The Department of Transportation (DOTr) will pursue the long-delayed Mindanao Railway Project (MRP) with various pre-construction activities in Davao City, Digos and Tagum, while seeking other funding sources following the cancellation of financial commitment from China.
Transportation Secretary Jaime J. Bautista said the DOTr is already coordinating with the finance department in seeking alternative funding sources such as Official Development Assistance (ODA) from other foreign governments and international financial institutions.
“We decided to pursue Phase 1 of the MRP despite withdrawal of prior funding commitment from the government of China. While looking for funding sources, various pre-construction activities show we are not dropping the project,” Sec. Bautista said.
So far, land acquisitions are already ongoing along the target alignment from Tagum to Digos via Davao City. Resettlement sites for displaced residents have also been identified with villages in different stages of construction.
“In fact, the Tagum Train Village is scheduled for turnover to its future residents in the coming months. Livelihood programs are also being prepared for affected families,” the transport chief said.
With project cost of P81.6 billion, the Mindanao Railway Project Phase 1 has a length of 100.2 kilometers consisting of eight stations.
Once operational, the rail line is expected to serve 122,000 passengers daily and reduce travel time from Tagum City to Digos City to an hour from the current three hours.
The MRP Phase 1 Tagum-Davao-Digos line will concretize the master rail plan of connecting the entire island of Mindanao, according to the Secretary.
Once the entire Mindanao Railway Project is completed, the 1,544-kilometer rail system will connect key provinces such as Davao, General Santos, Cagayan de Oro, Iligan, Cotabato, Zamboanga, Butuan, Surigao and Malaybalay and pump prime Mindanao’s economic boom.