More than two years after signing the grant agreement, the Department of Transportation (DOTr) is moving forward with its plan to develop a nationwide vessel traffic management system (VTMS), beginning its search for a United States-based (US) partner to oversee the project’s feasibility study.

In a notice, the US Trade and Development Agency (USTDA) said the DOTr is soliciting technical proposals from interested US firms to determine the viability of deploying an advanced VTMS across the Philippines.

Based on these proposals—which must outline the methodology for meeting the project's requirements—the DOTr will select a qualified company for contract negotiations and, ultimately, to execute the study.

The selected US firm will be paid $979,270 (approximately ₱59.46 million) through a grant provided by the USTDA to the DOTr. The grant agreement was originally announced in March 2024 as part of Washington's efforts to support the country's VTMS capabilities, which are managed by the Philippine Coast Guard (PCG), an attached agency of the DOTr.

“As a nation comprised of over 7,000 islands, over 800 commercial ports, and growing vessel traffic activity, the Philippines needs to expand its VTMS capabilities to major ports and other navigational paths,” the USTDA stated.

The agency noted that the system will address critical maritime safety issues by enabling greater situational awareness and coordination, particularly in congested ports and waterways.

Despite being an archipelago with a complex network of navigational channels, the Philippines does not consistently monitor maritime vessel traffic outside of major hubs like Manila, Cebu, and Batangas.

“This can result in significant vessel congestion in channels, delays at ports, and increased risk of vessel collisions and environmental incidents,” the international agency warned.

Through the study, the selected US firm will assess and rank 10 ports across the country that have been pre-identified by the PCG for potential VTMS installation. According to the project brief, these ports are located in Occidental Mindoro, Northern Samar, Palawan, Basilan, Iloilo, Sarangani, Ilocos Norte, La Union, Surigao del Norte, and the Dinagat Islands.

Following its initial assessment, the firm will select a minimum of eight sites for detailed technical analysis. This phase will cover the design of the VTMS architecture as well as its infrastructure and technological requirements.

The feasibility study will also evaluate the performance of the PCG's existing VTMS center in Cebu and provide recommendations for operational and infrastructure upgrades. Concurrently, it will assess the technical capacity of key stakeholders and layout a comprehensive implementation plan identifying milestones and activities for both the DOTr and the PCG.

Interested firms have until July 31 to submit their technical proposals to the DOTr.