Bidding set today for Pasig River ferry service franchise

The Pasig River Rehabilitation Commission (PRRC) together with the Department of Transportation and Communication (DOTC) and the Metro Manila Development Authority (MMDA) are set to bid out today (Sept. 28) the franchise to operate a 17-kilometer Pasig River ferry service.

In a press conference attended by DOTC Undersecretary Agustin Bengzon, PRRC executive director Bingle Gutierrez, Commander Ronilo Bacolod of the Light Rail Transport Authority and Unilever General Manager for Corporate Development Chito Macapagal, there are at least five serious bidders in today’s open bidding.

The five bidders were identified as Nautical Transport Services, Metro Star Ferry, Ocean Bay Ferry Corp., Mt. Samat Ferry and Montenegro Shipping Lines.

There was a sixth firm, Big Rig, which purchased a bid form but did not attend the two pre-bid conferences called by the project team lead by Usec Bengzon.

According to Bengzon, Nautical Transport Services is a joint venture between an Australian firm and a Filipino partner. The Australian firm reportedly operates the Sydney Ferry.

Montenegro Shipping Lines operates a service between Batangas and Calapan, Mindoro.

Mt. Samat Ferry operates a ferry service from the Folk Arts complex to Corregidor.

The prospective Pasig River operator would be given an exclusive contract to operate the ferry for a period of five years to ensure its profitability.

The operator, likewise, would be free to set a "market-driven" fare.

The PRRC would provide support in the form of a terminal/station for which the operator would have to pay a still unspecified terminal fee.

The PRRC is rehabilitating the famous Pasig River through private funds and a $75-million loan from the Asian Development Bank.

The PRRC is spending between P7 million and P10 million for each terminal.

The PRRC is planning to build a total of 15 terminals.

Thus, the prospective operators should initially service five terminals by February 2006 and an additional 10 stations by June 2006.

PRRC foresees a ferry service that would involve 10 boats with a capacity of anywhere from 60 to 150 passengers and can provide at least 28,000 passenger trips (meaning a roundtrip commute).

The PRRC is hoping to revive the Pasig River ferry service which it had attempted twice before, but whose operators abandoned for one reason or another due to financial problems.

However, according to Chito Macapagal, the Pasig River ferry service may succeed this time around because of government’s more solid support for the alternative transport mode.