PNR gets P250M gov’t funding for train cars

Published by rudy Date posted on December 24, 2010

Shipment cost of donated trains from Japan

MANILA, Philippines—The Philippine National Railways (PNR) has secured the funding it needs to ship to the country donated trains from Japan that will augment the train line’s current passenger and cargo capacity.

PNR general manager Junio Ragragio said President Aquino himself approved the disbursement of about P250 million for the PNR.

The money will be used to ship around 80 new train cars donated to the Philippines by East Japan Railway Co.

About 40 to 50 of the trains could be used for PNR’s commuter service in Metro Manila, particularly from Tutuban to Alabang. The rest may be used for long-distance trips for the revival of the PNR service to Naga City in the Bicol Region.

If bought brand-new, the train cars would have cost as much as $3 million, or about P130 million each. The donated units had a depreciated value of about $1 million each, Ragragio said.

“It’s no less than the President who saw to it. He sent a letter to the DBM [Department of Budget and Management] to release the money,” he said. The funds will be taken out of the unprogrammed funds in next year’s budget.

“It only took two days for [President Aquino] to approve our budget,” Ragragio said.

If not shipped soon, Ragragio said, the Japanese train operator would have no choice but to scrap the cars, which are currently taking up valuable space.

Once the new trains are up and running, Ragragio said the PNR’s daily capacity could more than double. Currently, the PNR commuter service carries around eight million a year.

Aside from the P250 million, the PNR is also seeking P1.5 billion in funds for the rehabilitation of train tracks from Manila to Bicol. This will allow for the faster movement of trains, shortening the travel time between the two to as fast as seven hours from the current 16. –Paolo Montecillo, Philippine Daily Inquirer

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