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Gov't retains NAIA assets under O&M deal -- DOTr

Business

Gov't retains NAIA assets under O&M deal -- DOTr

By Emmie V. Abadilla

The assets of the Ninoy Aquino International Airport (NAIA) remains with the government even if the private sector manages its operations, should plans to privatize the country's main gateway push through.

Department of Transportation (DORr) Secretary Jaime J. Bautista issued the statement today, January 26.

The NAIA operations will be managed via a concession agreement, he clarified, confirming the statement of President Ferdinand Marcos Jr. that "the government has no plans to privatize NAIA".

“The President didn't mean to say we're turning over the assets of NAIA to the private sector," he reiterated. "What he meant was, it’s the private sector who will manage the operations through a concession agreement.”

Aside from operating and maintaining the airport, the private sector will also expand and upgrade NAIA's facilities to deliver the required Level of Service (LoS) and provide improved services to passengers and other airport users.

All improvements and upgrades done by the private sector will also be owned by the government.

At the end of the concession period, the private sector will return the management of airport operations to the government.

Secretary Bautista cited the cases of the Mactan-Cebu International Airport (MCIA) and the Clark International Airport (CRK), which are both operated by the private sector via a concession agreement.

“In Cebu, the airport is operated by GMR-Megawide although the asset belongs to the government. The infrastructure was not privatized. This was also the same with the operations of Clark International Airport,” he added.

Related Tags

PPP projects DOTR SECRETARY JAIME BAUTISTA NAIA privatization DOTr

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