PPA terminates Zamboanga Port PTB contract due to prolonged delays, ensuring funds remain secure for project completion to better serve passengers and regional trade.
8 SEPTEMBER 2025 – Due to operational concerns and the overall masterplan to meet the demands of port users and the general public, and despite the repeated issuance of formal notices and warnings to the contractor, the Philippine Ports Authority (PPA) has formally terminated its contract with the contractor for the Zamboanga Port Passenger Terminal Building (PTB) project on September 4, 2025, citing prolonged delays, design misalignment with current needs, and outstretched time extensions granted during implementation.
According to PPA Assistant General Manager for Engineering (AGME) Engr. James Gantalao, the decision was made in response to the matter raised by concerned individuals requesting for transparency and updates in Zamboanga port project through social media posts and 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,” said Gantalao. He also stressed that inclement weather, location-specific challenges, and evolving design considerations made it necessary to halt the project under the existing arrangement especially since Zamboanga is one of the busiest and most strategic gateways in Mindanao.
The completion of the Zamboanga Port project was unavoidably delayed due to the COVID-19 pandemic, which caused substantial increases in the prices of construction materials and difficulties in mobilizing the required manpower. Despite these challenges, the contractor proceeded with its implementation, albeit at a very slow pace. Since then, the PPA has repeatedly issued formal notices and warning letters to the contractor to expedite the work.
The Zamboanga Port is a major hub for passenger and cargo traffic, serving the Zamboanga Peninsula, Basilan, Sulu, and Tawi-Tawi, as well as neighboring ASEAN countries. The port facilitates the movement of both domestic travelers and international cargo, including sardines, marine products, coconut, rubber, and aquaculture goods, making its modernization a critical priority for regional trade and economic growth. The Passenger Terminal Building was originally designed to accommodate 3,500 passengers at any given time, making it one of the largest and most modern terminal buildings in Mindanao.
As per PPA AGME Gantalao, the original goal since 2021 has always been to give passengers a terminal experience with spacious areas while waiting for their voyages, air-conditioned, comfortable seating and proper facilities.
"As a matter of policy, the PPA does not pay any downpayment nor mobilization payments and has not released any advance payments to the contractor. To date, out of the reported 56% physical accomplishment, the contractor has only collected 18% of the total contract price. This ensures the public that sufficient funds will remain available to complete the project as planned, to give the riding public the best kind of services they deserve", emphasized Gantalao when asked about the funds allocated for the project.
As to the issue of ticket scalping raised by Senator Raffy Tulfo during his privilege speech, the PPA remains committed to respecting the boundaries of its authority since it is not within its mandate to intervene with the selling of vessel tickets. Thus, the PPA continues to collaborate with the necessary government agencies like MARINA, PCG, and the LGU of Zamboanga City to advocate for the necessary changes that require collaborative efforts for the general public.
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