No more extension for bid submission

MANILA, Philippines — The provincial government of Cavite expects no further delays in its search for a joint venture partner for the development of the massive Sangley Point International Airport (SPIA) project.

Last week’s supposed bid submission deadline of joint venture proposals for the SPIA was extended by 30 days or to Oct. 20 by the Cavite’s public-private partnership selection committee “in response to a last minute request and as a matter of equity and liberality.”

The extension delays anew the development of the SPIA project, which was first offered for joint venture proposal by the Cavite government in Oct. 2019.

“No further requests or additional extensions are anticipated by the PPP-selection committee,” Cavite’s PPP selection committee legal officer Jesse Grepo told The STAR.

The airport deal, previously awarded to the consortium of Lucio Tan’s MacroAsia Corp. and China Communications Construction Co. Ltd., was scheduled to break ground by the second quarter of last year.

The pandemic, however, delayed and affected the consortium’s submission of requirements to conclude the joint venture agreement, thus prompting the Cavite government to terminate the deal in January.

Last February, the Cavite government kicked-off anew its search for a new partner for the SPIA project, with the deadline for the submission of joint venture proposals originally set on May 4.

Cavite’s previous target was to issue the notice of selection and award to the winning company or group by June 1, and sign the joint venture and development agreement a month after or by July 1.

However, the schedules were scrapped and extended due to the requests of prospective bidders and in consideration of the various restrictions that have put in place in various parts of the country due to the COVID-19 pandemic.

A total of four companies have bought the bid documents for the SPIA project as of its deadline last June 28. These were infrastructure conglomerate Metro Pacific Investments Corp., state-owned China Communications Construction Co. Ltd., Philippine Airport Ground Support Solutions Inc., and Mosveldtt Law Office.

The winning joint venture partner will be responsible for co-developing the airport project, together with the province of Cavite, as well as provide the necessary equity investment, debt financing and credit enhancements.

Cavite is seeking to develop the SPIA as a modern, sustainable, and world-class international hub airport development and main gateway without any sovereign debt or guarantee.