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Megawide Construction Corporation has announced that its unsolicited proposal for the East-West Rail (EWR) between Diliman in Quezon City and Lerma in Manila will cost around PHP51.17 billion (US$1 billion).
In July 2017, Megawide acquired the right to participate in the project and partnered with the consortium formed by East-West Rail Transit Corporation and Alloy MTD of Malaysia.
East-West Rail Transit Corporation is formed by A Brown and Private Equity Investment and Development Corporation. Systra Philippines – a member of the Systra Group of France – is providing technical assistance for consortium.
As we reported in November 2016, MTD Philippines, a subsidiary of AlloyMTD, and East-West Rail Transit Corporation submitted an unsolicited proposal for the project.
It was proposed to Philippine National Railways (PNR) to alleviate traffic congestion and encourage more productive activities in Metro Manila. PNR is a state-owned railway company opertating two commuter rail services in Metro Manila and the Bicol Region. The Bicol service is currently under rehabilitation.
The EWR involves the financing, design, construction, operation and maintenance of the elevated 9.4-kilometer railway line. The EWR will have 11 stations and provide interconnecting facilities with neighboring rail systems.
According to the PPP Center, the project is under evaluation by the members of the Investment Coordination Committee - Technical Working Group (ICC-TWG). The ICC Technical Working Group, comprised of the National Economic and Development Authority (NEDA) Secretariat, the Department of Finance (DOF), the Department of Environment and Natural Resources-Environmental Management Bureau (DENR-EMB), and the Public-Private Partnership (PPP) Center, jointly undertakes specific aspects of the appraisal of a PPP project.
Megawide President Edgar Saavedra said:
“Megawide supports the Duterte administration in its push for reliable, sustainable transport infrastructure. A solution is needed for Metro Manila’s worsening traffic congestion and we believe efficient mass transportation is the answer.”