DOTr, LGUs to ink MOA for Mindanao railway funding

DAVAO CITY – The Department of Transportation (DOTr) and several local government units in Region 11 will sign a Memorandum of Agreement (MOA) on November 29 for the PHP5.6 billion budget covering the first segment of the Mindanao Railway System (MRS) project.

Engr. Arnulfo Manigo Jr, Tagum City Planning and Development coordinator, said the funds are intended for the administrative cost and acquisition of properties affected by the railway project covering the cities of Tagum, Davao, and Digos (TDD).

Asked for the total value of the land acquisition, Manigo said: “We cannot just float any figure. Under the Terms of Reference, we refer to just compensation and prevailing market value of property.”

“Pinag-usapan ang valuation ng lupa (The valuation of properties is being discussed). Probably they (affected households) will meet halfway with the government,” Manigo told reporters during Monday’s Kapehan sa Dabaw at SM Davao Annex.

He said the MOA was necessary to ensure that government funds are spent properly.

Tagum City will host the railway's 10-hectare main depot, which is scheduled for groundbreaking in February 2019. A total of 158 households will be affected by the project in that city alone.

Manigo said Tagum local officials and the DOTr have been conducting consultations with affected households, particularly in Barangays Mankilam and San Isidro where the depot will be located.

He said some of the areas are classified as agricultural and planted with rice, banana, and coconut, but only 60 percent are productive.

Manigo said the amount for the first segment has reached PHP97 billion from PHP35 billion due to changes in alignment and design.

“Everything will be finalized by the RDC (Regional Development Council),” he added.

The railway project aims to spur growth and development in Mindanao and improved connectivity.

The TDD segment covers 105 kilometers of rail line that is expected to reduce travel time from Tagum to Davao City and Digos. It will have eight stations: Tagum, Carmen, Panabo, Mudiang, Davao Terminal, Toril, Sta. Cruz, and Digos, with the construction expected to begin by the third quarter of 2018.

The Mindanao Railway is one of the 12 flagship projects proposed for Chinese grant financing through the China International Development Cooperation Agency (CIDCA)--the Chinese body responsible for administering foreign aid and development assistance to other countries.

The entire Mindanao Railway System will run for a total of 1,530-km, connecting Davao provinces, Iligan, Cagayan de Oro, General Santos, and Zamboanga. It is targeted for completion by 2021. (Lilian C Mellejor/PNA)