ICC endorses Bulacan airport project, Davao food complex to PRRD

The Investment Coordination Committee (ICC)-Cabinet Committee approved the proposed Bulacan international airport project and the Davao food complex for final approval by President Rodrigo R. Duterte.

The Bulacan airport project has a project cost of R735.63 billion. The unsolicited proposal involves the construction of a terminal, parallel runways, and airport toll road, and will be able to accommodate 100 million passengers per annum by its opening year of 2023.

Furthermore, ICC’s approval of the airport project includes recommendation to the National Economic and Development Authority (NEDA) Board chaired by the President for negotiations between Department of Transportation and San Miguel Holdings.

The negotiations between the government and the private company involve the prescribed Swiss Challenge, which will come once the bidding parameters is finalized by the Department of Finance (DOF).

Meanwhile, the Davao Food Complex, which costs R1.086 billion, will help improve the importing and exporting of agro-business products in Mindanao, particularly the Davao Region.

The project will focus on the development, marketing, management, and lease of a 20-hectare government-owned land in Toril, Davao City.

Socioeconomic Planning Undersecretary Rolando G. Tungpalan emphasized that the Technical Board and Cabinet Committee of the ICC have established measures to make sure that possible risks on projects will be addressed.

He said that the committee thoroughly reviews all projects — including the proponent’s financial capability, project feasibility, concession agreements, and risk allocations — before these get approved.

Among others, aspects of the project that are reviewed are the Reasonable Rate of Return (RROR), Minimum Performance Standards and Specifications (MPSS) and Key Performance Indicators, as well as the Risk Allocation Matrix.

“As we aim to promote infrastructure development, the ICC Technical Board and Cabinet Committee are duty bound to address all these areas to ensure the success of any project,” the NEDA official said.

Prior to the endorsement of these two projects, seven other projects had already been endorsed to the NEDA Board for approval.