DOTC indefinitely postpones NSRP bidding process

MANILA, Philippines – The Department of Transportation and Communications has indefinitely postponed the submission of the pre-qualification documents for the P171-billion South Line of the North South Railway Project (NSRP) under the public-private partnership (PPP) program amid modifications on the deal.

Catherine Gonzales, member-secretary of the pre-qualification, bids and awards committee (PBAC) and undersecretary for procurement and administration of the DOTC, said “the qualification documents submission date currently scheduled for April 15, 2016, is postponed until further notice.”

The agency has decided to postpone the submission of qualification documents as it requested modifications of the National Economic and Development Authority Board approvals on the NSRP which would permit the deal to proceed in light of an increase in estimated costs.

Karim Garcia, vice president for business development of Metro Pacific Investments Corp. (MPIC), told reporters the company had also requested for an extension of the date for the submission of qualification documents for the project.

“We have asked for an extension to somewhere around middle of May,” he said noting the firm needs more time to form its consortium and its queries about the deal have yet to be answered by the DOTC.

Moving the submission date to May, he said, would give the government enough time to go through the pre-qualification documents, notify those who submitted and release bid documents for the project prior to the change of administration.

Garcia said MPIC aims to sign this week the business agreement for the Metro Heavy Rail Alliance Consortium which would likely be composed of three local firms and two foreign firms for the project.

Apart from MPIC, the four other firms which purchased the project’s bid documents were Ayala Corp., San Miguel Corp., India’s IL&FS Transport Networks Ltd. and US-based Fluor Daniel Pacific Inc.

The South Line project covers a proposed railway from Metro Manila to Legazpi City in Albay, as well as a number of existing and proposed branch lines totalling to approximately 653 kilometers.

It consists of commuter railway operations between Tutuban and Calamba and long haul railway operations between Tutuban and Legazpi, including extended long haul rail operations on the branch line between Calamba and Batangas and extension between Legazpi and Matnog in Sorsogon.

Under the deal, the winning bidder will be responsible for the construction, as well as operation and maintenance of the South Line.

The project aims to link Metro Manila to underserved areas in Southern Luzon for improved transport and logistics services.