LAPU-LAPU CITY, Philippines—Representatives of 13 government and private agencies have expressed their support for the P17.5-billion expansion project of the Mactan-Cebu International Airport, sealing their commitment by signing an agreement with GMR-Megawide Cebu Airport Corp. last Friday.
The agreement bound the local parties to support the project that aims to transform the second-largest gateway to the country into a world-class facility by 2017.
The signatories for the government sector included representatives from the Mactan-Cebu International Airport Authority, Department of Transportation and Communications, Department of Finance, Department of Tourism, Bureau of Customs, Bureau of Immigration, Cebu provincial government, Lapu-Lapu City government and Public-Private Partnership Center.
Representatives of the Cebu Chamber of Commerce and Industry, Mactan Airlines Operators Council (MAOC) and the Hotel, Resort and Restaurant Association of Cebu also signed the agreement.
The GMR-Megawide is a consortium composed of Filipino-owned Megawide Consruction Corp. and Bangalore, India-based GMR Group.
The consortium was awarded last April the Mactan airport development and operation contract. Later in the month, the two agencies with the MCIAA signed a concession agreement for the privatization of the existing terminal and the construction of a new one.
PPP executive director Cosette Canilao said she was optimistic that the partnership would transform the Cebu airport into a world-class facility pointing out that GMR’s airport projects in other countries had performed well.
GMR developed and operates the Indira Gandhi International Airport in New Delhi, which was named the second-best airport on service quality in 2012 by the Airports Council International.
In her speech during the signing ceremony, Canilao said GMR-Megawide’s success is a message to investors “that if you invest in the Philippines, you are sure to get a square deal.”
MCIAA General Manager Paul Villarete said that they were working closely with the consortium to ensure a smooth takeover.
Over the next 25 years, airport operations will be divided between the MCIAA and GMR-Megawide Airport Corp.
MCIAA will handle operations and maintenance of the airfield, taxi way and runway and other air facilities.