Philippines: Malolos-Clark Railway Project (PFR 1)

Sovereign Project | 52083-002

The project will support the construction of two sections, totaling 53.1 kilometers (km), of the North-South Commuter Railway (NSCR), a 163 km suburban railway network connecting the regional center of Clark in Central Luzon with Metro Manila and Calamba, Laguna. The Malolos-Clark Railway Project comprises: (i) Malolos-Clark section (51.2 km) from Malolos to Clark and Clark International Airport, and (ii) Blumentritt extension (1.9 km) connecting Solis and Blumentritt stations in Metro Manila District I (City of Manila). Both sections are part of the NSCR and extensions of the Tutuban-Solis-Malolos section financed by the Japan International Cooperation Agency. The NSCR will be completed during 2023-2028 as an integrated 163 km dedicated suburban passenger railway system comprising four sections: (i) Tutuban-Solis-Malolos, (ii) Malolos-Clark-Clark International Airport, (iii) Solis-Blumentritt-Calamba, and (iv) Clark-New Clark City.

Project Name Malolos-Clark Railway Project (PFR 1)
Project Number 52083-002
Country / Economy Philippines
Project Status Active
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 3796-PHI: Malolos-Clark Railway Project
Ordinary capital resources US$ 1,300.00 million
Loan: Malolos-Clark Railway Project
Japan International Cooperation Agency US$ 2,011.00 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Regional integration
Drivers of Change Gender Equity and Mainstreaming
Governance and capacity development
Partnerships
Private sector development
Sector / Subsector

Transport / Rail transport (non-urban)

Gender Equity and Mainstreaming Effective gender mainstreaming
Description The project will support the construction of two sections, totaling 53.1 kilometers (km), of the North-South Commuter Railway (NSCR), a 163 km suburban railway network connecting the regional center of Clark in Central Luzon with Metro Manila and Calamba, Laguna. The Malolos-Clark Railway Project comprises: (i) Malolos-Clark section (51.2 km) from Malolos to Clark and Clark International Airport, and (ii) Blumentritt extension (1.9 km) connecting Solis and Blumentritt stations in Metro Manila District I (City of Manila). Both sections are part of the NSCR and extensions of the Tutuban-Solis-Malolos section financed by the Japan International Cooperation Agency. The NSCR will be completed during 2023-2028 as an integrated 163 km dedicated suburban passenger railway system comprising four sections: (i) Tutuban-Solis-Malolos, (ii) Malolos-Clark-Clark International Airport, (iii) Solis-Blumentritt-Calamba, and (iv) Clark-New Clark City. The project will provide affordable, reliable, and safe public transport; reduce greenhouse gas emissions; and contribute to cutting travel time from Metro Manila to Clark from 2-3 hours (by bus) to less than 1 hour by rail.
Project Rationale and Linkage to Country/Regional Strategy

The Project will support the national spatial strategy (NSS) of the Philippine Development Plan (PDP) 2017-2022, which serves as the basis for policies on urban and infrastructure development in accordance with AmBisyon Natin 2040. The NSS recognizes the role of cities as engines of economic growth and poverty reduction, and infrastructure to provide efficient connective networks of sustainable communities. It aims to decongest Metro Manila and direct growth to other key areas and address spatial and socioeconomic inequalities by linking lagging regions with leading ones, rather than advocating the uniform dispersal of development. The Government's "Build, Build, Build" Program in which the Project is included, builds upon this national strategy.

Impact

Local, national and international connectivity improved

Project Outcome
Description of Outcome

Efficiency and capacity of transportation along the Manila-Clark corridor improved

Progress Toward Outcome The loan has been declared effective on 26 September 2019. The bidding period for civil works contract packages, CP N-01 to N-05 has been completed. Procurement process for contract package S-01 is ongoing due to rebidding. The contract package was advertised on 4 December 2020 and bids were opened on 14 July 2021.
Implementation Progress
Description of Project Outputs

