'Defective bid security' barred San Miguel unit from CALAX, says DPWH's Singson

(Updated 4:45 p.m.) The bid security posted by Optimal Infrastructure Development Inc., a unit of San Miguel Corp., was short of four days, giving the Department of Public Works and Highways (DPWH) enough reason to disqualify the company from the P35.4-billion Cavite-Laguna Expressway (CALAX) project.

 

In a phone interview with GMA News Online, Public Works and Highways Secretary Rogelio Singson confirmed Optimal Infrastructure was disqualified from pursuing CALAX.

 

"They submitted a defective bid security. November 29 dapat 'yung expiration, but it was short of four days," he said.

 

"Inamin naman nila na nagkamali sila, but they want the bid to be revised," he said.

 

In an e-mailed statement Thursday, San Miguel said the move was "prejudicial, unfair" as they have already clarified the bid security issue and amended the bid.

 

"We disagree in the strongest terms with the decision of the DPWH Special Bids and Awards Committee to disqualify Optimal Infrastructure Development Inc. from bidding for the Cavite Laguna Expressway," the statement issued by parent San Miguel read.

 

"The decision to throw out the bid of our subsidiary Optimal Infrastructure Development Inc. is prejudicial, unfair, and disregards both legal and all common-sense considerations that should be given to projects of this scale and importance," it added.

 

San Miguel said this limits "government's options on how it can maximize benefits" from the project and "ignores what it might bring to the project in terms of quality of meeting the infrastructure specifications and getting the job done."

 

With the disqualification, San Miguel will seek "legal remedies" against DPWH.

 

"As such, we reject this decision and will explore all legal remedies available to us in order to ensure fair play and give the Filipino people the best possible deal for this vital infrastructure project," the statement read.

 

Singson, however, said that is San Miguel's "legal option."

 

The opening of bids will still push through on Friday, June 13, Singson added.

 

Apart from Optimal Infrastructure, the bidders prequalified for the CALAX project were Malaysia's MTD Capital Bhd, MPCALA Holdings of Metro Pacific Investments Corporation, and Team Orion of Ayala Corporation and Aboitiz Land Inc. 

 

The other bidders wrote to the DPWH Bids and Awards Committee and pointed out that the bid security of  Optimal Infrastructure was 4 days short of the required 180 days.