Airlines ask: Who will operate NAIA-3?

MANILA, Philippines - Member firms of the Airline Operators Council (AOC) whose operations were transferred to the Ninoy Aquino International Airport-Terminal 3 (NAIA-3) are now confused on who will operate the airport terminal following the court decision preventing the government from taking over the airport facility.

The Court of Appeals (CA) on Oct. 10 barred the government from exercising full ownership over the NAIA-3 unless it releases $371.43 million from escrow to developer Philippine International Air Terminals Company Inc. (Piatco) as just compensation.

The CA struck down the mode of just compensation payment for Piatco earlier set by the Pasay City regional trial court.

The CA granted the petition of Piatco and held the Pasay court committed an error in issuing the orders pursuant to its May 23, 2011 ruling that ordered the government to pay the developer net just compensation amounting to $116,348,641.10.

Sources revealed the airline firms are in a quandary on who will exercise supervision over NAIA-3 operations.

They are asking if NAIA-3 would still be under the Manila International Airport Authority (MIAA) of the Department of Transportation and Communication (DOTC), or Piatco that said they are ready to operate the airport terminal.

Cebu Pacific and PAL Express are among the first occupants of NAIA-3, followed by Delta Air, KLM Royal Dutch Airlines, Singapore Airlines, Emirates and Cathay Pacific which transferred last August and September to decongest NAIA-Terminal 1.

Some airline officials said they would “wait and see” what developments transpire, expecting the government to appeal the case before the Supreme Court.

The court order also required Piatco to make an undertaking that it is assuming sole responsibility for any claims from third persons arising from or relating to the design or construction of any structure or facility of NAIA-3 and execute a deed transferring the title of the airport structures and facilities to the government, “without prejudice to the amount which will finally be awarded to it by the appellate court.”