Wednesday, July 18, 2018

Japan offers railway lore to boost PHL’s battle vs. monstrous traffic woes

METRO Manila traffic. It is as much of a Filipino monster as the legendary aswang, tiyanak or tikbalang—except it is no myth. Filipinos live through this nightmare every day. They fear it; they live through it; they breathe it.

With approximately 9.5 million motor vehicles, cars on the road have formed a perpetual gridlock, adversely affecting not only travel time for motorists and commuters but also the country’s revenue and its overall air quality.

Traveling in Metro Manila has taken a toll that guarantees commuters are on the road at least 66 minutes before getting anywhere else, according to a study conducted by the Boston Consulting Group (BCG), which ranked the Philippines as the third worst in terms of traffic congestion in Southeast Asia.

The impact of traffic congestion is also being felt by the country’s coffers, with the Japan International Cooperation Agency (Jica) reporting an approximate P3.5-billion loss in opportunities and revenue every single day since 2017.

More than losses from traffic congestion, health hazards have also been noted by the Department of Environment and Natural Resources, which reported that 80 percent of air pollution in the country was a result of the transport sector.

Globally, 4.2 million people die from outside air pollution, according to the World Health Organization. While a report from the National Economic and Development Authority (Neda) showed that the number of Filipinos whose health was adversely affected due to exposure to particulate matter grew to 1 million in 2003 alone.

The problem for the chronic pain that Filipinos suffer—both literally and figuratively—from traffic congestion is always seen to have come from poor infrastructure, poor urban planning and poor traffic management.

However, experts view that the root cause of the problem is a mix of decades of underspending, miles of bureaucratic red tape, personal agenda and legal tussles.

Develop railway systems

One way to help alleviate the traffic mess in Metro Manila, according to Jica Senior Representative to the Philippines Tetsuya Yamada, is to develop railway systems in the metropolis.

Train lines are seen as one of the most effective solutions to addressing the need for a mass transit system that is more efficient than buses, jeepneys, taxis and even Internet-based ride-hailing apps.

A passenger boards a train run by the Philippine National Railways, which began operations on November 24, 1892, as the Ferrocarril de Manila-Dagupan, during the Spanish colonial period. It operates a single line of track on Luzon.

“In our view, transportation is a network service,” he said during a BusinessMirror Coffee Club forum recently. “Just like power situations or water services, they are a network—not really a pinpoint, point-to-point services.”

This, however, remains true for Metro Manila. Currently, the metropolis has four railway lines servicing different corridors in the capital. Some stations of the four systems intersect, but moving from one line to another can be of a hassle, as none of them have a common station for ease of transfer.

Based on the recent competitiveness report by the World Economic Forum, the Philippines ranked a dismal 97th out of 137 countries when it comes to infrastructure, 104th in road quality, 91st in railway infrastructure, and 124th in transport infrastructure.

This comes in stark contrast to Jica’s reports of Manila’s dense population count.

Despite numbering at 20,785 people per square kilometer (sq km), only a total 79 kilometers of rail track is currently in operation to serve this group.

Other major cities like London, England, have a total of 590 km of railroad serving a 5,375 people/sq km density count. Similarly, New York City, despite having only 10,250 people per sq km, has an 890-km stretch of railroad.

‘Strong backbone, feeder lines’

HOWEVER, this presents an opportunity for the Philippines to step up its game in the railway game, according to Yamada.

The Philippines, while  boasting of having the first overhead railway line in Southeast Asia, is still in the nascent stage of railway development, he pointed out.

“Network should be developed in the future. But there’s always a starting point. And we are at the starting point,” he said.

The good thing about having a starting point, he said, is that it allows the country to first build a “strong backbone.”

“We all know that roads are congested. There is no more room for roads, for more cars in the future. So that means we have to stretch the living areas and the working areas, north and south of Metro Manila,” he said. “We need strong transportation backbone running north and south—that’s the whole concept.”

Yamada was referring to the Jica-financed North South Commuter Railway project, a roughly P136.3-billion railway initiative that will create a 38-km commuter line that runs from Malolos, Bulacan, to Tutuban, Manila.

The objective of the said project is to reduce travel time between the two areas from over 1.5 hours to only 35 minutes. It is expected to serve more than 300,000 passengers per day, and is expected to be fully operational in 2022.

“Even people outside Metro Manila can agree with the necessity of building a railway transportation system in the national capital, Metro Manila area,” Yamada said.

Japan is extending a loan facility of $2 billion to finance the project, the largest loan commitment that Jica has ever made.

Currently, the Department of Transportation (DOTr) is in the process of finalizing the bidding for the construction of the said railway system. Bids are expected to be placed in August.

Jica is also assisting the Philippine government in the creation of the supplemental feasibility study and detailed engineering and design of the second phase of the North South Commuter Railway, which aims to connect Malolos to Clark, and Tutuban to Calamba.

