Gov’t mulling options on CA Piatco order

MANILA, Philippines—The Aquino administration is reviewing its “full range of options,” which may include an appeal, after it was ordered by the Court of Appeals to pay the builder of the Ninoy Aquino International Airport (Naia) Terminal 3 more than P16 billion—more than double the amount previously required.

Transportation Secretary Joseph Abaya said over the weekend that he was requesting a meeting with Solicitor General Francis Jardeleza “to plan out the next steps.”

“Next steps are the full range of options. It is important we hear from our counsel and the general policy of government,” Abaya said in a text message. He declined to elaborate.

The Court of Appeals last week said the government should pay Philippine International Air Terminals Co. Inc. (Piatco) the sum of $371.43 million, or roughly P16.2 billion, as “just compensation” for the expropriation of the terminal.

The decision modified the May 23, 2011, ruling of the Pasig Regional Trial Court which ordered the government to pay $175.79 million (or about P7.3 billion) minus the P3-billion down payment already paid to Piatco.

The appellate court explained the increased compensation was the amount owed by the government as of July 31 and included an interest rate of six percent per annum.

Aspects of that decision were questioned by Piatco and its subcontractors, Takenaka Corp. and Asahikosan Corp., as well as the government, reports showed.

The Naia airport terminals serve as the main gateway to the Philippines. But Naia Terminal 3, in particular, has been embroiled in controversy, given the years of litigation between the government and its builders.

The terminal opened only in 2008 after being mothballed for six years.—Miguel R. Camus

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