On the MRT Buyout plan.
It is ironic because the owner MRTC is not selling while government is determined to buyout the MRT3.
Department of Transportation and Communications announced that they are confident to implement their plan in the first week of January 2015.
Quezon City Congressman and House Committee on Metro Manila Development chairman Winston Castelo feels sorry for the planned release of P54 billion to eventually buy the Manila Railway Transit (MRT-3) due to innumerable problems in operation.
Is it the possible solution?
Together with his committee he says he plans to to do something about the equity buyout of MRT.
There are again several controversies surrounding this plan of a buyout but many people have wondered why all of the sudden President Aquino wants to push this expensive buyout which will cost us P54 Billion pesos to complete.
Aquino stated that it was to end the huge rental fees the government pays for private sector who owns the MRT3.
It was estimated that this buyout will be finalised on the first quarter of 2015.
Castelo is in fear that there might be a possible involvement of incompetency and politics in this buyout plan and the big amount of money might be wasted. P54 Billion pesos can be used for more important projects.
The solon has the right the fear about the huge budget because:
1. DOTC says they are buying 27 billion worth of bonds that they already own but paying 54 billion for it.
2. The APT Global, DOTC Maintenance Provider said, received 1.4 million USD per month supposedly with spare parts.
3. Actually the APT Global is not providing the spare parts only for maintenance which will cost more in the later days.
Moving away from what is expected.
It can be true that Sec. Abaya is divergent on the issue behind the MRT3. He seems he does not care to safety at all.
They violated rules written in BLT agreement when they choose their own maintenance provider and that started all the train problems.
And he is telling that the defective train system was not their fault.
I hope that government must think of re-consideration before pushing the plan of buying out.
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It is ironic because the owner MRTC is not selling while government is determined to buyout the MRT3.
Department of Transportation and Communications announced that they are confident to implement their plan in the first week of January 2015.
Quezon City Congressman and House Committee on Metro Manila Development chairman Winston Castelo feels sorry for the planned release of P54 billion to eventually buy the Manila Railway Transit (MRT-3) due to innumerable problems in operation.
Is it the possible solution?
Together with his committee he says he plans to to do something about the equity buyout of MRT.
There are again several controversies surrounding this plan of a buyout but many people have wondered why all of the sudden President Aquino wants to push this expensive buyout which will cost us P54 Billion pesos to complete.
Aquino stated that it was to end the huge rental fees the government pays for private sector who owns the MRT3.
It was estimated that this buyout will be finalised on the first quarter of 2015.
Castelo is in fear that there might be a possible involvement of incompetency and politics in this buyout plan and the big amount of money might be wasted. P54 Billion pesos can be used for more important projects.
The solon has the right the fear about the huge budget because:
1. DOTC says they are buying 27 billion worth of bonds that they already own but paying 54 billion for it.
2. The APT Global, DOTC Maintenance Provider said, received 1.4 million USD per month supposedly with spare parts.
3. Actually the APT Global is not providing the spare parts only for maintenance which will cost more in the later days.
Moving away from what is expected.
It can be true that Sec. Abaya is divergent on the issue behind the MRT3. He seems he does not care to safety at all.
They violated rules written in BLT agreement when they choose their own maintenance provider and that started all the train problems.
And he is telling that the defective train system was not their fault.
I hope that government must think of re-consideration before pushing the plan of buying out.
