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Two bidders for LRT-1 PPP open to Project bundling options

Transportation department Spokesman Michael Arthur C. Sagcal said earlier this week that either the construction and operation of the common station or just the station’s design may be bundled with the LRT-1 Cavite extension project, even as the May 28 deadline for bids nears.

“At this point, bidders [for the LRT-1 project] are requesting to include the common station or at least the design of the common station in the terms of reference,” Mr. Sagcal had said. Megawide Construction Corp., one of the firms that earlier expressed interest in bidding, said it may participate given either option.

“Yes, we can participate as a bidder or even as a contractor. That, we haven’t finalised yet,” Megawide Chief Executive Officer and Chairman Michael C. Cosiquien in an interview. Mr. Cosiquien said that Megawide is also open to the Transportation department’s idea to include just the design of the common station with the LRT-1 Cavite extension project.

“We can [participate]. We haven’t really studied everything. We’re still in the process of studying the terms of reference,” he noted. Meanwhile, Metro Pacific Investments Corp. (MPIC), which has partnered with Ayala Corp. to bid through Light Rail Manila Consortium, also said it is open to the bundling, as it would allow the concessionaire to mitigate certain risks.

“Risks borne by the LRT-1 concessionaire [would be] better addressed as the bidders will be in a better position to prepare a design that is tied in to their particular strategy, like passenger traffic flow and train turnbacks,” MPIC Chief Financial Officer David J. Nicol said in a text message.

Mr. Sagcal had said that the decision on bundling would be made before the end of this month. Bidding for the LRT-1 deal failed last August as only one of four pre-qualified bidders submitted a bid, which was conditional to boot. The other three bidders had backed out. MPIC is the local unit of Hong Kong-based First Pacific Co. Ltd., part owner of Philippine Long Distance Telephone Company. Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has a majority stake.

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