P199-Billion Cebu Rail Project Advances as Key Traffic Solution

The national government has officially endorsed a proposed P199-billion urban rail system as a long-term response to the escalating traffic congestion in Cebu. This ambitious project, known as the Metro Cebu Urban Mass Rapid Transit (UMRT), will extend 67.5 kilometers from Danao City to Carcar City, with an additional 25-kilometer spur connecting to the Mactan-Cebu International Airport (MCIA).

Procurement and Timeline Details

Department of Transportation (DOTr) Secretary Giovanni Lopez revealed during the "Usapang Budget" forum on Friday, February 20, 2026, that procurement processes for the UMRT have already commenced. The administration aims to complete this phase by March 2026 and initiate a feasibility study in October 2026. The entire project is targeted for completion by the year 2040.

Complementary Transport Initiatives

While commuters await the rail system, relief may arrive sooner through the Cebu Bus Rapid Transit (CBRT) Package 1, which is currently 97.67% complete. This P28.78-billion system, running from the Cebu South Bus Terminal to Fuente Osmeña, is expected to serve 34,000 passengers daily upon its partial opening in March 2026.

Secretary Lopez also emphasized the consideration of a Public-Private Partnership (PPP) scheme for subsequent packages to complete the entire 35-kilometer high-capacity transport network.

Other Major Infrastructure Projects

Lopez highlighted several other critical developments:

New Cebu International Container Port: Construction is 20.33% complete, designed to alleviate cargo congestion at the old Cebu Baseport and strengthen Cebu's role as a regional logistics hub.
MCIA Runway Extension Rehabilitation: This P578.4-million project is 88.9% finished and set for completion in the second quarter of 2026, enhancing aircraft safety and performance in adverse weather.
MCIA Expansion: A PPP initiative planned to increase airport capacity to 14 million passengers annually via a new Terminal 2 and upgrades to Terminal 1.
Bohol-Panglao International Airport: A P4.53-billion expansion will boost capacity from 20 million to 39 million passengers per year.

Additional Mobility Enhancements

The DOTr has already established 189 kilometers of bike lanes in Metro Cebu, with plans for an additional 13 kilometers and 26 new PUV stops under a P498-million initiative. The "Love Bus Libreng Sakay" program, with a P360-million budget, has provided 3.43 million free rides on two major Cebu routes since February 2026.

Lopez stressed that the department prioritizes PPP arrangements to ensure the sustainable operation and maintenance of these multi-billion-peso investments.