THE Philippine Ports Authority (PPA) said the second phase of the Batangas Port Development Project (BPDP) will need additional funds of P287 million to cover costs incurred due to delays.

The added costs will be shouldered by PPA, said BPDP director Tomas B. Carlos.

The deficit resulted from construction delays, costing the contractor about P5 million a day, Carlos noted. Delays were due to unsettled social dispute, and compensation and relocation of informal settlers and legitimate tenants.

To date, P30.31 million has been released for the payment to different property owners and sellers.

Carlos said project contractor joint bidder F.F. Cruz Construction Co.-Shimitzu is entitled to seek a cost adjustment for every 180-calendar day delay.

Completion of the project, initially worth P2.885 billion, may moved to August 2005 from the original target of March 2005.

The project was bidded out in early 2000 but the contractor was only given the go signal to start in February 2002. As of last month, the project package 1 has been 25.33% completed, PPA reported.

Construction of the port access road and flyover is nearing construction as PPA’s request to advance the P750-million budget for the right-of-way acquisition was approved by the Department of Finance.

The second phase II involves construction of a new terminal designed to handle international cargoes and accommodate post-panamax vessels with a draft of 15 feet. The new international terminal is expected to establish the port as an transshipment hub in the region and help decongest the port of Manila.

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