MRT-3 Buyout, a Wrong Move of the Government?

            The trouble in MRT-3 line is not yet over. If we remember, the Department of Transportation and Communications (DOTC)has already declared that the government wanted to buyout the MRT although they are facing many problems like train maintenance which caused an accident that happened last August this year. Instead to accept their fault, Transportation Joseph Emilio Abaya blamed the Metro Trail Transit Corporation (MRTC), acting as their business partner under public-private partnership.

            Sec. Abaya still believed that they could takeover MRT because our President issued an Executive Order 126 which the government alloted 56 billion pesos for the equity value buyout order (EVBO). The EO was signed by P-Noy on February 2013, but until now the government can’t acquire the MRT because they need to settle first their obligations to the MRTC private shareholders. For them, 56 billion is not enough to pay them because that price of EVBO is just a part of the bonds of the government in MRTC. Two state banks are member of the MRTC including Land Bank of the Philippines.

            Sec. Abaya should not pursue his belief regarding to the MRT buyout. Yes, the President issued an EO, but it is useless if they don’t have enough fund to implement it. It is just a piece of paper and it would not help to resolve the problems in MRT. Sen. Sege Osmeña suggested to them, instead to use the tax payer’s money, why they don’t use the money that comes from the government banks? I agree with this recommendation of the Senator, but it is better if they would not buyout the MRT-3. All they have to do is to talk with the MRTC how they improve our train system for the sake of the commuters.

            Aside from lack of funds, the government is not ready to handle its whole operation. Remember that the maintenance provider that they hired is not effective with their duty. Only MRTC knows what’s the best solution to improve the train system because they are the one who built it. The problem with the government is they are not very cooperative. It seems that they have their own decisions that’s why our train system became defective. They are just ignoring the proposal of their investors.

            It’s hard to predict what’s the agenda or motive of the DOTC why they wanted to buyout MRT-3 although they knew that they can’ afford to get it. Maybe they want to make money out of it or this is a part of their tactics for their preparation on presidential election in 2016. They want to clean the image of the administration to get the support of the public for their candidate.  They even not talking to the MRT owners about their decision. Sec. Abaya said that it doesn’t need to that because their nothing wrong with their action, they are not violating any law. It seems that the answer of the secretary is illogical. Of course, if you are buying an equipment or property you need to talk first the owner if they are willing to sell it. The problem is, the MRTC doesn’t want to pass the ownership of the MRT-3 to the government.