By Bernie Cahiles-Magkilat
The Bases Conversion and Development Authority (BCDA), in partnership with the Department of Transportation (DOTr), has awarded the operations and maintenance (O&M) contract for the Clark International Airport to a consortium which includes Changi Airport Group, operator of the number one airport in the world.
The BCDA made the announced after the National Economic and Development Authority-Investment Coordination Committee (NEDA-ICC) confirmed the award in its last meeting of the year held December 19.
The bid was awarded after the Special Bids and Awards Committee conducted a stringent and very transparent process with the International Finance Corporation of the World Bank (IFC-WB) as its transaction adviser, and the Public-Private Partnership Center (PPPC).
The winning four-member North Luzon Airport Consortium (NLAC) includes Changi Airports Philippines Pte. Ltd., a 100 percent-owned subsidiary of Changi Airports International Pte. Ltd., operator of Changi Airport in Singapore. The other three members are Filinvest Development Corporation, JG Summit Holdings, Inc. and Philippine Airport Ground Support Solutions, Inc.
NLAC’s financial bid offer of 18.25 percent annual gross revenue percentage share is almost twice the minimum rate set at 10 percent as approved by the NEDA Board.
All the requirements and provisions in the 25-year concession will protect not only the interest of the present government but also future governments from undue and contingent risks and liabilities.
The expansion of the Clark International Airport and the development of the entire Clark Freeport and Special Economic Zones are among the centerpiece projects under President Rodrigo Duterte’s “Build, Build, Build” program.
To further accelerate growth in Central Luzon and nearby areas, the government is also building New Clark City, envisioned to be the first green, smart, and sustainable metropolis in the country; the Subic-Clark Railway, a 70-kilometer cargo railway connecting Subic Bay Freeport Zone and Clark Freeport Zone; and the Manila to Clark commuter railway.