DOTr grants original proponent status to Davao, Kalibo airports proposals

The Department of Transportation (DOTr) said Tuesday it has granted original proponent status to the unsolicited proposal of Chelsea Logistics Holdings Corp. to develop Davao International Airport and Mega 7 Construction Corp.’s proposal for the Kalibo International Airport.

The OPS was granted by the DOTr through the Civil Aviation Authority of the Philippines (CAAP) Board headed by Transportation Secretary Arthur Tugade.

In a statement, the DOTr said the CAAP Board has obtained the needed number of signatures and released the grant of OPS in favor of the Kalibo and Davao proponents on Friday, October 19, 2018.

The CAAP Board is composed of Tugade, CAAP Dir. Gen. Jim Sydiongco, Department of Tourism Secretary Bernadette Romulo-Puyat, Department of Finance Secretary Carlos Dominguez III, Department of the Interior and Local Government Secretary Eduardo Año, Department of Foreign Affairs Secretary Teodoro Locsin Jr., Department of Labor and Employment Secretary Silvestre Bello III, and Department of Justice Secretary Menardo Guevarra.

With the grant of the OPS to the Davao and Kalibo airports proposals, the DOTr will now submit it to the National Economic and Development Authority (NEDA) Board, chaired by the President, for approval.

The OPS granted to Chelsea Logistics Holdings will be for the operation, maintenance and expansion of the Davao International Airport, according to the DOTr.

Chelsea’s proposal is also to offer a new technology to enhance passenger experience and an airport operator which captures data to deliver efficient operations.

The OPS given to Mega 7 Construction will be for the operation, maintenance and upgrade of facilities and systems in the Kalibo International Airport, the DOTr said.

Chelsea Logistics Holdings submitted its P49-billion unsolicited proposal to the DOTr on May 28, 2018, while Mega 7 Construction Corp. sent their unsolicited proposal of P3.8-billion on August 6, 2018.

The DOTr and CAAP have no objections on the unsolicited proposals, subject to legal, technical and financial conditionalities.

Both proposals will include the expansion of passenger terminal buildings and a concession period for 30 years.

These unsolicited proposals will still have to undergo Swiss challenge. This means other groups may submit counter-proposals and both companies have the option to match.

The Davao and Kalibo International airports have been lined up for development and among high priority infrastructure projects under President Duterte’s “Build Build Build” program, the DOTr said. —Ted Cordero/KBK, GMA News