Private sector participation, not privatization for MCIA

CEBU, Philippines - The Mactan Cebu International Airport Authority Board is bent on private sector participation in the airport management rather than to privatize it, said Governor Gwendolyn Garcia.

Shortly after the MCIAA board meeting yesterday, Garcia commented on the statement of businessman Manuel Pangilinan who said that Cebu needs to privatize the MCIA, build a third bridge and a light rail transit from the airport all the way to Lahug to become a regional center.

Garcia made the distinction between private sector participation on the public-private partnership and privatizing the whole thing where government has no more personality.

“In the case of Mactan Cebu International Airport, we are already starting the process to offer this to the private sector for public-private partnership,” Garcia said.

Garcia believes that during the investor’s conference, there was really a considerable number of companies, local and foreign, that indicated their great interest in Cebu and particularly the MCIA.

Initially, Garcia said the board already has discussed the sharing scheme.

“We know that it would really be more attractive to the private sector that they would hold majority of the shares as in the case of our bulk water project with Manila Water Consortium,” she said.

In the bulk water project, the Ayala-led Manila Water Consortium holds 51 percent while the Province of Cebu holds 49 percent.

Pangilinan’s interest in investing in Cebu was already expressed during a talk with Garcia during a Philippine Basketball Association Game last month in Manila.

He said he wanted to invest in new water generation and distribution projects not only in Cebu City but also in other major cities in the province.

Pangilinan reportedly said that Cebu has to build a better airport and Mactan Island needs a master plan and suggests replicating what Thailand did in Phuket.

He said Cebu can be a regional hub for international traffic. MCIA is one of the major airports in the country included by the national government’s Public-Private Partnership (PPP) package this year.

MCIAA general manager Nigel Paul Villarete said in yesterday’s press conference this inclusion will fast track the implementation of its expansion budgeted at P9 billion.

Aside from Mactan Airport, included in the PPP package this year is the New Bohol Airport Development in Panglao Island. This airport is seen to replace the existing airport in Tagbilaran City.

The others airports under PPP is the Laguindingan Airport in Cagayan de Oro City and Balabac Airport in Balabac Island in Southern Palawan.

Earlier, Presidential spokesperson Edwin Lacierda announced that among the projects to be rolled out this year in Cebu are the Mactan-Cebu International Airport and other major airports in the country under PPP.(FREEMAN)