The Transportation Department has incurred revenue losses amounting to P80.3 million due to poor maintenance works of Busan Universal Rail Inc. at the Metro Rail Transit (MRT) Line 3 system.
Transport Undersecretary for Rail Cesar Chavez said the agency suffered huge revenue losses due to service interruptions, train removal from service and train derailments caused by BURI’s poor and negligent maintenance work.
Chavez said because of service interruptions and train availability from the period from January 9 last year to June 18, 2017, the Transportation Department penalized BURI amounting to P27.57 million.
He said the penalties imposed on BURI amounting to P27.57 million “are not enough to offset the revenue losses of P80.3 million.”
“It is therefore imperative to immediately terminate the services of said maintenance provider in order to prevent further losses and inconvenience to the government and riding public and more importantly, exposing the riding public to danger and safety hazards,” Chavez said.