China has identified the entities that will pursue the P2.7-billion Chico River irrigation project to its full completion, according to the Department of Finance (DOF).
Beijing has similarly identified the Chinese companies that will push the Kaliwa Dam project and help bring water to Metro Manila from nearby Rizal province.
According to Finance Secretary Carlos G. Dominguez III, the first batch of projects under Chinese financing include the Chico River Pump Irrigation Project in Cagayan and Kalinga provinces, as well as the New Centennial Water Source-Kaliwa Dam Project in Rizal province.
The governments of the Philippines and China previously agreed to a “tied-loan” funding scheme in which China will submit candidate bidders to the government in exchange for its financial support.
“For the Kaliwa dam, its China Energy Engineering Co. Ltd., PowerChina Ltd., Consortium of Guangdong Foreign Construction Co. Ltd. and Guangdong Yuantian Engineering Co. Ltd.,” Dominguez told financial reporters.
Dominguez said the National Irrigation Administration (NIA) and the Metropolitan Waterworks and Sewerage System (MWSS) are conducting due diligence among the six recommended Chinese companies.
“For the Chico River [project], it’s going to be China CAMC Engineering Co. Ltd., China Geo-Engineering Corp. and Qingdao Municipal Construction Group Co. Ltd.,” he added.
Dominguez said once the Chinese companies or contractors were found qualified, legitimate and in good standing, NIA and MWSS will immediately commence the procurement process and undertake limited competitive bidding among the mentioned Chinese companies and contractors following applicable procedures and documents under Republic Act 9184, or the Government Procurement Reform Law.
Earlier, officials estimated prospective loans from China could hit P140 billion.
In October 2016 Chinese President Xi Jin Ping pledged more or less $9 billion in loan commitments for the Philippines in the form of official development assistance, as well as commercial loans.
Manila and Beijing cited progress on two bridge projects funded by China, which include the Binondo-Intramuros Bridge and the Estrella-Pantaleon Bridge. The Binondo-Intramuros bridge will cost P4.6 billion, while the Estrella-Pantaleon Bridge will cost another P1.36 billion.
The two are among the 12 bridges that the government is planning to span the Pasig river.
Public Works Secretary Mark A. Villar and other concerned agencies are undertaking the necessary preparations to meet the target of holding the groundbreaking rites for the bridge projects by November in time for the visit to Manila of Chinese Premier Li Keqiang to attend the 20th Asean-China Summit.