DOTC relaxes bidding rules for LRT extension project

Posted at 04/23/14 6:54 PM

MANILA, Philippines – The rules for the scheduled rebidding of the P65 billion Light Rail Transit-Line 1 (LRT-1) Cavite extension project have been revised to attract more bidders, the Department of Transportation and Communications (DOTC) said Wednesday.

DOTC Usec. Jose Perpetuo Lotilla said there are changes in the definition of “outstanding dispute” in the instruction to bidders “to make sure that no bidders would be disqualified unnecessarily and only bidders involved in extreme cases would be disqualified.”

Lotilla added that the relaxed rules will also allow more companies interested in the public private partnership (PPP) project to join the bidding.

The revised rules, under Special Bid Bulletin No. 12 -2014, defined “outstanding dispute" with government as any pending judicial, administrative or alternative dispute resolution proceeding, including suspension or blacklisting proceedings, between the bidder, any consortium member, their affiliates, or contractor proposed by the bidder or consortium, on the one hand, and the DOTC or the Light Rail Transit Authority (LRTA).

The definition under the original clause covered any dispute with the national government, any of its offices, agencies, or instrumentalities, or government-owned and controlled corporations (GOCCs).

The special bid bulletin also said “outstanding dispute” covers transportation projects or contracts intended to provide a basic necessity and is of top public interest and importance.

It also covers the bidder, any consortium member, or their affiliates that have committed a default or breach of contract, any representation, or any warranty preventing the DOTC or LRTA from fully or timely complying with their statutory obligations.

The DOTC is set to integrate the bidding of the LRT-1 Cavite extension project and the proposed common station linking the LRT and the Metro Rail Transit-Line 3 (MRT-3).

The deadline for the submission of bids has been extended to May 28.

The interested groups are the tandem of Metro Pacific Investments Corp. and Ayala Corp., DM Consunji Inc., Megawide Construction Corp., San Miguel Corp.’s SMC Infra Resources Inc., Eco Rail Services Inc., Globalvia Inversiones SAU, and MTD Philippines Inc.