Vice Mayor Osmeña Escalates Legal Battle Over Carbon Market Modernization to Supreme Court
Cebu City Vice Mayor Tomas Osmeña has taken his fight against the controversial Carbon Market modernization project to the highest judicial authority in the Philippines. In a bold legal move, he has filed a petition with the Supreme Court, seeking to declare the joint venture agreement (JVA) for the project as illegal and to halt its implementation.
Petition Challenges Regional Trial Court Decision and Alleges Constitutional Violations
The petition, dated January 16, 2026, directly challenges a previous ruling by the Regional Trial Court (RTC) in Cebu City, Branch 58. The RTC had dismissed an earlier case filed by Osmeña based on the legal principle of litis pendentia, citing the existence of another pending case involving the Carbon Market. However, Osmeña argues that his case raises distinct public and constitutional issues that are separate from the separate lawsuit filed by vendors of the Carbon Public Market.
He is urging the Supreme Court to review whether the RTC correctly applied the litis pendentia doctrine in dismissing his case. Furthermore, Osmeña is requesting the high court to examine the legality of the JVA itself and the proposed modernization plans for the historic market.
Key Legal Arguments Against the Joint Venture Agreement
In his detailed petition, Vice Mayor Osmeña outlines several critical legal grounds for his challenge:
- Violation of City Ordinance: He contends that the JVA breaches City Ordinance No. 2154, which mandates that major commercial, trade, tourism, and investment projects must be located within the South Road Properties (SRP). Osmeña asserts that the redevelopment of Carbon Market effectively creates a commercial hub outside this designated area.
- Lack of Authority: Osmeña claims that the Cebu City government lacks the authority to enter into the JVA because more than seven hectares of the land involved are owned by the national government, not by the City of Cebu.
- Due Process and Equal Protection Concerns: The petition highlights alleged violations of due process and equal protection under the law. These include insufficient public consultation and purported flaws in the project approval process.
Specific Remedies Sought from the Supreme Court
Vice Mayor Osmeña is not merely seeking a legal review; he has outlined concrete demands for the Supreme Court to consider:
- Issue a permanent injunction to stop all construction activities related to the Carbon Market modernization.
- Order the restoration of any market structures that have already been demolished.
- Declare Megawide, the private partner in the JVA, as disqualified from continuing with the agreement.
This legal escalation marks a significant development in the ongoing debate over the future of Carbon Market, a landmark in Cebu City. The Supreme Court's decision on this petition could have far-reaching implications for urban development projects and public-private partnerships across the Philippines.