San Miguel Corporation (SMC) on Monday said it plans to build a new passenger terminal building as part of its commitment to increase the capacity of the Ninoy Aquino International Airport (NAIA), the country’s main international gateway.
Ramon S. Ang, president of San Miguel, told reporters in a briefing that the new passenger terminal building can handle 35 million passengers annually with 50 concourse boarding bridges.
“It [new PTB] will add 30 percent more space in our existing terminals 1,2 and 3,” Ang said in a press conference in Manila after the signing of the concession agreement for the NAIA project.
At present, NAIA is operating beyond its designed capacity of 35 million passengers, clogging air traffic and causing frequent flight delays.
“Within six months, we will be awarding the project [new terminal building]. My promise to you is that it will all be completed within three years. It’s going to be quick,” he added.
The abandoned Philippine Village Hotel could be a potential site for the proposed terminal. The new PTB is part of the San Miguel Group’s P122.3 billion capital expenditure over a 25-year period.
SMC SAP & Co. Consortium on Monday signed the concession agreement with the Department of Transportation for the NAIA Public-Private Partnership (PPP) Project.
“This is the biggest PPP project bidded out by the government with P900 billion or $16 billion dollars [revenues to be generated by the government] without selling any property, equipment or any asset at all,” Ang said.
“This is the biggest PPP project bidded out since the Republic of the Philippines in 1898 without selling property,” he added.
The DOTr issued the Notice of Award to SMC-SAP & Co. Consortium which comprises San Miguel Holdings Corp, RMM Asian Logistics Inc., RLW Aviation Development Inc., and Incheon International Airport Corp (IIAC) last February 16, 2024.
Transportation Secretary Jaime J. Bautista expressed confidence that the NAIA PPP Project will open the floodgates of opportunities for the country—from investments, business, tourism and employment.
“We welcome this development for the NAIA PPP Project as this will not only generate revenue for the government but it will also create opportunities for Filipinos. With a modernized NAIA, we are elevating the airport’s facilities and services to international standards,” Bautista said.
With the signing of the Concession Agreement, the operations and maintenance of the airport will be handed over to the concessionaire on or before September 2024.
The NAIA PPP Project is expected to herald economic growth for the country, while expecting to lift tourism arrivals with improved levels of services and upgraded airport infrastructure.
The project involves capital investment to improve the airport’s facilities to comply with the International Civil Aviation Organization (ICAO) and other internationally accepted standards.
The concessionaire will be responsible for both landside and airside operations of NAIA.
It will be required to undertake works to enhance the compliance, safety and security of the airport, optimize and boost airport capacity to cater to the increasing air traffic, in accordance with objective parameters to be provided in detail in the concession agreement.