Subscribe to Our Newsletter

Success! Now Check Your Email

To complete Subscribe, click the confirmation link in your inbox. If it doesn’t arrive within 3 minutes, check your spam folder.

Ok, Thanks

The Ferry Loses Its Route to a Bridge That Charges the Public Instead

The Samal-Davao connector is toll-free by design. Its loan terms, foreign contractor, and right-of-way notices still sort the winners and losers years before it opens.

Sofia Ramos profile image
by Sofia Ramos
Two vibrant ferries sailing on a clear blue sea against lush mountainous backdrop.
Photo: Nothing Ahead / Pexels

A bridge across the Pakiputan Strait sounds like an upgrade for everyone who has ever waited on a barge that runs on island time. For the boat operators who have moved people and cargo between Samal and Davao City for decades, it reads more like a demolition notice with a groundbreaking attached.

The Samal Island-Davao City Connector runs on a concessional loan from China Eximbank, and the terms follow the pattern that Eximbank money brings across the region. The Philippines and China exchanged documents in June 2022 for a loan of about 2.34 billion renminbi, roughly P17.39 billion, covering 90 percent of the design-and-build contract at 2 percent interest over 20 years with a 7-year grace period. Financing tied to sourcing means the build itself went to a Chinese firm, with the local share concentrated in the labor and land the project consumes on this side of the water.

Who fronts the land, who fronts the risk

DPWH is the implementing agency, and it contracted China Road and Bridge Corporation for the design and build. The structure crosses the strait from the R. Castillo junction in Davao City to the Samal Circumferential Road in Barangay Limao. As of early 2026, DPWH reported the project just past halfway, and by mid-year around 61 percent, with completion pushed to September 2028 and open to further slippage if funding falls short.

That timeline matters because right-of-way clearing lands on households and small businesses long before the bridge justifies itself. A landowner served with an expropriation notice starts a slow argument over valuation, and just compensation on paper rarely tracks what a relocated family actually spends to start over. The bargain assumes the bridge repays that cost in access and commerce. Whether it does depends on who benefits from the crossing and who was simply cleared out of its way.

The livelihood the bridge replaces

The ferry and barge operators are the clearest losers by design. The connector exists to move the traffic they currently carry, and no line item in the loan compensates a boat crew for the route it built its life around. A four-lane bridge does not hire the boatmen it displaces.

Some operators will pivot to shorter runs or hauling what the bridge cannot. Most will watch a public asset absorb their private income, with no retraining fund written into the project and no obvious place to raise it once the concrete sets.

The bill nobody reads until it comes due

The question that outlives the ceremony is maintenance liability. Eximbank financing builds the structure; it does not keep it standing. DPWH has described the connector as toll-free, which sounds like a gift until you ask who pays for a saltwater bridge on seismic ground once it opens.

The answer is public funds. With no toll revenue to draw on, upkeep on a crossing over Mindanao's fault lines becomes a national budget line stacked on top of the loan repayment. The residents who lost land and boats help pay for a bridge that displaced them, through the same treasury that owes Beijing. The foreign capital and its build-fast model set the terms, but Filipino officials sign the right-of-way orders and inherit the maintenance bill.

Read the connector as a swap. The strait loses its ferrymen, the loan schedule stays foreign-denominated, and the upkeep comes home to a public budget already stretched thin. The ribbon gets cut once. The bridge charges every year after, just not at a booth.

Sofia Ramos profile image
by Sofia Ramos

Subscribe to New Posts

Fresh Philippine stories straight to your inbox, free, no spam, unsubscribe anytime.

Success! Now Check Your Email

To complete Subscribe, click the confirmation link in your inbox. If it doesn’t arrive within 3 minutes, check your spam folder.

Ok, Thanks

Read More