THE PROPOSED public-private partnership (PPP) for the takeover of the development of the Davao International Airport is still awaiting government approval, an official of the PPP Center said Wednesday.
PPP Center director Feroisa Francisa Concordia told reporters on Wednesday, Oct. 21, that the Department of Transportation (DOTr) is still completing its submission for the proposed private sector takeover of Davao airport.
“Wala pang takers. Kailangan ma-hurdle muna nila yung approval. I think right now incomplete pa yung submission ng DOTr, so maaaring meron pa silang kin-complete,” Concordia said.
She said the project has already gone through a feasibility study, the first level of the approval process. The DOTr is fixing its documents before filing with the approving body, as it might be returned to the agency for incomplete submission.
Under the PPP Code, approval is supposed to come within 120 calendar days once a submission is found complete.
Concordia said only after final approval can the DOTr bid out the project and set the bid submission date.
She called any such interest from foreign firms a good sign, as the project has been marketed internationally, including in Singapore.
The DIA is included in the bundled development, operation, and maintenance by a private consortium, where DIA and Bicol International Airport are under a 30-year concession period, and Siargao Airport is under a 15-year concession period.
The consortium is headed by the Gokongweis and Gotianuns through JG Summit Infrastructure Holdings Corp. and Filinvest Infra-Solutions Ventures Inc. and is joined by the Asian Infrastructure and Management Corp. in the proposal.
The primary goal is to develop, operate, and maintain the DIA, BIA, and IAO, some of the busiest airports in the Philippines, to establish an efficient and modern transport system for the Davao Region, Bicol Region, and CARAGA Region, respectively.
The proposal necessitates the construction, development, installation, and subsequent operation and maintenance of the airports’ equipment, facilities, and systems. It will be implemented under a Rehabilitate-Operate-Transfer arrangement, as outlined in the PPP Code.
The Philippine Regional Airports Consortium filed the PPP proposal with a total project cost of P16.048 billion.
For the Davao International Airport, Phase 1 is up to 2041, while Phase 2 is until 2056.
For phase 1, upgrade works mainly comprising passenger terminal building (PTB) expansion and renovation, upgrades to the existing cargo terminal, construction of a fire station, apron and parking lot expansion, installation of a parallel taxiway, and expansion of passenger access roads.
Meanwhile, capacity augmentation including further PTB expansion and renovation, construction of a new cargo terminal, additional apron and parking lot expansion, and expansion of the ground service equipment roads is set for Phase 2.
Concordia was in Davao City for a capacity development workshop for PPP projects for the implementing agencies and local governments.
The workshop was the third in a series, focused on the PPP project review and approval process.
Photo: Mindanao Development Authority