NNIC remits P30B to gov’t after NAIA takeover - DOF

Metro Manila, Philippines – The new operator of the main international gateway has remitted P30 billion to the government as part of the agreement, the Department of Finance (DOF) said on Tuesday, Sept. 17.

The DOF said the remittance was cleared with the Bureau of Treasury on Sept. 16 after the turnover of Ninoy Aquino International Airport (NAIA) operations on Saturday, Sept. 14.

Finance Secretary Ralph Recto said the payment “guarantees the government a healthy income stream” from the private operator.

“The P30 billion is just the upfront payment from the private sector partner. As the project finally takes off, the government is expected to generate roughly 900 billion pesos in revenues from this deal over the entire term, which is a 15-year concession period, extendable by another 10 years.

“This will be equivalent to a revenue source of more or less 36 billion pesos annually to fund more projects in education, public health, and infrastructure,” Recto was quoted as saying in a press release.

The NAIA takeover is the biggest public-private partnership project under the Marcos administration, with an estimated cost of P170.6 billion.

The New NAIA Infrastructure Corporation (NNIC) earlier vowed to transform NAIA into a world-class gateway, with the promise of boosting terminal capacity for 35 million passengers annually. It also aims to improve runway and commercial spaces, among others in three years.

The consortium said passengers could expect immediate improvements on air-conditioning, power and water supply, internet connectivity, escalator and other facilities.

The NNIC assured the public the transition will be seamless and will not disrupt operations.

NewsWatch Plus correspondent Lance Mejico contributed to this report