Filinvest-JG Summit proposal for Clark airport to go before ICC

THE government may rule on the unsolicited proposal of Filinvest Development Corp. (FDC) and JG Summit Holdings, Inc. (JGS) for the long-term development of Clark International Airport (CIA) by the end of the month.

Bases and Conversion Development Authority (BCDA) Vice-President and Chair of the Special Bids and Awards Committee Joshua M. Bingcang said the BCDA is currently awaiting the decision of the National Economic and Development Authority (NEDA) which will likely be ready before the month ends.

“The ICC [Investment Coordination Committee] will decide. We are awaiting the policy of the economic managers,” Mr. Bingcang said in a phone interview, though he did not discuss the recommendation of BCDA or the Department of Transportation (DoTr).

FDC and JG Summit submitted in November an P839-billion proposal for the long-term development of the airport, which includes the expansion of terminals and runways, along with the operation and maintenance of passenger terminals.

The companies also proposed to develop, operate and maintain the commercial assets of the CIA, which include facilities for general aviation and fixed-base operations, and real estate.

FDC and JGS tapped Singapore’s Changi Airports International as the technical partner for the project.

DoTr Secretary Arthur P. Tugade told reporters earlier this month that the department has submitted its decision to NEDA and is awaiting the agency’s approval.

The consortium has said that its new proposal is different from its earlier P186.64billion proposal for the expansion of CIA’s passenger terminal building.

At that time, the DoTr rejected the unsolicited proposal and opted to build the infrastructure, and bid out the operations and maintenance contract to the private sector.

The government awarded the contract for the construction of the new terminal building to the consortium of listed builder Megawide Construction Corp. and Bangalore-based airport operator GMR Infrastructure Ltd.

The consortium submitted the lowest financial proposal of P9.36 billion in an auction on Dec. 14, which is about 25% lower than the P12.55- billion auction ceiling, beating four other contenders.

Clark International Airport has long been singled out as a potential alternative gateway to Ninoy Aquino International Airport, which accommodated over 39.5 million passengers in 2016, well above its 30.5 million designed capacity. —