The Philippine Star

DOTr, Mitsubishi sign deal for new LRT-1 trains

- LOUELLA DESIDERIO

The Department of Transporta­tion (DOTr) yesterday signed an agreement for the supply of the 120 light rail vehicles (LRVs) for Light Rail Transit Line 1 (LRT1) system.

The agreement for the procuremen­t of 120 new LRVs for the LRT-1’s 12-kilometer extension from the current endpoint in Baclaran, Parañaque, to Bacoor in Cavite was signed by DOTr Secretary Arthur Tugade and Mitsubishi Corp. senior vice president Tetsuji Nakagawa.

“It is a beautiful day because we are putting life to a project that has been delayed for a long time. No way will I delay any further. No way will I procrastin­ate. It is high time to put this project in high motion,” Tugade said.

Light Rail Manila Corp. that is composed of Metro Pacific Investment­s Corp.’s Metro Pacific Light Rail Corp., Ayala Corp.’s AC Infrastruc­ture Holdings Corp. and the Philippine Investment Alliance for Infrastruc­ture’s Macquarie Infrastruc­ture Holdings (Philippine­s) PTE Ltd., bagged the LRT-1 Cavite Extension project under the public-private partnershi­p program.

The consortium took over operations of the LRT-1 in September 2015.

The first bidding for the 120 LRVs from October 2015 to February 2016 failed after Japanese firms did not submit offers for the project.

With the procuremen­t of trains being funded by a loan from the Japan Internatio­nal Cooperatio­n Agency, the bidding was open to Japanese-led companies or consortia.

Upon assuming office, Tugade negotiated with the Japanese government on some requiremen­ts in the official developmen­t assistance loan to ensure a successful and competitiv­e second bidding.

“We are particular­ly proud of two things. First, the active participat­ion of Japanese, Spanish and Korean firms demonstrat­es the openness, transparen­cy and efficiency of the bidding process. Second, the final contract price is not only within budget, but is also approximat­ely 20 percent lower than the bid price of the next-ranked bidder,” DOTr assistant secretary for railways Timothy John Batan said.

The 120 LRVs are designed with fourvehicl­e configurat­ion.

Each train set would have a minimum of 1,388 passengers and is expected to be energy efficient and have low maintenanc­e cost.

The first four LRVs are expected to be delivered on Aug. 31, 2020, while the next delivery of 40 LRVs would be on Dec. 31, 2020.

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