Three bidders for LTO IT project submit ‘proofs of concept’

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THREE bidders for the P3.4-billion Information Technology (IT) project of the Land Transportation Office (LTO) have submitted their “proofs of concept” to transport authorities.

These companies are the group of Kaisa Consulting Co. Inc.-FPT Information Systems Corporation-NTT Data Corporation; the Indra Sistemas S.A.-Metro Pacific Tollways Corp. joint venture; and the group of Avesco Marketing Corp. and Sung Gwang Co. Ltd.

Avesco and Sung Gwang’s group earlier failed the initial bidding process, but the Bids and Awards Committee (BAC) later decided to grant its motion for reconsideration.

The upgrading of the LTO’s IT system is expected to minimize red tape and make it more convenient for the public to deal with the transport office.


“Unnecessary steps will be cut out, online transactions will be enabled and human intervention will be minimized in order to curb corrupt practices,” according to Secretary Joseph Emilio Abaya of the Department of Transportation and Communications (DOTC).

The LTO IT project initially cost P8.2-billion but a failure of bidding prompted DOTC to separate the bid components. The first part covers only the software and data center components.

The next bidding stage will be for the nationwide rollout, including hardware requirements.

At the first stage of the bidding, seven groups failed to comply with various requirements of the procurement law and bidding rules and were declared ineligible.

They are: Avesco Marketing Corporation-Sung Gwang Co. Ltd.; Omniprime Marketing and Heitech Padu Berhad; Strategic Planning, Applied Management Konsult, Inc. and Accesos Holograficos SS de CV; Infotech Global Pte. Ltd.-Infotech Private Limited; Oberthur Technologies-Comfac Corporation; NPMI-NEC; and, DVK Philippines Enterprises and Leidos Holdings, Inc.

DOTC’s BAC, using the non-discretionary “pass/fail” criterion mandated by the procurement law, declared three firms as eligible.

One-on-one meetings will soon be held with the eligible bidders to finalize the project’s specifications. A pre-bid conference will then be held to discuss the final technical specifications of the project.

The three firms presented their respective proofs of concept for the Driver’s Licensing System and Motor Vehicle Registration System to the BAC last week to confirm their eligibility to bid for the project.

Bid submission of technical and financial proposals is targeted for the last week of August 2014, after which the complying bids will be evaluated and post-qualified in accordance with procurement law.

The DOTC aims to have the entire LTO IT project fully operational by the third quarter of 2015, in order to deliver more user-friendly, convenient services to the public.

A legal case seeking to stop the government from proceeding with the project is now pending with the Regional Trial Court of Mandaluyong City. The DOTC is confident the court will rule in its favor.

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