New railway line commissioned

Institutional capacity strengthened

Status of Implementation Progress (Outputs, Activities, and Issues) Bidding for 5 civil works packages (CP N-01 to N-05) financed under the project has been completed. Contracts for CP N-04 and N-05 were signed on 1 Aug 2020. CP N-04 contractor commenced civil works on 30 October 2020 while CP N-05 contractor commenced civil works on 28 October 2020.Contracts for CP N-01, N-02, and N-03 were signed on 8 Oct 2020 and civil works commenced on 7 December 2020.Current progress of the civil works of each package achieved at the end of March 2022 (based on the latest quarterly progress report [Q1 2022], submitted to ADB on 4 May 2022 by the Department of Transportation [DOTr]) is 10.62% for CP N-01, 11.49% (CP N-02), 10.85% (CP N-03), 15.83% (CP N-04), and 12.62% (CP N-05).Procurement process for contract package S-01 is ongoing due to rebidding. The contract package was readvertised on 4 December 2020 and bids were opened on 14 July 2021. DOTr submitted the Bid Evaluation Report for CP S-01 on 6 December 2021 for ADB review.Bidding for 5 civil works packages (CP N-01 to N-05) financed under the project has been completed. Contracts for CP N-04 and N-05 were signed on 1 Aug 2020. CP N-04 contractor commenced civil works on 30 October 2020 while CP N-05 contractor commenced civil works on 28 October 2020. Contracts for CP N-01, N-02, and N-03 were signed on 8 Oct 2020 and civil works commenced on 7 December 2020.Current progress of the civil works of each package achieved at the end of March 2022 (based on the latest quarterly progress report [Q1 2022], submitted to ADB on 4 May 2022 by the Department of Transportation [DOTr]) is 10.62% for CP N-01, 11.49% (CP N-02), 10.85% (CP N-03), 15.83% (CP N-04), and 12.62% (CP N-05).Procurement process for contract package S-01 is ongoing due to rebidding. The contract package was readvertised on 4 December 2020 and bids were opened on 14 July 2021. DOTr submitted the Bid Evaluation Report for CP S-01 on 6 December 2021 for ADB review.No contracts have been awarded; further discussion for implementation of the three output subcomponents will be carried out in Q1 and Q2/2022.No contracts have been awarded; further discussion for implementation of the three output subcomponents will be carried out in Q1 and Q2/2022.No contracts have been awarded; further discussion for implementation of the three output subcomponents will be carried out in Q1 and Q2/2022.This indicator was added to Output 2 on 18 Dec 2019 due to approval of TA 9913-PHI: Strengthening the Transition of Vulnerable Communities Affected by the Malolos-Clark Railway Project.Recruitment of a consulting firm was completed on 1 Oct 2020 when the contract between ADB and the consulting firm was signed. The firm commenced services on 3 Nov 2020. An individual Independent Evaluation Expert was engaged with services commenced on 1 Feb 2021.The status of TA 9913-PHI's outputs is below.Output 1. Financial Resilience and Stability of Participants Improve The recruitment and training of 50 mentors was completed in April. The mentors underwent several trainings on project-related themes: (i) how to use the tablet for computer-assisted personal interview (CAPI) processes; (ii) skills in conducting baseline survey; (iii) basic knowledge on safeguards policies on involuntary resettlement; and (iv) integrating gender perspectives in implementing the graduation approach in urban resettlement. The mentors are expected to implement the full baseline survey but the enhanced community quarantine and the local health protocols by each LGU prevented the team to implement their original plan. Instead of conducting a full baseline survey, a rapid vulnerability assessment (RVA)- a shortened version optimized for phone survey was formulated, in consideration of the limitations of executing a long survey in person. The mentors underwent additional training for retooling and reorientation to conduct phone surveys and recalibrate the procedures for contacting respondents, obtaining proof of consent apart from signed forms and make procedural adjustments for phone interviews. The TA team were able to reach out to 750 affected households out of the 1,444 affected households in the municipalities of Malolos, Calumpit, Apalit, Sto. Tomas, Angeles and San Fernando City. The Graduation Approach Adaptation Manual has been finalized and approved, while a field guide for mentors is being developed.Output 2. Urban Resettlement Baseline and Monitoring System EstablishedThe M&E system design was developed and the Monitoring and Evaluation Manual is being finalized. The M& E manual present and explain to the mentors the STVC monitoring and data collection aspects and act as a guide during the mentors monitoring activities. The draft manual, which includes the project result framework has been used for the mentors' training. The Urban Resettlement Baseline and Monitoring System (URBMS) was also developed per M&E system. The digital platform for the online data collection system of the URBMS was established early February 2021 with the creation of a data and application server account in Kobo Toolbox. The server is cloud-based, it provides the necessary tools and functionalities for mentors to deploy digital survey forms (CAPI), upload survey data, store the data in a central repository, and prepare or process the data for aggregation, reporting, and analysis. The online data collection platform comprises the URBMS and Business Intelligence and Data Analytics Tool (BIDAT). Vulnerability criteria has been finalized. Output 3. Urban Resettlement Knowledge Products Produced The communication plan was developed and being finalized to raise awareness and improve stakeholders' project knowledge and understanding. It aims to document the execution of the project and facilitate public discourse on key themes such as the graduation approach adaptation to urban resettlement, implementation of effective livelihood support, gender equality, social inclusion, and resilience. The tagline 'Bayanihan para sa Tahanan at Kabuhayan_ (Communal Cooperation for Shelter and Livelihood) will be used on all communication and advocacy materials, online platforms, and events. Project brochure and banners (using the abovementioned tagline) have been distributed to HHs and barangay local government unit offices.
