The Philippine National Railways (PNR) has scrapped a P921-million deal with a Chinese firm to acquire trains for its Bicol line.
The PNR board was forced to cancel the contract after the Commission on Audit (CoA) said it violated the Procurement Law.
CoA auditors discovered that CCRC Zhuzhou failed to submit the post-qualification bidding requirements.
The 639-kilometer line will cut travel time between Manila and Bicol to only 6 hours, from the present 12 hours. Target completion date for full operations is 2023.
The PNR had inked the contract with CCRC Zhuzhou in December 2019. It is currently in the process of rebidding the train contract.