MRT3 stands to lose P236M in monthly revenues if operations stop —DOTr

A southbound MRT3 train pulls out of the GMA-Kamuning Station at 12:28 p.m. Monday, Nov. 20, 2017. Photo by Victor Sollorano, GMA News

More than P200 million in monthly revenues will be lost if the Department of Transportation (DOTr) gives in to calls for temporarily halting the operations of glitch-marred Metro Rail Transit Line 3 (MRT3).

"Our average monthly income is P236 million," Transportation Undersecretary for Rails Cesar Chavez told GMA News Online, quoting MRT3 chief finance officer Ellen Naidas.

This means P2.832 billion a year in passenger revenue alone, excluding advertising revenue and rental income from locators at MRT stations.

"'Yan ang mawawala per month at 'yan din ang madadagdag sa hihingin nating subsidy sa government para pambayad ng equity rental payment sa MRTC," Chavez said.

Budget Secretary Benjamin Diokno noted the earnings go to an escrow account to pay for government obligations under a build-lease-transfer (BLT) agreement.

The government has been paying the Metro Rail Transit Corporation (MRTC) P2.7 billion a year in equity rental payments under the agreement signed in 1997.

The 25-year deal placed the government in charge of daily operations. The MRTC took care of the construction of the mass rail transit system in exchange for equity rental payments.

This year, the government has allocated P4.8 billion to subsidize the operations and maintenance of the MRT3.

"The average government subsidy per year is P5 billion," Diokno said.

After an MRT coach detached from the rest of the train running between the Buendia and Ayala stations last week, Senator Grace Poe suggested that the DOTr close the MRT3 operations to fix its problems and ensure the safety of the 630,000 daily commuters.

The option to stop the operations of the light railway transit is still being seriously considered by the DOTr.

"Any decision on MRT3 will primarily be driven by passengers' safety and convenience. Financial considerations are secondary compared to these," Transportation Assistant Secretary and spokesperson Leah Quiambao said. — BM/VDS, GMA News