Europe-PH News

"We received a copy of the order from Office of the President to rebid," Public Works Undersecretary Rafael Yabut said in a text message.

Yabut said the Department of Public Works and Highways (DPWH) special bids and awards committee (SBAC) is scheduled to meet this week to discuss the parameters of the rebidding.

Separately, Ariel C. Angeles, DPWH officer-in-charge, said the agency received a copy of the decision last November 19.

"Wait for formal announcement," Public Works Secretary Rogelio Singson, meanwhile, said.

The business community is divided over the issue of rebidding the P35.42-billion public-private partnership (PPP) project. Some organizations are backing the Ayala-Aboitiz tandem, which topped the bidding, while other groups are supporting San Miguel Corp (SMC), which had been disqualified and called for the rebidding.

A consortium led by the Ayala and Aboitiz groups, Team Orion had topped the bidding for the project after it offered P11.65 billion to build and operate the toll way linking the provinces of Cavite and Laguna to the south of Metro Manila.

Despite topping the auction, Team Orion has yet to bag the deal after a disqualified bidder, Optimal Infrastructure Development Inc (OIDI), asked the President to review the bidding.

A unit of San Miguel, OIDI offered P20.105 billion to undertake the CALAX project, but was disqualified because of deficiencies in how the company sealed and labeled its bid documents.

Sought for comment, Noel Kintanar, executive vice president of AC Infrastructure Holdings Inc, said, "We will make a public statement once we get word on official action of Malacanang."

Two other losing bidders are also awaiting the President's decision.

"We are waiting for the bid rules. In the meantime, we're not planning to renew our bid bond," Isaac David, president of MTD Philippines president, said.

Ramoncito Fernandez, president of Metro Pacific Tollways Corp, said, "It all depends on the final terms of the rebid."

Negative impact

Henry Schumacher, executive vice president of European Chamber of Commerce of the Philippines (ECCP), said, "We maintain our position that investors and bidders want clear and transparent rules that are adhered to. We believe that DPWH did that in this case but is obviously overruled."

"It is also important to understand that the higher the bidding is, it only favors government coffers; Juan de la Cruz will later on have to pay more for the utilization of CALAX," Schumacher added.

ECCP is one of the business organizations that called for upholding the results of the first bidding. 

Source: Interaksyon