Posts Tagged ‘LRT Line 1 Extension’

Gov’t remains hopeful on bidding 4 PPP projects

Philippine Daily Inquirer, 06 September 2013

The Philippines remains keen on bidding out within the year at least four more public private partnership (PPP) deals valued at about P115 billion—all of which are related to transport infrastructure—despite a string of setbacks seen last month, the head of the PPP Center said Friday.

These include the P60-billion Light Rail Transit (LRT) Line 1 extension, the P1.72-billion automated fare collection system, the P17.5-billion Mactan-Cebu International Airport and the P35-billion Cavite-Laguna Expressway, PPP Center executive director Cosette Canilao said in a briefing.

But a key part of the plan means working on setbacks that delayed or derailed at least three auctions, the biggest of which was the LRT-1 extension to Cavite province, which was declared a failure after bidders pulled out or did not comply with the bidding requirements last August 15.

Canilao said the government was moving to revise the bidding terms for this project. She said they were now allowing the government to absorb costly real property taxes, or RPTs, estimated at P2 billion, and provide a subsidy component during the bidding process.

Canilao reiterated that they have also decided to proceed to rebid the project, noting that the National Economic and Development Authority board would have to approve these actions.

The failure of the LRT-1 auction was believed to have prompted the DOTC to defer the bidding and refine the concession agreements for both the Mactan-Cebu Airport and the AFCS, originally scheduled to be auctioned last Aug. 28 and Aug. 30, respectively.

Canilao said the draft concession agreements for both projects were already released to bidders and that these would likely be auctioned by the end of October.

The submission for prequalification documents for Cavite Laguna Expressway, meanwhile, is scheduled on Sept. 23 with bid submissions set on December 27. Assuming there are no delays, the 47-kilometer expressway would be the last PPP deal to be bid out in 2013, Canilao said.

The PPP Center was also looking to roll out seven more projects, possibly within the second half, Canilao said.

These are the P5-billion integrated transport system project, the P297-million grains central project by the Department of Agriculture, and the New Centennial water supply project and Bulacan bulk water supply project, both under the Metropolitan Waterworks and Sewerage System.

The remaining three that could be rolled out are operations and maintenance contracts for the Panglao and Laguindingan provincial airports as well as prison facilities.

These deals are part of about 45 projects the government wants to auction under its PPP program. So far, three projects have been awarded since 2011. Miguel R. Camus


DOTC to meet pre-qualified firms for LRT-1 Cavite ext project

ABS-CBN News, 25 April 2013

MANILA — The Department of Transportation and Communications will be meeting with the pre-qualified bidders for the P60-billion Light Rail Transit (LRT) Line 1 Cavite Extension project.

“The conferences will give bidders the chance to bring up their questions and comments on the draft Concession Agreement which will eventually be awarded to the winning bidder,” the DOTC said in a statement.

“[T]his will enable the bidders to better prepare their respective bid proposals, which are due for submission on June 17,” the department added.

The agency said its Special Bids and Awards Committee and the Light Rail Transit Authority has scheduled the conferences from April 25 to 30. The government offices will be meeting with the consortium of DMCI Holdings Inc., the Light Rail Manila consortium, the consortium of SMC Infra Resources Inc., and the MTD Samsung consortium.

Last year, thirty-three companies bought invitation documents for said project. However, only six groups submitted their qualification documents and only four were declared qualified.

The LRT-1 Cavite Extension project will add additional stations to the existing line, allowing it to reach passengers in Niyog in Bacoor, Cavite. The government is also mulling to further extend this to Dasmariñas City and Imus.


Foreign investors interested in NAIA, LRT projects — PPP Center

17 September 2012, GMA News


Investors from China, Japan and the UK have expressed interest in two of the government’s public-private partnership (PPP) infrastructure projects, the head of the PPP Center said Monday.

“They have expressed interest in the [Ninoy Aquino International Airport] and [Light Rail Transit] projects,” the Center’s executive director Cosette V. Canilao said in a press conference after the mid-year Philippine Economic Briefing among the country’s economic leaders.