Geographical Location Angeles, Apalit, Calumpit, Clark Special Economic Zone, Mabalacat, Malolos, Minalin, San Fernando, Santo Tomas
Safeguard Categories
Environment A
Involuntary Resettlement A
Indigenous Peoples B
Summary of Environmental and Social Aspects
Environmental Aspects The project was assessed category A for the environment. Environmental impact assessments (EIAs) have been prepared for the MalolosClark section and for the Blumentritt extension in compliance with the Safeguard Policy Statement. Key project environmental issues identified and addressed are dust emissions during construction, noise and vibration during construction and operation, waste generation, traffic congestion and impediments to public access, and occupational and community health and safety. Public consultations were undertaken during EIA preparation. The DOTr will ensure that (i) the EMP in the EIA will be incorporated in bid documents for all packages regardless of financing source; (ii) consultations with people affected by construction activities are carried out throughout construction; and (iii) a grievance redress mechanism will be established, adequately resourced, and publicized before commencing civil works.
Involuntary Resettlement The project was assessed category A for involuntary resettlement. The project will require acquisition of 49 hectares (ha) of land: 46 ha for the Malolos-Clark section and 3 ha for the Blumentritt extension. Resettlement impacts have been minimized by using PNR-owned land and government-owned land wherever possible. Out of the estimated 1,889 project affected households, equivalent to a total number of 7,581 project affected persons, the majority are expected to be severely affected and required to relocate and most of them are informal settlers. A resettlement and indigenous peoples planning framework (RIPPF) has been prepared for the MFF following the Safeguard Policy Statement to guide the preparation of the Resettlement Action Plans (RAPs). Feasibility study based RAPs have been prepared for the Malolos-Clark section and the Blumentritt extension based on resettlement surveys, social assessments, and consultations. Five RAPs based on the detailed engineering design (DED) have been prepared and were approved prior to all contract awards: Mabalacat section, Malolos-Clark section divided into Landowner (LO) RAP and Non-Landowner (NLO) RAP as well as LO and NLO RAPs for the Solis-Blumentritt Extension. The RAPs mitigate involuntary resettlement impacts by providing compensation at replacement cost along with assistance for relocation and livelihood restoration. Measures have been incorporated to improve the living standards of vulnerable affected people. The Mabalacat DED RAP covering contract package CP-N-04 and contract package CP N-05 and DED RAP covering contract packages CP-N-01/02/03 have been updated based on the property appraisal and valuation conducted by Land Bank of the Philippines. DOTr has already started issuing the Notice of Taking (NoT) and Request for Submission of Documents to the affected people. The National Housing Authority (NHA) has completed the construction of the housing units for the Mabalacat project affected persons (PAPs) located in Northville 16, Atlu Bola, Mabalacat City, Pampanga. NHA relocated the PAPs to their new homes on 30 June 2021. In other project affected areas, NHA is still in the process of completing the requirements for the site selection and construction of the permanent relocation sites in coordination with DOTr and the respective local government units. Social preparation activities are still on-going. Disbursements of compensation for structures, fruit-bearing, timber trees and crops were disbursed among the PAPs of Mabalacat.
Indigenous Peoples The whole project is assessed category B for indigenous peoples because of one project area's proximity to indigenous ancestral domain land in Pampanga province. However, due diligence confirmed that the project does not encroach on indigenous peoples land and a certificate of non-overlap with ancestral domain land has been issued by the Philippines National Commission on Indigenous Peoples. Furthermore, due diligence for the project indicated that impacts on indigenous peoples are not anticipated, and an indigenous peoples plan was not prepared. The RIPPF for the MFF follows the Safeguard Policy Statement to guide the preparation of indigenous peoples plans, should impacts on indigenous peoples be identified when subsequent tranches are processed.
Stakeholder Communication, Participation, and Consultation
During Project Design A communication and participation strategy for the project has been prepared. Incorporating stakeholder analysis findings, the strategy will identify effective communication channels, best approaches to foster participation and partnerships, key messages, and means of integrating activities with the grievance redressal mechanism. The strategy includes implementation timelines, roles and responsibilities, budget, monitoring and evaluation requirements for project communication. Key components of the strategy ensures proactively disclosing project information and activities to local communities and stakeholders; soliciting stakeholders input and feedback on beneficial mitigation measures; encouraging community participation in project activities that affect or could benefit stakeholders, such as civil works construction; and conducting awareness-raising activities related to HIV/AIDS, human trafficking, and safety measures.
During Project Implementation