Complementing this backbone, according to Yamada, is the proposed Metro Manila Subway system, which Japan is also funding through an initial tranche of loan amounting to P49.5 billion. The whole project costs about P378.6 billion.

The first phase of the whole project involves the construction of a 25-km underground train line that connects Mindanao Avenue in Quezon City to the Food Terminal Inc. compound in Taguig City.

According to Yamada, his group is currently studying the possibility of extending the first phase of the subway project to the Ninoy Aquino International Airport (Naia), as requested by the Philippine government.

“Our plan is to complete everything by 2025,” he said.

But aside from having a strong backbone, the railway network in the Philippines should also include feeder lines, which are basically peripheral routes that connect remote areas that are carrying heavy traffic.

Yamada cited the Metro Rail Transit (MRT) Line 7 as a good example of a feeder line.

Targeted to be finished by 2019, the 2.8-km rail-transit system is envisioned to operate 108 rail cars in a three-car train configuration with a daily passenger capacity ranging from 448,000 to 850,000.

It will have four stations, starting with the North Avenue Station on Epifanio de los Santos Avenue, passing through Commonwealth Avenue, Regalado Avenue and Quirino Highway, up to the proposed Intermodal Transport Terminal in San Jose del Monte City, Bulacan.

The said railway infrastructure is being constructed by a unit of San Miguel Corp.

“I think when it comes to feeder lines, private bodies can come in to serve certain areas or certain passenger segments,” Yamada noted.

‘A little too late‘

WHILE these new projects paint a rosy picture for the future of the Philippines, some critics are skeptical of the progress these projects assume to deliver.

Prof. Jose Regin F. Regidor from the University of the Philippines-Diliman’s National Center for Transportation Studies pointed out that the Philippines is playing catch-up with its neighbors in terms of railway development.

“We should have built a network starting back in the 1980s. The original network plans for subways, for example, were in the mid-’70s yet the government then opted for light rail, thus Line 1. Events during the 1980s and 1990s made sure we didn’t get a second line, Line 2 until the late 1990s,” he said in an e-mail to the BusinessMirror.

Backtracking through past policies concerning the country’s railway confirms Regidor’s findings. Following the Philippine National Railways’ (PNR) success and continued use after the Second World War, three comprehensive railway plans were created and proposed, but were eventually dismissed when the government decided to settle just for the Light Rail Transit (LRT) Lines 1 and 2, and the MRT Line 3, through an executive order and a republic act.

These abandoned plans were the Urban Transport Study for Manila Metropolitan Area (UTSMMA) in 1973; the Metro Manila Urban Transport and Land Use Plan Study (MMETROPLAN) in 1977; and the Metro Manila Urban Transportation Integration Study (MMUTIS) in 1999.

The UTSMMA recommended five rail rapid transit lines with a combined stretch of 141.87 km of railway. It would have connected areas like Construction Hill and Talon; Novaliches and Cainta; Marikina and Zapote; Meycauayan and Manila; and provided passage along C4. This plan was supported by the Overseas Technical Cooperation Agency (Otca), the precursor of today’s Jica.

The MMETROPLAN opted for a network of five light rail transit lines, 36.76 km long, which would have superimposed the current roadwork in Metro Manila.

The country currently follows a “bastardized” version of the MMUTIS, which was supported by Jica back in 1999. Only three out of the nine lines proposed in the study were followed in its implementation, thus forming only a brief stretch of 74.5 km of railway; with only 43 percent, or 61 of the original 142 proposed stations.

The study “What if Metro Manila Developed a Comprehensive Rail Transit Network?” conducted by Regidor and his colleagues found that full implementation of the MMUTIS plan would have reaped the “most benefits” to the country, alleviating the major problem of exaggerated travel time.

Even Yamada conceded the late timing: “I would agree. It was too late. If you look at the other countries at the same level in terms of the national income such as Indonesia or Vietnam, they are actually lower when it comes to national level of income but they are moving ahead of us—building subway systems. In that sense, I think we were a bit late to start.” Still, he quickly added, it’s best to start somewhere.

BCG’s report also finds that despite the ambitious plans to remedy the congestion issue through increasing rail-based public transport capacity, estimating “that the added capacity of rail transport alone will not be sufficient to meet growth in transport demand by 2022.”

Integrated transport system

AND while it is a little too late to develop railway infrastructure, Yamada believes that the current administration’s initiatives are “better than nothing.”

However, these are only the initial batch of railways that should be developed by the Philippine government in the next few decades. There are more train lines that need to be constructed in order to really achieve a better, more efficient transportation system in the Philippines.

“Basically, in order for people to rely more on public transportation, instead of using cars, we need a more comfortable network system where, basically, you can walk to the station. Or you can walk to the bus or para-train system to go to the station. So that’s the ideal situation of the public transportation system that needs to be further developed,” he said.

