2014 Thailand Paper Re Mutliple Trains Operation 3rd Ed

8/10/2019 2014 Thailand Paper Re Mutliple Trains Operation 3rd Ed

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MRT System Procurement and Maintenance:

Philippine Experience

Rommel C. Gavieta MA (URP), MSc (Eng)

Metro Rail Transit Line-3 Project Adviser

York Center for Asian Research, York University


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Metro Manila as a Mega-City and Traffic Congestion21 mega-cities are in Asia out of 36 mega-cities (2012)

Metro Manila is second to Tokyo with 70% of the population taking public transportation.

(http://ncts.upd.edu.ph/old/research/docs/research/papers/tiglao-EASTS2007-02.pdf)

Jica experts has said that Philippine the government would need to invest P2.3 trillion through

2030 to overhaul transportation infrastructure in Metro Manila.

It estimated that about P2.4 billion in potential income was being lost daily due to congestion

at the capitals roads and railways.

(http://www.jica.go.jp/philippine/english/office/topics/news/130801.htmland

http://business.inquirer.net/158419/jicas-expanded-mass-transport-study-seen-out-within-

2014#ixzz35kflDDX7)
http://www.jica.go.jp/philippine/english/office/topics/news/130801.htmlhttp://business.inquirer.net/158419/jicas-expanded-mass-transport-study-seen-out-within-2014http://business.inquirer.net/158419/jicas-expanded-mass-transport-study-seen-out-within-2014http://business.inquirer.net/158419/jicas-expanded-mass-transport-study-seen-out-within-2014http://business.inquirer.net/158419/jicas-expanded-mass-transport-study-seen-out-within-2014http://business.inquirer.net/158419/jicas-expanded-mass-transport-study-seen-out-within-2014http://business.inquirer.net/158419/jicas-expanded-mass-transport-study-seen-out-within-2014http://business.inquirer.net/158419/jicas-expanded-mass-transport-study-seen-out-within-2014http://business.inquirer.net/158419/jicas-expanded-mass-transport-study-seen-out-within-2014http://business.inquirer.net/158419/jicas-expanded-mass-transport-study-seen-out-within-2014http://business.inquirer.net/158419/jicas-expanded-mass-transport-study-seen-out-within-2014http://business.inquirer.net/158419/jicas-expanded-mass-transport-study-seen-out-within-2014http://business.inquirer.net/158419/jicas-expanded-mass-transport-study-seen-out-within-2014http://business.inquirer.net/158419/jicas-expanded-mass-transport-study-seen-out-within-2014http://business.inquirer.net/158419/jicas-expanded-mass-transport-study-seen-out-within-2014http://business.inquirer.net/158419/jicas-expanded-mass-transport-study-seen-out-within-2014http://business.inquirer.net/158419/jicas-expanded-mass-transport-study-seen-out-within-2014http://business.inquirer.net/158419/jicas-expanded-mass-transport-study-seen-out-within-2014http://business.inquirer.net/158419/jicas-expanded-mass-transport-study-seen-out-within-2014http://business.inquirer.net/158419/jicas-expanded-mass-transport-study-seen-out-within-2014http://www.jica.go.jp/philippine/english/office/topics/news/130801.html


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Metro Manila Key Indicators


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Proposed JICA Mega Manila

Rail Transit Development Plan (2015-2030)


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Existing Metro Manila LRT/MRT and Rail Lines

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Existing LRT/MRT and PNR Lines Capacities LRT/MRT and PNR Lines

LRT1: 15km competed 1985 (street cars operating as LRTs)

430,000 passengers a day

139 cars operating only 80 cars

550,000 passenger a day design capacity

LRT2: 14Km completed 2008 (MRT operating as LRT)

250,000 passengers a day 72 cars operating only 43 cars

360,000 passenger a day design capacity

MRT3: 16km completed 2000 (street cars operating as MRT)

450,000 passengers a day

70 cars operating 40 cars

350,000 passenger design capacity

PNR: 56 km Urban Line

100,000 passengers a day in a traffic corridor that carries

approximately 1.0million commuters a day.

18 cars and 56km


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Global LRT Maintenance Benchmarks


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Key Performance Indicators

by MTR (Hong Kong) and Comet


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Trend Towards Single Point of Responsibility under

Total Cost of Ownership Procurement Model

Total Cost of Ownership

(Maintenance done by Alstom)

Total Cost of Ownership

MRT3 Project Philippines 2%14%

57%

16%

11%

Personnel (Operation) Maintenance Equity Rental Repayment

Debt Repayment Project cost


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Philippine LRT Maintenance Benchmarks


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MRT Rolling Stock Fleet(73 procured by private sector owner and 48 procured by public sector

operator subject to consent of private sector owner)

MRT3 (Private Sectr Procurement)

73-cars from CKD procured by the Private Owners of the Assset

Reliability Centric maintenance service by Sumitomo

Corporation from Completion Date (2000) to 2012 with a

guaranteed availability of 60 cars, spare part inventory and

refurbishment requirement.

