A coach of the MRT passes along EDSA Quezon City.
Manila Times/Quezon City
The dilapidated and congested Metro Rail Transit 3 (MRT 3) will drastically improve before president Benigno Aquino 3rd finishes his term in June 2016.
Secretary Joseph Abaya of the department of transportation and communications made the promise a day after the president blamed the private sector’s failure to fulfil its maintenance obligations for setbacks to the train system.
The private firm MRT Corporation (MRTC) owns the system, while the government manages it.
But being the owner, it was MRTC that entered into contracts for MRT 3’s maintenance provider, Sumitomo, which bagged a maintenance deal for 1999-2012.
PH Trams took over the maintenance job in late October 2012 and it was replaced by Global-APT in September 2013.
In his last Sona, Aquino said MRT 3’s problems are being dealt with through the purchase of 48 new coaches, new rails and 12 new escalators, as well as the rehabilitation of 34 escalators and 32 elevators and upgrade of signalling and automatic fare collecting systems and power supply.
In his Sona, Aquino said the MRTC has proved to be more of a hindrance than a partner.
“The private sector relegated their responsibility to us; when we made moves to provide a solution, they blocked us. It is clear that our agenda and that of the MRTC will never meet. Now, we are taking steps to buy out the corporation,” he said.
“Once this is fixed, the state will be the sole decision maker,” he stressed.
But the government is not blameless.
Directors of PH-Trams and Global-APT are close to former MRT 3 General Manager Al Vitangcol, who has been charged with graft by Ombudsman Conchita Carpio-Morales over the PH Trams MRT 3 maintenance deal of $1 million a month.
PH Trams’ incorporator Arturo Soriano is an uncle of Vitangcol’s wife, a fact that Vitangcol unlawfully kept from members of the Bids and Awards Committee.
In a press briefing yesterday, presidential communications secretary Herminio Coloma Jr echoed the president’s position, adding that it is important to know what caused the problem to know the correct solutions.
“Correct analysis leads to correct solution,” he told reporters.
Previously, the department of transportation and communications (Dotc) said it was eyeing loans to finance the complete government takeover of the MRT Line 3 since the P54bn needed to effect the buy out was not included in the 2015 budget.
Officials said they were considering borrowing from foreign sources or local banks to pursue the equity value buy out (EVBO) of the private shareholders of MRT-3.
The planned buyout will terminate the concession agreement and transfer full ownership of the mass transit system to the government.
The construction of a new mall in Legazpi City will generate more than 4,000 jobs, a business executive said.
Ayala Corporation partnered with Liberty Commercial Center management, the owner of Bicol’s oldest and biggest chain of malls, to construct a mall that is set to open by December 2015.
“We’re here to bring the best of Ayala, to help and provide employment, pay our taxes here as we’re impressed with the growing number of tourists, infrastructure and (a) booming economy,” said Hamm Katipunan, Ayala business development and strategic planning group manager.
He said that for the construction aspect alone, more than 1,000 workers would be hired while more than 3,000 will be employed for the soft opening set on December.
The building was once owned by the Tan family, who are pioneers in building local malls since 1945 in the three key cities of the region namely; Tabaco, Legazpi and Naga.
Ayala will operate the four-story premier mall with four cinemas, and Al fresco dining on the fourth floor where visitors could view the majestic Mayon volcano.
Katipunan said the stores would be a blend of national and local brands while 10 percent of the stores will be allotted to local businessmen.
“We wanted Ayala because we want the best for Bicolanos. So we thank the Ayala (group) for responding (to) our plea,” Antonio Tan president of LCC Mall said.
Mayor Noel Rosal said that aside from Ayala, more investors are coming in here like SM City and Robinson’s aside from two other malls being constructed in this city such as the Gregorian and Yashano malls.
With massive infrastructure development, business growth and big influx of foreign and domestic tourists in this city, Legazpi according to Rosal is the next commercial hub in the country, next to Davao and Cebu.
