The Department of Transportation and Communications (DOTC) has banned companies with pending disputes with the government to participate in the bidding for the P65-billion Light Rail Transit Line 1 (LRT-1) project.
In a Special Bid Bulletin released this week, the DOTC said, “Outstanding dispute with the government refers to any pending judicial, administrative or alternative dispute resolution proceeding, including suspension or blacklisting proceedings, between the bidder any consortium member, their affiliates or contractor proposed by the bidder or consortium on the other hand, and the national government any of its instrumentalities or any government-owned or controlled corporation which is intended to provide a critical basic necessity and/or is of paramount public interest and importance and where in the opinion of DOTC, such as dispute might be an impediment to the successful implementation of the project.”
The entities that already submitted their bids for the project are the Light Rail Manila Consortium led by Metro Pacific Investments Corp., SMC Infra Resources Inc, Global via Inversiones S.A.U., Megawide Construction Corp, MTD Philippines Inc, DMCI Holdings Inc., and Ecorail Services Inc.
The deadline for the submission of bids for the project is on April 28.
Besides banning firms or entities with disputes with the government, the DOTC improved the terms of the project, which include the government absorbing the obligation to pay real property taxes, ensuring the integrity of the facility’s structure for a two-year period, subsidizing unexpected surges in power rates beyond a particular range, and permitting a 5-percent fare increase upon completion of the project.
The project, also known as the South Extension Project, will extend the present LRT-1 up to Bacoor in Cavite. The present rail line stretches 20.7 kilometers and has 21 stations from Roosevelt Avenue in Quezon City to Baclaran in Pasay City.
The extension project will add 11.7 kilometers of new rails likes with 10 more stations that will pass through the cities of Parañaque and Las Piñas, and stretch up to Bacoor.