Philippine economy

Auction for new Clark airport terminal starts

Chrisee Dela Paz
Auction for new Clark airport terminal starts
The Bases Conversion and Development Authority names 7 prospective bidders, including two Chinese firms once banned by the World Bank as well as the concessionaire of the award-winning Mactan-Cebu International Airport

MANILA, Philippines – The group of Megawide Construction Corporation, two Chinese companies once banned by the World Bank, and R-II Builders Incorporated are among those setting sights on the P12.55-billion deal to construct a new passenger terminal building at the Clark International Airport in Pampanga.

As of Tuesday, August 22, the Bases Conversion and Development Authority (BCDA) said in a statement that the following firms have bought bid documents for the engineering, procurement, and construction (EPC) contract of the new passenger terminal building:

  • joint venture of First Balfour Incorporated and Datem Incorporated
  • consortium of Megawide and Bangalore-based airport operator GMR Infrastructure Limited
  • Tokwing Construction Corporation
  • Qingjian Group Company Limited
  • R-II Builders
  • China Harbour Engineering Company Limited
  • China State Construction Engineering Corporation

The group of Megawide and GMR is the concessionaire for the Mactan-Cebu International Airport public-private partnership (PPP) deal. It has a P208-billion, 50-year unsolicited proposal for a more comprehensive expansion of that airport. (READ: Megawide group proposes P208-billion Cebu airport expansion)

Megawide has bagged 4 PPP projects so far. If they push through with the Clark auction, Megawide’s group will go head-to-head with a subsidiary of China Communications Construction Company Limited (CCCC), which was previously banned by the World Bank for bribery and corruption from 2011 to January 12, 2017.

It was in 2009 when the World Bank also banned China State Construction for 6 years for its supposed “fraudulent, corrupt, and collusive practices.”

Meanwhile, the BCDA and China Harbour Engineering in October 2016 signed a memorandum of understanding on the establishment of the Manila-Clark Railway.

China Harbour Engineering and R-II Builders, led by Reghis Romero II, are also the signatories for a memorandum of understanding involving the Manila Harbour Center Reclamation Project. (READ: ‘Shady track records’ hound PH-China infra firms)

The Department of Transportation and the BCDA on Tuesday started the auction process with a pre-bid conference in Bonifacio Global City in Taguig, where a total of 43 local and international prospective participants attended.

“Your involvement showed your trust and confidence in this government,” Transportation Secretary Arthur Tugade said during the conference. “We will be as transparent and as accountable in this bidding as possible.”

Two decades in the making

INFRA PROJECT. The BCDA says the Clark International Airport's new terminal building is expected to break ground in the 4th quarter of 2017 and would be completed in 2020. Artist perspective courtesy of BCDA

The BCDA said the Clark International Airport’s new terminal building is expected to break ground in the 4th quarter of 2017 and would be completed in 2020.

BCDA President and CEO Vivencio Dizon said the implementation would be a “no-brainer” since the expansion of the Clark International Airport has long been planned by the government for more than two decades.

“Now, we’re finally witnessing the development of the Clark International Airport,” Dizon said. (READ: EO 14 returns ownership of Clark Int’l Airport Corp to BCDA)

A pre-bid conference is part of the procurement process where prospective bidders can clarify terms of the contract.

The deadline to purchase bid documents for the airport terminal deal is on October 22, while submission of bid documents is on October 23.

The creation of a new passenger airport terminal in Clark is seen to increase passenger capacity by 8 million per year, from the existing 4.2 million passengers per year. Once the new terminal is completed, the Clark International Airport will be able to welcome 12.2 million passengers annually, according to the BCDA.

“The ultimate target is 80 million per year upon completion of the 4th phase under the latest master plan,” the BCDA said.

The project is under the Duterte administration’s Build, Build, Build infrastructure program. –

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