Service centric maintenance service by local company with nospare part inventory requirement and no refurbishment

commitment

MRT3 (Public Sector Procurement)

48 cars from CNR procurement by operator

Deployment for revenue service requires the consent of the

owner of the MRT3 Asset and may pay trackage fees to alleviate

capacity congestion.

CNR has not produced Electric and double articulated Light Rail

Vehicles and delivered only diesel locomotives to MTR


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Total Cost Of Operation/Acquisition

and Declining Ridership as a Result of Public Sector

Procurement of Maintenance Services

-

20.00

40.00

60.00

80.00

100.00

120.00

-

1,000,000,000.00

2,000,000,000.00

3,000,000,000.00

4,000,000,000.00

5,000,000,000.00

6,000,000,000.00

7,000,000,000.00

8,000,000,000.00

9,000,000,000.00

2000 2001 2002 2003 2005 2007 2008 2009 2010 2011 2012 2013 2014

Personnel Services Maintenance and Other Maintenance Services

Equity Rental Payment Debt payment (estimate)

Farebox Revenue Subsidy

Subsidy per passenger

Indicative trend of

effect of shift from a

privately

administered

maintenanceservice. to a publicly

administered

maintenance service


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Design Capacity and Operating Capacity

South East Asian Comparison


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Comparison of Private Sector and Public Sector

Procurement of Maintenance Service

2000-2012 2012 2012-2014

Terms of

Reference (TOR)

defined under the

Build, Lease and

Transfer (BLT)

Agreement OR

Actual

Performance

TOR was

annunced as

similar tom the

original TOR

Actual

Performance

TOR and lately

revised under a

memo from

DOTC Usec Lotilla

Actual

Performance

Availability 60 cars 60 cars 60 cars NA 54 cars 40 cars

Part 6-month spare

part inventory

yes none canibalization of

parts

none canibalization of

parts

Overhauling required

undertaking

completed required but not

practical

implementation

None required but not

practical

implementation

None

Ridership 350,000 550,000 350,000 450,000 350,000 430,000

COMET

Bencjmark for

reliability

Sumitomo Corp. PH Trams APT Global

LESS THAN 5 INCIDENCE OF

REVENUE SERVICE INTERRUPTION A

YEAR THAT IS GREATER THAN 5-

MINUTES

GREATER THAN 5 INCIDENCES OF



MINUTES

GREATER THAN 5 INCIDENCES OF



MINUTES


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Understanding Operations and Maintenance Cost

Rules of Thumb

Operation and maintnance represents approximately 80% of the Total Cost of Ownership

(TCO) .

In the case of the MRT3, over the concession period the ratio is 86% O&M and 14% project

cost

In the case of MRT3, the ratio distribution of the maintenance fee is 60% rolling stock and

40% infrastructure

Approximately 60% of maintenance cost are personnel cost and 40% for material and parts

Maintenance cost is the major cost position subject to optimization as energy anddepreciation stay consistent during lifecycle of rolling stock fleet.

(Author own calculation and Wyman, O.; Lean Rolling Stock Maintenance; 2009 oliverwyman


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Recognition of Current Framework for Procurement

Practice of Rail Systems and Rolling Stock

Public Sector Current Practice Proposed Action Moving Forward

Disconnected Procurement and O&M Policy

Recommendation

Harmonized procurement and O&M Policy

Adopt strategic decisions about rolling stock

procurement and specification should be takencentrally. This critical given the level of

fragmentation of the sector/industry(Butcher, L; Railways: rolling stock

Standard Note: SN3146; 31 October 2013; House of

Commons)

Procurement Policy driven specification and lowestcost

Recommendation:

Procurement Policy that is Performance Standard

centric

Technical Strategy Leadership group; The Future Railway; 2012 UK

Current Level of

Awareness


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The Future and Recommendation


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Traditional Procurement of an Urban Transit System

and Maintenance Works of an Urban Transit System

Market Demand

Customer Needs

and Expectations

PPP ODA PPP ODA

Procurement

Group

Procurement

Group

Specifications Rail

System and Non-

Rail System

Specifications Rail

System and Non-

Rail System

Porcurement of

Civil Works

EPC Contractor Regular

Maintenance

Works

Procurement of

Rolling Stock

LRV Manufacturers Refurbishment

Works

Procurement of

Elctromechnical

Systems

Electromechanical

Suppliers

Upgrades and

Expansion of

Capacities

Concession Framework or Public Sector Administered Concession Framework or Public Sector Administered

