DOTC invites bidders for LRT-2 extension

MANILA, Philippines - The Department of Transportation and Communications (DOTC) has earmarked P2.4 billion to jumpstart the extension of the Light Rail Transit line 2 (LRT-2) system all the way to Antipolo City from Pasig City.

In an invitation to bid, the DOTC said the first phase of the LRT-2 east extension project involves the construction of an elevated guideway or viaduct for the extension of the existing LRT-2 system.

The viaduct would stretch 3.93 kilometers eastward from the existing Santolan Station along Marcos Highway, Pasig City until the intersection of Marcos Highway and Sumulong Highway at Masinag, Cainta, Rizal.

The winning bidder has 540 calendar days to complete the project.

The DOTC has given interested bidders until Nov. 4 to submit their bids.

The agency’s Bids and Awards Committee (BAC) said prospective bidders should have completed at least one contract that is similar to the contract the value of which, adjusted to current prices using the National Statistics Office (NSO) consumer price indices, must be at least 50 percent of the approved budget for contract.

The DOTC is set to adopt open competitive bidding procedures using non-discretionary pass/fail criteria as specified in the Revised Implementing Rules and Regulations of Republic Act No. 9184, otherwise known as the Government Procurement Reform Act.

The bidding is restricted to Filipino citizens/sole proprietorships, partnerships, or organizations with at least 75 percent interest or outstanding capital stock belonging to citizens of the Philippines.

The DOTC is also in the process of privatizing the operations and maintenance of LRT-2 and has given interested bidders until Nov. 20 to submit their prequalification documents.

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.

The winning bidder would operate and maintain for a period of 10 years 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.

Conglomerates are set to revive their rivalry and slug it out for a contract to operate and maintain the LRT-2 as the concession contract for the P65-billion LRT-1 Cavite extension project is scheduled to be signed on Oct. 2.

Michael Arthur Sagcal, DOTC spokesperson, said companies that purchased bid documents include the tandem of infrastructure giant Metro Pacific Investments Corp. (MPIC) and conglomerate Ayala Corp., GT Capital Holdings of taipan George SK Ty, diversified conglomerate San Miguel Corp., and Marubeni Corp. of Japan.

 The Light Rail Manila Consortium composed of MPIC Light Rail Corp., AC Infrastructure Holdings Corp., and Macquaire Infrastructure Holdings (Philippines) Pte Ltd. emerged as the lone bidder for the P65 billion extension project of the LRT-1 all the way to Niog in Bacoor, Cavite form the Baclaran station in Parañaque City.

The group offered a premium payment of P9.35 billion to undertake the largest public private partnership (PPP) project so far awarded by the Aquino administration.

The DOTC has already awarded the project to the consortium and is expected to sign the concession agreement and pay the 10 percent down payment on Thursday.