Tuesday, August 7, 2018

Right-of-way issue hounds MRT 7

CONSTRUCTION of the Metro Rail Transit Line 7 (MRT-7) — a project designed to offer more public transport options north of Metro Manila — could face delays on right-of-way questions involving the project’s planned depot in San Jose del Monte, Bulacan.

In a July 2 letter of proponent San Miguel Corp. Mass Rail Transit 7, Inc. (SMC MRT7) to Transportation Secretary Arthur P. Tugade that was obtained by BusinessWorld on Monday, the company asked the department for assistance by asking the Office of the Solicitor General (OSG) to file a petition for certiorari, or for a review of the ruling in question issued by a lower court.

The P62.7-billion MRT-7 project — which will run between North Avenue in Quezon City and San Jose del Monte City, Bulacan — has three components, namely: a 22-kilometer rail transit system with 14 stations; a six-lane highway between North Luzon Expressway and a planned Intermodal Transportation Terminal (ITT); and the ITT itself that can accommodate 200 buses at a time. The stations will be located at North Avenue, Quezon City Memorial Circle, University Avenue, Tandang Sora, Don Antonio, Batasan, Manggahan, Doña Carmen, Regalado, Mindanao Avenue, Quirino, Sacred Heart, Tala and San Jose del Monte.

It is a public-private partnership project, with San Miguel Corp. as the government’s private sector partner and Hyundai Rotem-EEI consortium as engineering, procurement and construction contractor.

SMC MRT7 said the project was supposed to acquire 33 hectares of land in Bulacan for the train depot, the ITT and the 14th station but the move was disrupted when the property owner questioned the expropriation in court.

Malolos Regional Trial Court Branch 11, to which the case was raffled, issued on Feb. 15 an order granting writ of possession, provided that the government pay the property owner P1,800 per square meter — which at that time was just the new valuation proposed by the Bureau of Internal Revenue (BIR) district office — rather than the “current and actual BIR zonal valuation” of P200/sq.m.

The new valuation, SMC MRT 7 argued in its letter, caused “the deposit amount” to balloon to P598.905 million from P67.105 million.

In doing so, the court, SMC MRT 7 added, ignored Section 6 of Republic Act No. 10752 — the law “facilitating the acquisition of right-of-way site or location for national government infrastructure projects” — that expropriation amount should be based on the actual BIR zonal value as basis for valuation.

‘UNDUE HASTE’

Besides noting that the nearly ninefold increase in expropriation amount “inevitably increased the project cost, thereby causing undue injury to the government and ultimately to the Filipino people”, the company also questioned the “undue haste” with which a new zonal valuation was approved and took effect on May 9, providing basis for a second court order on May 10 upholding the earlier order.

The Department of Transportation (DoTr), which received the May 10 order on June 2, has 60 days from such receipt to file a petition for certiorari with a higher court.

The OSG asked for a 60-day extension on Aug. 1.

Sought for comment, DoTr Undersecretary for Railways Timothy John R. Batan told BusinessWorld on Monday that the MRT-7 cannot operate until the depot is up, “which means that even if all elevated viaduct and stations of MRT-7 are completed, it cannot operate until the depot in SJDM (San Jose del Monte), Bulacan is completed.”

The target date of completion for the MRT-7 is in 2020. Once operational, the new train system is expected to accommodate an estimated 420,000 passengers a day.

“Note that as of June 2018, 45 out of 108 train cars for MRT-7 are already completed and cannot be delivered from Korea due to the non-availability of a depot,” Mr. Batan added.

A common station being built near the corner of EDSA and North Avenue will connect MRT 7 to MRT 3 that runs along EDSA and LRT1.

Meralco sets add’l P4.2-B capex for DOTr railway projects

By Myrna M. Velasco

To support the Department of Transportation’s (DOTr) build-up of priority railway infrastructure projects, utility firm Manila Electric Company (Meralco) indicated that it will earmark additional P4.239 billion on its capital outlay, primarily to handle right of way (ROW) issues and relocation of affected communities traversed by several State-underpinned ventures.

According to Meralco First Vice President Ronnie L. Aperocho, who is also the company’s head of networks, 30 percent of the estimated relocation costs shall be shouldered by the utility firm.

As calculated, the total cost for the transfer of affected families and communities of the railway projects shall be at P14.155 billion – the bulk amounting to P9.916 billion shall be to the account of implementing agency DOTr; and the balance by Meralco.

Aperocho noted the targeted relocation shall be on areas to be straddled by five major projects – chiefly that of 38.2-kilometer Philippine National Railways (PNR) – North 1 project; the 5-6km PNR South Commuter Raiway; 12.6km PNR North-2 project; the 25km Metro Manila Subway project and the 208km PNR South Long Haul railway project.

Meralco Senior Vice President Alfredo S. Panlilio emphasized that the anticipated expense for these “Build, Build, Build” infrastructure projects of the government has yet to be approved by the Energy Regulatory Commission.

Company executives qualified that the amount shall be on top of the capital expenditures (capex) that the company had already applied for with and as approved by the regulatory body.

