DOTr looking for new LRT-MRT central station contractor

The Department of Transportation (DOTr) is in the process of finding a new contractor to build the long-awaited common station linking Metro Manila’s railways via a public-private partnership (PPP) scheme, as the agency seeks the station’s opening in 2027, according to a report by Manila Bulletin.

Last week, the DOTr formally issued a notice of termination for the contract it entered into with the joint venture of BF Corp. and Foresight Development and Surveying Co. (BFC-FDSC) for the construction of the Unified Grand Central Station.

Transportation Secretary Vince Dizon said he withdrew the contract over “excessive delays” in completing the project.

He particularly found it unreasonable that the construction, with an estimated contract price of around %u20B12.78 billion, had made no progress since 2024.

By exiting from the agreement, Dizon said it’s the necessary “first step” to restart the construction with a new partner in the private sector.

Last week, the DOTr said it will look for options under the Government Procurement Act or the PPP Code to speed up the process of finding a new contractor.

Sought for an update, Dizon told reporters on Tuesday, May 20, that the agency is leaning towards the PPP route for a more expeditious process.

“Mas tinitingnan namin ang PPP kasi mas mabilis ‘yun,” said Dizon. “Ang sabi ng Pangulo natin, simple lang. Ano ang pinakamabilis, ‘yun ang gagawin natin.” (We’re leaning more towards PPP because it’s faster. Our President said, it’s simple. Whatever is the fastest, that’s what we’ll do.)

Dizon said the Unified Grand Central Station will be open to commuters in the early part of 2027, which follows the planned full operations of Metro Rail Transit Line 7 (MRT%u20117) a year before.

Once completed, the common station will provide seamless access between Light Rail Transit Line 1 (LRT-1) and MRT Lines 3 and 7.

San Miguel Corp. (SMC) Chairman and Chief Executive Officer (CEO) Ramon Ang said last month that the operations of MRT-7 are expected to begin in 2026.

“So isang taong kalahati, kailangan matapos na natin ‘yan para magamit ng mga kababayan natin,” said Dizon. (So in a year and a half, we need to finish that so our fellow citizens can use it.)

Situated in North EDSA, Quezon City, the Unified Grand Central Station features a 13,700-square-meter (sqm) concourse, ensuring substantial space for passengers to transfer from one rail line to another.

The station will feature an intermodal integrated system below, allowing commuters to depart conveniently by bus, jeepney, or taxi.

Meanwhile, Dizon said the agency is still studying the prospects of slapping penalties and liquidated damages against BFC-FDSC for “failing to honor the agreement.”

In a statement, the joint venture said the “undue and habitual delay in payment” by the DOTr forced the company to stop work since 2024.

“The company maintains the contract remains valid and salvageable if DOTr settles outstanding payments, allowing work to resume immediately,” it said.