The Department of Transportation said it expects Sumitomo Corp. of Japan to start the rehabilitation and maintenance of Metro Rail Transit Line 3 system in 2019.
The department and Sumitomo earlier signed a contract for the rehabilitation and maintenance of MRT 3 system, which will cover the entire 16.9-kilometer line, all its 13 stations, the remaining 72 light rail vehicles and the MRT-3 Depot on North Avenue, Quezon City.
“All sub-systems will be restored, renewed or upgraded, including MRT-3’s track works, signaling system, power supply system, overhead catenary system, communications system, and maintenance and station equipment,” the DOTr said.
The agency said the rehabilitation period for the MRT-3 was expected to last 43 months.
The government signed a P18-billion loan agreement with the government of Japan in November for the MRT 3 system’s rehabilitation and maintenance.
The Transportation Department in September 2017 granted the original proponent status to a group led by Metro Pacific Investments Corp., which submitted the unsolicited bid for the rehabilitation and O&M of MRT 3.
The consortium of MPIC and Ayala Corp. submitted an unsolicited proposal to DOTr to upgrade and rehabilitate MRT 3 for P12.5 billion.
The consortium is also looking at buying out the stake of the government and private investors in MRT 3.
The government through Land Bank of the Philippines and the Development Bank of the Philippines own a combined 80-percent economic interest in MRT 3, while the balance is held by creditors of Metro Rail Transit Corp.
MPIC in 2011 offered to buy out the shares of Land Bank of the Philippines and Development Bank of the Philippines in MRT 3 for $1.1 billion.
MPIC also submitted a proposal to the Department of Transportation in 2011 to invest $524 million to rehabilitate and upgrade MRT 3.
The Aquino administration, however, rejected Metro Pacific’s offer that would involve raising commuter fares.
MRT 3, which runs along Edsa from North Avenue in Quezon City to Taft Avenue in Pasay City, serves over 500,000 passengers a day, beyond its rated capacity of 350,000.
The line has a fleet of 73 Czech-made air-conditioned rail cars.