Republic of the Philippines

Public-Private Partnership Center

Why is construction of new Mactan-Cebu airport terminal delayed? Congressman wants to know

MANILA – House Assistant Majority Leader and Cebu Rep. Gerald Anthony Gullas Jr. has called for an inquiry into the almost year-long delay in the construction of a new world-class terminal at Mactan-Cebu International Airport (MCIA), the country’s second busiest gateway.

“The setback is unacceptable. We want the problem resolved right away. We will seek a congressional investigation,” he said in a news release issued Sunday.

Gullas warned that the holdup is bound to lead to severe congestion at the MCIA in the months ahead, on account of the surge in arriving as well as departing passengers.

The existing terminal was designed for 4.5 million passengers every year, but already serves 7.2 million.

“We’re also concerned that due to the delay in the project, passengers going through the MCIA might eventually be penalized by higher user charges, such as terminal fees,” Gullas said.

“We don’t see how the new MCIA terminal can be completed by February 2018, as initially scheduled, if construction will start only by early 2016,” he said.

The groundbreaking for the new terminal was originally set last month, but has since been deferred “by at least another 10 months.”

GMR-Megawide Cebu Airport Corp., the private firm obligated to put up the new terminal, has blamed the Philippine Air Force (PAF) for the 300-day snag.

The PAF has 17 structures in the middle of the site where the new terminal is supposed to be built.

After two failed public biddings, the P678-million, 300-day contract to demolish, replicate, and transfer the PAF structures to the nearby Mactan Benito Ebuen Airbase was given to private contractors only last month.

The contract

The Department of Transportation and Communications awarded to GMR-Megawide in April 2014 the multibillion-peso MCIA Passenger Terminal Rehabilitation, Expansion and Operation Public-Private Partnership Project.

Under the 25-year concession, GMR-Megawide is required to build in 36 months a new terminal capable of handling eight million international passengers every year.

The firm is also expected to enlarge and modernize the existing terminal, which will be converted into a completely domestic flights-only station capable of handling another 4.5 million passengers every year.

GMR-Megawide is spending P17.52-billion for the project, on top of the P14.4-billion premium it paid to the national government for the concession.

GMR-Megawide will run both the new and existing terminals for up to 25 years to recoup its investment and earn a profit.

Gullas said he is counting on the project to help drive national economic and jobs growth in the years ahead through increased trade and tourism.

“In particular, we see the new facilities firing up travel and leisure-related industries throughout Central Visayas, a key international tourism hub,” he said.

InterAksyon, 08 February 2015
 

Why is construction of new Mactan-Cebu airport terminal delayed? Congressman wants to know

MANILA – House Assistant Majority Leader and Cebu Rep. Gerald Anthony Gullas Jr. has called for an inquiry into the almost year-long delay in the construction of a new world-class terminal at Mactan-Cebu International Airport (MCIA), the country’s second busiest gateway.

“The setback is unacceptable. We want the problem resolved right away. We will seek a congressional investigation,” he said in a news release issued Sunday.

Gullas warned that the holdup is bound to lead to severe congestion at the MCIA in the months ahead, on account of the surge in arriving as well as departing passengers.

The existing terminal was designed for 4.5 million passengers every year, but already serves 7.2 million.

“We’re also concerned that due to the delay in the project, passengers going through the MCIA might eventually be penalized by higher user charges, such as terminal fees,” Gullas said.

“We don’t see how the new MCIA terminal can be completed by February 2018, as initially scheduled, if construction will start only by early 2016,” he said.

The groundbreaking for the new terminal was originally set last month, but has since been deferred “by at least another 10 months.”

GMR-Megawide Cebu Airport Corp., the private firm obligated to put up the new terminal, has blamed the Philippine Air Force (PAF) for the 300-day snag.

The PAF has 17 structures in the middle of the site where the new terminal is supposed to be built.

After two failed public biddings, the P678-million, 300-day contract to demolish, replicate, and transfer the PAF structures to the nearby Mactan Benito Ebuen Airbase was given to private contractors only last month.

The contract

The Department of Transportation and Communications awarded to GMR-Megawide in April 2014 the multibillion-peso MCIA Passenger Terminal Rehabilitation, Expansion and Operation Public-Private Partnership Project.

Under the 25-year concession, GMR-Megawide is required to build in 36 months a new terminal capable of handling eight million international passengers every year.

The firm is also expected to enlarge and modernize the existing terminal, which will be converted into a completely domestic flights-only station capable of handling another 4.5 million passengers every year.

GMR-Megawide is spending P17.52-billion for the project, on top of the P14.4-billion premium it paid to the national government for the concession.

GMR-Megawide will run both the new and existing terminals for up to 25 years to recoup its investment and earn a profit.

Gullas said he is counting on the project to help drive national economic and jobs growth in the years ahead through increased trade and tourism.

“In particular, we see the new facilities firing up travel and leisure-related industries throughout Central Visayas, a key international tourism hub,” he said.

InterAksyon, 08 February 2015
 

Why is construction of new Mactan-Cebu airport terminal delayed? Congressman wants to know

MANILA – House Assistant Majority Leader and Cebu Rep. Gerald Anthony Gullas Jr. has called for an inquiry into the almost year-long delay in the construction of a new world-class terminal at Mactan-Cebu International Airport (MCIA), the country’s second busiest gateway.

“The setback is unacceptable. We want the problem resolved right away. We will seek a congressional investigation,” he said in a news release issued Sunday.

Gullas warned that the holdup is bound to lead to severe congestion at the MCIA in the months ahead, on account of the surge in arriving as well as departing passengers.

The existing terminal was designed for 4.5 million passengers every year, but already serves 7.2 million.

“We’re also concerned that due to the delay in the project, passengers going through the MCIA might eventually be penalized by higher user charges, such as terminal fees,” Gullas said.

“We don’t see how the new MCIA terminal can be completed by February 2018, as initially scheduled, if construction will start only by early 2016,” he said.

The groundbreaking for the new terminal was originally set last month, but has since been deferred “by at least another 10 months.”

GMR-Megawide Cebu Airport Corp., the private firm obligated to put up the new terminal, has blamed the Philippine Air Force (PAF) for the 300-day snag.

The PAF has 17 structures in the middle of the site where the new terminal is supposed to be built.

After two failed public biddings, the P678-million, 300-day contract to demolish, replicate, and transfer the PAF structures to the nearby Mactan Benito Ebuen Airbase was given to private contractors only last month.

The contract

The Department of Transportation and Communications awarded to GMR-Megawide in April 2014 the multibillion-peso MCIA Passenger Terminal Rehabilitation, Expansion and Operation Public-Private Partnership Project.

Under the 25-year concession, GMR-Megawide is required to build in 36 months a new terminal capable of handling eight million international passengers every year.

The firm is also expected to enlarge and modernize the existing terminal, which will be converted into a completely domestic flights-only station capable of handling another 4.5 million passengers every year.

GMR-Megawide is spending P17.52-billion for the project, on top of the P14.4-billion premium it paid to the national government for the concession.

GMR-Megawide will run both the new and existing terminals for up to 25 years to recoup its investment and earn a profit.

Gullas said he is counting on the project to help drive national economic and jobs growth in the years ahead through increased trade and tourism.

“In particular, we see the new facilities firing up travel and leisure-related industries throughout Central Visayas, a key international tourism hub,” he said.

InterAksyon, 08 February 2015