SC asked anew to stop LRT Cavite line project for defying BOT law

A PARTYLIST lawmaker, a cause-oriented group and a commuter group on Thursday asked the Supreme Court to stop the implementation of the P65-billion concession agreement for the Cavite Extension Project for being grossly disadvantageous to the government.

In a 67-page petition, petitioners also asked the high court to nullify the concession agreement for not complying with the Build-Operate Transfer Law and most especially the 1987 Constitution.

Petitioners include Bagong Alyansang Makabayan (BAYAN)  represented by its secretary general Renato M. Reyes, Jr.,  Bayan Muna Rep. Neri Colmenares, commuter group Train Riders Network (TREN), COURAGE chair Ferdinand Gaite, RILES convenor Sammy Malunes, Light Rail Transit Authority  (LRTA) employee Maria Kristina Cassion and scientist group AGHAM represented by its secretary general Feny Cosico.

“We are filing this petition on behalf other thousands of daily LRT commuters as well as the Filipino taxpayers who will shoulder the ill effects of the contract for the next three decades. The contract is loaded with sovereign guarantees that are contrary to law and detrimental to the people. The Aquino government through the DOTC, negotiated a lopsided contract that will place us deep in debt,” said Bayan secretary general Renato M. Reyes, Jr.

“We are not against the construction of a line extension per se. We are against the onerous terms in the contract which favor big business over the commuters and taxpayers,” he added.

The P65-billion LRT-1 Concession agreement was signed on October 2014. It covers the privatization of the operation and maintenance of the current LRT Line 1 as well as the construction and extension LRT Line 1 from 20.7 kilometers to 32.4 kilometers by providing trains originating from the end of Baclaran, traversing the municipalities of Parañaque and Las Piñas and ending in Bacoor, Cavite.

Petitioners told the high court there has to be full disclosure of the transactions and negotiations of the project.

The petitioners questioned why the contract was negotiated in secret, especially since it involved increasing train fares and other profit guarantees that will impact the commuters. They questioned why the winning bidder was given a guaranteed fare hike every 2 years, and if it failed to collect such fare increase, it would be the government who would be shouldering the deficit payment.

“The right of the people to information on matters of public concern shall be recognized. Access to official records, and to documents and papers pertaining to official acts, transactions or decisions as well as to government research data used as basis for policy development shall be afforded the citizen subject to such limitations as may be provided by law,” petitioners said.

The petition said that because of the contract, it will be the commuters and taxpayers who would shoulder the business risks associated with the operation of the train system.

The petitioners also questioned the invalid delegation of authority by the LRTA to both the DOTC and the LRMC. It said that it was the LRTA which has the mandate to operate and build the LRT 1. The LRTA was formed during the Marcos administration.

Named respondents in the petition were DOTC Secretary Joseph Emilio Abaya, LRTA administrator Honorito Chaneco, and winning bidder Light Rail Manila Corporation.

Read more...