Rappler, 21 October 2014
By Mick Basa
 
Bidders fear a political transition might hamper the project turnover if done after a new administration assumes office in 2016
 
MANILA, Philippines – Vying bidders for the contract to operate and maintain the Light Rail Transit line 2 (LRT2) have asked the government to speed up the turnover of the project before a new administration takes over in 2016.

At the pre-qualification conference of the project, Ayala’s AC Infrastructure Holdings Corporation Executive Vice President Noel Kintanar asked the Department of Transportation and Communications (DOTC) whether the government’s tender timetable of repairing and operating the LRT2 would not be affected by the 2016 elections.

“Do you see any inherent risk that the concessionaire will have to go through a political transition and we end up with something that we don’t exactly desire?” asked Kintanar, who represented the Light Rail Manila Consortium, a partnership between the Pangilinan-led Metro Pacific Investments Corporation (MPIC) and AC Infrastructure.

He added, “The request could be get everything done before the next elections. It is just the turnover process so we may fast track it.”

In its presentation to prospective bidders on Tuesday, October 21, DOTC scheduled the collection of qualification documents on November 20, while pre-qualified bidders would be notified on December 20 – the same date of release of the first draft of the concession agreement to the qualified bidders.

Bidders have until June to July 2015 to submit the bid, as the agency targets to sign the concession agreement with the winning bidder by August or September 2015.

Catherine Gonzales, DOTC Undersecretary for Procurement and Administration, said the following companies have bought bidding papers:

  • San Miguel Corporation
  • Marubeni Corporation
  • Light Rail Manila Consortium (LRMC)
  • GT Capital Holdings, Inc
  • DM Consuji Inc
  • RATP Development

The winning bidder will operate and maintain the 13.8-kilometer railway system from Claro M. Recto in Manila to Santolan in Pasig City, including the proposed extension to Masinag in Antipolo City.

The government also eyes to extend LRT2 to the North Harbor in Manila.

The concession period would run between 10 and 15 years.

While the government is bent in nationalizing the Metro Rail Transit 3, the LRT2 is undergoing privatization for its operations and maintenance.

In October, the government signed an agreement with LRMC to stretch the LRT1 from its current southernmost Balcaran station down to a new south endpoint in Niog in Bacoor, Cavite. The extension will serve nearly 4 million residents of Parañaque, Las Piñas, and Cavite. – Rappler.com

*$1=P44.75