Cebu City Councilor Winston Pepito revealed on Wednesday, July 8, 2026, during SunStar Cebu’s Beyond the Headlines that the Department of Transportation (DOTr) is actively seeking alternative funding sources, including a potential Public-Private Partnership (PPP), to accelerate the Cebu Bus Rapid Transit (CBRT) project. Pepito stated that the City Government currently lacks the necessary funds to complete the project, which has faced significant setbacks.
World Bank Cancels Funding
The urgency for new funding follows the World Bank’s cancellation of US$84.9 million in undisbursed funds. The loan was originally set to expire on September 30, 2026, with the CBRT project scheduled for completion a year prior. However, structural and timeline delays caused the project to miss its agreed completion target, prompting the lender to withdraw the remaining funds. Pepito noted that this cancellation has severely impacted the project’s overall implementation.
Despite the setback, Cebu City Mayor Nestor Archival, in a separate interview on July 8, expressed optimism that proceeding with the South Road Properties (SRP) phase might appease the World Bank. He indicated that the lender still intends to support the city’s mass transit efforts. Phase 1 of the CBRT project covers Packages 1, 2, and 3, with Package 1 being the 2.38-kilometer section from the Cebu South Bus Terminal to the Capitol area via Osmeña Boulevard.
SRP Route Prioritization
Mayor Archival stated that he cannot reject the DOTr’s realignment of the CBRT project to include the SRP, as the SRP segment has been part of the original proposed plan for a long time. He argued that constructing the SRP route is more feasible within the remaining timeframe compared to the Bulacao-Talamban route, which would require more time and effort to build stations. “How can we remove it when it’s already installed? Although it lacks stations, the route is there,” Archival said.
Councilor Pepito also advocated for prioritizing the SRP route, emphasizing that it is what the City Government can realistically achieve at the moment. “Let's just finish it quickly so the people can benefit, but it doesn't mean we stop looking for an even better solution. Let's work on the SRP because it's already there; it has already started,” Pepito said.
Proposed Extensions and Council Opposition
Mayor Archival plans to send a formal letter to the DOTr requesting a study on extending the Ayala-SRP route to Mambaling and Bulacao. He believes this extension could serve as a compromise to address concerns raised by Vice Mayor Tomas Osmeña, who sponsored an approved resolution rejecting the CBRT realignment that included the SRP segment. On Friday, July 3, the City Council approved Osmeña’s resolution with six councilors in favor, two against, and four abstentions, including Pepito. Osmeña argued that the proposed SRP alignment benefits commercial businesses rather than the urban poor.
Blame and Future Safeguards
Pepito attributed the delay in the CBRT project to the local government unit (LGU), stating that it failed to acquire the necessary land for road widening and expansion. Despite the setback, he remains hopeful that the DOTr can secure additional funding sources to support the project’s completion. When asked about safeguards to prevent a similar situation, Pepito said that the entire city government should be replaced. “We can’t guarantee safeguards. While there are still politicians sitting, the delays in the projects will continue,” Pepito said.
