Aboitiz’s Laguindingan airport plan to undergo Swiss challenge in Q1 — DoTr
By Ashley Erika O. Jose, Reporter
THE Department of Transportation (DoTr) is set to invite other parties in the first quarter (Q1) to challenge the Aboitiz group’s proposal to upgrade, operate, and maintain the Laguindingan International Airport in Misamis Oriental, an official said on Wednesday.
“Swiss challenge is targeted to commence within the first quarter of 2024 with the publication of the invitation for submission of comparative proposals pursuant to the public–private partnership (PPP),” Transportation Undersecretary Timothy John R. Batan said in a Viber message to BusinessWorld.
The Swiss challenge is a process where other companies can submit alternative proposals to a project, and the original proponent has the right to match them.
The company has “already completed our negotiations and the DoTr will now secure approval for the Swiss challenge,” Cosette V. Canilao, Aboitiz InfraCapital, Inc. president and chief executive officer, said in a separate phone message.
The Transportation department is awaiting approval from the National Economic and Development Authority’s (NEDA) Investment Coordination Committee and Board, according to Mr. Batan.
Last year, the NEDA Board approved the inclusion of the upgrade, expansion, operation, and maintenance of the Laguindingan International Airport under its Infrastructure Flagship Project program.
With the inclusion, the project will be prioritized in the government’s annual budget preparation and will benefit from the expedited issuance of applicable permits and licenses, according to NEDA Secretary Arsenio M. Balisacan.
The PPP project has a total cost of P45.75 billion and aims to improve and expand the terminal facilities and operations of the airport.
The department has said that it is looking at implementing the first phase of the Laguindingan International Airport PPP project from 2024 to 2026.
The airport will have a capacity of 1.6 million passengers a year, which will increase to 3.9 million by the end of the first phase and to 6.1 million by the end of the second phase.
Aside from the Laguindingan International Airport, the infrastructure arm of the Aboitiz group has also submitted unsolicited proposals for Bohol-Panglao International Airport and Bicol International Airport.
In 2022, Aboitiz InfraCapital finalized a deal with Megawide Construction Corp. and GMR Airports International, B.V., allowing it to acquire shares in GMR-Megawide Cebu Airport Corp., the company behind the Mactan-Cebu International Airport.
