http://www.trinidadexpress.com/news/Devant__Govt_seeks_investors_for__b_light_transit-138274109.htmlGOVERNMENT is seeking an investment of possibly $1 billion to construct and operate a light transit system from Port of Spain to Arima, which will not be funded from the Treasury but from investors, Transport Minister Devant Maharaj has said.
"Government's only obligation to the enterprise is that of a facilitator," he said.
Maharaj was speaking to the Sunday Express yesterday in a telephone interview and responding to a definite matter of urgent public importance raised by Diego Martin North-East MP Colm Imbert, during the sitting of the Lower House on Friday, held at Tower D, International Waterfront Centre, Port of Spain.
Imbert had expressed concerns about a print advertisement on Thursday, in which the Transport Ministry invited expressions of interest for the design, financing, construction, operation and maintenance of a light transit system from Port of Spain to Arima to be constructed approximately 4.2 metres above the Bus Route.
He noted the deadline is February 23, only four weeks to submit expressions of interest for this "complex project", with offices closed for the two days of Carnival.
He said one month was too short a time for this process, and it may be in breach of the Central Tenders Board ordinance as Government ministries are only permitted by law to initiate procurement of goods and services to a maximum value of $1 million while this project will likely cost billions of dollars.
Yesterday, Maharaj said Imbert was "fundamentally wrong", and he was "accustomed to PNM (People's National Movement) squandermania and assumes that all others follow the same level of reckless spending that is the watermark of the PNM".
He said the expression of interest was for the first phase for securing the particular project and will be followed up by detailed requests for proposals that will carry the entire process, "well beyond two months".
He added it was "regrettable" Imbert appeared to make misleading statements about a breach of the Central Tenders Board Act, explaining that in this project, Government was not putting out expenditure for goods, machinery, equipment or other items, but the operator was solely responsible for all these things.
"The Government of Trinidad and Tobago is not purchasing any article of work or any service," Maharaj stressed.
He said Government was awaiting the various expressions of interest, but there was no obligation to enterprise, such as a guarantee to a foreign investor coming into this country, and they were not tendering for anything but acting as a facilitator.
"Imbert's reckless, uninformed statement is fundamentally flawed in the interpretation of the nature, extent and purport of the Central Tenders Board Act," he added.
Maharaj said the project followed the P3 model (public, private, partnership) which was popular in India and pointed out if the venture fails, it is the commercial entity that fails, and Government or taxpayers' money are not at risk. He further explained that the entity would recoup their investment by the fees it would charge for people to use the system though the fee structure is subject to review by the Government to prevent exploitation.
He compared the project to the Rapid Rail project by the previous administration, noting a US$75 million pre-feasibility study was currently "in some boxes in the Ministry of Works".