“So it shouldn’t be only the train system that serves all the passengers, but what we need [are] more integrated, comprehensive routes and franchising system that need to be rationalized,” he said.

Included in the government’s plan for a more efficient transport system is the modernization of the public utility vehicles in the Philippines. In the said program, routes for road transport modes will be rationalized and further developed, and old, dilapidated models of vehicles will be replaced by new ones.

Railway education

To complement the hard infrastructure being built to address traffic congestion and the country’s stunted growth in public transportation, Jica plans to put up a Philippine Railway Institute (PRI), a body that will act both as a training institution and a licensing agency, when it comes to railway management. The project began in April and will officially end in March 2023.

“The objective of establishing this Philippine Railway Institute is basically to avoid the same mistakes that happened all the time for railway systems in this country,” explained Yamada.

The institute is also the government’s response to past mistakes in terms of the poor management and maintenance that led to the deterioration of facilities like the MRT 3, which is deemed as the most congested of all three overhead railway lines.

The said train system is also marred by legal cases, procurement hullabaloos and corruption issues. It has also figured in an uncoupling incident that caused one of the train cars to ram against its barricade in Pasay City, causing injuries to several passengers.

“I believe the major, major issues related to the unlucky event are lack of proper maintenance and lack of people capable of doing that. So that’s a whole objective of establishing this Philippine Railway Institute in terms of building the capacity that is involved in the future railway business in the country,” Yamada said.

The Japanese agency will be developing curriculum and teaching materials to train Filipinos in handling train systems.

“We’re going to help the Philippines develop the laws and regulations and safety standards. And, based on that, we will build training material. And we’re going to develop training programs and facilities. This not only serves the railway business employees in the public sector, but anyone involved in the railway business, including the private sector, can come in to be trained under this PRI,” Yamada said.

Policies, laws

HOWEVER, in order to help implement all these hard infrastructure development projects and education programs, the government must also implement laws and policies pertaining to railway management.

“Basically, we have railway laws in Japan so that all the railway operators should follow some sort of norms and standards, in terms of safety and business efficiency and benefit of the passengers that use the train system,” Yamada said.

He said the Japanese government is keen on helping the Philippine government develop laws and policies that are targeted for the local market.

“What we are trying to do is, first of all, introduce the Japanese system to show to Filipino counterparts to help understand what kind of laws are there in Japan. And we will discuss further what needs to be introduced in this country. Basically, we have very different conditions,” Yamada said.

Separate operator, regulator

Specifically, a policy on the separation of operator and regulatory functions should be implemented in the Philippines, he noted.

Currently, the DOTr plays the role of railway operator and regulator at the same time through the Light Rail Transit Authority. Only the LRT 1 is privately operated.

“In Japan’s case, it’s totally different systems. We have various railway operators, but regulation is taken care of by the Ministry of Land, Infrastructure, Transport and Tourism—they don’t run the train system. Some train systems are run by public sectors, but not the ministry itself,” he said. “So that’s one of the things that we’re thinking about introducing.”

Sustainability

WITH all these plans now up and running, and assistance from foreign groups pouring in, the Philippines is on the right track to attaining a better railway and overall transportation sector.

However, for Rene S. Santiago, president of Bellwether Advisory Inc. and longtime critic of the country’s transportation system, plans for infrastructure development and policies are things that need continuation.

“The solutions to traffic congestion—there’s nothing new there. The newness is the people coming in. They are always new. They’re always groping and trying to learn. When they see something from the past, something that happened in the previous administration, they tend to dismiss it—just like that,” Santiago said in a phone interview.

Yamada agreed, saying that sustainability is the way to go, as politicizing projects will not benefit the common Filipino.

“We need support from the public. We need continuation. We cannot stop by 2022. Everyone wants it. Everyone wants good transportation network. Everyone wants to ride the train. Everyone wants to be at the work place faster than what we are currently experiencing right now. And we all need to support that idea,” he said.

Yamada added: “I think that’s the top priority issue for the entire Philippines as an administration—which is basically traffic and decongesting Metro Manila; preventing the same situation to happen in the future for some other parts of the country.”

But for as long as these infrastructure projects are not yet completed and policies remain unchanged or improved, traffic congestion will continue to haunt the common Juan like the monsters from Filipino folklore. With additional report by Wynzyleen L. Lee, Intern

LRT 1’s Sucat extension project done in 2021 if…

The project to extend Light Railway Transit 1 (LRT 1) service to Sucat, Parañaque, could start serving commuters by the end of 2021 if work on site starts by February 2019, and the right-of-way (ROW) is free and clear by May 2019.

“We are just waiting for the complete ROW and government approvals, especially on the delayed increase in our fares from around an average of P20 to around P25 depending on the distance traveled, which is basically the same as bus fares,” Juan Alfonso, president of the Light Rail Manila Corp. (LRMC), operator of LRT1, said in a news statement issued on Wednesday.

