More firms bid for LRT-MRT loop project

As many as 20 foreign and local groups have expressed their intent to participate in the public bidding to be held by the Light Rail Transit Authority (LRTA) for the P6.3-billion Metro Rail Transit (MRT)-Light Rail Transit (LRT) interconnection project.

LRTA administrator Melquiades “Mel” Robles expressed satisfaction with the large number of groups wanting to join the bidding.

“We think that it is an indication of a high level of trust by private groups that there will be a level playing field in the bidding process. And we think that their trust is not misplaced,” Robles told The STAR in an interview after he conducted a surprise inspection on the state of security and order at stations of the LRT Lines 1 and 2 yesterday morning.

Robles said the LRTA was taking all available measures to ensure a transparent and fair bidding.

“We really want the most capable entity or joint venture, the best proposal and the best deal for the government,” Robles said.

Among the 20 groups that purchased bid documents are Leighton Contractors, Inc. (Philippines)-A.M. Oreta & Co. joint venture consortium; Marubeni Corp.; Asset Builders Corp.; D. M. Consunji Inc.; Sumitomo Corp.; Romago, Inc.; R-II Builders, Inc.; and Siemens.

It was learned that the 20 groups expressed interest on undertaking one , two or all three of the project’s three packages. Robles said that the bidding process was so far going smoothly.

To ensure transparency during the bidding, Robles earlier raised a plan to invite representatives from civil society groups, the Catholic Bishops Conference of the Philippines, Philippine Contractors Association and Transparency International to observe the process. 

The bidding process was started in earnest by the LRTA after it secured the National Economic Development Authority (NEDA) Board’s approval of the project, which involves building three rail stations to connect the MRT rail line at its current North Avenue-EDSA end station in Quezon City to the LRT Line 1’s Monumento, Caloocan station, creating a rail loop between the two rail lines.

On Nov. 28, 2006, President Arroyo directed Transportation and Communications Secretary Leandro Mendoza and Robles to proceed with the construction of the “LRT-MRT loop” after thorough evaluation of several construction options. 

Last month, the NEDA Board approved a techno-feasibility study commissioned by the LRTA. Based on the study, the extension project will include the construction of the Balintawak, Roosevelt and North stations, which will be equipped with escalators and elevators.

LRTA said that with the rail loop project, the average daily ridership is set to increase by 66.16 percent or a total of 535,558 passengers from the current average of 322,309 passengers.

Funding for the project will be taken from the debt-paper sale of state-owned National Development Co. (NDC), amounting to P4.6 billion. The remaining P1.67 billion will be obtained through a General Appropriations Act enacted by Congress.