The PPP Center is preparing to bid out the $1.4 billion LRT Line 1 Cavite Extension and Operations & Management contract as well as the $377.5 million Ninoy Aquino Expressway Phase II road project that would improve access to the airport.

The LRT and NAIA projects are two of the PPP projects that the government is set to roll out this year.

“We’ll launch at least eight projects this year. We’ve resolved most of the bottlenecks already,” Finance Secretary Cesar Purisima said.

So far, the government has been able to bid out the Daang Hari Project and the $239 million-worth PPP For School Infrastructure Project’s (PSIP) Phase I.

The Department of Education is set to bid out PSIP’s Phase 2 before the end of the year.

Three of this year’s eight PPP projects are still waiting for the National Economic and Development Authority (NEDA) Board’s approval: the $466.8-million Cavite-Laguna Expressway; the $128.3-million modernization of the Philippine Orthopedic Center; and the $11.3-million Vaccine Self-Sufficiency Project Phase II.

One project is up for review by the Investment Coordination Committee: the $38.1-million rehabilitation, operation and maintenance of Angat Hydro-Electric Powerplant’s Turbines 4 and 5. — BM, GMA News


5 more PPP projects within year

Business Mirror, 30 August 2012
By Max De Leon

The government will offer to investors five more projects under the administration’s Public-Private Partnership (PPP) Program within the year.

The Aquino administration already rolled out three such projects this year, and even with just four months to go, PPP Center Executive Director Cosette Canilao expressed confidence her office would be able to meet the government’s goal of starting the bidding process for a total of eight projects this year.

“We are still positive that we would be able to meet that target,” Canilao said.

The government has started the selection process for private-sector investors for $239-million School Infrastructure Project Phase I, the $1.4-billion LRT Line 1 Cavite Extension and O&M (operations and management), and the $377.5-million Naia Expressway Phase II.

Canilao said the National Economic and Development Authority (Neda) Board, which is chaired by President Aquino, is now reviewing three of the remaining five projects to be rolled out this year.

These are the $128.3-million Modernization of Philippine Orthopedic Center Project, the $11.3-million Vaccine Self-Sufficiency Project Phase II and the $466.8-million Cavite-Laguna Expressway Project.

The Neda’s Investment Coordination Committee (ICC), meanwhile, is still studying the $38.1-million O&M of Angat Hydro-Electric Power Plant Turbines 4 and 5.

After going through the ICC, the project would then be submitted to the Neda Board for final approval before it is offered to private investors. The paperwork for the $480.5-million Nlex-Slex  Connector  project, on the other hand, as proposed by interested proponent Metro Pacific Investment Corp. MPIC, is expected to be submitted by the Department of Public Works and Highways (DPWH) within the week or next week, Canilao said.

“The Neda will take one month to study it and then have it ready for publication for possible Swiss challenge, most likely in October,” Canilao said.

If the MPIC offer is challenged, Canilao said the DPWH would have to consider both proposals. The government currently has 22 PPP projects in the pipeline.


Deadline for LRT-1 extension project documents moved

17 August 2012, Business World Online

by Cliff Harvey Venzon


Submission of pre-qualification documents for the project to expand and operate the Light Rail Transit Line 1 (LRT-1) has been moved to accommodate bidder request, an official said on Friday.

Moving the submission date to Sept. 28 from Aug. 22 will “allow more bidders to participate [in the auction] and because many asked for extension,” Transportation Undersecretary Jose Perpetuo M. Lotilla said in a text message.

A special bid bulletin dated Aug. 16 and uploaded in the Transportation department’s Web site, meanwhile, said: “In response to the request of several request from prospective bidders for more time to prepare the qualification documents and in light of the recent revisions to the instructions to prospective bidders, the qualification documents is extended to Sept. 28.”

According to a list provided by Transportation Secretary Manuel A. Roxas, 25 parties have purchased bid documents for the project, which is under the Public-Private Partnership (PPP) program, as of July 10, namely: SMC Infra Resources, Inc., Macquarie Group, Mitsubishi, D. M. Consunji, Inc., Hanjin Heavy Industries & Co., Ltd., Sumitomo Corp., Leighton Contractors, Sycip Salazar Hernandez and Gatmaitan Law Offices, FSG Capital, Inc., E. F. C. Enterprises, F. F. Cruz & Co. Inc., Marubeni Corp., BPI Capital Corp., ING Bank, Jorgman Planning & Development Corp., RATP Development, Benchtel Overseas Corp., Lenvoisa Construction, Inc., APT Global, Inc., Makati Development Corp., Tranzen Group, SERCO, Cathay Energy Service Corp. and Systra.

