Philippine Infrastructure Summit: Breaking barriers, building dreams

MAP President Rogelio “Babes” Singson welcomed over 100 infrastructure sector investors and players as well as participants from the government and financial institutions to the Summit. National Economic and Development Authority Sec. Arsenio M. Balisacan and Department of Public Works and Highways (DPWH) Usec. Maria Catalina E. Cabral kicked off the event with keynote addresses on how the government is supporting PPPs.

Sec. Balisacan said, “The government is committed to laying the groundwork for achieving our country’s socioeconomic transformation” and emphasized that economic development should be inclusive. Usec. Cabral affirmed the government’s commitment towards infrastructure and discussed the DPWH’s major strategic programs and roadmap for the next six years that include the Metro Cebu Expressway and Luzon Spine Expressway Network.

Afterwards, PPP Deputy Executive Director Eleazar E. Ricote moderated the discussion with panelists MAP Infrastructure Committee Chair Eduardo H. Yap, Move As One Coalition Co-Convenor Robert Y. Siy, Jr., and Asian Development Bank Director Siddhartha Bhaskar Shah. They emphasized that infrastructure developments should promote inclusive growth and cater to the needs of the Filipino people.

Edward Clayton, Deals Partner for Capital Projects & Infrastructure at PwC Malaysia and PwC Vietnam, was the resource speaker for the first technical session. He spoke on financing Southeast Asian infrastructure in turbulent times of growth, highlighting both the challenges and opportunities in infrastructure development.

He said, “Compared to more developed economies, most Southeast Asian countries are currently in the infrastructure-intensive development phase where demand for infrastructure is envisaged to increase significantly. The Philippines needs to strengthen the actual legal framework and develop to diversify financial tools.” He then talked about new ways of infrastructure financing such as green financing and greater diversification of the government revenue sources.

Isla Lipana & Co./PwC Philippines Deals and Corporate Finance Managing Partner Mary Jade T. Roxas-Divinagracia moderated the panel discussion between Development Bank of the Philippines First Vice President and Head of Corporate Finance Group Francis Nicolas Chua, PPP Center of the Philippines Former Executive Director Ferdinand Pecson, International Finance Corporation Senior Investment Officer Lulu Baclagon, and Mr. Clayton. They talked about how the government can further optimize the PPP financing scheme, the challenges of asset backed securities, how the country can leverage on financing from pension funds and insurance companies, and the best practices in Asia that the Philippines can adapt in financing projects.

Metro Pacific Tollways Corporation (MPTC) President and Chief Executive Officer Rodrigo E. Franco led the second session. He first discussed the infrastructure projects of MPTC and some of their future plans and investments. His session also focused on the challenges from the private sector as he discussed issues with right of way, local regulatory environment, and return on investments. Aside from the challenges, Mr. Franco also shared success stories from MPTC’s PPP projects. He said, “We think and we’ve seen that the PPP scheme works in the toll road sector. There are some challenges and problems but we think this can be managed with all the stakeholders working together.”

Cosette V. Canilao, President & Chief Executive Officer of Aboitiz InfraCapital, also served as a resource speaker for the session. In her pre-recorded message, she said “PPP is a complex manner to deliver public infrastructure with too many stakeholders and players. However if prepared and structured properly whether through solicited bids or unsolicited proposals, it can deliver value to money and better infrastructure and public services in a timely manner.”

The final technical session focused on Legal and Regulatory Issues in Public Private Partnerships. Ma. Cynthia C. Hernandez, Executive Director of the PPP Center of the Philippines led the session and discussed the recently amended Build-Operate-Transfer (BOT) Law Implementing Rules and Regulations (IRR) and the proposed PPP Act.

Afterwards, PwC Philippines Chairman Emeritus and ESG Leader Atty. Alexander B. Cabrera moderated a panel discussion between Puyat Jacinto & Santos Law Partner Atty. Miguel L. Mendoza, Public Private Partnership Law Professor and Political Law Reviewer Atty. Alberto C. Agra, Citadel Pacific Ltd. Group Chief Business Development and External Relations Officer Atty. Mia Mary Sebastian, PwC Philippines Tax Partner Atty. Brando C. Cabalsi and Ms. Hernandez. They discussed the regulatory landscape in the implementation of PPP projects.

To cap off the event, PwC Philippines Chairman Emeritus and ESG Leader Atty. Alexander B. Cabrera delivered the closing remarks and thanked all the speakers and participants.

The Summit is a platform to gather industry regulators, players and experts to discuss the future of the country’s infrastructure sector.