Wednesday, May 8, 2019

LRT-2 trains to be delivered

Seoul Metro 2000-series (third generation, second batch)
Seoul Metro 2000-series (fourth generation)

Construction of LRT-1 Cavite extension gets under way; partial operations by 2021

THE extension of the Light Rail Transit Line 1 (LRT-1) to Cavite is seen to benefit passengers by as soon as the fourth quarter of 2021, as construction began on the project on Tuesday — nearly five years after it was awarded to the Light Rail Manila Corp. (LRMC).

In a ceremony in Parañaque City on Tuesday, the Department of Transportation (DoTr) and LRT-1 operator LRMC officially started work on the project extending the existing train line from Baclaran to Bacoor, Cavite.

“The dream that was more than two decades ago is a reality today, and will soon be a reality by the (fourth) quarter of 2021. Our project proponent said we can do partial operability in 2022… (But) I want a partial operability by the last quarter of 2021,” Transportation Secretary Arthur P. Tugade said in a ceremony in Parañaque City.

The Aquino administration awarded LRMC the P65-billion public-private partnership (PPP) project in September 2014. The company was allowed to take over the operations and maintenance of the LRT-1 system in September 2015.

Under the project, 11.7 kilometers will be added to the existing 18.1-kilometer LRT-1. Eight new stations will be opened, namely Redemptorist, NAIA Avenue, Asia World, Ninoy Aquino, Dr. Santos, Las Piñas, Zapote and Niog. This is seen to increase its daily ridership to 800,000 from the current 500,000.

“Yung funding for the construction naka-earmark na ’yun. (The funding for the construction has already been earmarked.) It’s P24-30 billion. There are components funded by LRMC, and other components funded by the government. So it’s roughly about P25 billion for the extension,” LRMC President and Chief Executive Officer Juan F. Alfonso said.





Apart from the construction of the extension by LRMC, the project includes the procurement of new trains, expansion of its depot and acquisition of right of way. These other components will be funded in part by the Government of the Philippines and by a loan from the Japan International Cooperation Agency (JICA).

The Philippines had signed a P12.8-billion contract with Japan’s Mitsubishi Corp. and its technical partner Construcciones y Auxiliar de Ferrocarriles in 2017 to buy 120 new light rail vehicles, which are scheduled to be delivered starting July 2020 until 2022.

A P4.5-billion contract was also signed with Shimizu Corp. in February for the expansion of the existing depot in Baclaran and construction of a new satellite depot in Zapote. These will be used to house the new train sets that will be arriving.

Right-of-way acquisition will be financed by the Philippine government. Transportation Undersecretary Timothy John R. Batan reported more than 90% of the right-of-way for the Cavite extension’s first package has already been cleared, covering the first five stations from Redemptorist to Dr. Santos in Sucat.

“With today’s ceremony for LRT-1 Cavite extension, we at the (Department of Transportation)…are happy to report that all multi-decade, pending projects that we found ourselves catching up on are finally in full motion,” Mr. Batan said, noting the project was approved by the National Economic and Development Authority Board in 2002.

LRMC is the consortium of Ayala Corp., Metro Pacific Light Rail Corp., of Metro Pacific Investments Corp. and Macquarie Infrastructure Holdings (Philippines) Pte. Ltd.

Metro Pacific Investment Corp. is one of three Philippine subsidiaries of Hong Kong’s First Pacific Co. Ltd., the others being PLDT, Inc. and Philex Mining Corp. Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., maintains an interest in BusinessWorld through the Philippine Star Group. — Denise A. Valdez

https://www.bworldonline.com/construction-of-lrt-1-cavite-extension-gets-under-way-partial-operations-by-2021/

Duterte signs energy conservation law

President Rodrigo Duterte has signed into law a measure institutionalizing energy efficiency and conservation in the Philippines.

Republic Act (RA) 11285 or the “Energy Efficiency and Conservation Act” was signed by the President on April 12, but was released to the media only on Tuesday, May 7.

Under the law, a National Energy Efficiency and Conservation Plan (NEECP) will be formulated to serve as the framework for programs on energy efficiency and conservation.

The framework will introduce fundamental policies on energy efficiency and conservation, including the promotion of efficient and judicious utilization of energy, increase in the utilization of energy efficiency and renewable energy technologies, and the delineation of responsibilities among various government agencies and private entities.

The law also mandates the development and maintenance of a National Energy Efficiency and Conservation Database (NEECD), a centralized, comprehensive and unified database on the application and use of energy-efficient and renewable technologies, and other relevant information about energy consumption.

The Energy Efficiency and Conversation Act delegates the Department of Energy (DoE) as the lead agency responsible for the planning, formulation, development, implementation, enforcement and monitoring of energy management policies and other related energy-efficiency conservation plans and programs.

The DoE is also tasked to develop a system of monitoring the implementation of the NEECP, and to maintain the NEECD.

