Right to appeal

THE Gokongwei group intends to appeal the decision of the Department of Transportation and Communications (DOTC) preventing companies with interests in aviation from participating in the bidding for the Mactan Cebu International Airport (MCIA) terminal project.

JG Summit Holdings chief executive officer Lance Gokongwei told Rappler.com that his company will file a formal pleading before the DOTC.

JG Summit, which controls Cebu Pacific, expressed interest in the P8-billion MCIA terminal expansion project.

San Miguel Corp., which owns 49 percent of Philippine Airlines, is also interested in the project.

MCIA general manager Nigel Paul Villarete said JG Summit and San Miguel Corp. have the right to appeal the decision.

Public good

“I am sure DOTC will consider all positions and arguments on the issue and we will decide on what is best for the government and for the people,” Villarete said.

He said that in policy making, government has to consider public welfare over the interest of certain sectors or persons.

“We believe we have the necessary project management and operating skills to run a competent and well-run airline for the benefit of all stakeholders whether it be airline, passengers or government,” Gokongwei told Rappler.com.

The airport terminal project is under the Public-Private Partnership program but in the prequalification terms of reference, the DOTC specified that companies that have stakes in the aviation industry cannot join the bidding to avoid conflict of interest.

Competition

This narrowed the competition to the Ayala Corp. and the Abotiz Equity Ventures consortium, and the Metro Pacific Investments Corp.

The project aims to increase the airport terminal’s capacity to eight million passengers and promote aircraft operational efficiency.

The first phase of the project, which will cost P8.87 billion, will be constructed from 2014 to 2016.

Private sector participation in the project will involve the construction of a second terminal, and the operations and maintenance of landside operations.

It will also include the construction of a new apron and other ground facilities, such as car park, access roads and runway.