The P60-billion project involves the extension of the railway by 11.7 kilometers to Cavite from the Baclaran end-point. The project involves the operation and maintenance (O&M) of the railway, design/construction/ integration of the Cavite extension, and program for continued system enhancements.

According to a preliminary information memorandum released on June 4, the winning bidder will be named next year, with the contract to be awarded in March or April.

Turnover of the existing line’s O&M, meanwhile, is in May 2013. Approval of the extension’s detailed engineering is scheduled for September of the same year, with construction to start the following month. Partial operations are set for the third quarter of 2015.

The government will also bid out the purchase of additional rolling stock via a separate contract exclusively with Japanese firms, the memorandum said without specifying the date.

Delivery of new carriages and full operation of the extended LRT-1 is being eyed for the third or fourth quarter of 2017. Turnover of the system to the government is targeted in 2042-2047. Under the build-transfer-operate format, the winning bidder will assume the risks of construction and operation even as ownership is transferred to the government.

Only one PPP project — the P1.96-billion Daang Hari-Southern Luzon Expressway link won by Ayala Corp. last December — has been awarded since the centerpiece infrastructure program was launched in late 2010.

On Thursday, the government named BF Corp.-Riverbanks Development Corp. and Citicore Investments holdings, Inc.-Megawide Construction Corp., Inc. as winners for the PPP project to build 9,031 classrooms in three regions in Luzon.

Meanwhile, pre-qualification for the Ninoy Aquino International Airport Expressway Project Phase II, which is a P15.52-billion contract to construct a four-lane, 7.15-kilometer elevated road, has been set for Sept. 18. – Cliff Harvey C. Venzon


DOTC extends bid deadline for P60-B LRT project

Philippine Star, 18 August 2012
By Lawrence Agcaoili

MANILA, Philippines – The Aquino administration is giving interested bidders in the proposed P60 billionLight Rail Transit extension to Cavite more time to prepare their bids as the deadline for the bidding has been extended by a month.

In a special bid bulletin, the Department of Transportation and Communications (DOTC) has moved the deadline for the submission of qualification documents to September 28 instead of the original schedule of August 22.

“In response to the request of several prospective bidders for more time to prepare the qualification documents and in light of the recent revisions to the instructions to prospective bidders, the qualification documents submission date is extended to September 28,” the DOTC said.

The Cavite extension project would increase the span of Line 1 from 20.7 kilometers to 32.4 kilometers and will have a new south endpoint in Niog, Bacoor, Cavite. The extension includes eight stations (with provision for two future stations), 10.5 kilometers of viaduct, support beams, and 3 intermodal facilities.

Approximately 10.5 kilometers of the Cavite extension system would be elevated and 1.2 kilometers would be at grade level. The government has set aside P30 billion to acquire up to 39 new Light Rail Vehicles for this project.

The extension would open up the Line 1 services to the nearly four million residents of Parañaque, Las Piñas, and the Province of Cavite.

Conglomerates present during the investors’ briefing and pre-qualification conference last July 10 included First Pacific and affiliate Metro Pacific Investments Corp. (MPIC), San Miguel Infrastructure, Ayala-controlled Makati Development Corp, FF Cruz, and DMCI.

Foreign companies represented during the meeting were Japanese-owned Marubeni, Sumitomo, Mitsubishi, Itochu as well as French transportation contractors RATP Dev and Systa as well as Ecorail and Leighton Contractors.

Banks present during the conference were Ayala-controlled Bank of thePhilippine Islands (BPI), BDO Universal Bank of retail magnate Henry Sy, PNB Capital of banking and beverage tycoon Lucio Tan, China Bank, and Dutch financial giant ING Bank, and American-owned Citi.

