that as a matter of policy, the government should encourage more investments in railways.

The Chinese Embassy earlier said that it has been negotiating infrastructure project "technical issues" with the Philippines, stressing that it has made "positive progress to move the projects forward."

Other projects

Meanwhile, the DOTr and the Embassy also tackled China-Philippines Maritime Cooperation Projects during the meeting.

Among these projects are the hotline communication and legal affairs cooperation arrangements between the Philippine Coast Guard (PCG) and the China Coast Guard; possible collaboration on Maritime Traffic Safety, Ferry Safety; a Memorandum of Understanding (MOU) on Maritime Search and Rescue; and the capacity building for maritime governance, safety supervision, and vessels safety inspection.

“The Chinese government’s funding support for these projects will serve to strengthen bilateral relations and enhance the partnership between the Philippines and China,” the department said. —LBG, GMA News