Gov’t Bucks Unsolicited Proposals, Wants Bidding For NAIA Project

The Marcos administration will no longer consider unsolicited proposals for the rehabilitation of the aging Ninoy Aquino International Airport (NAIA) and instead conduct competitive bidding for the redevelopment of the country's premier international gateway.

Photo Insert: The project aims to augment the capacity of NAIA and ensure safe operations, while significantly enhancing the overall passenger experience at the airport.

Finance Secretary Benjamin E. Diokno said recently that the decision was prompted by President Marcos' instruction to prioritize competitive bidding for the public-private partnership (PPP) agreement concerning the redevelopment of NAIA.

Prior to this, Diokno said the DOTr was in the process of assessing two unsolicited proposals that had been submitted during the Duterte administration and another proposal put forward by the Manila International Airport Consortium (MIAC) last June.

On Wednesday, the National Economic and Development Authority (NEDA) Board, chaired by President Marcos, approved three PPP projects including the solicited P170.6-billion NAIA rehabilitation initiative.

“There are three unsolicited proposals—two under the previous administration and the MIAC. In the light of the NEDA Board’s approval of the solicited PPP Project (15 years + 10) DOTr now ceased to evaluate the unsolicited proposals,” Diokno said.

Following the decision of President Marcos, NEDA Secretary Arsenio M. Balisacan said the unsolicited proposal worth P267 billion, submitted by the MIAC, has effectively been “de facto closed”.

MIAC boasts of the country’s largest six conglomerates – Aboitiz InfraCapital Inc., AC Infrastructure Holdings Corp., Asia’s Emerging Dragon Corp., Alliance Global - Infracorp Development Inc., Filinvest Development Corp., and JG Summit Infrastructure Holdings Corp.

MIAC said in a statement, it “understands” the NEDA Board decision for the NAIA rehabilitation project to “undergo a solicited bid process.” Balisacan, however, expressed optimism that the MIAC composed of six of the largest Filipino conglomerates would still actively participate in the competitive bidding process for the NAIA PPP project.

“The unsolicited proposal is de facto closed or already closed but those who are planning or proposing are encouraged [to participate]. We hope that they will participate in the solicited mode of PPP,” Balisacan told reporters.

To recall, a "super consortium" consisting of seven large conglomerates in the country, as well as Megawide Construction Corp. and its partner GMR Infrastructure Ltd. of India, submitted bids for the rehabilitation of NAIA during the Duterte administration.

However, the widespread impacts of the COVID-19 pandemic on the global aviation industry hampered the progress of these two unsolicited proposals. Last month, the DOTr and the Manila International Airport Authority (MIAA) submitted a joint proposal seeking to enhance the services and expand the capacity of NAIA.

The project aims to augment the capacity of NAIA and ensure safe operations, while significantly enhancing the overall passenger experience at the airport. This includes reducing waiting and processing times, providing more comfortable and contemporary facilities, and improving connectivity between terminals.

The DOTr and MIAA said the government requires a private concessionaire to make investments in modern air traffic control equipment, rehabilitate runways and taxiways, and upgrade existing terminal facilities.

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