The Project Management Office will have overall responsibility for the implementation of the strategy, supported by the construction supervision consultant. The grievance redress mechanism has been set up for the Malolos-Clark section. Consultations and validation activities for the preparation of payment entitlements are ongoing.

LGUs convened the respective Local Inter-Agency Committee (LIAC) for the relocation and resettlement of the affected Informal Settlers Families (ISFs). LIAC's subcommittees the Beneficiary Selection, Arbitration and Awards Committee (BSAAC)and Livelihood have conducted coordination and consultation meetings.

Business Opportunities
Consulting Services None
Procurement

Open competitive bidding in accordance with ADB's Procurement Policy (2017, as amended from time to time) and Procurement Regulations for ADB Borrowers (2017, as amended from time to time).

Bidding for 5 civil works packages (CP N-01 to N-05) financed under the project has been completed. Contracts for CP N-04 and N-05 were signed on 1 Aug 2020. CP N-04 contractor commenced civil works on 30 October 2020 while CP N-05 contractor commenced civil works on 28 October 2020.

Contracts for CP N-01, N-02, and N-03 were signed on 8 Oct 2020 and civil works commenced on 7 December 2020.

Procurement process for contract package S-01 is ongoing due to rebidding. The contract package was readvertised on 4 December 2020 and bids were opened on 14 July 2021. DOTr submitted the Bid Evaluation Report for CP S-01 on 6 December 2021 for ADB review.

Responsible ADB Officer Roesner, Markus
Responsible ADB Department Southeast Asia Department
Responsible ADB Division Transport and Communications Division, SERD
Executing Agencies
Department of Transportation
Timetable
Concept Clearance -
Fact Finding -
MRM 11 Dec 2018
Approval 30 May 2019
Last Review Mission -
Last PDS Update 12 May 2022

Loan 3796-PHI

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
30 May 2019 11 Jul 2019 26 Sep 2019 30 Jun 2022 30 Jun 2023 -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 2,678.00 Cumulative Contract Awards
ADB 1,300.00 21 Sep 2022 1,161.92 0.00 89%
Counterpart 1,378.00 Cumulative Disbursements
Cofinancing 0.00 21 Sep 2022 478.51 0.00 37%
Status of Covenants
Category Sector Safeguards Social Financial Economic Others
Rating - Satisfactory Satisfactory Satisfactory - Satisfactory

Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

The Access to Information Policy (AIP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.

The Accountability Mechanism provides a forum where people adversely affected by ADB-assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures.

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Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.

