TRANSPORTATION Secretary Manuel Roxas II on Friday said his agency will withhold the spending of P4.5 billion that was allocated for the purchase of new MRT coaches pending the results of the review of the Manuel V. Pangilinan-led Metro Pacific group’s proposal to modernize the train system for $300 million.
“We will have a clarificatory meeting with them [this] week. By then we would have a clear comparison of their proposal versus ours. The results of the review will then be shown to the policy-makers of the government,” Roxas said.
President Aquino approved the release of P6.3 billion to acquire new coaches. Of the amount, P4.5 billion will be spent to buy 26 coaches for the MRT Line 3. The remaining P1.8 billion will be spent for the rehabilitation of LRT Line 1.
The 26 additional coaches for MRT 3 are meant to increase its loading capacity by as much as 60 percent to 37,824 passengers per peak hour in each direction from the current 23,640 passengers per peak hour per direction.
“The government plans to acquire 26 coaches versus MPIC’s proposal of 73. We need to take a look if the 26 is enough or if we need the entire 73. Also, we have to study the conditions attached to their proposal such as the proposed fare and possible extension of the contract. All of which have to be taken into serious consideration,” Roxas said.
Pangilinan’s group is interested in running the railway that services the high-traffic Edsa highway. It had already offered the government $300 million to expand the capacity of MRT 3 and another $350 million for the acquisition of equity and some of the bonds issued by Metro Rail Transit Corp. (MRTC).
“We offered $300 million to refurbish the system. That decision to accept or not our proposal is up to the government now. We do hope that government will take a look at it,” Pangilinan, chairman of Metro Pacific Investment Corp. (MPIC), said last week when asked for comment on the government’s effort to undertake the capacity expansion of MRT Line 3.
MPIC is the local flagship of Hong Kong based First Pacific Co. Ltd.
The rehabilitation of LRT 1, meanwhile, will include body repairs for all 63 first-generation trains and the replacement of parts. Also, 18 stations will undergo improvement.
For LRT 2, there is a need to replace four of its 18 trains and repair all 152 air-conditioning units.
When Roxas assumed post at the agency, he said the department will pursue the operation and maintenance bid contract for LRT but not for MRT. Instead, only the maintenance of the railway will be auctioned to interested private firms. The MRT3’s operation will remain with the government.
