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Saturday, April 27, 2024

Largest project

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"The new airport will have four runways, eight taxiways, three passenger terminal buildings, including two for low-cost carriers, and 180 gates."

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Here is a refined version of my Wednesday’s column on San Miguel AeroCity.

It is the largest and greatest enterprise ever in the Philippines to be undertaken by any single company or group of companies in the nation’s history.

San Miguel Corp., the country’s largest and most diversified conglomerate, was finally given the go-signal on Sept. 18 to proceed with the development and construction of its P735.6-billion New Manila International Airport in Bulakan, a quaint 444-year-old fishing and farming town, in historic Bulacan province. 

Bulakan used to be the capital of Bulacan and also of nearby Pampanga province. So Ramon Ang’s putting up NMIA in the 444-year-old town (pop. 77,000) will in effect rewrite history, making Bulakan not only the virtual capital of Bulacan and Pampanga provinces but of the entire Central Luzon region, the nation’s richest region. 

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Bulakan town is about 22 kms from Manila, the national capital, with kilometer zero at Rizal Park.  From Luneta, the drive is about 9 kms away to Ninoy Aquino International Airport.  So the distance between Bulakan town to NAIA is just 31 kms.

“NMIA will be the game changer,” declared Ramon Ang, SMC vice chairman, president and chief operating officer, upon the signing of the 62-page 50-year concession agreement midmorning of Wednesday, Sept. 18, at the headquarters of the Department of Transportation in Clark Freeport Zone.

On behalf of the national government, DOTr Secretary Arthur Tugade signed the SMC concession agreement. The contract comes with a notice to proceed or notice to commence which was given the same day. 

DOTr Secretary Tugade said multiple airports like NAIA, Clark and NMIA would benefit the public. “Let it be a battle of commercial competitiveness,” he said on Wednesday.  “Having multiple airports is something that the world’s biggest economies do. Ideally, there should be a train service linking these airports, which is also being pursued by the government. This complementation strategy was already part of the air transport roadmap from Day One. Rest assured, that’s what we are going to do,” Tugade pointed out.

The project of San Miguel Aerocity Inc., SMC’s wholly-owned airport subsidiary,  does not just involve land development, and the construction and operation of an airport. 

The long-term strategy includes the construction of no less than 22 expressways over a 10-year period or longer.  The scheme is called the NMIA Integrated Multi-Modal Transport Network.  

Aerocity is aimed to attract 30-million tourists yearly beginning 2025 (from the present 7.1 million), drastically lower the cost of travel within the archipelago (a return ticket  from Manila to the Visayas costs $500 because of runway congestion and traffic at NAIA), and contribute up to P1.5 trillion to the Gross Domestic Product (GDP or the total output of goods and services). 

To me, the most important impact is that the Philippines will recapture its sense and spirit of greatness, the imagination and capacity to build grand things for the benefit of many, so that Filipinos during the next decade will proudly march in cadence, with the best of people in this world.  Indeed, 500 years ago and until the 20th century, the Philippines was the center of the world and Filipinos were the envy of their neighbors in Asia.

The 22 expressways will cover as far north as Laoag (Ilocos Norte) and as far south as Matnog (Sorsogon). 

RSA will build an expressway loop from north to south, west and east of Luzon, easily a distance of more than 1,000 kms. and back, by connecting major airports and ports, from Poro Point in La Union to Bataan, Subic in Zambales to Clark in Pampanga and Tarlac, to  Port Area Manila, NAIA in Pasay, Batangas port, and Matnog port which is a jump-off point to Visayas cities.  

RSA will be redrawing the road network of Luzon, creating a new government center, new business districts, industrial estates, commercial areas, and residential districts, in the process redistributing population, agriculture, industries, jobs, and economic opportunities.

RSA’s airport is audacious for its size and cost.  Total cost is P735.6 billion.  Initial cost is P550 billion.  The performance bond alone is P10.98 billion.  The debt entailed with the project: P94 billion.

The first phase of NMIA will have two independent parallel runways (2.6-km to 3.5-km long) that can handle 80 aircraft movements per hour, two taxiways, and annual capacity of 35 million passengers.  It will have three aprons suitable for 180 aircraft gates or stands.  The terminal building will have a footprint of 16.5 hectares plus a cargo terminal of 3.5 hectares footprint. First phase will have 3+3-lane access road, expandable to 6+6 or 12 lanes.

With NMIA’s first phase is an 8-km toll road from NLEX to Bulakan, Bulacan.  The first phase will cost P544.572 billion.

At a cost of P76.42 billion, the second phase increases capacity to 60 million (at 92 movements per hour) and is triggered once arrivals hit 21 million annually. The final phase is 100-million passenger capacity with runway rating of 105 movements per hour.   The third phase will cost P114.636 billion.  Total cost of NMIA after all three phases are done: P735.63 billion.

When fully completed after six years, NMIA will have four runways, eight taxiways, three passenger terminal buildings, including two for low-cost carriers, and 180 gates.

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