SMC gets narrow window to defend Calax bid

The Department of Public Works and Highways is giving San Miguel Corp. until today to “clarify” a deficiency in its bid security, which at least one bidder said should cause its automatic disqualification in the bidding for the 47-kilometer Cavite-Laguna Expressway (Calax) public private partnership (PPP) deal.

The DPWH bids and awards committee was expected to decide Monday whether SMC, through Optimal Infrastructure Development Inc., would be allowed to proceed. But Public Works Undersecretary Rafael Yabut said in an interview late yesterday that they were giving the conglomerate more time.

“This is part of the process,” Yabut said, adding that DPWH’s consultants recommended that Optimal Infrastructure be given another 24 hours to clarify its bid security deficiency. Yabut said the BAC would deliberate on that matter and a decision could emerge within the week.

Optimal Infrastructure Development Inc. earlier submitted a non-compliant bid, rival firm MPCALA Holdings (Metro Pacific Tollways Corp.) claimed,  when documentation showed that the conglomerate’s bid bond was only valid for 176 days instead of the required 180 days. Any disqualification would reduce competition at a time when the government wants to maximize participation, in order for it to get the best deal.

Participants are also watching closely how the DPWH will rule, and how strictly it would adhere to its own guidelines, bidders involved in the project told the Inquirer.