SUMMARY
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MANILA, Philippines – Prospective bidders for a maintenance contract for the Light Rail Transit line 1 (LRT1) pulled a no-show on the day the bidding papers were due for submission.
This prompted the Light Rail Transit Authority (LRTA) to declare a failure of bidding on Friday, October 24.
LRTA spokesperson Hernando Cabrera said there no takers showed up to bid for for the one-year maintenance project for the LRT1 worth P423.3 million ($9.449 million)*.
Cabrera said the government will need to reschedule the bidding deadline for the railway system.
Currently, the LRT1’s maintenance contractor is the group of ComBuilders and Technology (CB&T), PMP Incorporated, and Gras Sabrocai.
Prospective bidders which were expected last Friday included Autre Portre Technique (APT) Global, Gobal Epcom Services, and Miescorrail Incorporated of the Manila Electric Company.
The bidding failure came after a successful signing of the concession agreement for the same railway system’s expansion of its southernmost station in Baclaran to Bacoor in Cavite on October 2.
Light Rail Manila, a consortium of Metro Pacific Investments Corporation and Ayala Corporation, was the sole bidder for the expansion project, with an offer of P9.35 billion ($208.705 million).
During the October 2 signing, the consortium paid the Department of Transportation and Communications 10% of its offer, while the amount is payable through the 32-year concession period.
As a public-private partnership project, the government finances P30 billion ($669.642 million) of the expansion.
The failure to get bidders for the maintenance project would translate to another delay in the government’s ambition to rehabilitate its transportation systems.
Last week, bidders for the Light Rail Transit 2 (LRT2) urged the DOTC to speed up the turnover of LRT2’s operations and maintenance contract before a new administration takes over in 2016.
The LRT2 is undergoing privatization for its operations and maintenance. – Mick Basa/Rappler.com
($1=P44.80)
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