The government rejected the design changes to the proposed redevelopment of the Ninoy Aquino International Airport, according to the consortium that submitted the proposal.
Members of NAIA Consortium said in separate disclosures to the stock exchange the government thumbed down the “consortium proposed changes to update the NAIA Project’s framework to ensure the bankability of the NAIA Project.”
“Unfortunately, the government indicated that it is not willing to accept most of the Consortium’s proposed options and the Consortium can only move forward with the NAIA Project under the options it has proposed,” NAIA Consortium said.
The P102-billion NAIA rehabilitation project was proposed by NAIA Consortium that includes Aboitiz InfraCapital Inc, AC Infrastructure Holdings Corp., Alliance Global Group Inc., Asia’s Emerging Dragon Corp., Filinvest Development Corp. and JG Summit Holdings Inc.
Metro Pacific Investments Corp. earlier backed out from the consortium over unresolved issues with the government.
The group said the changes in its proposal would be critical to make the project viable amid the COVID-19 pandemic.
“The far-reaching and long lasting consequences of the coronavirus pandemic on airline travel, airline operations and airport passenger traffic necessitated a review of the assumptions and plans to ensure that the NAIA Project will be viable in the new normal,” NAIA Consortium said.
The consortium, however, said it “remains committed to support the government’s pursuit to implement its strategic infrastructure projects through public-private partnership to jumpstart the recovery of the economy, including the building of an international gateway that will reflect the growing and modernizing economy of the country.”
The NAIA project aims to alleviate the worsening air traffic congestion at the main gateway and resolve capacity constraints by reconfiguring and renovating facilities and enhancing operation and maintenance. This will allow for the accommodation of more traffic.
The rehabilitation project also aims to broaden NAIA’s role as a key economic and tourism driver for Metro Manila and the whole Philippines, deliver capital infrastructure investment to improve the airport’s efficiency and increase its capacity to meet the growing passenger demand from the Philippines and the Asia Pacific region.
It will also deliver the best-in-class passenger experience as a capital city airport, which is demanded by increasingly sophisticated travelers and create a positive first and last impression for Filipinos and visitors.
The NAIA rehabilitation project was supposed to be implemented in three phases from 2021 to 2024.
