Construction work of the freight service component of a P50-billion rail project between Clark and Subic is set to start early next year, according to Joshua Bingcang, senior vice president of the Bases Conversion and Development Authority (BCDA).
The project is part of the P50-billion Subic-Clark Railway being undertaken by BCDA in partnership with the Department of Transportation.
Bingcang said this is also part of the Luzon Integrated Railway but will start off with a freight service.
“This infrastructure will ensure transportation costs for products including manufacturing and electronics will be maintained at competitive or advantageous rates,” Bingcang said.
He said the government has awarded the civil works contract and the private consultancy contract for the project.
Bingcang said the government has acquired a substantial amount of right-of-way to ensure the contractor will start construction works early next year and will be able to launch their activities and proceed with the rail alignment of the project.
The Subic-Clark Railway Project is a 72-kilometer railway that will connect Subic Bay Freeport Zone and Clark Freeport Zone to support current industrial activities and the potential demand for freight services along the Subic-Clark corridor.
The project will cost P50.03 billion, of which P42.53 billion will be financed through official development assistance and P7.51 billion through local funds.
Completion is set in 2024. – Irma Isip
