Cebu traders open to biddings from airline firms

SOME Cebu tourism and business leaders aren’t averse to allowing companies with stakes in the airline industry to bid for the P17.5 billion peso terminal project of the Mactan Cebu International Airport.

Robert Lim Joseph, an official of the National Association of Independent Travel Agencies (NAITAS), said there are many examples of airline companies owning part of the airport.

“One example is Frankfurt Airport which is partly owned by Lufthansa. Another is the Caticlan airport operated by TransAire Development Holdings Corp. that’s owned by San Miguel Corp.,” he said. Joseph said so far these airports have been managed well.

Joseph’s first cousin is Cebu Business Club (CBC) president Gordon Alan Joseph, who disagreed with the government’s move to allow airline companies to bid for the terminal project.

The Department of Transportation and Communications (DOTC) allowed firms with interests in airline businesses to join the bidding on the condition that they be minority shareholders with a maximum 33 percent stake in the project.

Among those bidding for the airport terminal project is magnate Manny Pangilinan and businessman John Gokongwei, who owns Cebu Pacific Airlines.

Board of Investments Gov. Geronimo Sta. Ana agreed with Joseph, saying that as long as there is transparency in the airport’s operations then there is no problem.

Prudencio Gesta, Cebu Chamber of Commerce and Industry president, also said it’s the task of the Mactan Cebu International Airport Authority to ensure that any conflict of interest will be avoided.

“The participation of companies which own airlines to bid for the expansion and renovation of Mactan airport is a business issue and I think it is acceptable since they are allowed to do so as practised in other countries,” Gesta said.

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