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MCA-P, Qingjian sign P2.5-billion road contract

THE Millennium Challenge Account-Philippines (MCA-P) recently signed a P2.5-billion civil-works contract with Qingjian Group Co. Ltd., a Chinese construction contracting company, for the rehabilitation of a 63.68-kilometer road in Eastern Samar, MCA-P Managing Director and Chief Executive Officer Marivic Añonuevo said.

The deal completes the four contract packages for the Secondary National Roads Development Project (SNRDP) funded by Millennium Challenge Corp. (MCC), a United States foreign aid agency. The project is being implemented in partnership with the Department of Public Works and Highways.

The civil-works contract, also known as Contract Package 2, is the biggest among all CPs in terms of value. Aside from road rehabilitation from Hinabangan to Sulat in Eastern Samar, the package also covers the rehabilitation of 20 bridges and the reconstruction of five others, construction of slope stability measures on landslide areas, construction of new drainage structures, and installation of road safety measures.

The project is scheduled to start next month and end in April 2016, or a total of 33 months.

Añonuevo said the contract signing was a milestone that “shows the commitment of MCC and MCA-P in showcasing SNRDP as an example of a government project with integrity and transparency from the planning stage to procurement until completion.”

Overall, the four CPs have a total project cost of P7.9 billion. CP3, the first contract to be signed amounting to P2.46 billion, was awarded to the joint venture of Qingjian and Mac Builders. It covers the rehabilitation of 64.58 kilometers of road from San Julian to Balangkayan in Eastern Samar and the rehabilitation or reconstruction of 17 bridges.

The second to be awarded was CP1, amounting to P808 million, for the rehabilitation of 16.36 kilometers of road from Buray to Tinani in Western Samar. The contract was awarded to the joint venture of DM Consunji Inc. and CM Pancho Construction Inc., the only all-Filipino partnership among all the packages.

CP4, from Llorente to Guian, costs P2.2 billion and was awarded to the joint venture of Hanjin Heavy Industries and Construction Co. Ltd. and Yakal Construction. In terms of length, this is the longest road project with 77.51 kilometers of road and the rehabilitation or reconstruction of 16 bridges.

All the three road packages are ahead of schedule, with CP1 completed by December 2012, way ahead of the target completion date of April 2013.

Clearing of roads to expand the existing road structure is also proceeding smoothly without any serious problems with the project-affected entities.

MCA-P is a Philippine entity responsible for managing the implementation of the $434-million grant (“Compact”) from the US government’s MCC.  The “compact” is focused on reducing poverty through economic growth by funding projects in tax administration reform, community-driven development and roads rehabilitation.

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