The signing of the Memorandum of Agreement for the construction of the Lapu-Lapu Expressway was the highlight of the city’s 61st Charter Day celebration.
LAPU-LAPU CITY, Philippines — The Lapu-Lapu Government on Friday, June 17, 2022, has entered into an agreement with the Lapu-Lapu Expressway (LLEX) Corporation for the construction of the skyway project.
The memorandum of agreement (MOA) signing serves as the highlight of the city’s 61st Charter Day Anniversary celebration.
During the MOA signing, the city was represented by Mayor Junard “Ahong” Chan, while the LLEX Corp. was represented by its president, Manuel Gonzales.
The LLEX Corp. is a consortium between Premium Megastructure Inc. (PMI), MTD Philippines, and Ulticon Builders Inc.
The 4-lane skyway will connect the Cebu-Cordova Link Expressway (CCLEX) which ends in Barangay Gabi, Cordova to the Mactan-Cebu International Airport (MCIA) in Lapu-Lapu City.
It stretches 12 kilometers and will cost P24.8 billion.
However, the city will not spend anything on it because it is contracted through a Public-Private Partnership (PPP) and will have a share of its toll fees.
Based on the contract, in the first 15 years of its operation, the city will have a share of 1 percent of its gross toll; 1.5 percent share in 16-25 years; 2 percent share in 26-35 years; and 2.5 percent share during the extended period.
The skyway will be operated by LLEX Corp. for 35 years, but it can be renewed for another 15 years.
Aside from its share from toll fees, the City will also have shares from commercial spaces along the highway getting a 40 percent gross share of these commercial spaces.
Opposition councilors, who earlier turned down the project, are now supporting it. This surprises the mayor.
Last June 9, the opposition-dominated Lapu-Lapu City Council passed a resolution, in mass motion, approving the LLEX and authorizing Chan to sign an agreement on behalf of the city.
“Ma-realize na jud ng atong gipangandoy nga skyway, which is the first skyway outside Metro Manila,” Chan said. /rcg
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