Aboitiz confident about securing Laguindingan airport deal

Aboitiz InfraCapital is optimistic that its unsolicited proposal to operate and maintain the Laguindingan International Airport has a strong fighting chance against potential rivals.

In an interview, Cosette Canilao, president and CEO of the Aboitiz Group’s Infrastructure arm, said they are confident with the proposal that allowed them to secure an original proponent status (OPS) in 2019.

She said that their proposal has gone through a lot of vetting and is still based on sound assumptions.

Earlier, the Department of Transportation (DOTr) and Civil Aviation Authority of the Philippines started the Swiss challenge for the airport project by inviting proposals to finance, design, construct, operate, and maintain the Laguinidingan airport under a 30-year concession period.

A Swiss challenge is being conducted to invite other interested parties to submit offers that can rival those submitted by the OPS holder. The OPS is then allowed to match those offers during the process; if no better counteroffer is submitted, the OPS will be declared the winner.

Under the new Public-Private Partnership (PPP) code, the proposal is now subject to a longer Swiss challenge period of 90 days from just 60 days previously.

Canilao said they have yet to receive an update from the DOTr and PPP Center of the Philippines regarding the submission of a competing proposal.

The Laguindingan airport upgrade project, worth P12.75-billion, seeks to improve connectivity to northern Mindanao, including Misamis Oriental, Misamis Occidental, Lanao del Norte, Bukidnon, and Camiguin, among others.

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