Home Top News Davao, Panabo face RoW funding constraints for Mindanao Railway

Davao, Panabo face RoW funding constraints for Mindanao Railway

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JOHANNES PLENIO-UNSPLASH

DAVAO CITY — The acquisition of the right of way (RoW) for the Tagum-Davao-Digos (TDD) segment of the Mindanao Railway Project (MRP) is progressing in all designated areas, except for Davao City and Panabo City, where funding constraints are hindering progress, according to an official of the Department of Transportation (DoTr).

In a letter sent to Secretary Leo Tereso A. Magno, chairman of the Mindanao Development Authority (MinDA), DoTr Undersecretary for Railways Jeremy Regino assured that the acquisition of RoW remains a top priority to ensure that construction can commence seamlessly once project funding source has been resolved.

In a letter sent to Leo Tereso A. Magno, chair of the Mindanao Development Authority (MinDA), DoTr Undersecretary for Railways Jeremy Regino said that the acquisition of RoW remains a top priority.

“Efforts are underway to identify and secure potential funding sources to finance the completion of the MRP. A multi-faceted approach is being employed, exploring various avenues for funding source, including government allocations, public-private partnerships, and multilateral funding,” Mr. Regino said.

The feasibility study for the MRP is currently being updated, which may include the potential integration of a freight line to maximize the project’s overall benefits.

“By incorporating a freight line, the railway could significantly boost the region’s economic activity, providing a more comprehensive transportation solution that serves both passenger and commercial needs,” Mr. Regino said.

Mr. Magno said that the DoTr is seeking a new group to conduct a feasibility study.

“The model that was used during the 2019 study is already outdated,” he said during MinDa’s 18th board meeting press conference on Wednesday.

The MRP is among the eight projects in the Infrastructure Flagship Project (IFP) list in the Davao Region endorsed by the Regional Development Council (RDC 11). 

The first phase is a 102-kilometer TDD segment covering 100 kilometers with eight railway stations and two depots.

With an estimated total cost of approximately P81.7 billion, the project aims to reduce travel time between Tagum City and Digos City from three hours to an hour.

Mr. Magno previously confirmed that MRP is still a go as well as the implementation of the other big-ticket projects in Mindanao. — Maya M. Padillo

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