For the first half alone, the utility firm noted that it already spent P6.6 billion of its capex for the requirements of its new load and customer requirements; as well as those on system reliability enhancements.

https://business.mb.com.ph/2018/08/06/meralco-sets-addl-p4-2-b-capex-for-dotr-railway-projects/

MPTC set to build Nlex-Slex connector road at least 4 months ahead of schedule

WHILE it has yet to tap a contractor for the construction of an 8-kilometer road that will link the North Luzon (Nlex) and South Luzon Expressways (Slex), Metro Pacific Tollways Corp. plans to start building the facility ahead of schedule.

Rodrigo E. Franco, the company president, said his group intends to aggressively push the construction of the Nlex Connector Road to January instead of May, as the road is seen as a crucial infrastructure that could help solve the traffic mess in Metro Manila.

“We are still looking at a construction start ahead of contract schedule,” he said in a text message.  The company initially wanted to start the construction of the link road sometime last month due to the pressure from the public works department’s creation of a right-of-way task force. However, it has yet to award a contractor for the project.

It could be noted, though, the company’s concession agreement with the government provides for a May 2019 start of construction for the project’s first section, which runs from C-3 Road to España.  “I want to clarify that the Nlex Connector is not delayed. We just moved the start date,” Franco said.

Department of Public Works and Highways (DPWH) Officer in Charge for Public-Private Partnerships (PPP) Alex G. Bote said the target groundbreaking for the Nlex Connector’s civil works is set for September.

“We need a contractor to be on board. They are still in talks with possible contractors,” he said.

Public Works Secretary Mark A. Villar noted the government is also doing its best to deliver the easement for the road on time.

“We are delivering parts of right-of-way this year,” he said.

Bote added the government and the private company will be “concurrently doing right-of-way acquisition and delivery and construction” to ensure the timely delivery of the much-needed infrastructure.

Nlex is envisioned to be an 8-kilometer, four-lane elevated toll road that will connect the Nlex and Slex.

It will extend the southward portion of Nlex from the end of Segment 10 in C-3 Road Caloocan City to PUP Santa Mesa, Manila, and connecting to the Skyway Stage 3, and mostly traversing the Philippine National Railway rail track.

The project is expected to provide seamless expressway connection between key growth areas like Metro Manila and North and Central Luzon, and the Clark-Subic corridor.   Around 35,000 motorists per day, especially cargo trucks, are expected to benefit from the project.

The facility is expected to be completed by December 2020, ahead of its May 2021 schedule, based on an indicative timeline.

The project, which has a price tag of P23.3 billion, includes two interchanges located at C-3 Road, Caloocan and España, Manila.

Franco earlier said his group is keen on tapping the bond market to partially fund the construction of the link road.

Nlex Connector will be operated by Nlex Corp., a unit of Metro Pacific Investments Corp., the largest tollways operator in the Philippines.

https://businessmirror.com.ph/mptc-set-to-build-nlex-slex-connector-road-at-least-4-months-ahead-of-schedule/

NLEX moves construction of road link to early 2019

NLEX Corp. said on Monday it is on track on the construction of an expressway linking the North Luzon Expressway and South Luzon Expressway in the first half of 2019.

The  start of construction for the first section of the NLEX Connector project, stretching from C3 Road in Caloocan City to España Blvd. in Manila, is scheduled on May 2019, based on the contractual agreement NLEX signed with the Department of Public Works and Highways,

NLEX, however, said the company and DPWH agreed to push for an aggressive timeline to move the construction schedule to January 2019 instead. 

The new schedule will ensure the early completion of the NLEX Connector, which is seen as a crucial infrastructure needed to solve traffic congestion in Metro Manila.

The aggressive timeline was in consideration with the joint right-of-way or ROW program of NLEX and DPWH.

The company also reported that acquisition of the ROW was also on track, with the DPWH committing to provide the ROW requirements to jumpstart the construction of the NLEX Connector project ahead of its original contractual schedule. 

NLEX and DPWH are working closely for the timely completion of the project by December 2020 ahead of the original schedule of May 2021.

The company said Public Works Secretary Mark Villar even created in 2017 a task force for faster and efficient ROW acquisition and delivery.

The P23.3-billion NLEX Connector Road project is an 8-kilometer, all elevated four-lane expressway which would extend the NLEX southward from the end of the NLEX Harbor Link Segment 10 in C3 Road in Caloocan City to PUP in Sta. Mesa, Manila.

The project is expected to provide seamless expressway connection between key growth areas like Metro Manila and North and Central Luzon and the Clark-Subic corridor.

Around 35,000 motorists, especially cargo trucks, who are expected to benefit from the project, will have an option to skip congested public roads since the road will traverse mostly along the Philippine National Railways’ alignment.

The NLEX Connector is one of the first Public-Private Partnership projects awarded by the Duterte administration in 2016.

http://www.manilastandard.net/business/transport-tourism/272330/nlex-moves-construction-of-road-link-to-early-2019.html