ICTSI made the announcement after it received from the PPA a letter of acceptance for completeness, in accordance with the Revised Guidelines and Procedures for Entering into Joint Venture Agreements between the government and private entities (2013 NEDA JV Guidelines).
The PPA will now begin to evaluate the legal, financial and technical merits of ICTSI's proposal to modernise the Iloilo commercial port complex and the port of Dumangas within a maximum of 60 days.
"We are confident we will be able to assist the government upgrade the country's port network; and help Iloilo attain its full potential in facilitating connectivity for cargo movement," said ICTSI global corporate head Christian Gonzalez.
Once it receives the OPS, ICTSI's proposal will be turned over to the National Economic and Development Authority (NEDA) for evaluation. If it gains the approval of NEDA, the proposal will go through a Swiss challenge.
Over the life of the concession that will be agreed on with the PPA, ICTSI has estimated an investment of PHP8.7 billion (US$171.21 million) to fully develop the Iloilo port complex.
This includes dredging the channel to allow the direct entry of new generation, international vessels; and the purchase of modern quayside crane handling equipment estimated to cost PHP1.35 billion.
ICTSI is also offering to substantially invest in the development of the port of Dumangas in order to seamlessly handle the spill over from the city port.
"The Iloilo-Dumangas bid is ICTSI's first foray in the Visayas with the end goal of providing a national network of ports with ICTSI's brand of operational synergy that would further improve the country's supply chain and competitiveness in global trade," the company said.