Giant Canadian firm eyes $1-B North Rail project

TARLAC CITY — A Canadian construction firm has expressed interest in taking a lead role in the consortium that would implement the construction of the billion-dollar 100-kilometer Manila-Clark Rapid Railway System (MCRRS) project, also known as the North Rail project.

The Canadian Rail and Aviation Corp. (CRAC) has reaffirmed its commitment to the MCRRS, a major railway project that would link Metro Manila to Clark.

Undersecretary Renato Diaz, the presidential assistant for North Luzon, said CRAC is keen to act as lead in a consortium that would participate in providing for the operational, engineering, mechanical and financial support for the project under the build-operate-transfer scheme.

Aside from CRAC, the Canadian consortium would also include the Canadian National Railway Corp. (CANAC) and the Bombardier Transportation.

Diaz described CANAC as "one of the biggest and most profitable rail companies in the world.

He added that Bombardier is the world leader in the development and supply of integrated transportation systems and services.

He said that the North Rail project could cost from $700 million to $1.5 billion, depending on the configurations to be recommended by the team of Japanese consultants and engineers.

Diaz added that the Canadian consortium would have to compete with a group of Chinese investors that are also interested in the project.

Speaker Jose de Venecia had earlier proposed a Luzon railway system that would extend beyond Clark to the Ilocos region.

Diaz said the North Railway is a priority project of the Arroyo administration to decongest Metro Manila and improve access between Southern Tagalog and Central Luzon, "two major development areas."

Meanwhile, the establishment of a new government-owned joint venture company is now being eyed to implement the proposed Subic-Clark Alliance Development (SCAD) program.

Chairman Rufo Colayco of the Bases Conversion Development Authority said the planned Subic-Clark fill would have four representatives from the BCDA and the Clark Development Corp. (CDC), three from the Subic Bay Metropolitan Authority (SBMA) and two each from the private sector and the national government.

The Presidential Commission for the Central Luzon Growth Corridor said the proposed company would most likely be called the Subic-Clark Alliance Development Corp. or SCADC.

The SCAD program intends to integrate the Subic Bay Freeport Zone (SBFZ) in Olongapo City and the Clark Special Economic Zone (CSEZ) in Angeles City into one economic zone.

This could be realized by linking the two ecozones through the proposed Subic-Clark-Tarlac Expressway, which would shorten travel time between the SBFZ and the CSEZ by one hour.