Jimenez explains ODA funds for Panglao airport

TAGBILARAN CITY — It would be more cost-effective that the New Bohol Panglao Airport project be funded by the Official Development Assistance (ODA) than through the Public-Private Partnership (PPP) scheme, as proposed earlier.

This was the statement of Tourism Secretary Ramon Jimenez, Jr. issued to the local media last Friday after he keynoted the 21st Visayas Area Business Conference held at the posh Bohol Tropics Resort in this city.

Jimenez, who admitted his grandpa once served as the provincial treasurer in Bohol, was accompanied to the press conference by Gov. Edgar Chatto, tourism regional director Rowena Montecillo and Lucas Nunag, chairman of the Bohol Provincial Tourism Council.

Explaining why President Aquino’s administration changed the proposed PPP scheme to ODA for the airport project, Jimenez said ODA bears only low interest rates as it is the government that borrows money for the project, while under the PPP, it is the private sector that borrows but with high interest rates.

Chatto added that the coming up of the ODA modality for the airport seems reasonable enough to make the project move but still it is the government who will decide ultimately.

Efren Carreon of the NEDA regional office earlier said the NEDA Investment Coordination Committee-Cabinet Committee has approved the revision of Panglao Island Airport Development Project. “The total cost is P7.44 billion with “P5.862B to be sourced from JICA Special Terms for Economic Partnership (loan while P1.578B will be GOP counterpart,” he said.

Construction of the project “is targeted to start in the second half of 2013 and target project completion is 2016. The Regional Development Council Infrastructure Committee endorsed it for implementation during its meeting in Cebu City last September 7, and during the RDC full council meeting in Dumaguete City last Sept.27. 

xThe growing tourist arrivals in Bohol and narrow runway of the Tagbilaran City airport prompted the plan to construct a new airport in Panglao, which when completed will comply with domestic and international standards for safety and efficiency.

Provincial legal officer John Mitchell Boiser last Friday said technical personnel of the DOTC inspected the site last week and met with provincial counterparts to ensure compliance with the rules and regulations.

The new Bohol Airport project, along with airports at Puerto Princesa City in Palawan, at Laguidingan in Misamis Oriental (to replace Cagayan de Oro’s Lumbia airport), and at Daraga in Albay, is government’s top priority due to the growing tourist arrivals.

A report cited that visitors’ arrivals in Bohol has grown tremendously to 573,000 in recent count from only 198,000 about seven years back. (FREEMAN)