Davao Int'l Airport rehab to secure private partner by 2026

Some passengers are stranded at the Davao International Airport on Friday evening, July 19, due to the Microsoft global outage, which resulted in “technical issues” and “operational disruptions.”
Some passengers are stranded at the Davao International Airport on Friday evening, July 19, due to the Microsoft global outage, which resulted in “technical issues” and “operational disruptions.”Pao Modequillo Rosello/Facebook
Published on

WITH the ongoing rehabilitation and modernization plans for Francisco Bangoy International Airport, more commonly known as Davao International Airport (DIA), gaining momentum, the Department of Transportation (DOTr) confirmed that the potential private sector partner will likely be awarded original proponent status (OPS) by 2026. 

The development marks a pivotal stage in the government’s infrastructure agenda, positioning Mindanao’s primary aviation hub for a world-class transformation under a Public-Private Partnership (PPP) scheme.

Public-Private Partnership Center Executive Director Ma. Cynthia Hernandez announced the timeline recently during the launch of the PPP Desk in Davao City, organized by the Mindanao Development Authority (MinDA). Hernandez stated that the detailed evaluation of proposals for the airport’s rehabilitation is already underway, and once completed, the OPS will be granted to the leading proponent — a key step before the project moves into the comparative selection phase.

“The new process in the PPP Code, before they get original proponent status, there will be a negotiation as far as terms are concerned,” Hernandez said.

Multi-billion-peso upgrade for Mindanao’s gateway

DIA is on track for a multi-billion-peso overhaul under the government’s PPP program, a move seen to boost the region’s economic competitiveness and align its aviation infrastructure with global standards.

In an earlier SunStar report, it was confirmed that three major conglomerates have formally submitted proposals to modernize, operate, and maintain the airport, signaling strong investor confidence in Davao’s long-term growth prospects. The development also highlights the strategic importance of Mindanao’s busiest airport in driving trade, tourism, and investment in the southern Philippines.

Global contenders join the bid

Among the proposals submitted, Singapore’s Changi Airport Group, regarded as one of the world’s premier airport operators, has emerged as a frontrunner. Its entry into the bidding process is widely seen as a transformative opportunity to elevate DIA into a globally competitive gateway.

Davao City Acting Mayor Sebastian “Baste” Duterte expressed strong support for Changi’s bid, citing the company’s decades of experience in managing award-winning airports worldwide. 

“Changi’s decades of experience managing award-winning airports will boost DIA’s efficiency, passenger experience, and economic potential,” Duterte said.

Changi’s industry leadership is well documented. The company recently reclaimed the title of World’s Best Airport at the 2025 Skytrax World Airport Awards in Madrid, its 13th time receiving the honor. It also earned accolades for Best Airport in Asia, Best Airport (60–70 million passengers), Best Airport Dining Experience, and the inaugural World’s Best Airport Washrooms. In a separate ranking by Travel + Leisure, Changi was named the second-best airport globally, behind Istanbul Airport.

Bundled PPP strategy for regional airports

The modernization of DIA is part of a broader Bundled Airports Project spearheaded by the DOTr and the PPP Center. The initiative includes the development, operation, and maintenance of three major regional airports: Davao International Airport, the Southern Luzon International Airport in Albay, and the Sayak Airport in Siargao.

A consortium led by JG Summit Infrastructure Holdings Corp. (Gokongwei Group), Filinvest Infra-Solutions Ventures Inc. (Gotianun Group), and Asian Infrastructure and Management Corp. has submitted a bundled proposal for the project. The aim is to modernize critical airport infrastructure, enhance operational efficiency, and improve passenger experience across the Davao, Bicol, and Caraga regions.

Under the proposed plan, DIA and the Southern Luzon International Airport will operate under a 30-year concession period, while Sayak Airport will follow a 15-year concession. The projects will be implemented under a Rehabilitate-Operate-Transfer (ROT) arrangement in line with the PPP Code.

The Philippine Regional Airports Consortium submitted a proposal worth P16.048 billion, which includes terminal expansion, new facilities, modernized systems, and upgraded infrastructure. Additionally, the DOTr has earmarked P650 million for the expansion of DIA’s terminal building, increasing its floor area from 17,500 to 25,910 square meters by 2026, raising passenger seating capacity from 1,500 to 2,200, and generating more than 4,000 construction jobs during the development phase.

Comparative selection and regulatory process

Once the OPS is awarded, the project will advance to the comparative selection stage, where other interested proponents may submit competing offers. This process ensures transparency and competitiveness while allowing the government to secure the best possible terms for the project.

Hernandez noted that once the National Economic and Development Authority (Neda) gives the go-signal and the OPS is granted, other companies can challenge the proposal under the PPP Code.

With the OPS projected to be awarded by 2026, the modernization of Davao International Airport represents more than just an infrastructure upgrade — it signals a new era for Mindanao’s economic ambitions. Once completed, DIA is expected to stand as one of the region’s most competitive aviation gateways, capable of meeting global standards and driving sustained growth across southern Philippines. DEF

Trending

No stories found.

Just in

No stories found.

Branded Content

No stories found.

Videos

No stories found.
SunStar Publishing Inc.
www.sunstar.com.ph