The Manila Line 1 project would bid out the operations and maintenance of the existing LRT Line 1 system, the construction of the Line 1 Cavite Extension, and the O&M of both existing and extension as an integrated system.

The construction of the tracks, the stations and all its attendant facilities, as well as O&M, worth about P30 billion, would be bidded out. The other half of the P60-billion project, which includes the purchase of the coaches, would come from the government through official development assistance (ODA).


DOTC extends bid deadline for P60-B LRT-1 extension project

GMA Network, 17 August 2012

Investors interested in the P60-billion Light Rail Transit extension to Cavite wanted more time before submitting their bids for the public-private partnership project, prompting government to extend the deadline to Sept. 28 from Aug. 22.
“In response to the request of several prospective bidders for more time to prepare the qualification documents and in light of the recent revisions to the instructions to prospective bidders, the qualification documents submission date is extended to September 28,” the Department of Transportation and Communications (DOTC) noted in a special
Bulletin Friday.
The project would extend LRT Line 1 to 32.4 kilometers from 20.7 kms and to a new south endpoint in Niog, Bacoor, Cavite.
The extension covers eight stations, with provision for two future stations, 10.5 kilometers of viaduct, support beams, and three intermodal facilities.
About 10.5 kilometers of the Cavite Extension System would be elevated and 1.2 kilometers at grade level.
Government has set aside P30 billion to buy up to 39 new Light Rail Vehicles for the project, according to the DOTC.
The extension would open up the Line 1 services to the nearly 4 million residents of Parañaque, Las Piñas, and the Province of Cavite, the department noted.
During the investors’ briefing and pre-qualification conference last July 10 were First Pacific and affiliate Metro Pacific Investments Corp., San Miguel Infrastructure, Ayala-controlled Makati Development Corp., FF Cruz, and DMCI.
Japan’s Marubeni, Sumitomo, Mitsubishi and Itochu were also present, as well as French transportation contractors RATP Dev and Systa. Ecorail and Leighton Contractors were also there.
Banks that attended the conference were Bank of the Philippine Islands, BDO Universal Bank, PNB Capital, China Bank, and Dutch financial giant ING Bank, and American-owned Citi.
PPP project would entail the operations and maintenance of LRT Line 1 system, construction of Line 1 Cavite Extension, and the operations and management of both as an integrated system.
The winning bidder from the private sector get to build the tracks, stations and facilities, and operate and maintain LRT I for P30 billion.
Government would cover 50 percent of the P60-billion project, including the coaches, which would be financed through official development assistance. — VS, GMA News

Prospective Japanese Investors Flock to the Philippine PPP Seminar in Tokyo

High Japanese Interest in LRT-1 Extension Project Noted

Philippine Embassy – Tokyo, 16 August 2012

Japanese investors’ keen interest in the Philippines’ Public-Private Partnership (PPP) Program was once again affirmed with the successful staging of the PPP Seminar at the ASEAN-Japan Center in Tokyo last 02 August.

Organized by the Public-Private Partnership (PPP) Center and the Department of Transportation and Communication (DOTC) in cooperation with the Philippine Embassy in Tokyo, the Seminar was attended by around fifty participants representing major Japanese companies, as well as partner institutions such as the Japan International Cooperation Agency (JICA).

Philippine Embassy ChargĂ© d’Affaires Gina A. Jamoralin formally opened the proceedings with welcome remarks that highlighted the Philippine Government’s vigorous pursuit of infrastructure development, as well as the excellent investment opportunities offered by the Philippines, which has outperformed other regional economies and whose strong and sustained growth has placed it high on the radar of investors around the globe.

DOTC Assistant Secretary Jaime Raphael Feliciano gave a well-received presentation on the Manila LRT1 Extension, Maintenance and Operations Project, one of the latest PPP projects to be rolled-out by the Aquino Administration and to be opened to pre-qualification and bidding by prospective investors. PPP Center Executive Director Cosette V. Canilao followed with an overview of the Philippine Government’s PPP Program and a summary of the status of pipeline PPP projects that drew enthusiastic reactions from the participants.

