Fiasco at Piatco?

The reported "take-over" of government of the NAIA Terminal 3 project is puzzling to us.

The modern-state-of-the-art airport terminal is very much needed. It will put us at par with our neighbors, bring us more tourists and will be quite a facility when finally operational. It is supposed to be a Build-Operate-Transfer project, meaning to say, we, the people, will get something, but government did not spend for it. That is the nature of BOT projects.

PIATCO, a public and fully Filipino firm, which is building the terminal due to be completed November this year, is spending for the project with its German partners. Because they won the bidding fair and square five years ago, they are paying the government rent as per their contract and after a certain number of years, the terminal will be owned by government. Maybe this is simplistic but it certainly sounds advantageous to government, doesn’t it?

* * *

Unfortunately, the project has been dragged down by controversies, political and business in nature. Congress has conducted four hearings and have cleared the contract in all hearings, yet more obstacles have been thrown in front of PIATCO. They have already rescinded the "onerous" provisions of their contract with the Philippine government, but they were not ready for the treacherous attack of the new Dragon Lady of the Palace, who instead of helping along the project so government and the people can benefit from it, has pulled the rug from under PIATCO’s feet by dealing directly with the German partners. This smacks of deceit in any language.

Gloria Tan Climaco is a high-powered presidential adviser whose job is supposed to facilitate big private projects and develop new business. How come she entered into a secret deal with PIATCO’s German partners and insists that government take over a 97 percent completed project?

The political question begging to be asked is "with the budget deficit so high and unmanageable, why must the people be made to shoulder the cost of buying out the German partners of PIATCO to a tune of $300 million just so government can "take over". Who are the real beneficiaries of this Marcosian take-over?