O&M transfer for major transport projects underway

The operations and maintenance (O&M) of key regional airports, MRT-3 as well as EDSA Busway and Davao Public Transport Modernization Program (DPTMP) will consequently be handed over to the private sector to ensure operational efficiency, according to Transport Secretary Jaime J. Bautista.

On the sidelines of BizNews Asia’s 23rd Anniversary, Sec. Bautista said the O&M transfer of the Iloilo Airport and Puerto Princesa Airport will be set in motion soon.

Meanwhile, the O&M of the Bohol-Panglao International Airport will be awarded next month to Aboitiz InfraCapital. The cuurent operator of Mactan-Cebu International Airport (MCIA) recently signed the concession agreement for the O&M of Laguinduingan Airport.

“Ang mga kasunod na for [O&M] privatization, within next month we will award another airport, which is the Bohol-Panglao International Airport. Next year, we’re looking at privatizing Iloilo and Puerto Princesa Airports,” Sec. Bautista said.

For MRT-3, the transport chief said the Department of Transportation (DOTr) already received an unsolicited proposal for the rail line, adding that the agency is looking at a solicited proposal for the project.

“Meron nang unsolicited proposal na sinubmit sa amin. We are evaluating it, although in parallel with that, we are looking at the possibility of making it a solicited [proposal],” he said.

Sec. Bautista explained that with limited government resources, the DOTr is taking advantage of the investment opportunities from the private sector, which will result in the rail line’s operational efficiency and capacity expansion.

“’Yung railway operations kasi maraming dapat i-implement na programs. Kailangan din i-improve ‘yung mga train systems natin. Sila [private sector] ang mag-iimprove ng existing system—magkakaron ng bagong trains, rolling stocks at mas mapapalaki natin ang capacity ng MRT-3,” Sec. Bautista said.

Once the private sector has taken over the MRT-3’s operations and management, the rail line’s capacity will increase to 500,000 passengers daily from the current 350,000 passenger threshold.

“Pwede natin gawin yan, pinakamataas 500,000 passengers daily with the private sector making investments. Magiging resulta niyan ay operational efficiency,” Sec. Bautista pointed out, adding that its O&M transfer may be completed by mid-year 2025.