The presentations were followed by an open forum and one-on-one consultations that enabled participating Japanese firms and organizations to engage the visiting Philippine PPP team in discussions on specific aspects of the LRT1 project and the PPP Program as a whole.

The top source of foreign direct investments and ODA in the Philippines, Japan has expressed strong support for the Aquino Administration’s infrastructure development initiatives under the PPP scheme, both at the level of its government and business sector. It regards the PPP program as providing an attractive window for Japanese investments in the country, and for furthering Japanese collaboration with the Philippine government in boosting infrastructure growth using Japanese innovations and systems.

Infrastructure development and the PPP are both key pillars of the Aquino Administration’s strategy towards promoting and attaining inclusive growth.



PPP roadshow for rail held in Madrid

Manila Times, 01 August 2012

The Manila Metro Line 1 Extension, Maintenance and Operations Project Investors’ briefing was successfully held in Madrid on July 23 at the headquarters of the Spanish Confederation of Business Organizations (CEOE in Spanish) with about 50 participants from about 27 Spanish companies in attendance.
The briefing was organized by the Philippine Embassy and Philippine Trade and Investment Center (PTIC) in Madrid.

Among the major Spanish companies in the transport industry in attendance were, Metro de Madrid, Renfe, CAF, Indra, Centunion, Ineco, Getinsa, IDOM, Cemex, OHL, Abengoa, AEDIP, Seopan and Talgo, among others

The briefing started with the delivery of opening remarks by the CEOE President of the Council for Trade Promotion, José Luis Gonzalez Vallvé, the Director General for Commerce and Investment of the Spanish Ministry of Economy and Competitiveness, Antonio Fernåndez-Martos, and Philippine Ambassador to Spain Carlos Salinas.

The Ambassador, at the beginning of his welcome remarks, stressed that fprogress requires a strong collaboration and the concerted effort of all sectors of society—the government, people, and the private sector.

He also underscored that infrastructure development is vital in the economic growth of a country. The Philippine Development Plan 2011-2016 recognizes the critical role that infrastructure plays in the economic development of the Philippines.

In his speech, Martos highlighted the recent visit of Queen Sofia to the Philippines as an indication of the strong bilateral relations between Spain and the Philippines. He said that he was delighted of the visit of the Philippine delegation and the opportunity given to the Spanish companies to hear about and participate in the pipeline transportation and infrastructure projects in the Philippines.

He further said that six of 10 global players in the transport industry are based in Spain and that Spanish companies are leaders in the sectors that are being promoted under the public-private partnership (PPP) Program of the Philippine Government. He was also glad to announce to the Spanish audience that a PPP project was awarded last year to Spanish company GETINSA, who is part of a consortium who tendered a bid for the said project.

After the briefing, the Philippine delegation composed of Department of Finance Undersecretary John Philip Sevilla, Department of Transportation and Communication Assistant Secretary Jaime Raphael Feliciano, PPP Center Executive Director Cosette Canilao, Development Bank of the Philippines Manager for Banking Investment Nicolas Chua and International Finance Corp. Counsel Adviser Lulu Baclagon, divided themselves into three groups to accommodate requests for one-on-one consultations.

Two discussed the Metro line 1 extension, maintenance and operation project, and another one discussed the other PPP projects. A total of 19 consultations were arranged with the participation of 11 Spanish companies.

In closing, Salinas invited the audience to visit the Philippines to see for themselves the opportunities that are available to them, or to talk to Spanish companies doing business in the Philippines and inquire on how the business goes in the country.

China Railway Operator Offers To Build $1.3-B LRT 1 Extension

Manila Bulletin, 11 June 2012

MANILA, Philippines — China’s biggest railway builder and operator China Railway Construction Corp. Ltd. (CRCC) has renewed its commitment in building the $1.3-billion LRT Line 1 extension to Cavite province under PNoy’s Public-Private Partnership Program.

This was bared by Jerome Canlas, executive vice president of Ecorail Transport Services, Inc., the original proponent for the construction of LRT-1 Extension, who said that its foreign partner China Railway Construction Corporation Limited, one of the world’s leaders in railways construction and technology, has relayed to the consortium that that it wants to pursue the project under the PPP.