He added: “The main difference is we can bring our riders from Baclaran to Sucat or vice versa in 15 minutes, rush hour or not, and even if the roads are flooded. We are traffic-free.”

Alfonso said its contract with the government provided that the fares be increased automatically every two years starting in 2016 to allow LRMC to have the funds to properly maintain and operate the line. The railways operator wants the P5 fare increase to cover both the 2016 and 2018 adjustments.

Without the increase, LRMC said, it might not be able to borrow from banks the funds needed to build the extension.

“The banks want to make sure we can repay them, and the only way this can be attained is for us to be able to earn enough through higher fares,” Alfonso said.

LRT1: Traffic-free 15-min. trip from Baclaran to Sucat

The extension of the Light Rail Transit Line 1 to Sucat in Parañaque City could start serving riders by the end of 2021 if work on site starts by February next year, and the right of way is free and clear by May 2019.

Juan Alfonso, president of the Light Rail Manila Corp., the operator of LRT 1, said they are just waiting for the complete ROW and government approvals, “especially on the delayed increase in our fares from around an average of P20 to around P25 depending on the distance traveled, which is basically the same as bus fares.”

“The main difference is we can bring our riders from Baclaran to Sucat or vice versa in 15 minutes, rush hour or not, and even if the roads are flooded. We are traffic free,” he added.

Alfonso said its contract with the government provided that the fares be increased automatically every two years starting in 2016 to allow LRMC to have the funds to properly maintain and operate the line. LRMC wants the P5 fare increase it’s asking for to cover both the 2016 and 2018 adjustments.

Without the increase, LRMC might not be able to borrow from banks the funds needed to build the extension, he noted.

“The banks want to make sure we can repay them, and the only way this can be attained is for us to be able to earn enough through higher fares,” Alfonso said.

After Sucat, the extension will go to Las Piñas and Niog, in Bacoor, Cavite.

“But we can go to Las Piñas and Bacoor only after we have built Sucat, and that means we must have the fares adjusted first,” he said.

Travel from Baclaran to Las Piñas via LRT 1 will take only 20 minutes, and 30 minutes to Bacoor.

“The LRT 1 is a solution to traffic and to people’s daily commute, which is so long because of traffic that they have less time for themselves and their families,” Alfonso said.

Similar railway systems abroad are efficient and well-run because riders pay the proper fares, he added.

Under the contract, if the fare is not adjusted, the government will pay LRMC instead, which means that taxpayers—including the salaried workers in Visayas and Mindanao, not the riders themselves—will be paying for it.

“It is not sustainable to keep fares at the current level without sacrificing service quality. We strive to bring world-class service to the Filipinos and this will entail new investments,” Alfonso said.

Every business must earn a profit to be able to keep its serving. If bus companies do not earn a profit, eventually there might be no buses to ride for the public, he added.

LRMC: Right of way issues blocking LRT-1 extension to Sucat

Extension of the Light Rail Transit line 1 (LRT-1) up to Sucat could be done by 2021 if the issue of right of way (ROW) is resolved by May 2019, the Light Rail Manila Corporation (LRMC) operator of the line said on Tuesday.

LRMC president Juan Alfonso said they are just waiting for needed documents in order to start with the line’s extension.

“The extension of LRT1 to Sucat could start serving riders by the end of 2021 if work on site starts by February 2019, and the right of way is free and clear by May 2019,” he said.

Once extended, LRT-1 passengers will arrive at the line’s Sucat, Parañaque station from Baclaran in just 15 minutes, Alfonso said.

Alfonso added that the delay in the approval of their petition for a fare increase is also hampering the start of the LRT-1’s line extension.

“We are just waiting for the complete ROW and government approvals especially on the delayed increase in our fares from around an average of P20 to around P25 depending on the distance traveled, which is basically the same as bus fares,” Alfonso said in a statement.

“The banks want to make sure we can repay them and the only way this can be attained is for us to be able to earn enough through higher fares,” he added.

Alfonso earlier insisted that the P5 fare increase would be used for the line extension.

Bayan Secretary General Renato Reyes earlier said the LRMC plan was “unfair” to commuters.

Alfonso however said that it would be unfair for the general taxpayers to shoulder the expenses of the line’s extension.

“Under the contract, if the fare is not adjusted, the government will pay LRMC instead, which means the taxpayers including the salaried workers in Visayas and Mindanao, not the riders themselves, will be paying,” Alfonso said. /muf

LRMC aims for 2021 completion of LRT 1 extension to Sucat

The LRT 1 extension to Sucat could be finished by the end of 2021 if work on site can start in February 2019 and the right of way is free and clear by May 2019, operator Light Rail Manila Corporation said.

In a statement, LRMC president Juan Alfonso said that the company is just waiting for the approval of a fare increase to start working on the extension of the Light Rail Transit's Line 1.

