International Container Terminal Services Inc. offered to develop two ports in Iloilo province for over P5 billion.
ICTSI said in a statement it submitted a letter of intent to the Philippine Ports Authority to modernize, manage and operate the Iloilo Port Complex and the Port of Dumangas.
“We truly believe in the growth potential of the Visayas in general and of Iloilo in particular. That growth is anchored on the building of infrastructure and the delivery of basic utilities and services. With the development of port superstructure and the cost-efficient delivery of electric services, we hope to be able to help Iloilo in attaining its full potential,” ICTSI chairman and president Enrique Razon Jr. said.
The company said the offer was in line with its thrust to assist the port authority in its goal to upgrade the Philippine port network and facilitate inter-island and international cargo movement.
ICTSI said it was expecting to arrive at an agreement with the PPA that would be compliant with the agency’s rules and regulations and applicable laws.
ICTSI said it planned to bring to the Iloilo ports its know-how in managing ports honed from its 30 years of experience across the 30 ports that it operates worldwide.
It said that over the life of the concession to be agreed on with the PPA, it would invest more than P5 billion to fully develop the Iloilo Port Complex.
An integral part of the investment will include the dredging and deepening of the port itself and the channel to allow the direct entry of new generation, international vessels.
New port equipment to be brought in during the first phase was estimated to cost P1.35 billion, including modern quayside crane handling equipment.
ICTSI also offered to substantially invest in the development of the Port of Dumangas to seamlessly handle the spillover from the city port.
“ICTSI believes that the ports’ development will not only improve efficiency but will, more importantly, evolve the ports into becoming the Philippines’ Visayas hub that will improve connectivity for cargo movement within the country. Our vision is to ultimately turn these two ports into international gateways,” ICTSI global corporate head Christian Gonzalez said.
ICTSI said it would introduce new systems in operations, engineering, and administration. The introduction of automation will also further promote efficiency and security, it said.