RA 11285 also instructs the Energy department to initiate and maintain collaborative efforts with the business sector, particularly the commercial, industrial, transport and power sectors, to ensure compliance with the law, and broaden and enhance their efficient and judicious utilization of energy.

The law also seeks national awareness and advocacy campaign on energy-efficiency and conservation that will also be done by the DoE, in partnership with business, academe, nongovernment organizations and other sectors.

The DoE is directed to provide annual reports to the Senate and the House of Representatives, with regard to the status of the implementation of the law at the national and local levels, cost effectiveness outcomes and energy and environmental impacts, among others.

The law orders all government agencies, including government-owned and -controlled corporations to ensure the efficient use of energy in their respective offices, facilities and transportation units, and in the discharge of their functions.

RA 11285 also creates an Inter-Agency Energy Efficiency and Conservation Committee that is tasked to provide strategic direction in the implementation of the government energy management program, a program that will reduce monthly consumption of electricity and petroleum products by the government.

The European Union Access to the Sustainable Energy Program has estimated that a 10-percent improvement in efficiency would save the Philippines P55.5 billion, which translates to a P140 monthly or P1,680 annual savings in the monthly electricity bill of the average household.

The World Bank has also reported that government energy efficiency projects could help the government save P3.4 billion per year.

RA 11285 will take effect after 15 days from its publication in the Official Gazette or in a newspaper of general circulation.

https://www.manilatimes.net/duterte-signs-energy-conservation-law/550987/

Roxas to the Senate? His reward for wrecking MRT-3?

I WROTE the column reproduced below on May 17, 2017, and there were several others on the same topic earlier in 2016 and 2015.

Mar Roxas and Emilio Abaya, who were Aquino 3rd’s transport secretaries when the MRT-3 went to the dogs, did not contest any of its claims, or even its title: “For the MRT-3 mess, Roxas and Abaya should be in jail by now.” Yet he wants to be in the Senate now.

The Duterte administration did file in November 2017 plunder charges against the two as well as other Aquino Cabinet members for rigging the bidding for the P4-billion maintenance contract for MRT-3 to favor a Liberal Party-linked outfit. Guess what?

The Ombudsman then, Aquino’s favorite woman in robes, Conchita Carpio-Morales, dropped the charges against Roxas, and reduced from plunder to just graft those against Abaya and the other Cabinet members. She did this June 25, 2018, a few weeks before her compulsory retirement on July 25.

Last year, Liberal Party head Francisco Pangilinan said that Roxas would not be running for a Senate seat in the elections this May. Why can’t I shake off the suspicion that being a senator is one way of making sure he won’t be indicted again?

The Yellows — and Church leaders — have been on a propaganda tack calling on Filipinos not to vote thieves (magnanakaw) to office, especially to the Senate.

Beyond bribes, the worst kind of theft is that of the million Metro Manila commuters’ well-being, who had to endure daily during Aquino’s term the disastrous results of Roxas and Abaya’s mismanagement of the MRT-3.

The two DoTC secretaries when the MRT-3 became a daily hell for commuters.

2017 column follows:

OR perhaps in Duterte Speak, Aquino 3rd’s transport secretary, Emilio Abaya, and his predecessor, Mar Roxas, should have been lynched at the highest point of the MRT-3 line along EDSA for having made life a daily hell for hundreds of thousands of commuters with their handling of that mass transport system.

How Abaya and Roxas messed up the Metro Rail Transit (MRT-3) line is probably the most documented case of incompetence — or corruption — in running a government enterprise. If the Ombudsman weren’t Conchita Carpio-Morales, who was so close to Aquino that he chose her to swear him to office as president, I’m sure Roxas and Abaya would be in jail by now.

Consider the facts: For 10 years after MRT-3 started operations, the Japanese firm Sumitomo Corp. maintained the system under a contract with Metro Rail Transit Corp. (MRTC), the MRT-3’s private builder and operator. The train was so efficient that Sumitomo had boasted about MRT-3 in its sales pitch to bid for mass-transit projects around the world.

Renewed 4 times

When Sumitomo’s contract expired in July 2010, it was given six-month maintenance contracts only. This placed Sumitomo in a bind as it required a longer time frame so it could estimate how much of maintenance inventory it needed to keep, which accounted for half of its $1-million monthly contract. Sumitomo repeatedly wrote to the Department of Transportation and Communications (DoTC) to request a bidding for a longer-term contract. DoTC didn’t reply at all.

However, on Oct. 4, 2012, or just two weeks before Sumitomo’s fourth six-month contract was to have ended on October 19, the DoTC said it would no longer renew it, and that a three-year contract would be bid out.

It scheduled a bidding in two weeks. Sumitomo calculated that this was such an impossible short time frame that it backed out of the auction. That was the start of the MRT-3’s deterioration.

