Thursday, January 25, 2018

DOTR TARGET: Sumitomo-Mitsubishi likely to start MRT3 rehab in May

Sumitomo Corp. and its technical partner, Mitsubishi Heavy Industries, are likely to start the rehabilitation and maintenance works for glitch-plagued Metro Rail Transit Line 3 (MRT3) in May, the Department of Transportation (DOTr) said Thursday.

Transportation Secretary Arthur Tugade said in a television interview that the goal is to have Sumitomo-Mitsubishi onboard starting May. “Ang target namin diyan mag-start sila ng May,” Tugade said.

“Ang contract nila pag-uusapan pa,” the Transportation chief added.

Tugade issued the statement weeks after the Philippines and Japan exchanged notes on having Sumitomo-Mitsubishi takeover the MRT3 maintenance and rehabilitation.

In a separate interview, Transportation Undersecretary and officer-in-charge for Rails Timothy John Batan confirmed the target date is indeed sometime next May.

“Yes, our understanding with the Japanese government is to mobilize the MRT3 rehab and maintenance contractor by May 2018,” Batan told GMA News Online.

The arrangement with Japan involves official development assistance (ODA) from the Japan International Cooperation Agency’s (JICA) Special Terms for Economic Partnership (STEP).

JICA will conduct a feasibility study in January to February to refine the project scope,  after which a loan agreement will be signed and the procurement of the rehabilitation and maintenance contract in March or April. The mobilization of Sumitomo is expected within the second quarter.

The DOTr terminated the MRT3 maintenance contract with Busan Universal Railways Inc. (BURI) last November, citing “poor performance.”

Sumitomo and Mitsubishi were the original MRT3 maintenance providers from 2003 to 2012. Sumitomo designed and built the system from 1998 to 2000. —Ted Cordero/VDS, GMA News

http://www.gmanetwork.com/news/money/companies/641006/sumitomo-mitsubishi-likely-to-start-mrt3-rehab-in-may/story/

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