"We are just waiting for the complete ROW and Government approvals especially on the delayed increase in our fares from around an average of P20 to around P25 depending on the distance travelled, which is basically the same as bus fares," he said.

Alfonso said that the LRT 1 will be able to bring passengers from Baclaran to Sucat and vice versa in just 15 minutes, compared to buses with a similar fare.

"The main difference is we can bring our riders from Baclaran to Sucat or vice versa in 15 minutes, rush hour or not, and even if the roads are flooded. We are traffic free," he added.

LRMC's contract with the government provides that fares will be increased automatically every two years, starting in 2016, to allow it to have sufficient funds to properly maintain and operate the line.

The P5 increase will cover both the 2016 and 2018 adjustments.

"The banks want to make sure we can repay them and the only way this can be attained is for us to be able to earn enough through higher fares," Alfonso said.

"It is not sustainable to keep fares at the current level without sacrificing service quality."

After Sucat, the extension will go to Las Piñas and Niog in Bacoor, Cavite.

The company expects travel from Baclaran to Las Piñas to take 20 minutes, and 30 minutes to Bacoor, with the line extension. — Maia Tria/BM, GMA News

LRT 1 operator says fare hike needed for Sucat extension

The operator of the LRT-1 said on Wednesday it planned to finish the railway's extension to Sucat, Parañaque by 2021, but it must be allowed to raise fares to fund the project.

Without the P5 increase in fares, the Light Rail Manila Corp said it might not be able to secure bank financing. The proposed fare hike would push the cost of an end-to-end LRT trip to P25 from P20.

"The banks want to make sure we can repay them and the only way this can be attained is for us to be able to earn enough through higher fares," said LRMC president Juan Alfonso.

LRMC said the Sucat extension could start serving riders by the end of 2021 if work on site starts by February 2019, and the right of way is free and clear by May 2019.

After Sucat, LRMC plans to extend the capital's oldest light railway to Las Piñas and Bacoor, Cavite.

LRMC is a joint venture company of Macquarie Infrastructure Holdings and subsidiaries of Metro Pacific Investments Corp and Ayala Corp.

MRT 3 to field fewer trains once system rehab starts in 2019

Only 12 Metro Rail Transit (MRT) 3 trains may be left running once the Japan-led rehabilitation project for the entire system starts next year, according to the Department of Transportation (DOTr).

The limited number of operational trains, which might once again result in long lines at stations, emphasized the need to get the 48 brand new China-made trains running as soon as possible, Transport Secretary Arthur Tugade said on Tuesday.

Tugade added that he had given Dalian Corp. until Aug. 20 to finalize its assessment of the needed repairs which it should also shoulder.

The P11.6-billion MRT 3 rehabilitation project funded by a loan from the Japanese government is aimed at overhauling and restoring to their original condition the train system’s 72 coaches within 26 months or until 2020.

It will be carried out by Sumitomo Corp. which will return as the MRT 3’s maintenance and service provider. But once the rehabilitation of the MRT 3 begins, only 12 trains can operate as the rest undergo repairs, Tugade said.

This will affect the operations of the MRT 3 which has been fielding an average of 15 trains since April from a record low of eight.

Waiting for audit report

The DOTr has yet to release the results of the independent audit conducted of the Dalian trains which would have determined whether these were safe to operate.

But Transport Undersecretary for Rails TJ Batan said that while the new trains failed to comply with some of the provisions in the terms of reference, they could still be used after Dalian Corp. makes the necessary adjustments and repairs. —WITH A REPORT FROM FATE COLOBONG

ONLY 12 TRAINS TO RUN: Sumitomo to come in August as MRT3’s rehab contractor

CLARK, Pampanga—Japan’s Sumitomo Corp. and its technical partner, Mitsubishi Heavy Industries, will start rehabilitation and maintenance works on the glitch-plagued Metro Rail Transit Line 3 (MRT3) in August, the Department of Transportation (DOTr) said Tuesday.

“Sigurado na. Darating na ‘yung Sumitomo next month,” Transportation Secretary Arthur Tugade said in a press conference here.

For his part, Transportation Undersecretary for Rails Timothy John Batan said the loan agreement with Japan International Cooperation Agency (JICA), covering the cost of maintenance services to be incurred, will be signed “within August.”

Sumitomo will start working on the rehabilitation of MRT3 after the loan deal has been signed.

During the 43-month rehabilitation and maintenance of MRT3, the number of trains may be reduced to 12 from the present average of 15 to 16 trains running per day.

“Habang ginagawa ‘yan in ... 43 months, ang train lang po na tatakbo is 12 trains,” Tugade noted.

“Ang ibig sabihin hind natin maa-achieve ang gusto natin na 500,000 per day ridership.”

Expect better service

The Cabinet official gave the assurance that after the rehabilitation works are done, commuters may expect better service from the mass rail transit system such as a shorter headway or waiting time for the next train to arrive and pick up passengers, faster running time of trains, and better air-conditioning.

