LRT deal rebidding up to LRTA — BSP

The Bangko Sentral ng Pilipinas (BSP) has passed the buck back to the Light Rail Transit Authority (LRTA), saying it is up to the agency to decide whether to rebid the $204-million LRT Line 1 expansion project being fought over by three Japanese construction companies.

LRTA Administrator Pacifico Fajardo said the BSP had replied to their recent request for an opinion on their prequalification of the financial package bids of two Japanese contractors and disqualification of another Japanese contractor from the bidding.

"The problem is that it was the same as the opinion of the DOJ (Department of Justice). They said that it was up to the LRTA to decide," Fajardo told The STAR.

He said that with this development, he has opted to have their move evaluated anew.

"I think we’ll just have to study our options and again evaluate all that has been done in the bidding for the project," he said.

Last month, former senator Francisco Tatad alleged that the bidding for the project was fraught with irregularities, with "some groups" closely identified with Malacañang reportedly extorting money from the Japanese firms fighting over the project.

The expansion of the LRT Line 1’s capacity is a "tied" project funded by the Japan Bank for International Cooperation (JBIC), and only Japanese companies can bid for and undertake the project.

The Department of Transportation and Communications (DOTC) and LRTA have denied Tatad’s allegations.

Fajardo said the government is doing all it can to ensure the integrity of the bidding. He explained that the bidding for the project was stalled after Marubeni Corp. protested the prequalification of the bids made by its rivals, Kanematsu-Kawasaki Steel Consortium and Sumitomo-Itochi Joint Venture.

Meanwhile, officials held yesterday a successful test run on the second phase of the LRT Line 2 from its station in Santolan, Pasig City to downtown Manila.

President Arroyo, who celebrated her 57th birthday yesterday, and other government officials were on the test run.

Transportation Secretary Leandro Mendoza said plans to open the second phase of LRT Line 2 to the public on April 12 is right on schedule.

Officials hope the entire stretch of the LRT Line 2 will be ready for commercial operation by October when its Recto Avenue station in Manila is opened.

The LRTA said the second phase of LRT Line 2, otherwise known as "Purple Line" will benefit those residing and working in Quezon City, Manila, San Juan, Marikina and Pasig.

Fajardo promised to give free rides to commuters from its Santolan station to its last stop on Legarda Avenue in Manila.

"We expect that with the opening of the line, traffic congestion along this traffic-prone corridor will be eased with the travel time substantially reduced for the convenience of commuters," Mendoza told reporters.

The inaugural run tested the rail line from Cubao to the University Belt area in Legarda Avenue. It passed through the newly opened Betty Go-Belmonte (formerly Boston) Street station in Cubao, Quezon City as well as stations along Gilmore Avenue in New Manila; J. Ruiz in San Juan; and V. Mapa and Pureza in Santa Mesa, Manila.

Phase one of the LRT Line 2 project — which covers the stations along Santolan, Katipunan Road, Anonas Road and Araneta Center-Cubao — was made operational last year.

Once all 10 stations are operational, travel time from Santolan to Legarda will take only 20 minutes.