11 July 2012, The Manila Times
by Rosalie Periabras
More than a hundred representatives of foreign and local investors attended the briefing and pre-qualification proceedings on the P60-billion Manila Line 1 Extension project.
The project will bid out the operations and maintenance (O&M) of the existing Light Rail Transit (LRT) Line 1 system, and the Line 1 Cavite Extension, as well as the construction of the latter.
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, will come from the government through official development assistance.
Transportation and Communications Secretary Manuel Roxas 2nd said that the interest shown by the investors proves that the private sector “is fully engaged” in this project, which he described to be the “largest single ticket in infrastructure portfolio of President Benigno Aquino 3rd.”
Among the prominent business organizations which sent representatives to the investors’ briefing and pre-qualification conference include Metro Pacific Investments Corp., San Miguel Infra, Makati Development Corp, First Pacific, Marubeni, DMCI, FF Cruz, Ecorail, Leighton Contractors, Japanese firms Sumitomo, Mitsubishi and Itochu, and French transportation contractors RATP and Systa.
Financial institutions were also present, including ING Bank, Bank of the Philippine Islands, Banco de Oro, PNB Capital, Citi and Chinabank.
Roxas said that the high profile attention the project has received from major companies here and abroad only shows that the private sector believes in the level playing field in government procurement brought about by the Matuwid na Daan thrust of the Aquino administration.
A series of road shows in London, Madrid, Japan, and South Korea are tentatively scheduled sometime in August to entice more foreign investors worldwide to take part in the project.
Increase in ridership
The existing Line 1, with ends in Roosevelt Avenue in Quezon City and Baclaran in Parañaque City, serves about 500,000 commuters daily.
The Cavite Extension project will 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 viaducts, support beams and three intermodal facilities. Approximately 10.5 kilometers of the Cavite Extension System will be elevated and 1.2 kilometers will be at grade.
The government expects to complete the bidding process by early next year, and is looking at issuing a notice of award to the winning bidder by the second quarter of 2013.
