By Ashley Erika O. Jose, Reporter
AT LEAST 74 local and foreign firms have expressed interest in the planned Metro Rail Transit Line 3 (MRT-3) public-private partnership (PPP), the Department of Transportation (DoTr) said, as the government seeks private sector support for a rail system that analysts say requires substantial upgrades and clearer commercial terms to attract serious long-term operators.
“The MRT-3 PPP is a very viable and promising project. This is an existing line, and we know that, historically, MRT-3 ridership can reach up to 620,000 to 630,000 a day,” Transportation Undersecretary for Railways Timothy John R. Batan said in a statement on Tuesday.
Data from the DoTr showed that MRT-3 passenger traffic increased in 2025 to 141.63 million, up 4.22% from 135.89 million in 2024.
The companies participated in market consultations held on May 14-15 and May 18 for the MRT-3 operations and maintenance (O&M) PPP project, according to the DoTr. The participating firms were from 14 countries, although the department did not identify them.
Mr. Batan said the strong turnout during the market sounding reflected growing private sector confidence in Philippine infrastructure projects.
The Transportation department is targeting approval of the project by the Economy and Development Council by August or September, Acting Transportation Secretary Giovanni Z. Lopez told BusinessWorld.
Based on the agency’s timeline, solicited bidding for the project may begin by October, with bid submissions expected by March 2027.
The contract is targeted for award between June and July 2027, while the winning bidder is expected to take over MRT-3 operations by October next year.
According to information posted on the PPP Center website, the contractor for the capacity expansion, operations, and maintenance contract will take over the management of the existing MRT-3 line, including operations and maintenance, fare collection, and commercial rights within station areas subject to revenue-sharing arrangements with the government.
The project also includes the introduction of Dalian trains into commercial service, additional rolling stock, and upgrades to the signaling, depot, power, and communication systems.
The Asian Development Bank (ADB), which serves as the project’s transaction adviser, supports the initiative.
“With this MRT-3 PPP Project, we’re proud and quite privileged to be a partner of the government of the Philippines in this endeavor to improve the overall connectivity for the Filipino people,” ADB Country Director for the Philippines Andrew Jeffries said during the market sounding conference.
Still, transport analysts cautioned that the project’s commercial attractiveness will depend heavily on how clearly the government defines the scope of work and long-term financial structure.
“The MRT-3 project is not very attractive. That is why it requires a very clear definition,” Rene S. Santiago, an international consultant on transport development and former president of the Transportation Science Society of the Philippines, said on the sidelines of the ADB Transport Forum on Tuesday.
He said the project consultant should clearly specify the upgrades needed for MRT-3, including increased line capacity and redesigned stations to improve accessibility.
Nigel Paul C. Villarete, senior adviser on PPPs at Libra Konsult, Inc., said the DoTr is moving in the “right direction” by pursuing a solicited bidding process instead of entertaining unsolicited proposals.
“They offer an open opportunity to all, and will attract a host of interested parties compared to the unsolicited mode, which gives a huge advantage to the original proponent being able to match any bid that may be submitted,” he said in a Viber message.
He added that transport projects with predictable ridership such as MRT-3 are generally more attractive under a competitive solicited bidding framework.
The DoTr previously rejected unsolicited proposals for the MRT-3 O&M project submitted by Metro Pacific Investments Corp. and San Miguel Corp.
Last year, Metro Pacific Chairman Manuel V. Pangilinan said the company was unlikely to resubmit its proposal without approved fare increases and amid the high cost of rail operations.
The government had initially targeted launching the MRT-3 bidding process before the expiration of its build-lease-transfer agreement with Metro Rail Transit Corp. in July 2025. Following the contract’s expiration, ownership and operations of MRT-3 reverted fully to the government.
