Three local consortiums, one Chinese consortium submit tenders for MRT Circle Line

KUALA LUMPUR (Jan 19): Three Malaysian consortiums and one Chinese consortium have submitted their turnkey tenders with financing for the MRT Circle Line or MRT Line 3, said Mass Rapid Transit Corp Sdn Bhd (MRT Corp).

The consortiums are the Sapura-TIEC consortium, the MMC-Gamuda-George Kent joint venture (JV), the Pacific-Mudajaya-JEC consortium and the China Communications Construction Co Ltd-China Communications Construction Co (M) Sdn Bhd JV.

In a statement today, MRT Corp said the tender submission closed yesterday and the contract for the MRT Circle Line is tentatively set to be awarded within the first quarter of 2018.

An evaluation will be made by MRT Corp based on the best evaluated tender from the three main evaluation criteria: technical, financial standing and the financing package. A recommendation will then be submitted to the ministry of finance for decision and approval.

MRT Corp project director for the circle line Datuk Zohari Sulaiman said the company has taken the step to tender the project out on a turnkey basis, as opposed to a direct appointment of a contractor or a consortium, as it allows the company to seek the best option for funding the project. "We will try and get the lowest cost in financing."

"However, in the event that the financing package options are not favourable, we will revert to the old financing structure that is through DanaInfra Nasional Bhd.

"(We are) pleased with the good response to the call for turnkey tender for the circle line where the majority of the tenderers are local consortiums that have been able to fulfil the requirements in participating in this tender," said Zohari.

"The resulting participation in tender which commenced on Nov 15, 2017 has proven critics wrong, especially those who said that the turnkey tender model would close the opportunity for local companies to participate," he added.

To ensure strong local participation in the project, MRT Corp is enforcing a requirement for Malaysian and bumiputera participation in the project as one of the conditions of the turnkey contract.

With the closing of tender, MRT Corp said it will now be working on the preparations for other activities including the detailed forecast ridership study, detailed environmental impact assessment, social impact assessment and heritage impact assessment.

The MRT Circle Line is expected to be 40km in length, of which 32km will be underground with 26 stations planned along the alignment. The line, which will run around the periphery of Kuala Lumpur city centre, will intersect with Klang Valley's entire urban rail network, expanding its coverage significantly and providing greater mobility to commuters. —

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