DOTC bids out biggest PPP deal: P170-B railway project
Department of Transportation and Communications Secretary Joseph Emilio Abaya. Joseph Vidal/PRIB
The Department of Transportation and Communications (DOTC) on Wednesday commenced the bidding for the P170.7-billion South Line of the North-South Rail Project, dubbed as the government’s most expensive Public-Private Partnership project yet.
DOTC said that with seven train sets that would pass through 66 stations in 10 daily trips, the 653-kilometer railway system is expected to yield around 316,000 passengers per day on its opening year in 2020.
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“This is our biggest project yet: the revival of the oldest rail system in Southeast Asia, beginning with the Manila-Legazpi section plus additional branch lines totaling 653 kilometers,” said DOTC Secretary Joseph Emilio Abaya in a statement.
“Rail systems are a driver for inclusive socio-economic growth. They encourage trade and business activity, and provide access to employment and educational opportunities,” he added.
DOTC said the project would attract around 44,000 public and private motorists to change their mode of transportation to the modernized railway.
“This project will impact directly on a grassroots level. Those who have less in life, especially farmers and fisherfolk, will be given efficient means to expand their livelihood. This is our biggest project yet, and this is for those who need it most,” Abaya said.
DOTC said the winning bidder would be in charge of “designing, constructing, financing, operating, and maintaining” the 56-kilometer commuter rail service on the Tutuban, Manila to Calamba, Laguna route, the 478-kilometer long-haul rail service on the Tutuban to Legazpi, Albay route, 58 kilometers from Calamba to Batangas City, and 117 kilometers from Legazpi to Matnog in Sorsogon.
Inviting both local and international companies in a two-stage bidding process, the DOTC said the pre-qualification date is targeted at the fourth quarter of 2015, with the awarding of bid set in March 2016.
“The winning bidder will operate, maintain, and upgrade the South Line for 34 years, including the construction period of four years,” it added. IDL
