MANILA, Philippines - Megawide Construction Corp., the major contractor for the SM Group property developer SM Development Corp., is investing P709.05 million to mass produce modular housing components/systems to be supplied to housing projects.
The project, which is listed under the current Investment Priorities Plan under the heading ''Manufactured products'' has been approved by the Board of Investments for incentives. Based on Megawide's application, its project will be located in Taytay, Rizal with an annual capacity of 654,750 pieces. It plans to start commercial operation in June this year employing 1,592 people.
The proposed project involves the mass production of modular housing components/systems such as: 1) Exterior and interior pre-cast wall panels with complete doors and windows System; 2) Structural pre-cast beams and columns with complete electrical conduits and plumbing System; and 3) Pre-cast slabs and floor panels with complete floor finishing and ceiling systems. Its facilities will use an assembly line track to move the component or system from one workstation to the next.
Once the fabrication is completed, the housing components/systems are then transported using a pre-cast trailer to the building site where a crane is brought in to set them in place. The placement of the housing components together generally takes several hours or days using the quick-connect assembly technology.
Plant engineers are on site to supervise the construction and ensure that all building codes are adhered to during assembly. Once assembled, modular housing components are essentially indistinguishable from those built on-site.
Megawide has committed to sell at least 70% of its total annual production volume to mass housing projects. It is required to submit documented information to the BoI as proof of its compliance.
As a pre-registration condition, the firm will be required to submit the following: (a) certification from a competent national authority that its technology is new and environment-friendly. Megawide has already filed a request for a certification with the Accreditation of Innovative Technology for Housing (AITECH) Committee and as certification from the Competent National Authority that the firm's products/systems are modular.
At present, Megawide is engaged in general construction business building residential houses and condominiums. Its proposed project involves the production of modular housing components/systems, which is entirely distinct and different from its existing business operation in terms of final product.
Aside from being the major contractor of SMDC, a unit of the SM Group engaged in condominium development, this wholly-owned Filipino firm is primarily engaged in general construction business including the constructing, enlarging, repairing, or engaging in any work upon buildings, houses and condominium, road, plants, bridges, piers, waterworks, railroads & other structures. (BCM)