Canlas said Ecorail is already in the third stage of its unsolicited proposal to design, finance, build, transfer and manage has the advantage over the project proponents considering its track record in railway and train construction and its strong financial capability is readily available once the government gives the final for the project to proceed.

CRCC is one of the biggest in the world with assets of more than US$1 trillion and ranked 6th consistently for a period of nine years in the 225 largest contractors and among the top 500 enterprises in the world by Forbes magazine. CRCC is the operator of the world’s fastest train that traverse the Wuhan-Guangzhou line. CRCC, has already built 34,000 kilometers of railway tracks in 60 countries all over the world, including the 1,200-km Qing Hai-Tibet railway line. In 2008, CRCC listed its shares in the Shanghai and Hong Kong Stock Exchanges, raising the second largest initial public offering (IPO) in the world with US$ 5.71 billion second only to the IPO of Visa with US$19.65 billion.

“We hereby affirm our interest to cooperate with your esteemed organization to jointly pursue the above project which not only further underscores our mutual long term relationship but also progression of the framework of cooperation agreement entered into by both our organizations in Tianjin in June 2009, Hu Zhenyi, CRCC Executive Director and Vice President, said in his letter to Ecorail.

Cost-wise, the infrastructure development of Ecorail proposal is a lot cheaper at US$ 42.165 M per kilometer as against the other proposals at more than US$ 45 M per kilometer. The proposal for electro-mechanical works inclusive of the provision for rolling stocks sufficient to accommodate the peak ridership at 25 minutes headway over a period of time is also cheaper at US$409.14 million as against other proposals.

Ecorail is composed of well-experienced and experts in the fields of project financial packaging, project development inclusive of Engineering, Procurement and Construction as well as Operations and Maintenance Management at par with international standards.

Ecorail proposition will reduce the government’s balance of payment deficits and/or reduce subsidies which are advantageous to the Philippine Government, which is expected to minimize exposure to the project because it has no government guarantee.

Length-wise, the alignment of the LRT Line 1 South Extension proposed by ECORAIL is longer by more than 4 kilometers with its terminal point in Imus, Cavite as against the other proposals with terminal stations in Bacoor, Cavite. The project provides the much-needed link between the southern cities and municipalities of Cavite province and northern cities of Metro Manila. The railway system is intended to provide an efficient and reliable mode of transportation to help decongest the main arteries of Metro Manila.

LRT 1 extension will supplement the LRT 1 by extending it from Baclaran to Imus, Cavite; It will pass NAIA, Sucat, both in Paranaque Las Pinas, Zapote in Muntinlupa, and Talaba, Bacoor, Aguinaldo and finally Imus, all in Cavite.

Canlas said Ecorail has a ‘programmed solution’ for system enhancement and full integration provided by its designated team of specialists covering the North Line 1 Extension, the Existing Line 1 and the proposed South Line 1 Extension into a ‘‘seamless operation.’’


DOTC rolls out P60-B LRT Line 1-Cavite Extension Project

PPP Center Press Release
04 June 2012

The Department of Transportation and Communications (DOTC) and its attached agency,  the Light Rail Transit Authority (LRTA), released on 4 June 2012 the official invitation to pre-qualify and bid (ITPB) for the P60-billion LRT Line 1-Cavite Extension Project.

Currently serving more than 500,000 commuters daily, the existing 20.7-km LRT Line-1 is now up for an 11.7-km extension and service improvement as private sector participation, efficiency, and expertise are now being tapped under the Aquino administration’s Public-Private Partnership (PPP) Program.

The existing train system, which runs from Roosevelt in Quezon City to Baclaran in Pasay, is set to be extended to Bacoor, Cavite where a large population of about four million people resides. This system upgrade is expected to benefit an additional 500,000 commuters living south of Metro Manila—Parañaque, Las Piñas, and the Province of Cavite—who travel daily to central business districts located in the Metro.

Specifically, the actual project involves five (5) key project components, namely: the operation and maintenance of the existing system; design and overall construction of the Cavite extension facilities (“Cavite Extension System”); integration of the existing and extension systems (“Integrated System”); operation and maintenance of the integrated system; and the system enhancement works covering whole-of-life investments for the integrated system.

