Makabayan Urges House Probe into Naia Privatization

The Makabayan bloc has requested the House of Representatives to investigate the privatization of Ninoy Aquino International Airport (Naia), expressing concerns about potential negative impacts on the public. The group, led by ACT Teachers party-list Rep. Antonio Tinio and Kabataan party-list Rep. Renee Co, filed House Resolution No. 29 urging the House committee on transportation to examine the changes following the involvement of the San Miguel Corporation-SAP & Company (SMC-SAP) Consortium in the Naia rehabilitation project.

SMC-SAP's subsidiary, the New NAIA Infrastructure Corporation (NNIC), now manages the airport. However, Tinio and Co highlighted issues such as sudden increases in parking fees and rental rates since NNIC took over. They fear that these changes could lead to job losses among concessionaires or result in higher prices for services and goods, affecting commuters.

The group raised concerns over the accessibility and affordability of airport services due to significant increases in airport charges approved through the MIAA Revised Administrative Order 1 Series of 2024. Parking fees rose from Php 300 to Php 1,200 for the first 24 hours, while rental rates increased from Php 700 to Php 3,200 per square meter. This led to closures of stores, job losses, and layoffs.

The concession agreement, valued at P170.6 billion, was signed in March 2024 to cover the rehabilitation, operation, and expansion of Naia. Makabayan estimated that the project could generate revenues of up to P900 billion over 25 years, but warned that higher charges could lead to costlier airfare.

The group criticized the privatization of public assets, stating that it often results in increased costs for consumers. They argued that higher airport fees would impact airlines, leading to higher operational costs and ultimately higher ticket prices for passengers.

Legal challenges have been raised against the Naia concession contract, with concerns about violations of constitutional rights. Despite criticisms, the Department of Transportation defended the privatization agreement, emphasizing that it was properly structured and supported by the Asian Development Bank.

According to the source: Inquirer.net.