The Transport Department signed a three-year contract with a Korean-Filipino consortium for the maintenance of the Metro Rail Transit (MRT) Line 3.
Under the P3.8-billion contract, the joint venture of Busan Transportation Corp., Edison Development & Construction, Tramat Mercantile Inc., TMICorp Inc. and Castan Corp. will undertake maintenance works of the rolling stock and signaling system starting January 8.
Twelve qualified technical experts, including rolling stock, signaling, and track specialists from Busan, are already carrying out the necessary activities for transition and system assessment.
“We are one step closer to having a safer and more reliable MRT-3 system with our new world-class rail maintenance service provider,” Transport Secretary Joseph Emilio Abaya said.
“With the operator of the Busan railway network in South Korea sharing their technical expertise, the riding public can expect an increase in the number of running trains and the efficiency of operations,” he said.
Busan has been operating and maintaining the Busan Metro, the four railway lines of the mass transit system in Busan, South Korea since 1999.
In addition to the fulfilling maintenance requirements, the contract covers the general overhaul of 43 coaches over the course of the agreement period, and the total replacement of the signaling system within 24 months.
Previous attempts to bid out the long-term maintenance contract, first in September 2014 and again in January 2015, resulted in failure due to the non-participation of bidders.
Those included Busan Transport Corp, Mosan-Inekon Philippines Ltd. Co., SMRT International Pte Ltd., Miescorrail Inc. and D.M. Consunji Inc.
The Transport department resorted to an alternative mode of procurement pursuant to the Government Procurement Reform Act of 2003 in recognition of the urgency to address the railway’s maintenance needs and the system’s core problems of obsolescence and complete wear-and-tear.
After the Government Procurement Policy Board unanimously approved the mode of procurement, Transportation invited international and reputable railway firms despite an authority to invite only one. These were SMRT International, Hamburg-Consult GmbH, Korea Railroad Corp., Busan Transportation Corp. and the Schunk Bahn-und Industrietechnik GmbH and Comm Builders & Technology Joint Venture.
While the long-term maintenance service provider was under procurement, the Transportation engaged subcontractors under a multi-disciplinary approach to enhance the efficiency of maintenance works per component.
MRT 3, which runs from North Avenue in Quezon City to Taft Avenue in Pasay City, serves more than 500,000 passengers a day, beyond its rated capacity of 350,000.
The rail system has a fleet of 73 Czech-made air-conditioned rail cars. Only 24 three-car trains operate daily because other trains needed repair.