No fare hike on LRT-2, MRT-3 privatization plan

12 hours ago 5
Suniway Group of Companies Inc.

Upgrade to High-Speed Internet for only ₱1499/month!

Enjoy up to 100 Mbps fiber broadband, perfect for browsing, streaming, and gaming.

Visit Suniway.ph to learn

Christine Boton - The Philippine Star

June 29, 2025 | 12:00am

Commuters board the Metro Rail Transit Line 3 (MRT-3) train coaches at North EDSA Station in Quezon City on March 18, 2025.

STAR / Miguel de Guzman

MANILA, Philippines — Commuters on the Light Rail Transit Line 2 (LRT-2) and Metro Rail Transit Line 3 (MRT-3) can rest easy that no automatic fare increase will be imposed in light of the ongoing privatization push for both train lines, Transport Secretary Vince Dizon assured the public on Thursday.

During a Palace press briefing, Dizon said commuters can expect fare levels to remain affordable even after a private operator takes over day-to-day operations and maintenance under the proposed public-private partnership.

“The PPP is one of the very important programs of our President. He really wants our infrastructure facilities, especially operations and maintenance, to be PPPed, because we believe that this will lead to better service for our countrymen,” he noted.

Dizon also explained that existing procurement restrictions and limited government funding have hampered the timely repair and upkeep of the aging rail systems.

“It’s not that easy to fix these systems. The long-term solution really is to (privatize) these systems like LRT-2 and MRT-3. Because as long as the government is operating them, we are limited by the budget and by our procurement rules,” Dizon said.

The Department of Transportation is coordinating with international partners for the two PPP projects. The Asian Development Bank is assisting with the MRT-3 privatization, while the International Finance Corporation of the World Bank is working with the government on the LRT-2 initiative.

The bidding process for both projects is expected to begin before the end of the year. Full implementation of the LRT-2 privatization is being targeted for next year.

Despite recent service disruptions, particularly in LRT-2, Dizon said the transition to a PPP model is designed to ensure long-term improvements without shifting the financial burden to commuters.

Read Entire Article