MANILA, Philippines – The Department of Transportation and Communications (DOTC) is set to award the P65 billion contract for the Light Rail Transit Line 1 (LRT-1) Cavite extension project to the tandem of Metro Pacific Investments Corp. (MPIC) and Ayala Corp by July.
Transportation Sec. Jun Abaya said negotiations are ongoing between the joint DOTC and LRTA Bids and Awards Committee and the Light Rail Manila Consortium, which also includes Macquaire Infrastructure Holdings (Philippines) Pte Ltd.
“In two weeks we expect to make an award. We are in the process of negotiating with the lone bidder,” Abaya said, adding that government is mandated to negotiate the terms.
Abaya said government is in talks with the group to improve the P9.35 billion premium payment for the public-private partnership (PPP) project under the Build Operate Transfer (BOT) law or Republic Act 7718.
The PPP project will extend LRT-1 from 20.7 kilometers to 32.4 kilometers with a new endpoint in Bacoor, Cavite, seen to open train services to the nearly 4 million residents of Cavite, Parañaque, and Las Piñas.
Government has allocated P30 billion to purchase 39 new light rail vehicles for the project.