DOTC taps new contractor for MRT 3

MANILA, Philippines - Department of Transportation and Communications (DOTC) has awarded the contract for the maintenance of the Metro Rail Transit (MRT) Line 3 to PH Trams-CB&T JV.

In a statement yesterday, the DOTC said it has appointed PH Trams-CB&T JV as the interim maintenance provider of the MRT 3 for six months while it conducts the procurement process for a regular maintenance provider for the train line.

“The contract will replace the maintenance agreement between Metro Rail Transit Corp. (MRTC) and Sumitomo (Corp.), which expires today, Oct. 19,” the DOTC said.

The contract between the MRTC and Japanese firm Sumitomo has been extended four times.

DOTC secretary Joseph Emilio Abaya said earlier the department decided not to extend the contract with Sumitomo as its price was a bit high.

He said that while it was the responsibility of the MRTC to secure the services of a maintenance provider for the MRT 3, the DOTC has decided to find a new firm to handle the maintenance of the train line after the former abdicated its responsibility.

Under the Build, Lease and Transfer Agreement between MRTC and DOTC, the former will be responsible for the maintenance of the operations of MRT3 by securing the services of a service provider while the DOTC will pay for the cost of the maintenance and the equity rental payments.

“Our main aim is to ensure the continuous and quality operations of MRT 3 which serves over 600,000 Metro Manila commuters,”  Abaya said.

“As such, we adhere to the government’s good governance practice in conducting a transparent procurement process in searching for the most qualified maintenance provider that meets the requirements as stipulated in the TOR (terms of reference),” he said further.

PH Trams-CB&T JV was awarded the contract as it offered the lowest monthly maintenance cost of $1.15 million compared to two other firms which submitted proposals such as Sumitomo TES-P Inc. and Miescor Railway/Genials JV.

The DOTC noted that PH Trams-CB&T JV’s offer  was also better than the previous maintenance contract in terms of cost and service level agreement.

The monthly maintenance cost paid to Sumitomo amounted to $1.433 million.