
Citing concerns over fund utilization, international financial institution World Bank has put Packages 2 and 3 of the Cebu Bus Rapid Transit (CBRT) project on hold for the meantime and recommended a reassessment of plans ahead of the Package 1 loan expiry in 2026.
The decision was primarily due to delays and issues, namely road acquisition and the status of the Capital Station segment, that have limited the full maximization of the loan funds.
As reported by Cebu City News, Mayor Nestor Archival was informed of the recent updates on the mass transportation project during a coordination meeting on Oct. 23 with John Richardson, urban transport specialist of the World Bank, Engineer Norvin Imbong of the Department of Transportation (DOTr), and members of the CBRT management.
Richardson clarified that, despite the halt, the World Bank is open to reassessing and resuming the later phases once Package 1 is successfully completed.
“The World Bank remains ready to support the project, especially if the government intends to complete the entire CBRT system,” Richardson said.
He also suggested that a Public-Private Partnership (PPP) could be considered to push through with the remaining phases.
Overall, the project required P28.78 billion in funding, with P10.867 billion coming from loans and P17.912 billion from the government.
When the loan agreement was signed in 2014, the World Bank aimed to have the then-planned 23-kilometer CBRT by 2020.
A portion of the loan is made up of P1.378 billion from the World Bank’s Clean Technology Fund (CTF) grant, P6.380 billion from the International Bank for Reconstruction and Development (IBRD), and P3.107 billion from the French Development Agency.
Package 1 set for pilot run
Archival announced in September that contractors have finished 99 percent of Package 1, which stretches from the Cebu South Bus Terminal up to Fuente Osmeña Circle.
The route reflects the earlier removal of civil works done before the Capitol Building during former Governor Gwen Garcia’s administration.
Its pilot run, supposedly set in October, was delayed after issues with traffic congestion and quake-related safety concerns.
It was later announced that it is officially set for partial operations on November 5, with President Ferdinand Marcos Jr. leading the inauguration.
Starting November 3, the CBRT lane on Osmeña Boulevard will be closed to give way for preparations.