China consortium bags Manila-Bicol railway deal

MANILA, Philippines — A Chinese consortium composed of China Railway Design Corp. and Guangzhou Wanan Construction Supervision Co. Ltd. (CRDC-WACC) has bagged the project management consultancy contract for the 639-kilometer Philippine National Railways South Long Haul project, which is expected to commence construction next year.

The contract was signed on Saturday and was exchanged between the Department of Transportation (DOTr) and consortium officials on Tuesday, which was witnessed by President Duterte and Chinese President Xi Jinping.

As the project’s general consultant, the CRDC-WACC consortium is tasked to conduct all pre-construction surveys, preparation of designs for bidding, preparation of bidding documents, bidding assistance, construction supervision, and defects liability period supervision.

“I am very happy with our partnership with the Chinese consortium, as this is our first contract with China for our railways sector. I am hoping that we continue this arrangement for more projects, including our Clark to Subic Railway project that I am hoping to be signed before the end of the year,” Transportation Secretary Arthur Tugade said.

The Subic-Clark railway project is one the two China-funded railway projects, but signing of its commercial agreement has been postponed to a later date this year as China has yet to provide the government with a shortlist of contractors.

The DOTr is required to engage a project management consultant to provide consultancy services on technical and commercial matters concerning projects financed through official development assistance (ODA).

As a China ODA-financed contract, the selection of the general consultant for the PNR South Long Haul project was based on a list of qualified and experienced bidders which were endorsed by the Chinese government.

The National Economic and Development Authority board has previously approved the financing of the PNR South Long Haul project through ODA from the government of China.

Tugade earlier said the project is eyed to be awarded by the first quarter next year, with its construction seen starting by August.

Upon completion, the PNR South Long Haul Project will connect Metro Manila, Region 4-A, and Region 5, reducing travel time from Manila to Legazpi City from 13 hours to under six hours.

“We will continue to improve our nation’s railways to better provide the riding public mobility and connectivity, and with the support of the Chinese government, we move closer to delivering President Duterte’s promise of a more comfortable life for every Filipino,” Transportation Undersecretary Timothy Batan said.