In December last year, the governments of the Philippines and Japan have exchanged a series of notes verbal on a government-to-government agreement for a Japanese service provider to take over the maintenance and rehabilitation of MRT 3.

The DOTr earlier estimated the rehabilitation cost at ¥34.480 billion or P16.985 billion.

The rehabilitation will cover the trains, the power supply system, the radio system, the CCTV system, the public address system, and the signaling system.

The contractor is also expected to fix the rail tracks, road rail vehicles, depot equipment, elevators and escalators, and other station building equipment.

The overall rehabilitation of MRT 3 is expected to take 43 months—31 months for simultaneous rehabilitation and maintenance works and 12 months for the defect liability period. —VDS, GMA News

Transport Secretary: Fewer MRT trains to run during three-year repair

Transport authorities said Tuesday fewer Metro Rail Transit (MRT) 3 trains will be operational starting August while the line is undergoing rehabilitation and maintenance.

Transport Secretary Arthur Tugade said as few as 12 trains will run daily once Sumitomo Corporation returns as the service provider for MRT-3.

"Yung rehabilitation program, kukumpunihin yung riles, titingnan ang tren at bagon," Tugade said. "Ang tren lang na tatakbo per target is 12 trains. Ibig sabihin hindi ho natin maa-achieve yung gusto natin na 500,000 per day ridership."

While Tugade did not reveal an exact date when the rehabilitation will start, he said it will last for 43 months, or about three years and seven months.

Sumitomo built the MRT system in 1998, and maintained it until 2012.

Since April 2018, at least 15 trains have been running on the railway line on weekdays.

Tugade said the reduction of working trains is necessary to conduct repairs on the aging railway line, which serves 500,000 passengers daily. He said passengers will have a better riding experience once the repairs are finished.

"On the immediate term, hopefully you'll have a better headway, yun bang tinatawag na six minutes, seven minutes baka pwede nang three to four," Tugade said.

The Transport Secretary also said he is optimistic that the 48 train coaches bought from Chinese company CRRC Dalian will eventually be used, after German audit firm TUV Rheinland finished inspecting the trains and found that they can still be used after making certain adjustments.

"Kung magagamit yung Dalian at masusuportahan ng riles, the best case scenario, hindi ba the more trains the better?...The exact when, when we finished talking," Tugade said.

The Dalian trains are part of a ₱3.8-billion contract signed in 2014 between the Chinese firm and the Aquino administration. The trains arrived in 2015, but these were not used because of issues of weight and compatibility with the MRT-3 maintenance facilities and signaling system.

The Transportation Department has given Dalian until August 20 to finalize details of the adjustments it will make on the trains, in time for the high-level talks between the Philippines and China.

DOTr sees full dev’t of Calbayog Airport

TACLOBAN CITY -- The Calbayog Airport, eyed as the region’s alternative to the Daniel Z. Romualdez Airport in this city, got a PHP357-million budget for improvement in the next two years.

The development of Samar’s busiest airport will continue until 2019, Department of Transportation (DOTr) Project Management Service Director Eduardo Mangalili said in a project presentation here Tuesday.

“This year, the airport got a budget of PHP248 million for the completion of widening of runway, apron expansion, runway strip grade correction, construction of runway safety area, construction of vertically separated approaches, and construction of perimeter and security fence,” Mangalili said.

The DOTr had bid out the 2018 project two weeks ago and civil works will proceed this year, said the DOTr official.

For the 2015 to 2017 appropriations, the airport got an allocation of PHP781 million. The past releases was meant for widening of runway, including shoulder grade correction, asphalt overlay, passenger terminal building, apron and taxiway construction, expanded runway site expansion, and shore protection area.

In May 2017, DOTr started the construction of new passenger terminal and site development. It is expected to be finished on April 28, 2019, Mangalili added.

The construction will increase the passenger capacity of the airport tenfold from the present 450 square meters (sqm) to 4,500 sqm.

The airport's apron will also be expanded to comply with International Civil Aviation Organization standards as the present ramp is too narrow to support an airbus A320 jet.

The airport that serves more than 2,000 passengers monthly has a runway length of 2,100 meters and is classified by the Civil Aviation Authority of the Philippines as a minor domestic airport.

Calbayog, one of the biggest cities in the country in terms of land area, has regular flights to Clark by Philippine Airlines and to Cebu by Cebu Pacific.

The Duterte administration committed the full development of the Calbayog Airport until 2022 with a price tag of PHP1.2 billion. (PNA)

DOTr underspends P12B due to policy shifts

PAMPANGA, Philippines – The Department of Transportation (DOTr) on Tuesday, July 17, described as "savings" the P12 billion they did not spend from their 2017 budget allocation, saying this came about due to "shifts in policy."

According to the latest Commission on Audit report, the DOTr had committed to spend 80.9%, or P57.6 billion of its P71.2-billion budget, but it only got to spend 25.6% of its funds, or P18.23 billion.