Note that all this time, during which the bidding could have been announced way in advance so that bidders would have had time to prepare for it, the DoTC head was Roxas, who ran for the presidency in 2016 and landed — amazingly — second.

However, in August 2012, Interior Secretary Jesse Robredo was killed in an airplane crash and Aquino appointed Roxas to replace him. Roxas assumed the post — strangely — only two months later, on October 19. It was Abaya, appointed to replace Roxas, who signed the maintenance contract with an obscure firm PH Trams-CB&T on the day he assumed office as DoTC head.

This two-month-old company, capitalized at only P2.5 million, or less than one percent of the P300 million cost of the maintenance contract, won the bidding that Roxas had called just two weeks before. One of its six investors was known in Pangasinan province as a Liberal Party financial supporter — Wilson de Vera. He had been accused by the Czech ambassador of attempting in July 2012 to extort $30 million from the Czech company Inekon in exchange for winning the contract to supply MRT-3 with train cars.

He just signed it

Abaya, in a hearing the other day at the Senate, claimed he didn’t know about the firm’s background, and that it was Roxas who made all the decisions over the maintenance contract and the bidding for it. He said he just presumed that nothing was wrong with the contract so he signed the documents when he took over as head of the DoTC on October 19.

Why did Roxas drag his feet for a month and a half to leave his DoTC post only on October 19, even if Aquino had appointed him to the DILG post on August 31? Is this a huge coincidence that October 19 was the day PH Trams signed the contract with MRT-3?

Am I too suspicious to speculate that Roxas was a segurista, that he wanted to make sure that his two-year plot to get a favored contractor in place before he stepped down pushed through? Was it even a better scenario for him that his apparently witless lackey, Abaya, and Vitangcol signed the contract papers and, therefore, would be accountable if the scheme was exposed?

What these morons did not realize, though, was that Sumitomo’s maintenance contract was not as profitable as it seemed. Half of the contract price was the cost of inventory for the MRT-3’s parts, which were expensive because many of them were precision-engineered and of the highest-quality steel.

What these idiots also did not know was that Sumitomo was satisfied with getting the smallest business margins from the contract, as it was more concerned about its reputation so it could get more and bigger projects all over the world. Its MRT-3 maintenance contract barely made a profit, but Sumitomo used the rail’s efficiency as proof of its expertise in light rail building and maintenance.

Indeed, Sumitomo has built a reputation as one of the best light-rail builders in the world, with its latest projects being the $500 million contract signed in 2012 to build Vietnam’s first urban rail system, and a $398-million supply contract for Chicago Metra’s commuter rail cars.

Scrimping on expenses

Scrimping on expenses as much as it could to make the contract hugely profitable, PH Trams didn’t build up a stock of spare parts and resorted to cannibalizing its [the MRT-3’s] other cars for the required parts. The result: the number of cars running at present stands at 14 at the most, down sharply from 70 when Sumitomo was running MRT-3.

Without a stock of replacements, the trains’ steel wheels got to be so squeezed into ovals so that these had to run slower, or else they would be derailed. With maintenance becoming so messed up, MRT-3 trains made mid-station stops, or had to run so slowly.

As a result there has been so much outrage over MRT-3’s breakdowns and overcrowding of its coaches. In December 2015, Abaya awarded after a “simplified bidding” a new P4 billion contract to a consortium led by the Korean Busan Transportation Corp. As happened during Roxas’ time, Abaya claimed there was an emergency situation so that the “winner” of the bid was determined through negotiations. The contract is for three years, i.e., until 2018.

This consortium’s lawyer is one Luis Carpio Jr., the brother of Ombudsman Conchita Carpio-Morales. Is that what you’d call bullet-proofing a contract?

Email: tiglao.manilatimes@gmail.com
Facebook: Rigoberto Tiglao
Twitter: @bobitiglao
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https://www.manilatimes.net/roxas-to-the-senate-his-reward-for-wrecking-mrt-3/551107/

LRT 1 expects new trains from Japan

The Department of Transportation said Tuesday it expects the delivery of trains from Japan for LRT Line 1 Cavite Extension Project by July next year as the Light Rail Manila Corp. started the construction of the line’s extension.

Transportation Undersecretary for rail Timothy John Batan said the first and second four-car train sets were on schedule for delivery in July 2020.

He said the next eight 4-car train sets would be delivered in December 2020 and 30 more 4-car train sets would arrive in 2021 to 2022.

The department and Mitsubishi Corp. signed a P12.8 billion in December 2018 for the manufacturing of 120 new cars for LRT Cavite Extension Project.

Batan said a new depot would be built in Zapote while the Baclaran depot would be expanded from its current capacity of 145 LRVs to 197 LRVs.

A new satellite depot will also be constructed in Zapote to accommodate 72 LRVs.

http://manilastandard.net/business/biz-plus/294155/lrt-1-expects-new-trains-from-japan.html