DOTC to rebid consultancy contract for LRT 2 Extension

MANILA, Philippines - The Department of Transportation and Communications (DOTC) is set to rebid the P350-million consultancy contract for the civil works of light rail transit line 2 (LRT-2) after a failed bidding last month.

DOTC said in a statement that the rebidding for the LRT2 Masinag Extension is necessary as only one prospective bidder managed to obtain a business permit for 2013 in time for the submission of eligibility documents. 

Last December, the DOTC solicited prospective bidders for the P350-million consultancy services for the project and set Jan. 7 as the deadline for submission and opening of eligibility documents.

According to bidding rules, the DOTC- bids and awards committee primary should draw up a list of five prospective bidders from those who have submitted Expression of Interest and eligibility documents and have been determined as eligible in accordance with the provisions of Republic Act 9184 or the Government Procurement Reform Act and its revised implementing rules and regulations.

“Unfortunately, only one of the companies which purchased eligibility documents qualified, because the four other bidders failed to renew their 2013 mayor’s permits at the time of submission of eligibility documents,” DOTC said.

With five shortlisted participants, the DOTC said there would be more competition during bidding thereby encouraging the submission of lower proposals as against having only one bidder that could submit a proposal equivalent to the maximum project cost leaving government with no choice.

“Under procurement law, the government can declare a failure of bid and rebid the project when only one entity is shortlisted, in order to foster more competition,” the agency added.

The project that would almost double the capacity of the LRT-2 to 240,000 passengers per day from about 130,000 passengers was approved by the National Economic and Development Authority (NEDA) last July.

The LRT-2 east extension plan entails the extension of the existing 13.8-kilometer LRT-2 from Recto to Santolan. The proponent would put up a 4.14-kilometer extension eastward from the existing Santolan Station at Marcos Highway, terminating at the intersection of Marcos Highway and Sumulong Highway.

Two additional stations will be constructed including the Emerald Station in front of Robinson’s Place Metro East in Cainta Rizal and the Masinag Station at the Masinag Junction in Antipolo City

The proposed financing for the project is through government appropriation and official development assistance (ODA) loan from the Japan International Cooperation Agency (JICA).