MPIC, Hartasuma target transport deals
The Metro Pacific Investments Corp. and Malaysian firm Hartasuma Sdn Bhd partnership paves the way for various initiatives, including rolling stock refurbishment and development projects
Daily TribuneThe Metro Pacific Investments Corp. and Malaysian firm Hartasuma Sdn Bhd partnership paves the way for various initiatives, including rolling stock refurbishment and development projects
MPIC chairman, president, and CEO Manuel V. Pangilinan (right), shows a memorandum of agreement signed with Hartasuma Group’s executive director, Tan Sri Ravindran Menon (left). | Photograph courtesy of MPIC
The recently signed strategic partnership between infrastructure investment firm Metro Pacific Investments Corp. or MPIC and Malaysian firm Hartasuma Sdn Bhd is anticipated to introduce new transportation modes including cable cars and monorails that would help ease gridlock conditions in the country.
Hartasuma Group executive director Tan Sri Ravindran Menon and MPIC's chairman and CEO Manuel V. Pangilinan signed an agreement on Monday, with the two parties formalizing their interest in fostering economic growth through joint ventures and cooperation.
Among others, the strategic partnership paves the way for various initiatives, including rolling stock refurbishment and development projects as well as exploration of a cable car system for tourism and urban transport.
"If we look at other modes of transportation, cable cars and monorails can be good. The country should be open to more efficient modes of transportation, to ease the traffic situation in the Philippines like in Manila and other urban cities," Pangilinan told reporters.
Not just a supplier
"What we are looking at is that they will not just be a supplier to us for transportation projects. They (are building) new modes of transportation like monorails and cable cars in Malaysia and we'd like to explore that also to upgrade our overall transport network in the country. We would like to see whether we can invest in this company," he said.
Pangilinan, however, did not disclose how much MPIC is willing to invest in Hartasuma, adding that the plan is still in the initial stage.
MPIC, through its subsidiary Light Rail Manila Corp., which operates and maintains 20 stations, is expanding its business with the construction of five new stations for the Cavite Extension Project. It assumed operations and maintenance of LRT-1 in September 2015 through a P65-billion 32-year concession agreement with the Department of Transportation and the Light Rail Transit Authority.
For his part, Menon noted that Hartasuma can leverage its expertise to help build and introduce new modes of transportation in the local market.
"We also build cable cars and we are going to operate one in Malaysia very soon. I think it is an area that we should look at. It's cheaper than the rail and it can carry a lot of people so you don't start acquiring land in the middle of the city, especially in places like Baguio where there is terrain issue. In cities like Manila, we need to look at different places. It is just a possibility," Menon conveyed.
Rail excellence center
"The city of Paris has a cable car being built now. And the other thing that we want to do in the Philippines is to put up a rail excellence center. We have great talents in Malaysia and we want to replicate that in the Philippines," he added.
Citing the projected growth of the local construction market, Menon also noted that MPIC and Hartasuma collaboration will cater to the growing demand and interest in rail infrastructure projects as the government looks to improve regional connectivity through the development of transport infrastructure.
The partnership will likewise support the Marcos administration's renewed commitment to Public-Private Partnerships.
Hartasuma, a leading local integrated rolling stock and rail services company, was the first Malaysian rail company to deliver fully locally assembled passenger coaches to Keretapi Tanah Melayu Bhd.
To date, it has delivered more than 500 LRT cars and passenger coaches and is currently supplying 27 new LRT trains to Prasarana Malaysia, which will service the Kelana Jaya Light Rail Transit.
