Davao Public Transport Modernization Project

To address worsening urban transport problems, the Government of the Philippines has developed its National Environmentally Sustainable Transport Strategy, which includes Davao as one of the focus cities. Extensive consultation has occurred between the government and the Asian Development Bank (ADB) under the ADB-supported Promoting Sustainable Urban Transport in Asia Project, which included Davao as one of the three case study cities.

The study of Davao, completed in July 2011, recommended addressing the urgent requirement to modernize the city’s public transport system and operations. In line with this recommendation, ADB fielded a reconnaissance mission to Davao on 12–13 July 2012 to discuss with government officials urban transport issues and reach agreement on the impact, outcome, outputs, implementation arrangements, cost, financing arrangements, and terms of reference of policy and advisory technical assistance (TA) for the Davao Sustainable Urban Transport Project. The TA is included in ADB’s 2012–2014 country operations business plan for the Philippines. ^[3]

On August 10, 2015, a Project Preparatory Technical Assistance (PPTA) was approved for the HPBS project and became effective on February 15, 2016. Later that year, the project enlisted GHD Pty. Ltd. to undertake the consulting services for the PPTA.

Coordination between the ADB and the City Government of Davao progressed in 2017 during the term of former mayor Sara Duterte. In 2018, GHD Pty. developed the first iteration of the Social Development Program (SDP) report, which subsequently led to the approval of the HPBS project by the National Economic Department Authority (NEDA) Board within that year.^[4]

Also in 2018, ADB reported that the High Priority Bus Project (HPBS) project for this city is already on the design stage and they are closely working with the city government. ^[5] The project's target implementation date was moved. The estimated cost of the project was also estimated to be at ₱3.6 billion courtesy of the loan from ADB, and had only 5 routes in total.^[6] By then, the project also coincided with the Public Utility Vehicle Modernization Program (PUVMP) of the Philippines under president Rodrigo Duterte.^[7]

Implementation of the HPBS was expected to begin in 2019 with the funding of ADB through an Official Development Assistance agreement.^[8] But it was delayed due to the late approval of the project by the NEDA in that year.^[9]

In 2019, the local city government allocated ₱100 million for the preliminary implementation of HPBS. It was counterpart of the said loan from the ADB. The target year of implementation of the project was set by 2022.^[10] With the approval of the National Economic and Development Authority on the project, the budget was expanded to ₱18.6 billion, with 29 routes throughout the city and is divided into 4 tiers.^[11]

In 2020, the project was formally known as the "Davao Public Transport Modernization Project".^[12] But with the outbreak of COVID-19, the implementation of the project was uncertain and put on hold due to lockdowns and resources being diverted to curb the effect of the pandemic. In 2021, the project's full operation date was again moved to the 3rd quarter of 2023.^[13] An Interim Bus System was launched in preparation to the project with routes to Toril and Catalunan Grande.^[14]

In 2023, NEDA granted the secondary approval of the DPTMP and approved the expansion of the project which saw the budget of the project increase to almost ₱73 billion. The expected contribution of the local government increased to ₱1.5 billion throughout the whole project implementation.^[15] The formal contract signing of the loan agreement happened in July with ADB officials and the Philippine Government led by president Bongbong Marcos.^[16]

In 2024, contracts for the civil works of the project which includes bus stops, bus lanes, depots, and terminals of the projects were signed.^[17] However, the project has been hounded with postponements caused by right of way issues concerning 32 landowners.^[18]

In 2025, DOTr Secretary Vince Dizon’s inspected the project’s Bus Driving Academy site in Calinan District, in line with the President’s directives to fast track the highly anticipated project. The DavaoBus Driving Academy will be the first of its kind in the Philippines. It aims to professionalize public transport driving, ensuring safer roads for both commuters and motorists.^[19] In August 22, he also confirmed that approximately 60% of the necessary ROW has been secured since the groundwork began in March, with efforts underway to finalize the remaining 40% within the year.^[20] The DavaoBus is set to start its pilot operations in 2027 with full implementation to start in 2028.^[19]

The HPBS will have a 4-tier system with 12 interchange locations.^[21]

M1 (Panabo City ↔ Roxas Avenue)
Legend
Panabo City Lasang Bunawan Tibungco Panacan Sasa Port Agdao Ateneo de Davao University City Center
† Diagram not to scale

M2 (Matina Aplaya ↔ Bunawan)
Legend
Matina Aplaya SM City Davao Davao City Hall City Center Ateneo de Davao University Magsaysay Park Santa Ana Port Bajada Buhangin Francisco Bangoy International Airport Panacan Tibungco Bunawan
† Diagram not to scale

M3 (Bago Aplaya ↔ Sasa Port)
Legend
Bago Aplaya Puan Ulas Matina Crossing NCCC Mall Maa Bankerohan City Center Gaisano Mall of Davao NCCC Mall VP Ayala Malls Abreeza Bajada SM Lanang Sasa Port Bunawan
† Diagram not to scale

M4 (Toril ↔ SM Lanang)
Legend
Toril Puan Ulas Matina Crossing SM Ecoland City Center SM Lanang
† Diagram not to scale

M5 (Calinan ↔ Sta. Ana Avenue)
Legend
Calinan Tugbok Mintal Ulas Matina Crossing NCCC Mall Maa Bankerohan City Center Santa Ana Port
† Diagram not to scale

The whole project will have an estimated cost of ₱73.37 Billion.^[22][23]

The planned construction is divided into eleven Contract Packages (CP).^[24] The Department of Transportation (DOTr) awarded three contracts to China International Water & Electrical Corporation. CP01 is for designing and building Buhangin and Calinan Depot, and for a driving school. CP02 is for Toril Depot and Terminal, and Bunawan and Calinan Terminals. CP03 is for roadworks and pedestrian infrastructure such as bus stops and bus lanes. The CP04 was awarded to the joint-venture of China Wu Yi, Fujian Construction and Engineering, and Vicente Lao Construction, which is the contract for Sasa and Sto. Niño Depot.^[25]

Contract Packages 5 up to 8 are still on the bidding processes. CP05 deals with the supply and maintenance services for the diesel bus fleet, meanwhile CP06 is for the electric bus fleet. CP07 is for the Intelligent Transport Systems (ITS). The last package, CP08 is for setting up the Automatic Fare Collection Systems (AFCS).^[26]

The rest of the CP are for consultancy services. CP09 is for the General Consultant, CP10 is for Systems Administration Consultant, CP11 is for Evaluation and Monitoring Consultants for Resettlement and the Social Development Program.^[27]