GMA orders NAIA-3 opening by December

President Arroyo called on Trade Secretary Peter Favila to ensure that the mothballed Ninoy Aquino International Airport Terminal 3 (NAIA-3) will be operational by December.

Following a closed-door meeting with business leaders, the President assured the business community of her support for their concerns, particularly on the swift opening of NAIA-3.

Mrs. Arroyo ordered Favila to hold talks with all the parties involved.

According to Sergio Ortiz-Luis of the Philippine Exporters Confederation of the Philippines (Philexport), Favila had informed the gathering that he had a meeting with Lucio Tan of Asia’s Emerging Dragon Corp. (AEDC) and Emilio Yap of the Manila Hotel Group.

Favila had claimed before the business leaders that he was only gathering input from the two parties.

He stressed the government is still concerned over the expropriation case it has filed for the NAIA-3.

Favila pointed out there are legal issues that have to be initially addressed before the government can recognize the right of any claimant to operate the mothballed air terminal.

The Manila Hotel Group claimed that it had bought the rights and shares of Fraport AG, the German partner of the Philippine International Air Terminals Co. (Piatco), to operate the air terminal.

On the other hand, the AEDC said the claim is not valid since the original Piatco contract was declared null and void by the Supreme Court.

AEDC is insisting on their right to operate the airport since they were the original proponents of the project.

AEDC has even offered to pay the Department of Transportation and Communications $300 million up front to show its good intention of assuming the airport contract.

Manila Hotel president Jose Lina Jr., for his part, insists that the Manila Hotel-Fraport-Piatco shares sale is a "done deal."

Lina, however, admitted that payment terms and conditions are still being worked out.

On the other hand, Perfecto Yasay Jr., the legal counsel of AEDC, claimed the government stands to lose more by delaying the opening and operation of NAIA-3.

Yasay claimed the government has lost about P2.02 billion in projected revenues because of the delay, and that the figure could go even higher by the end of 2005.

"Those are only by the end of 2004. It could go up by the end of 2005 if it is not fully operational," Yasay said.

This is why AEDC has been pushing the government to award the operation of NAIA-3 so that income can be generated for the national coffers, Yasay said.

Yasay called on the government to enforce the build-operate-transfer (BOT) scheme into their 1996 agreement.

He pointed out the implementing rules and regulations of the BOT law allow them the authority to operate the newly built terminal.

This is because the government has accepted their proposal to operate the terminal and the Supreme Court has already ruled the Piatco contract to be null and void, Yasay said.

Yasay said they will present this legal argument in a petition before the Supreme Court next week to seek a temporary restraining order (TRO) that would stop government plans to take over NAIA-3 and operate the facility.

Yasay also claimed they would be able to operate NAIA-3 by December this year if it is awarded to them.

An AEDC official disclosed they had spent some P200 million for the initial study on the NAIA-3. — With Sandy Araneta