DOTr says MRT3 fare increase ‘inevitable’ even without privatization

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DOTr says MRT3 fare increase ‘inevitable’ even without privatization
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An increase in the fare of Metro Rail Transit Line 3 (MRT3) would be inevitable even without its privatization due to the rising cost of spare parts and electricity, the Department of Transportation (DOTr) said Wednesday.

In a radio interview, DOTr Undersecretary Cesar Chavez made the clarification after fare hike concerns were raised due to the agency’s“Even under the government, kahit sa ngayon, minsan ay hindi maiiwasan ang fare increase not because of private support o private intervention. Sapagkat tumataas ang halaga ng mga piyesa sa buong mundo, tumataas din ang kuryente,” he said in a Super Radyo dzBB interview.

The plan to privatize MRT3 is one of the proposals being studied by the government as the Metro Rail Transit Corporation's build-lease-transfer contract is set to end in 2025. “Posibleng magkaron tayo financial adviser para mas technically and financially competent ang maga-advise satin kung anong pwedeng business model ng MRT3 by 2025 and beyond,” he said.

He, however, said there is a limit to the government’s operation of MRT3 maintenance, particularly in the procurement of spare parts and capital spares.

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gmanews /  🏆 11. in PH

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