DOTC, Light Rail Manila Consortium ink agreement for P65-B LRT extension project

The government and the Light Rail Manila Consortium (LRMC) on Thursday sealed the deal for the much delayed P65-billion Light Rail Transit Line 1 (LRT-1) Cavite Extension Project.

 

The LRT Line 1 extension will bring the much needed transportation services to people living south of Metro Manila and nearby provinces, Department of Transportation and Communication (DOTC) Secretary Emilio Abaya said during the signing of concession agreement for the project held at EDSA Shangri-La Hotel in Mandaluyong City.

 

"This extension took over a decade to be planned, approved and tendered out. Having made it to this point, the DOTC is committed to the infrastructure development of this country," he said.

Government, Light Rail Manila Consortium sign concession agreement for the LRT Line 1 Cavite Extension Project. pic.twitter.com/N6qzJgeqQ2

— Danessa Rivera (@danessarivera) October 2, 2014
 

 

LRMC is composed of the Metro Pacific Investments Corp.'s Metro Pacific Light Rail Corp., Ayala Corp.'s AC Infrastructure Holdings Corp. and Macquarie Insfrastructure Holdings (Philippines) PTE Ltd.

 

The signing signals the start of long and difficult work ahead to extend the 20-year rail system targeted to be completed by 2019, Ayala Corp. COO Fernando Zobel de Ayala said in the same event.

 

"The LRT Line 1 is a vital component of our city's transport network that will help ease the pressures brought about by the increasing development around the city," he said.

 

"As we assume the responsibility for the operations of the train line next year, we hope to be able to deliver in due time a much improved riding experience that is safe and efficient for our daily rail commuters," he added.

One year to take over from LRTA

 

The consortium will have 12 months to take over the operations from Light Rail Transit Authority and 48 months to develop the expanded system, MPIC president and CEO Jose Ma. Lim said on the sidelines of the event.

 

"The starting point is the signing of the agreement. The detailed design is starting and the start of construction is immediately upon takeover," he said.

 

Manuel Pangilinan, chairman of MPIC, said the consortium will work to have an efficient transport system which will catalyze growth along the corridor.

 

"The LRT1 has been in operation for over 20 years and today’s event brings forth the beginning of a new age for Metro Manila commuters," he noted.

 

“We stay firm on our commitments to deliver a safe, reliable, and world-class rail system comparable to commuter railway hubs in our region and bring value for what commuters pay for," Pangilinan added.

 

Last September 12, the DOTC awarded the LRT Line 1 extension project to LRMC which offered P9.35-billion premium bid amount.

11.7 km, 39 new trains

 

The LRT 1 Cavite Extension project will extend the light rail line further by 11.7 kilometers all the way to Bacoor, Cavite. The government will also acquire 39 new LRT trains at a cost of P30 billion with foreign Official Development Assistance.

 

This is the second public-private partnership project Ayala Corp. and MPIC won, the first being the LRT-MRT Automated Fare Collection System (AFCS).

 

The AFCS involves replacing the LRT lines 1 and 2 and the MRT line 3's ticketing system to a unified tap-and-go technology—much like Hong Kong's Octopus Card—and is seen to substantially lessen queuing time and allow seamless transfer from one rail line to another. —KG, GMA News