Piecemeal Procuremnt of Sub-components of an Urban

Rail Transit System

Contractor and Supplier


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Market Demand Contractor and

Supplier

Customer Needs

and Expectations

PPP ODA PPP ODA

Procurement

Group

Procurement

Group

Specifications Rail

System and Non-

Rail System

Single Point of

Responsibility

Contracting Works

Single Point of

Reeeeponsibility

Maintenance

Works

Specifications Rail

System and Non-

Rail System

Porcurement of

Civil Works

EPC Contractor Regular

Maintenance

Works

Procurement of

Rolling Stock

LRV Manufacturers Refurbishment

Works

Procurement of

Elctromechnical

Systems

Electromechanical

Suppliers

Upgrades and

Expansion of

Capacities

Concession Framework or Public Sector Administered

Framework

Concession Framework or Public Sector Administered

Framework

Proposed Procurement of an Urban Transit System

and Maintenance Works of an Urban Transit System


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Possible Courses of Action

Procurement of Equipment and Maintenance for a Metro Manila System with a

45 km trackworks and with a ridership of 1.25million a day:

Centralized procurement with a single point of responsibility contractual

entity of rail equipment to achievement procurement leverage

Decentralized procurement with a single point of responsibility for regular

maintenance works, refurbishment works and warranties such as availability

requirements and COMET reliability benchmarks.

Contractual Risks

Public sectors creeping expropriation of existing concessions agreements

remains strong in the South East Asian infrastructure sector.

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Thank you for your time and patience

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Key Customer Needs Related to the

Maintenance of Urban Rail Transit Systems

Rolling Stock and Track Maintenance Co-

relationship

Strong mutual dependency and interference

of wear and tear of key assets (rolling stock

and infrastructure)this does not hold true

for gas and water, telecom and electricity, or

air transport

The cost and quality of train operations

depend on the condition of the tracks

(high maintenance requirement for

rolling stock, low maximum speed, etc.

if tracks are in bad condition)

The cost of infrastructure maintenance

depends on the condition and operation

of rolling stock (high wear and tear of

tracks if wheels are uneven, speed is

high, braking is strong, etc.)


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Metro Manila Key Indicators


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Matching Design Capacity with

Appropriate Types of Rolling Stocks

Seven generic types of train:

Shorter Distance Self-Powered (diesel,

generally with 75 mph maximum speed);

Middle Distance Self-Powered (diesel, with 90/

100 mph capability);

Long Distance Self-Powered (diesel, with 100/

110/ 125 mph capability);

Shorter Distance Electric (generally with 75mph maximum speed);

Middle Distance Electric (with 90/ 100/ 110

mph capability. Some future trains may require

125 mph capability);

Long Distance Electric (with 100/ 110/ 125 mph

capability);

Very High Speed Electric (140 mph and above,

for domestic services on HS1 and HS2).

(ATOC; Long Term Passenger Rolling Stock

Strategy for the Rail Industry; Feb 2013)


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Proposed Metro Manila LRT/MRT and Rail Lines

Proposed Lines (JICA):

Primary Lines:

1. PNR rehabilitation or LRT5 (PhP25b Malolos-

Calamba), (LRT5)2. MRT4 and MRT7 (Recto to Banaba PhP180billion),

3. Mega-Manila Subway (550billion)

4. Baclaran-Bacoor or LRT6 (PhP60billion PPP awarded)

Secondary:

4. Ortigas-Angono (PhP32b),

5. Marikina-Katipunan (PhP32b),

6. Alabang-Zapote (PhP27b)

7. Zapote-General Tias (PhP26b)

2

6


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Key Customer Needs Related to the

Maintenance of Urban Rail Transit Systems

Rolling Stock and Track Maintenance Co-

relationship

Strong mutual dependency and interference

of wear and tear of key assets (rolling stock

and infrastructure)this does not hold true

for gas and water, telecom and electricity, or

air transport

The cost and quality of train operations

depend on the condition of the tracks

(high maintenance requirement for

rolling stock, low maximum speed, etc.

if tracks are in bad condition)

The cost of infrastructure maintenance

depends on the condition and operation

of rolling stock (high wear and tear of

tracks if wheels are uneven, speed is

high, braking is strong, etc.)


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Modified Predictive Maintenance Framework

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There is a continual need to employ a Kaizening* process that confronts and combatsthe challenges of common constraints, in order to create adaptive and balanced

maintenance programs, that are justifiably well planned and timely executed.(http://www.apta.com/mc/rail/papers/Papers/WeissM-Challenges-of-Matching-Maintenance-Programs-to-an-Aging-

Rolling-Stock-Fleet.pdf)

2014 Thailand Paper Re Mutliple Trains Operation 3rd Ed

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