By Dominique Gabriel G. Bañaga
Negros Occidental Governor Eugenio Jose Lacson yesterday revealed the current income generated from the Negros First Cybercentre is not enough to pay the monthly amortization on the loan borrowed to fund construction of the facility.
During the administration of former Governor Alfredo Marañon, Jr., the Cybercentre was projected to generate an annual gross rental income of about P90 million. However, according to provincial administrator, Atty. Rayfrando Diaz, income from the facility went from P1.7 million in 2016 to P9 million in 2018. This year, the facility is expected to earn P14 million.
Construction came at a cost of P620 million with a P243.63 million loan from the Development Bank of the Philippines; along with an additional P170 million spent on the second phase.
“I am studying options on how it can increase its income,” Lacson said.
The former governor earlier indicated, after the first two years of operations, CyberCentre earnings were expected to pay for the loan. However, Diaz said the provincial government has only been provided a percentage of the lease payments.
In response to the developments, Cadiz City Mayor Salvador Escalante, Jr. earlier came to the defense of the Marañon administration and called the projects started during his tenure “long term investments that you don’t expect to recoup in several short years.”
“Looking into the whole project in terms of cash flow is a narrow perspective,” the former provincial board member added./DGB, WDJ