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Publish Date : 11-Jan-2016

We are one step closer to having a safer and more reliable MRT-3 system with our new world-class rail maintenance service provider. With the operator of the Busan railway network in South Korea sharing their technical expertise, the riding public can expect an increase in the number of running trains and the efficiency of operations, said DOTC Secretary Jun Abaya.

The Busan JV will undertake the maintenance work of the rolling stock and signaling systemthe most critical maintenance disciplinestarting today. Twelve qualified technical experts, including rolling stock, signaling, and track specialists from Busan are already carrying out the necessary activities for transition and system assessment.

Government procurement
Attempts to bid out the contract in September 2014 and January 2015 both resulted in failure due to the non-participation of bidders. The DOTC resorted to an alternative mode of procurement pursuant to the Government Procurement Reform Act of 2003, recognizing the urgency to address the railways maintenance needs and the systems core problems of obsolescence and complete wear-and-tear.

After the Government Procurement Policy Board (GPPB) unanimously approved the mode of procurement, the transport agency invited the following international and reputable railway firms as prospective offerors despite being given the authority to invite only one (1): SMRT International, Hamburg-Consult GmbH, Korea Railroad Corporation, Busan Transportation Corporation, and Schunk Bahn-und Industrietechnik GmbH and Comm Builders & Technology Joint Venture.

While the long-term maintenance service provider was under procurement, the DOTC engaged subcontractors under a multi-disciplinary approach to enhance the efficiency of maintenance works per component.

Busan credentials
Busan has been operating and maintaining the Busan Metro, four railway lines of the mass transit system in Busan, South Korea since 1999, demonstrating their capacity to manage the maintenance works and facility upgrades as stated in the contract.

In addition to the fulfilling maintenance requirements, the P3.81-B contract also covers the general overhaul of 43 coaches over the course of the agreement period, and the total replacement of the signaling system within 24 months.

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