MRT takeover needs careful study – Palace

MANILA, Philippines - Government takeover of the glitch-prone Metro Rail Transit line 3 (MRT-3) needs careful study, a Palace official said yesterday.

The Department of Transportation and Communications (DOTC) is looking into the proposal for the government to take over ownership and management of MRT-3, presidential spokesman Edwin Lacierda said over radio dzRB.

Lacierda said the DOTC will submit its recommendations to President Aquino so improvement in the operations of MRT-3 could be finalized.

He said other options are being studied, including the acquisition of new coaches to prevent frequent breakdowns in the railway system.

Glitches had plagued the MRT recently, including the overshooting of a safety barrier at the Taft Avenue station last month that left scores injured.

Earlier, Isabela Rep. Rodolfo Albano III urged the government to pursue its plan to take over the ownership and management of MRT-3 to improve its operations.

Lacierda assured the riding public the inconveniences are being addressed by the government.

“Again, we would like to apologize to the MRT commuters,” he said.

Albano said state ownership of MRT would prevent the MRT Corp. (MRTC), the private owner of the system, and its operator, the government, from tossing the blame to each other.

But he added that the proposed takeover, if it would materialize, should not prejudice the DOTC plan to sue MRTC for alleged breach of contract.

MRTC was reportedly formed and remains controlled by the Sobrepeñas of troubled College Assurance Plan, a pioneer in the pre-need industry that is now in rehabilitation.

MRTC built the MRT line on a build-operate-transfer basis. The government subsidizes the line’s operations to the tune of P6 billion a year.

The DOTC has proposed an ownership buyout for P53 billion, but MRTC claims that such huge amount is not enough.

Albano said the problems relating to the management, maintenance and operations of the MRT line would continually crop up unless the government buys out the private owner.