The government is pushing forward with the privatization of at least six airports nationwide, with the goal of improving public service, Department of Transportation Secretary Vince Dizon said.
“I count at least six critical airports that we need for PPP now,” Dizon said, adding that the purpose of Public-Private Partnerships (PPP) is not primarily revenue generation for the government.
“To me, the primary reason to privatize or to do a PPP is to give the public a better service.”
Dizon said the government’s decision to privatize airports, railways and metro rails stems from the observation that “when they are run by the government, they are not run well, and our people suffer.”
He said that among the airports targeted for privatization are those serving popular tourist destinations such as Busuanga, Puerto Princesa, Davao, Iloilo, Tacloban and Bacolod.
Dizon said the Marcos administration has privatized more airports than any other administration in the past.
“To date, it has already privatized three. The biggest one, obviously, is NAIA, which is huge. With San Miguel Corp. running it, it shows that privatization really works, because the services are better. You have shorter lines, you have more there is less congestion in the driveways, and it’s just a better airport experience.,” he said.
Dizon also noted the government turned over operations of Laguindingan International Airport to Aboitiz InfraCapital, with Panglao International Airport set for a similar turnover by June.
AIC, the DOTr and the Civil Aviation Authority of the Philippines, signed in October 2024 a P12.75-billion concession agreement for AIC to undertake the development and modernization of Laguindingan International Airport over a 30-year period.
Other core facilities include the air traffic control building, car parks, aircraft rescue and firefighting building, administration building, maintenance building and other utilities infrastructure such as the airport’s power supply system, water supply network, sewerage network and storm water drain network.
AIC is investing P4.53 billion in the Bohol-Panglao International Airport to expand its passenger terminal, install modern aviation systems and enhance airside and landside facilities.
Within one to two years of takeover, AIC plans to increase BPIA’s annual passenger capacity from 2 million to 2.5 million, with further expansions targeting 3.9 million passengers per year by 2030.
Xander Lao, president and chief commercial officer of Cebu Pacific, lauded the Marcos administration for its ongoing efforts to privatize a greater number of regional airports.
“It’s really good because it allows us to expand capacity and plan better. We’re quite happy with the development,” he said.
“So clearly, we are excited about all of the privatization initiatives coming along, and we’re looking to support that further as it allows us to expand our operations even further,” he said.
