Gov’t prequalifies 4 groups for LRT-2 O&M bidding

MANILA, Philippines - Conglomerates are expected to slug it out for the operation and maintenance (O&M) contract of the Light Rail Transit line 2 (LRT-2) in the third quarter of the year.

Michael Arthur Sagcal, spokesperson of the Department of Transportation and Communications (DOTC), said the joint Bids and Awards (BAC) of the agency and the Light Rail Transit Authority (LRTA) have prequalified all the four groups that submitted prequalified documents last Jan. 27.

Sagcal said the prequalified bidders include Aboitiz-SMRT Transport Solutions Consortium; DM Consunji Inc.-Tokyo Metro Co., Ltd. Consortium; Light Rail Manila Holding 2 Inc. of LRMH of Ayala Corp. and infrastructure giant Metro Pacific Investments Corp. (MPIC), RATP Transdev Asia, and RATP Developement SA; and diversified conglomerate San Miguel Corp. (SMC) – Korea Railroad Corp. (Korail) Consortium.

“All four interested groups for the LRT-2 O&M project have successfully hurdled the prequalification stage in the actual bid, which is targeted for the third quarter of this year,” he added.

SMRT Transport Solutions is a unit of SMRT Corp. LTD and is a premier multi-modal transport service provider in Singapore, while Tokyo Metro is controlled by the Japanese government and is into the operation and management of railways.

Korail in the national railroad operator in South Korea while Paris-based RATP Group is a state-owned public transport operator in France.

Companies that bought prequalification documents for the project have expressed interest in the project including LRMC, SMC, GT Capital Holdings of taipan George SK Ty, DMCI, Marubeni Corp. of Japan, RATP Development, APT Global Inc., Globalvia of Spain, and listed Aboitiz Equity Ventures.

Four groups submitted prequalification documents for the public private partnership (PPP) project last Jan. 27.

“We are pleased to have a competitive number of experienced international rail companies partnered with reputable local firms vying for this project, which is envisioned to deliver world-class services to LRT-2 riders,” Sagcal said.

The O&M contract would be valid for 10 years wherein the winner would operate and maintain the existing 13.8 kilometer LRT-2 from C. M. Recto Ave. in Avenida, Manila to Santolan in Pasig City with 11 stations as well as the proposed P9.7 billion extension project covering an additional two stations all the way to Masinag in Antipolo City.

The winner would also operate and maintain other future extension of the LRT-2 system, including the proposed extension to Port Area in Manila.

The DOTC last month a P2.27 billion contract to DMCI for the construction of a viaduct further extending the LRT-2 by 4.14 kilometers all the way to Masinag in Cainta, Rizal.

The contract involving the construction of a 3.9-kilometer elevated guideway for the LRT-2 East Extension has been awarded to DMCI as part of the government’s railway modernization program.

DMCI would have 18 months to complete the civil works for the elevated guideway or viaduct.

The P9.7-billion LRT-2 extension is expected to further increase the current 200,000 daily passenger volume of the mass transit system that traverses the cities of Manila, San Juan, Quezon City, Marikina, and Pasig.