Title Document Type Document Date
Malolos-Clark Railway Project (PFR 1): Social Monitoring Report (October 2021-March 2022) Social Monitoring Reports Aug 2022
Malolos-Clark Railway Project (PFR 1): Social Monitoring Report (April-September 2021) Social Monitoring Reports May 2022
Malolos-Clark Railway Project (PFR 1): Environmental Monitoring Report (April-September 2021) Environmental Monitoring Reports Apr 2022
Malolos-Clark Railway Project (PFR 1): Social Monitoring Report (November-December 2020) Social Monitoring Reports Dec 2021
Malolos-Clark Railway Project (PFR 1): Environmental Monitoring Report (October 2020-March 2021) Environmental Monitoring Reports Oct 2021
Malolos-Clark Railway Project (PFR 1): Social Monitoring Report (October 2020-March 2021) Social Monitoring Reports Aug 2021
Malolos-Clark Railway Project (PFR 1): Malolos-Angeles II Updated Resettlement Action Plan Resettlement Plans Jan 2021
Malolos-Clark Railway Project (PFR 1): Malolos-Angeles I Updated Resettlement Action Plan Resettlement Plans Jan 2021
Malolos-Clark Railway Project (PFR 1): Social Monitoring Report (April-September 2020) Social Monitoring Reports Dec 2020
Malolos-Clark Railway Project (PFR 1): Environmental Monitoring Report (April 2020-September 2020) Environmental Monitoring Reports Sep 2020
Malolos-Clark Railway Project (PFR 1): Malolos-Angeles I Resettlement Action Plan Resettlement Plans Aug 2020
Malolos-Clark Railway Project (PFR 1): Malolos-Angeles II Resettlement Action Plan Resettlement Plans Aug 2020
Malolos-Clark Railway Project (PFR 1): Social Monitoring Report (September 2019-March 2020) Social Monitoring Reports Jun 2020
Malolos-Clark Railway Project (PFR 1): Mabalacat Section Resettlement Action Plan Resettlement Plans Jun 2020
Malolos-Clark Railway Project (PFR 1): Environmental Monitoring Report (September 2019-March 2020) Environmental Monitoring Reports Mar 2020

Evaluation Documents See also: Independent Evaluation

None currently available.


Related Publications

None currently available.


The Access to Information Policy (AIP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.

Requests for information may also be directed to the InfoUnit.

Tenders

Tender Title Type Status Posting Date Deadline
Loan 3796-PHI: Malolos-Clark Railway Project, Tranche 1 [Package CP S-01] - Rebidding Invitation for Bids Closed 04 Dec 2020 14 Jul 2021

Contracts Awarded

Contract Title Approval Number Contract Date Contractor | Address Executing Agency Total Contract Amount (US$) Contract Amount Financed by ADB (US$)
CP N-02 BLDG & CIVIL ENGG WORKS FOR APX 16KM OF VI ADUCT STRUCTURE INCLDG ELEVATED STATION BLDG AT SA N FERNANDO UNDER PB NO.19-041-4 Loan 3796 07 Dec 2020 ACCIONA CONSTRUCTION PHILS AND DAELIM IND JV | THE ENTERPRISE CENTRE, TOWER 2 AYALA COR. PASEO DE ROXAS AVE. MAKATI PHILIPPINES Department of Transportation 695,307,220.50 342,808,128.30
CP N-03 BLDG & CIVIL ENGG WORKS FOR APX 12KM OF VI ADUCT STRUCTURE INCLD ELEVATED STATION BLDGS AT AN GELES AND CLARK UNDER PB NO.19-041-4 Loan 3796 03 Dec 2020 ITALIAN-THAI DEVELOPMENT PUBLIC COMPANY LTD | 2034/1332-161 ITALTHAI TOWER, NEW PETCHBURI ROAD, BANKGAPI, HUAYKWANG, BKK THAILAND Department of Transportation 464,042,797.10 236,118,174.10
CP N-01 BLDG & CIVIL ENGG WORKS FOR APX 17KM OF VI ADUCT STRUCTURE INCLDG STATION BLDGS AT CALUMPIT A ND APALIT UNDER PB NO. 19-041-4 Loan 3796 02 Dec 2020 HYUNDAI ENGINEERING & CONSTRUCTION CO. LTD JV | SEOUL 110-793 KOREA, REPUBLIC OF Department of Transportation 575,789,054.10 295,080,112.50
CP N-04 BLDG & CIVIL ENGG WORKS FOR APX 6.5KM OF RAILWAY TRACK STRUCTURE INCLDG UNDERGRND STN AT CLARK INTL AIRPORT Loan 3796 14 Oct 2020 ACCIONA CONSTRUCTION PHI INC. JV W/ EEI CORP | AYALA CORNER PASEO DE ROXAS AVENUE MAKATI CITY PHILIPPINES Department of Transportation 440,730,918.20 215,956,758.40
CP N-05 BLDG AND CIVIL ENGG WORKS FOR DEPOT BLDGS INCLDG RELATED INFRA AND TRACK WORKS SUB-BALLAST UNDER PB NO. 19-154-10 Loan 3796 14 Oct 2020 POSCO ENGINEERING AND CONSTRUCTION CO., LTD | PASEO DE ROXAS MAKATI CITY, PHILIPPINES KOREA, REPUBLIC OF Department of Transportation 337,029,260.60 167,544,069.20

Procurement Plan