DOTr to study privatizing MRT3 operations

The Department of Transportation (DOTr) said it will study whether privatizing the Metro Rail Transit Line 3's (MRT3) operations and maintenance would improve its services.

According to Maki Pulido’s “24 Oras” report on Tuesday, this is one of the proposals being studied as the Metro Rail Transit Corporation's build-lease-transfer contract ends in 2025.

The proposal, however, would keep the rapid transit system in the government's ownership.

“Mas magaling, mas mahusay ang private sector sapagkat hindi sila governed ng katulad ng Commission on Audit. Pwede silang bumili ng bulto-bulto ng mga spare parts. Ang gobyerno dapat ay regulator lamang,” DOTr undersecretary Cesar Chavez said.

(The private sector is better, because they are not governed by something like the Commission on Audit. They can buy spare parts in bulk. The government should only be a regulator.)

Under the contract, the MRTC consortium runs the MRT3, while the government makes an equity rental payment to it every year.

However, the government cannot charge the passengers for the full payment so as not to burden them with high fares. Moreover, collected fares have decreased from P2.7 billion in 2017 to P1.9 billion in 2019 and P600 million in 2020. It increased to P800 million in 2021, but has yet to return to the pre-pandemic level.

If the private sector operate the MRT3, a fare increase could occur as there would be no subsidy.

“Talagang tataas, pero ang maganda rito, kung gobyerno ang nagre-regulate, may say siya [sa halaga ng singil],” Chavez said.

(It will definitely increase, but the good thing is, if the government regulates, it has a say on the amount to be charged.)

Some passengers expressed concern over the possible increase in fare due to increasing prices of goods.

“Saktuhan lang kami sa mga normal na Pilipino workers na sumasahod ng minimum wage,” passenger Carlo Enclose said.

(We are normal Filipino workers who earn minimum wage.)

As regulator, the government would still monitor the fares. “May iba pang safety nets na ginagawa diyan para ma-minimize ang impact,” Chavez said.

(There are other safety nets in place to minimize the impact.)

Meanwhile, the MRT3 has implemented a segregation scheme for passengers entering the train stations in a bid to cut long queues during rush hour, separating passengers with large bags from those carrying small items, according to an Unang Balita report by Darlene Cay on Tuesday.

Passengers with large bags will still have to pass through the X-ray machines, while those with small bags will be manually inspected by security guards through a metal detector. — Richa Noriega/BM, GMA Integrated News