Transaction Advisory Services (TAS) for the San Ramon Newport Project (TA 7796-PHI)

Name of Client:
Public-Private Partnership (PPP) Center / Asian Development Bank (ADB)

Country:
Philippines

Length of Consultancy Assignment:
Start Date: 8 September 2017
Completion Date:  August 2020

Detailed Narrative Description of Project:

The project aimed to improve the competitiveness of the Zambo Ecozone and fulfill its vision of becoming a world-class economic zone that will link resources, markets, and other logistical activities that can contribute to the economic development of Zamboanga City and Mindanao. The project will entail construction, operation, and maintenance (O&M) of a world-class seaport to be located within the First Industrial Park of ZamboEcozone.


PRIMEX fielded the services of six specialists. The Ports Engineer: (i) assisted in the study of alternative ports or waterway facilities engineering configurations to address issues and concerns arising in the study; (ii) reviewed and conducted an analysis of the proposed locations of ports or waterway facilities; (iii) prepared basic design and cost estimates of ports or waterway facilities construction/rehabilitation, considering the best technology available; (iv) prepared construction/rehabilitation, supply, operation and maintenance performance standards consistent with global best practices and the technical specifications for the proposed project; (v) assisted in the conduct of VE/VA; and (vii) provided support to ascertain on-time submission of required deliverables.

The Geological/Geotechnical Engineer: (i) conducted geological surveys, geotechnical field reconnaissance, investigations, mapping, and assessment of the proposed site of project facilities based on the surface geologic survey, and investigation of possible geological problems or constraints affecting the project as input into engineering design, construction methodology, and equipment to be adopted; (ii) conducted seismic refraction survey and analysis considering all past earthquakes that occurred in the proposed project and prepared mitigating measures/strategies; (iii) prepared geologic and seismic mapping indicating all faults and fracture in the proposed project; and (iv) provided support to ascertain on-time submission of required deliverables.

The Civil Engineer: (i) reviewed the design of required infrastructures/facilities and provided advice as regards value engineering for the optimal layout, building capacity projections, and cost estimates of both in the construction and building capacity projections, and cost estimates of both in the construction and building management/maintenance; (ii) assisted in the preparation of the construction, supply, installation, and operation and maintenance performance standards; (iii) assisted in the review of bid and contract documents of the building components of related PPP projects, including an invitation to Bid, Instruction to Bidders, and Draft Contracts; (iv) reviewed and assisted in the preparation of the MPSS; (v) assisted in the conduct of VE/VA; and (vi) provided support to ascertain on-time submission of required deliverables.

The Economic Specialist: (i) undertook the cost-benefit analysis. The analysis included, among others, the following (a) sector assessments, demand-supply (market analysis), opportunity cost implications, projected project benefits, and impacts; (b) willingness-to-pay survey to determine whether the end-user tariffs are socially acceptable; (c) determination of project rationale and economic impact in comparison with alternative options; and (d) determination of realistic economic rates of return for the project under various scenarios; (ii) in consultation with the Social Development and Gender Specialist, ensured that the project provides desired and equitable benefits to end-users; (iii) together with the Project Finance Specialist, prepared required report and documents as required by the ICC; and (iv) provided support to ascertain on-time submission of required deliverables.

The Environment Specialist was tasked to: (i) carry out a comprehensive environmental assessment and ensure substantive and formal-wise consistency with the documentary requirements for applying for necessary national and local governments’ environmental permits, i.e., ECC, local clearances, etc.; (ii)  assess critical environmental factors related to traffic congestion, noise and air pollution, handling, storage and disposal of toxic and hazardous products, solid waste, water and flooding, carbon emissions, geo-hazard conditions, land use and settlement developments impact and, resilience to climate change conditions such as storm surges and floods; (iii) recommend appropriate mitigating measures and designs to improve the project’s environmental sustainability. Ensure that the environmental management plan and mitigation measures are integrated in the project’s design, cost, and operation; (iv) identify all government environmental clearances, required permits, and approvals; (v) evaluate ZamboEcozone Authority’s capacity to implement mitigation measures, and where necessary recommend capacity improvement training programs and measures; (vi) ensure inclusion of the environmental management plan in the bidding documents, along with the requirements to comply with mitigation measures therein; and (vii) provide support to the project to ascertain on-time submission of required deliverables.

The Social Development and Gender Specialist: (i) collected sex-disaggregated data of clients/users of the project;  (ii) conducted gender assessment and analyses of needs of women and men, as well as gender differential impact of the project; (iii) reviewed gender risks and develop mitigation measures; (iv) drafted gender mainstreaming framework for the project, based on Philippine gender laws; (v) developed framework for poverty and social analysis of the project in accordance with country requirements; (vi) led mapping of social and gender impacts from implementing the project and develop strategies to mitigate such impacts; (vii) prepared poverty reduction and social strategy frameworks (e.g., resettlement plans) for involuntary resettlement, and gender safeguards in accordance with the requirements in the Philippines, as applicable; (viii) assessed ZamboEcozone Authority capacity and commitment to undertake social impact due diligence, impact monitoring, and mitigation measures implementation (e.g., resettlement implementation, monitoring and evaluation); (ix) conducted willingness–to-pay survey to determine whether the proposed tariffs are socially acceptable; (x) assisted in the conduct of stakeholder’s analysis and developed recommendation for an appropriate institutional arrangement and developed implementation measures for stakeholders aimed at identifying, understanding and managing resistance to change; (xi) ensured inclusion of the social/safeguard requirements in the bidding documents, along with the requirements to comply therein; and (xii) provided support to ascertain on-time submission of required deliverables.