The DOTC has engaged the Development Bank of the Philippines and IFC—the private sector arm of the World Bank—as its transaction advisors for this project.

The bidding is open to all interested bidders, whether local or foreign. Pre-bidding documents (i.e. invitation to pre-qualify and bid; and instructions to prospective bidders, including annexes) are available at the DOTC Main Office for distribution to interested parties until 21 August 2012 for a non-refundable fee of PHP50,000, payable in cash or manager’s check issued by a bank in the Philippines made out to the Department of Transportation and Communications.

The LRT Line 1-Cavite Extension Project is the third PPP project to be rolled out, following the successfully-awarded Daang Hari-SLEX Link Road project of the DPWH, and the currently under bidding PPP for School Infrastructure Project of the DepEd. The government is targeting to roll-out at least eight PPP projects in the pipeline this year.


DOTC seeks bids for P60-B LRT 1 extension project

Philippine Star, 05 June 2012

MANILA, Philippines – The transportation department is inviting interested firms to participate in the pre-qualification and bidding for the P60-billion extension of Line 1 of the Light Rail Transit (LRT).

“The DOTC’s (Department of Transportation and Communications) Prequalification, Bids and Awards Committee is inviting local and international companies to an open and transparent bidding process. They can pre-qualify and submit proposals in the international tender for the Manila Line 1 extension, operations, and maintenance,” the department said in a published notice yesterday.

Of the P60-billion approved budget cost of the project, P30 billion will go to the construction works for the extension of LRT Line 1 until Cavite, while the balance, which will come from a loan from the JapanInternational Cooperation Agency, will be used by the government to purchase train coaches.

The existing LRT Line 1 runs from Roosevelt in Quezon City until Baclaran in Pasay City.

The DOTC said the bidder must be able to provide the design, engineering, construction works as well as completion of the extension of the existing LRT Line 1 until Cavite.

“The Cavite extension will increase the span of Line 1 from 20.7 kms (kilometers) to 32.4 kms,” the DOTC said.

It noted that approximately 10.5 kms of the extension project will be elevated.

The extension will involve adding stations to the existing railway which are: Redemtorist, Manila International Airport Road, Asia World, N. Aquino, Dr. Santos, Manuyo Uno, Las Pinas, Zapote, Talaaba, and Niyog in Bacoor. The DOTC said the bidder must also be able to operate and maintain the LRT Line 1.

By being responsible for the operations and maintenance of the railway, the bidder will have to be able to replace the train fleet, and undertake the required rehabilitation works on the railway infrastructure and systems over the life of the concession.

Firms interested in the project can get a copy of the invitation to pre-qualify and bid, information memorandum and instructions to prospective bidders at DOTC’s office from June 1 to August 21, for a non-refundable fee of P50,000.

“Only persons who have purchased the invitation documents shall be allowed to participate in the pre-qualification and bidding process,” the DOTC said.

Interested firms must submit their pre-qualification documents on or before 2 p.m. on August 22 at the DOTC office.

About 500,000 commuters use the existing LRT Line 1 daily.

With a large number of the population in the south of Metro Manila traveling daily to the central business districts in Metro Manila, it is expected that up to an additional 500,000 daily commuters will benefit from the project.

DOTC Secretary Manuel Roxas II said earlier they expect half of the works on the project to be completed by late 2014 and the other half by late 2015.

In April, Metro Pacific Investments Corp. and Ayala Corp., formed a partnership for the development of light rail projects and real estate development projects.

LRT-1 extension schedule revised

Source:  Business World, 26 April 2012

THE TRANSPORTATION department has revised plans to release bid documents for the P30-billion Light Rail Transit-Line 1 (LRT-1) extension project, with a Cabinet official yesterday saying this could push through in May instead of this month.

“It’s a little bit complex,” Transportation Secretary Manuel A. Roxas II told reporters.“Between end week of April and first week of May is the acceptable time frame, and even if it goes to middle of May, what we want put out is a good and clear terms of reference,” he said.


