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Too many projects on Megawide’s plate

By: Inquirer March 14,2014 - 09:42 AM

Lawmakers are worried over Megawide Construction Corp.’s virtual domination of public-private partnership program (PPP) after cornering four of the six projects that the Aquino administration implemented.

Rep. Rodrigo Abellanosa of Cebu City’s south district said Megawide itself had sounded off its problems of meeting the deadline to complete one of its projects — the construction of 7,000 classrooms in Regions 3 and 4A.

The project was supposed to be completed in February and Megawide asked for an extension up to December 2014.
“We are worried that if it (Megawide) could not build simple classrooms on time, what more a complicated project like the Mactan Cebu International airport terminal project?” Abellanosa said.

Kabataan party-list Rep. Terry Ridon told members of the House committee on transport that Megawide could be “stretching” itself too thinly by taking on too many projects, which he feared could lead to project delays or sub-par construction.

Abellanosa and Ridon said Megawide should also bare its financial and logistical capacity in undertaking four PPP projects.

Abellanosa said Cebu lawmakers asked authorities to be more prudent in awarding the Mactan airport contract to a capable builder because any delays or shortcomings would have an adverse impact on the island province’s economy.

Financial capability

Ridon said that Megawide should show its financial capability to bankroll these projects. “Otherwise, it could be acting as a front for other bidders,” said Ridon.
In last Wednesday’s hearing of the congressional transportation committee, Abellanosa said he also wanted to be clarified how Megawide was able to “reap” three of the six major PPP projects of the national government.

Transportation Undersecretary Jose Jose Lotilla, head of the DOTC  Pre-Qualification Bids and Awards Committee (PBAC) said the winning bidder of the MCIA expansion project will be known before the end of the month.

Lotilla said they are also reviewing the complaint against Megawide Construction Corp. and Bangalore-based GMR Infrastructure. Ltd., the highest bidder of the airport expansion project filed by Filinvest Development Corp. and Singapore’s Changi Airport Group, Inquirer

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