Rethink projects awarded to SMC, gov’t urged 

MANILA, Philippines — The government was urged to rethink the contract it awarded to a consortium led by San Miguel Corp. (SMC) to rehabilitate Ninoy Aquino International Airport (Naia) starting next week.

The group AirportWatch PH made the call after SMC, the largest conglomerate in the country, confirmed the likely delays in big-ticket infrastructure project, like the New Manila International Airport (NMIA) in Bulacan and the Metro Rail Transit Line 7 (MRT 7).

“These delays cast doubt on SMC’s capacity to manage other critical undertakings, including the equally vital rehabilitation of Naia,” AirportWatch PH spokesperson Lorenzo delos Santos said in a statement on Friday.

“We firmly believe that the Naia rehabilitation project deserves the same level of attention and urgency as SMC’s other ventures, despite the challenges those projects currently face,” Delos Santos said.

“The delays in SMC’s infrastructure targets undermine the justification for any increase in airport fees, especially when there is no clear assurance that the promised improvements will be delivered on time. To demand higher fees from travelers without delivering the anticipated benefits is unjust and must be reevaluated,” he said.

In a disclosure to the Philippine Stock Exchange on Aug. 27, SMC said the suspension by the government of the Manila Bay reclamation projects limited the sand sources of the company, pushing NMIA’s start of operations from the original 2027 plan to 2028.

MRT 7, which has faced years of delays, would also have its completion pushed back also to 2028 “due to the pending issues on the alignment and location of the San Jose del Monte Station.” However, it would begin partial operation by next year.

The Ninoy Aquino International Airport Infrastructure Corp. is set to take over the maintenance and operations of the country’s primary gateway starting Sept. 14, after winning the P170.6-billion contract for Naia’s rehabilitation in February.