The country’s airline operators yesterday expressed optimism the expansion and rehabilitation plans at the Ninoy Aquino Interna-tional Airport (NAIA), including the airport’s optimization, to be undertaken by New NAIA Infrastructure Corp. (NNIC) will redound to the growth of air travel, tourism and the Philippine economy in general.
NNIC takes over the operation and maintenance of the country’s premier gateway this week.
Department of Transportation (DOTr) Secretary Jaime Bautista expressed confidence the San Miguel Corp. (SMC)-led NNIC will drasti-cally improve the country’s main gateway into a globally competitive and modernized airport.
“We have no doubt these SMC-implemented projects, once completed, will conform with the comfortable, accessible, safe, secure, and affordable parameters we instituted in DOTr – that is, our transport infrastructures will provide comfortable, accessible, safe, sustainable and affordable travel experience,” Bautista said at the EJAP-SMC Aviation Forum in Makati yesterday.
NNIC will start the operation and modernization of NAIA on September 14, with plans to improve the terminal’s passenger capacity from 35 million passengers to 62 million and the air traffic movement from 40 movements per hour to 48, over the initial 15 years of its concession period.
“It is an exciting time because we are about to make history. We can begin the work of modernizing our airport and giving the Filipino people a world class facility they deserve,” Ramon Ang, SMC chairman, said at the forum.
Philippine Airlines (PAL), Cebu Pacific (CEB) and AirAsia Philippines have committed to collaborate and support NNIC’s expansion and upgrades in NAIA, in line with the airlines’ expansion plans.
“With the privatization of NAIA, we will continue to give the same support to the new management. We will collaborate with NNIC to help ensure that its plans for major upgrades will make the airport more efficient and passenger friendly and a vehicle for growth for air travel, tourism and the Philippine economy,” Stanley Ng, PAL president, said in his speech at the EJAP forum.
PAL also expects an optimized runway system, upgraded terminals, efficient transfer processes between airlines, as well as extensive passenger facilities and reasonable fees and charges that will help make the airline operations sustainable and passenger travel eco-nomical and affordable.
Alexander Lao, CEB president, for his part, noted the need for increased support from both private and public stakeholders to achieve the country’s full potential through investments in developing infrastructure, while continuing to be competitive with Asean peers.
“We trust that optimizing airport utilization will benefit everyone,” said Ricky Isla, AirAsia Philippines chief executive officer and ACAP chairman.
Meanwhile, the Air Carrier Association of the Philippines (ACAP), which comprises three airline members and the Board of Airline Representatives composed of 36 local and foreign airlines, expressed support for NNIC but noted passengers may see adjustments in travel cost once the new airport fees are implemented.
“We are eager to engage with NNIC and the government to address the potential adverse effects on travel demand and to ensure that the interests of both airlines and passengers are represented. We look forward to positive outcomes for all stakeholders in the course of the transition to privatized airport management and we earnestly await the holding of consultation meetings by NNIC that will clearly outline the steps to be taken for the upcoming transition on September 14,” ACAP said.
The reassignment of the NAIA terminals is also seen in the next three years with NNIC’s takeover.
Angelito Alvarez, NNIC general manager, said in the same forum that Terminal 2 will be designated as the new domestic terminal. Ter-minal 1 will be used by PAL and all foreign airlines will be transferred to Terminal 3, including CEB and AirAsia Philippines.
“It will happen only in three years once the Terminal 2 extension is completed, with space limitation here will be a gradual movement,” he said.
Alvarez also said the increase in fees at NAIA will take effect next year or one year after the takeover.
Bautista said the airport public-private partnership project will generate approximately P900 billion in government revenues for the duration of the concession agreement, or about P36 billion annually.
The airport rehabilitation would generate more than 58,000 jobs due to increased tourism arrivals and spending.
After the concession agreement was signed, regular meetings were conducted between the grantors – DOTr and Manila International Airport Authority (MIAA) – and the concessionaire to ensure a smooth transition.
Preparatory works were undertaken by the concessionaire to advance airport improvements, such as the OFW Lounge constructed by SMC at Terminal 3 and opened last July 19.
As part of the preparations, NNIC is offering jobs to more than 70 percent of the current airport employees, while MIAA transitions to be an airport regulator.
