DOTr, MIAA move to evaluate unsolicited proposal to rehab NAIA

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  • The Department of Transportation and Manila International Airport Authority are moving to evaluate the Manila International Airport Consortium unsolicited proposal to operate and maintain the Ninoy Aquino International Airport
  • The 30-day “completeness test” is done with MIAC documents submitted found to have complied with the checklist under the Build-Transfer-Operate law
  • Preliminary discussions with MIAC set next week
  • Proposed terms of reference for solicited public-private partnership project to modernize NAIA submitted by DOTr and MIAA may be a reference point during the evaluation of MIAC proposal

The Department of Transportation (DOTr) and Manila International Airport Authority (MIAA) are now moving to evaluate the P100-billion unsolicited proposal submitted by the Manila International Airport Consortium (MIAC) to operate and maintain the Ninoy Aquino International Airport (NAIA).

This follows completion of the 30-day “completeness test” for the proposal submitted in April, said DOTr undersecretary for aviation and airports Roberto Lim in a press briefing on June 8, adding that the documents submitted by MIAC complied with the checklist under the Build-Transfer-Operate (BOT) law.

The next phase, Lim said, is the evaluation of the proposal. A meeting with MIAC officials is set next week.

MIAC is composed of Aboitiz InfraCapital, Inc.; AC Infrastructure Holdings Corp.; Asia’s Emerging Dragon Corp.; Alliance Global – Infracorp Development, Inc.; Filinvest Development Corp.; JG Summit Infrastructure Holdings Corp.; and US-based Global Infrastructure Partners.

RELATED READ: New consortium proposes P100B upgrade of NAIA

Under the MIAC proposal, NAIA will be able to serve up to 62.5 million passengers annually by 2028—more than double the current capacity of 31 million passengers annually.

Pre-pandemic passenger traffic has already reached 48 million passengers in 2019, underscoring the need to upgrade the airport to meet growing demand.

Lim said the proposed terms of reference for the solicited public-private partnership (PPP) project to modernize NAIA which DOTr and MIAA submitted to the National Economic and Development Authority (NEDA) on June 2 may be used as a reference for evaluation of MIAC’s proposal.

READ: DOTr, MIAA submit proposal to modernize NAIA

This proposal is the “baseline of what we believe are the investments needed for the PPP of NAIA,” the transport official said.

DOTr earlier said they are looking into both the solicited and unsolicited modes to rehabilitate NAIA.

Lim said they are awaiting NEDA’s decision on their solicited proposal, which they hope will come in one to two months. After which they can start inviting bids, possibly around September.

He added their estimated “doable” timeline of selecting the winning bidder is by the first quarter of 2024.

Under DOTr and MIAA’s proposal, the private concessionaire will be granted a 15-year concession period to invest in modern air traffic control equipment, rehabilitate runways and taxiways, and improve existing terminal facilities.

Part of the proposal includes the introduction of digitalization in NAIA’s operations, increase in boarding gates, check-in counters and self-service kiosks; development of the runways and rapid exit taxiways; and investments in the Manila Tower’s equipment.

Lim earlier said the total cost to upgrade and rehabilitate NAIA is P141 billion. The government is also proposing an upfront payment of P30 billion, annuity payments of P2 billion, and a government share in revenue from both commercial and non-commercial operations.