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MANILA, Philippines – It’s the “acid test” for the government’s Public-Private Partnership (PPP) program.
The Department of Transportation and Communications (DOTC) said the success of the auction is crucial in building the credibility of the PPP scheme.
But DOTC Spokesperson Michael Arthur Sagcal is confident. He said the project is expected to attract the most number of bidders for any PPP so far.
“We know that the world is watching. The higher the turnout, the more credibility it will mean for our projects,” he said.
The project is the first airport deal to be bid out under PPP, the centerpiece of the Aquino administration’s development goals. Launched in 2010, the PPP program was developed to create vital infrastructure that will help make the country’s growth sustainable.
Bidding for the airport project was delayed after DOTC revised the terms twice to entice more investors to participate.
The National Economic and Development Authority board approved the project in a meeting last week.
A total of 7 groups, including some of the country’s biggest conglomerates, along with their foreign airport-operator partners, were prequalified to bid for the project last May.
These groups include:
- AAA Airport Partners, led by the Ayala and Aboitiz companies
- Filinvest-led CAI Airport consortium
- First Philippine Airports of the Lopez Group
- GMR Infrastructure and Megawide consortium
- MPIC-JGS Airport consortium of the Manny Pangilinan and John Gokongwei groups
- Henry Sy’s Premier Airport Group
- San Miguel-Incheon Airport consortium
The project involves the construction of a new international passenger terminal building that can handle eight million passengers per year, double the Cebu airport’s current capacity. Also included is the operation and maintenance of the old and new facilities.
The Cebu airport accommodated 6.7 million passengers in 2012, way above its intended capacity of 4.5 million. – Cherrie Regalado/Rappler.com
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