Panglao-Bohol Airport: 5 Groups Bid for the Airport Project


MANILA, Philippines – Five groups are vying for the P4.8-billion (US$109 milion) Bohol Airport construction and sustainable environment protection project, based on documents from the Department of Transportation and Communications (DOTC).

According to General Bid Bulletin No 13 – 2014, issued by DOTC undersecretary Jose Perpetuo Lotilla, the prospective bidders – who already submitted their technical proposals – are the following:

the tandem of Maeda and Toyo Corporation

the joint venture of Taisei Corporation and JATCO

Shimizu Corporation

the partnership of Sumitomo Corporation and Mitsui Construction Company Ltd.

the joint venture of Chiyoda and Mitsubishi Corporation

The DOTC said the project involves building a new airport in the municipality of Panglao in Bohol. This airport will replace the existing Tagbilaran airport. The DOTC said the project would have 6 components and would be funded through a concessional loan from the Japan International Cooperation Agency.

The first component covers the general requirements. These include insurance, employer’s and engineer’s facilities, environment management, and project and maintenance equipment. The second component involves building of access roads and airport infrastructure, including the runway strip, runway taxiways, and others.

The third component covers utility works, including the water supply, power supply, and sewage treatment. The fourth component covers the passenger terminal building, control tower, fire station, driver’s lounge, car parks, toilet, guard houses, and others.

The project’s fifth component is the air navigation facilities while the sixth component is the aeronautical ground lighting works.

The bidding for this project is limited to Japanese nationals in the case of the prime contractor, allowing for other nationalities in case of the sub-contractors. Should the prime contractor be a joint venture, the DOTC noted that the prime contractor should be Japanese and that they should contribute more than 50% of the total contract amount.

The DOTC added the bidding would be conducted through a single-stage two-envelope procedure with no prequalification, in accordance with the applicable guidelines for procurement under Japanese official development assistance loans.

To qualify, a bidder should submit its audited balance sheets or financial statements showing that its net worth calculated as the difference between total assets and liabilities should have been positive for the last 5 years.

Bidders should also have a minimum average annual construction turnover of 8 billion yen (US$78 million) and its joint venture partners should have been a subcontractor or management contractor for at least 10 years. – Rappler.com

Airport PPP Projects To Be Auctioned Off


MANILA, Philippines–The government is looking at auctioning off several provincial airport public private partnership (PPP) deals later this year while authorizing the hiring of consultants to study the possibility of bidding out the country’s busiest airport, Ninoy Aquino International Airport in Manila.

PPP Center executive director Cosette Canilao told reporters that the provincial airport  deals are for Laguindingan, Panglao (Bohol), Puerto Princesa, Iloilo, Davao and Bacolod.

Puerto Princesa Airport
Puerto Princesa Airport

These would be a combination of operations and maintenance contracts with expansion components, depending on the need.

“We are looking at one bidding process but several packages,” Canilao said while adding they have yet to finalize how the airport projects would be bundled.

This was moving ahead of a the potential plan to auction out the operations of Naia, an aging gateway that handled about 32 million passengers last year. Naia has been facing congestion issues given its inability to keep up with rising demand for air travel.

The Department of Transportation and Communications is already reviewing a proposal to build a 2.3-kilometer parallel runway to complement the existing 3.4-km primary runway. This will allow Naia to accommodate more takeoff and landing events and ease air traffic congestion, which costs airlines an estimated P7 billion annually on top of delays for passengers. Any privatization of Naia’s operations is expected to draw significant private sector interest, which is why the government is exploring this option.

“The Naia O&M (operation and maintenance) and development plan is a different transaction,” Canilao said.

“DOTC has already asked PDMF support to hire consultants for that,” Canilao said, referring to the Project Development and Monitoring Facility.

PDMF is a revolving pool of funds from the Philippine and Australian governments to enhance investments in PPPs.

Canilao said the government is looking at auctioning off PPP deals recently approved by the National Economic and Development Authority, chaired by President Aquino. Among the more than $1 billion infrastructure deals that would be ready for bidding in the second half of 2014 include the Bulacan Bulk Water Supply Project (P24.4 billion), New Centennial Water Supply Source Project (P18.7 billion) and the Light Rail Transit Line 2 operations and maintenance contract.

Source: Miguel R. Camus, PDI