MANILA, Philippines \u2013 The Department of Transportation and Communications (DOTC) and Ayala Land Inc. (ALI) signed yesterday the concession agreement for the Integrated Transport System (ITS)-South Terminal project.<\/p>\n\n\n\n
Under the 35-year concession agreement for the ITS-South Terminal project, ALI will be responsible for the design, construction and financing of the terminal within a 5.7-hectare lot within the Food Terminal Inc. compound along South Luzon Expressway.<\/p>\n\n\n\n
The facility is expected to serve passengers coming from Laguna or Batangas and link them to other transport systems going to Metro Manila including the North-South Railway project.<\/p>\n\n\n\n
\u201cWith the South ITS connecting different modes of transportation and services, we can guarantee the public more efficient and seamless transfers. It will also improve traffic flow and reduce provincial buses entering the metropolis,\u201d Transport Secretary Joseph Emilio Abaya said.<\/p>\n\n\n\n
ALI was awarded the project after it submitted the lowest annual grantor payment (AGP) of P277.9 million.<\/p>\n\n\n\n
Filinvest Land Inc., the other bidder for the project, offered an AGP of P1 billion during the bidding held in August.<\/p>\n\n\n\n
AGP is the payment the government will make to the concessionaire.<\/p>\n\n\n\n
The lowest bid is declared the winner when AGP offers are made by firms.<\/p>\n\n\n\n
The construction for the ITS-South is expected to commence in September.<\/p>\n\n\n\n
The ITS-South is the second integrated transport hub to be awarded by the government to the private sector under the public private partnership scheme.<\/p>\n\n\n\n