Some P12 billion were reverted to Bureau of Treasury while close to P2 billion was extended to be used for the following year.

In a press briefing on Tuesday, Transportation Secretary Arthur Tugade clarified that the department's low disbursement rate did not mean they were "negligent."

"We were not able to utilize P12 billion from our funds, but it doesn't mean to say that we weren't able to [implement projects]. These are savings," Tugade said during the briefing at the DOTr office in Clark, Pampanga.

"Secondly, we weren't able to obligate 20% of our budget not because of negligence, but because of shifts in policy. These were reverted because there is no use for it anymore," he added.

COA said that among the funds unspent by the DOTr were some P213 million allocated electricity budget for the controversial 48 trains from China-based CRRC Dalian Company Limited. These trains remain unused. Another "savings" were the P279 million earmarked for operation of these trains. (READ: Dalian trains may be used later this year but...)

The DOTr also incurred savings of P102 million from the terminated maintenance service contract with Busan Universal Rail Incorporated (BURI) in November 2017, as it failed to address issues raised by the government.

Delays?

State auditors pointed out that several projects were "put on hold" due to policy shifts.

According to the report, 144 of 150 locally funded and all 9 foreign-assisted projects were "slowly" implemented. COA said that projects with less than 75% of its funds released within 2017 are "slow."

State auditors attribute this slow release of funds to "changes in policy directions by political leaders and economic managers."

An example of a project "put on hold", COA said, is the Metro Manila Bus Rapid Transit (BRT). The pending BRT project is an unobligated balance of P563.65 million, which was reverted to the Bureau of Treasury.

The DOTr has since said it was considering scrapping the BRT project in Metro Manila, citing physical infrastructure constraints. (READ: DOTr to scrap bus rapid transit project)

"The BRT assumes a dedicated lane along EDSA. The current situation of 5 lanes is with that much traffic – maybe BRT is not the solution to [traffic] in EDSA," Tugade said on Tuesday.

The transportation chief also said that the "delayed" projects have been in the pipeline of the previous administration, specifically citing the Metro Rail Transit and the Light Rail Transit common station in North Avenue.

"The common stations was delayed not because of us. We came in, and it has been delayed…Comparing speed of implementation, we're not entirely delayed," Tugade said.

The MRT-LRT common station has been delayed for a decade due to issues with contractors. It is scheduled to be operational by 2020.

To improve disbursement rates, Tugade said that they will "expedite in-house preparation for detailed engineering design for complex projects." They will also reorganize DOTr's project management office to ensure efficiency.

For 2019, DOTr is also looking at earlier procurement activities, so that projects are implemented prior to yearend.

DoTr to adopt new project rules after CoA report

THE Department of Transportation (DoTr) said it will adopt new rules to address delays in the roll out of projects and fund disbursement pointed out by the Commission on Audit (CoA).

Transportation Secretary Arthur P. Tugade said in a media briefing in Clark on Tuesday, “We’ll start the process early, so when the Congress approves the budget, we can allocate and spend it more readily.”

He added that the reforms cover expediting the preparation of the detailed engineering design (DED) which usually takes three months after receiving budget approval from Congress, and to issue the notice of award and notice to proceed at the same time.

The CoA report found issues with the launch of 153 out of 159 projects because of policies that hamper execution.

The DoTr said the policy changes were meant to make the process more efficient as older policies cause longer delays.

“The CoA report is correct, but the conclusion or perception of others that it means we are not doing our jobs is wrong,” Mr. Tugade said.

The DoTr said its obligation rate, or the funding it secured for projects in 2017, was at 80%, with a disbursement rate of 25%.

He said getting to fund disbursement usually takes the DoTr eight months, but with the changes, it hopes to remove as many as four months from the process.

“If you remove the notice to proceed, you’ll save 30 days. If you remove the DED after Congress (approval), you’ll save around three months. That’s the time we’re looking to cut,” Mr. Tugade told reporters.

The DoTr also addressed the supposed “quadrupling of expenses” when it moved to its office in Clark, saying although it indeed pays more rent for its new office, it now occupies a bigger land area and pays its lease to the Clark Development Corp., which in effect goes to the government, instead of a private institution.

The former office of the DoTr was in 58 condominium units at Columbia Towers in Mandaluyong CIty.

Mr. Tugade noted the bigger space is meant to accommodate more DoTr units including the back offices of the Land Transportation Franchising and Regulatory Board (LTFRB), the Land Transportation Office (LTO) and the Toll Regulatory Board (TRB).

He said this is to help ease road congestion in Metro Manila, especially East Avenue in Quezon City where the LTFRB and LTO hold office. — Denise A. Valdez

http://bworldonline.com/dotr-to-adopt-new-project-rules-after-coa-report/

COA audits DOTr

Sabi na nga ba something was not right. Now the Commission on Audit (COA) has confirmed our suspicions about the ability of the Department of Transportation to get things done. It is not just the DOTr under Art Tugade, but also DOTC under Jun Abaya.