Ayala Corp. to bid for LRT 1 extension

Source: ABS-CBN News online, 20 April 2012

MANILA, Philippines – Ayala Corp. stressed “change” and becoming a player in infrastructure would be key thrusts in the coming years.

Ayala said it would build power plants and bid for road, rail and other transport projects.

The conglomerate said it is prepared to bid for the contract to extend and manage the Light Rail Transit Line 1 (LRT 1). The government said it will start the bidding process for the P61.53 billion LRT 1 South Extension project from Baclaran to Bacoor, Cavite this month.

Ayala president Fernando Zobel de Ayala said the company needs to invest in nwe platforms for future growth.

While Ayala won the government’s first public private partnership project the Daang Hari extension, Metro Pacific, San Miguel, Aboitiz and Lopez groups have a headstart in power and infrastructure.

At the same time, Ayala Corp. on Friday said it is setting aside P90 billion for capital expenditures this year, which was “unprecendented” according to Ayala chairman Jaime Augusto Zobel de Ayala.

The bulk will go to its property unit Ayala Land and its telecommunications unit Globe Telecom.

Ayala Land will get P43 billion in capex, while Globe will be allocated P32 billion. Manila Water will get capex of P11 billion.  - ANC 


LRT-1 expansion rollout set

Source: Business World, 18 April 2012

By C. H. C. Venzon

THE TRANSPORTATION department is set to publish before the end of the month the invitation to bid for the expansion and management of the Light Rail Transit Line 1 (LRT-1), a Cabinet official said yesterday.

“We are on track. We will publish the invitation to bid before the end of this month,” Transportation Secretary Manuel A. Roxas II told reporters.

This comes as the National Economic and Development Authority Board, chaired by President Benigno S. C. Aquino III, late last month approved 12 projects endorsed by the Transportation department, including the P60-billion expansion and management of LRT-1 which is in the list of public-private partnership (PPP) ventures.

Detailing the latest development on the project, Mr. Roxas said set to be bid out before end-April is the P30-billion civil works for the construction of the 11.7-kilometer (km) Cavite extension from the existing 20.7-km stretch, which runs from Baclaran in Pasay City to Roosevelt in Quezon City.

The winning bidder, he reiterated, will control the operation of and management of the existing railway, and the entire stretch upon completion of the Cavite extension.

Mr. Roxas in February said that the civil works will cost P40 billion-P50 billion, but later on noted that changes have been made as a result of further studies.

The other P30 billion, the official said in the briefing, will be spent for 152 train coaches that will be up for bidding to Japanese firms. The project will be funded through a development assistance from the Japan International Cooperation Agency (JICA).

“The bidding for the rolling stock will follow within this year, maybe within six months, but we will finalize first the loan agreement,” Mr. Roxas said

Mr. Roxas said the government opted to fund the acquisition of coaches to avoid pass-on cost to customers through higher fares should the future LRT-1 operator purchase the units.

“If [the winning bidder] will be the one who will shoulder [purchasing of] coaches, it will levy the additional expenses through a higher fare,” he said.

“The initial agreement is that the bidding of the coaches will be [exclusively] offered to Japanese firms,” Mr. Roxas explained. “If we would allow other countries to participate, the interest of the JICA loan will be higher.”

Interest rates on the JICA loan will be at 1.4% if the government opts to open the bidding to all countries, unlike the 0.2% rate if exclusively offered to Japanese firms.

“So we chose the one that the government will get bigger savings,” he said.

Mr. Roxas said the government would need 152 additional coaches once LRT-1 has been extended to Bacoor, Cavite.
For his part, Hernando A. Cabrera, Light Rail Transit Authority spokesperson, in a text message yesterday said that 108 coaches are currently plying LRT-1, with three or four coaches per train.

The government originally offered separate operation and maintenance contracts for the LRT-1 (P7.7 billion) and Metro Rail Transit-3 (MRT-3, P6.3 billion), but these were combined in a PPP deal offered last year.

Mr. Roxas, however, shelved the project — which would have been the first PPP to be auctioned off — when he replaced Jose P. de Jesus at the Transportation department, citing the need for further review. He had earlier said that the project would be split and that the LRT-1 deal would be prioritized. — C. H. C. Venzon