The Philippine Ports Authority (PPA) terminated its contract with the contractor of the Zamboanga Port Passenger Terminal Building (PTB) project, according to PPA's release.
The decision followed prolonged delays, misalignment of the original 2021 design with current operational needs, and time extensions granted during implementation.
PPA Assistant General Manager for Engineering Engr. James Gantalao said the termination came after concerned individuals raised transparency issues on social media and through inquiries. “Unfortunately, we had to terminate the contract because what we envisioned back in 2021 when the project was started no longer met current operational requirements,” he stated, citing weather conditions, location challenges, and evolving design requirements in Zamboanga, which he described as one of the busiest gateways in Mindanao.
The project faced unavoidable delays during the COVID-19 pandemic, which led to higher construction material costs and difficulties in mobilizing workers. Despite repeated notices and warnings, implementation remained slow.
Zamboanga Port serves the Zamboanga Peninsula, Basilan, Sulu, Tawi-Tawi, and neighboring ASEAN countries, handling passengers and international cargo such as sardines, marine products, coconut, rubber, and aquaculture goods. The Passenger Terminal Building was designed to accommodate 3,500 passengers simultaneously.
According to Gantalao, the project has reached 56% physical accomplishment, while the contractor has received only 18% of the contract value, as PPA does not issue advance payments. “This ensures the public that sufficient funds will remain available to complete the project as planned,” he said.
In response to Senator Raffy Tulfo’s remarks on ticket scalping, PPA noted that it has no mandate to regulate vessel ticket sales but continues to coordinate with MARINA, the Philippine Coast Guard, and the Zamboanga City local government.
Philippine Ports Authority (PPA) is a government-owned and controlled corporation under the Department of Transportation of the Philippines. It is responsible for the planning, development, financing, and operation of public ports across the country.