But since it has been two years since Mr. Tugade took over, the faults of Jun Abaya are now also his. At the very least, he is not seen as having done enough to correct some of the problems he inherited. He blames government procedures that take time.

Tugade may be well on the way to solving the driver’s license,  car plates, and maybe even the MRT-3 fiasco of Abaya, but there are also problems that are of his own creation.

One positive development on the MRT-3 rehabilitation and possibly in the construction of other commuter lines is the decision of Tugade to adopt the single point of responsibility principle in commissioning contractors. The chop chop mode of the Abaya DOTC is why LRT-2 extension to Masinag is proceeding very slowly.

Going back to COA’s audit report for last year, the DOTr was reported to have been unable to fully implement P46.6 billion worth of funded projects due to frequent changes in policy.

According to the COA, the changes in “policy directions by political leaders and economic managers” resulted in the failed or delayed implementation of 153 out of 159 DOTr projects last year.

“In view of the department’s unutilized allotments and cash allocations, timely delivery of its mandated services, particularly the improvement of road safety by expanding safe, affordable, and accessible public transport was not achieved,” COA reported.

COA pointed out a total of P700 million worth of projects for regional airport expansions and maintenance, supposed to be undertaken through public-private partnerships, were hobbled because of policy changes. Because Tugade cancelled a ready-for-bidding bundle of regional airports, DOTr is now back to square one, the conduct of feasibility project study for each of the airports.

The COA also cited a list of projects that were funded, but not implemented or only partially accomplished: the technical support consultancy project for the Cebu Bus Rapid Transit worth P2.4 billion; the P1.9-billion Light Rail Transit (LRT) Line 2 east extension; the P1.4-billion LRT Line 1 north extension common station, and others.

Indecisiveness also resulted in DOTr putting on hold the Metro Manila Bus Rapid Transit Line 1-Quezon Avenue project, which had been provided a funding of P563.6 million. According to COA, this happened because officials supposedly could not decide on whether to push through with it.

On the Quezon Avenue BRT, it is just as well that it was not implemented. It doesn’t seem to be the right solution given the increasing number of commuters on this line.

The Cebu BRT is also a project that had been overtaken by commuter growth. It was unwise for the previous administration and the World Bank to have wasted so much money on studying the project for such a long time. It is obvious Cebu’s rather narrow streets provide little or no room for a BRT.

Not on the COA list, but still waiting for DOTr action is the rehabilitation of the NAIA, also a NEDA-approved project left over from the previous administration. There are now two unsolicited proposals to do the NAIA rehab waiting for DOTr to decide.

It is taking Tugade a long while to understand that two or even three airports for Mega Manila would be alright as is the case in New York, San Francisco, London among other mega metropolitan areas. We will still need NAIA for the next 15 years while a new airport complex is being built.

Now Tugade is hinting he wants government to undertake the NAIA rehabilitation, in other words, himself. Maawa naman sa madlang public. We are suffering enough for his inability to execute projects quickly.

 But Tugade can be decisive if he wants to. He managed to transfer DOTr’s head office from Ortigas to Clark in a matter of weeks even without a vetted plan and causing waste of government funds. As the website politics.com.ph puts it, “Dahil lang sa kapritso! DOTr quadruples HQ costs just because Tugade wants to spend more time in Clark.”

According to the audit agency, DOTr lacked a “structured transfer plan” before it relocated its office operations to the Clark Economic Zone and Freeport in Pampanga. As a result, DOTr’s total expenses have increased.

Because the move was made on a whim, taxpayers also lost P19.2 million in unrealized rentals from the 58 condominium units at its previous headquarters at Columbia Towers. COA observed the rentals could have been used to offset what DOTr spends to shuttle its employees from Manila to Clark.

 According to COA, DOTr is now spending close to P30 million for shuttle services for its employees. It has a 10-bus rental deal with Genesis Transport Service which picks up DOTr employees from six points to travel the 100 kilometers to Clark every day.

 Other increased annual costs attributed to the transfer cited by COA include: rent (up 278 percent to P50.9 million a year); communication (up 188 percent to P15.344 million); fuel and lubricants (up 379 percent to P11.682 million); and repair and maintenance (up 100 percent to P3.444 million).

 Tugade claims he did the transfer to set the example for other agencies to help decongest Metro Manila. It could have been done with more planning and foresight for the sake of taxpayers.

(Incidentally, if the plan is to eventually move government to Clark to decongest Manila as Tugade claims, why is the Senate and the Supreme Court constructing new office buildings at BGC?)

Because Tugade is responsible for a large part of BBB infra projects, we should all be very vigilant he gets his job done. Hopefully President Duterte gets very vigilant too about getting his Cabinet members to deliver.