Uy seeks to advance $600-M air traffic control proposal

Date: 2024-10-30

COMCLARK Network and Technology Corp. is hoping to secure the original proponent status (OPS) next week for its $600-million unsolicited proposal to manage the country’s air navigation, traffic, and control system, the company’s top official said.

“Hopefully, let’s wait until next week. I am just waiting. We are just waiting for them,” ComClark Chief Executive Officer Dennis Anthony H. Uy told reporters on Tuesday when asked whether the company had secured the OPS for its unsolicited proposal.

The project has an estimated cost of P29.82 billion under a design, build, finance, and operate contractual arrangement, according to the Public-Private Partnership (PPP) Center.

The project is still under evaluation by the Civil Aviation Authority of the Philippines (CAAP).

PPP Center Executive Director Cynthia C. Hernandez said that while there is an unsolicited proposal for managing the country’s air traffic control, the air traffic services-air navigation services project is also being considered for a solicited project.

This project involves the financing, design, construction, operations, and maintenance of air traffic services and air navigation services of the country’s airspace and international airspace managed by the Philippines.

The proposal covers the construction, upgrading, and operation of air navigation services facilities, including Air Traffic Service (ATS) and Communications, Navigation, Surveillance/Air Traffic Management (CNS/ATM) facilities, the PPP Center said.

“We are taking over the existing CAAP operations. We will bring more technology and we will bring more consultant experts on how to improve our air traffic,” Converge’s Mr. Uy said.

Senator Rafael T. Tulfo has expressed his opposition to the proposal to privatize the operations of the country’s communications, navigation, and surveillance/air traffic management system under the PPP scheme.

“The privatization of CNS/ATM functions poses serious national security risks and exposes us to foreign interference since private companies may be entered into through equity participation by nationalized investors, including big government-backed corporations in China,” Mr. Tulfo said in a previous statement.

Mr. Tulfo said he would file a Senate resolution to investigate the proposal and explore other options to improve the country’s air traffic control system without involving a private operator or removing government control.

Mr. Uy assured that security concerns are addressed as the company will collaborate with the Philippine Air Force.

“What about security concerns? The Air Force addresses the security concerns. Currently, our air traffic controller is operated by CAAP and with the Air Force. There will be no change, I am trying to bring separation for the regulation and operations,” Mr. Uy said.

Transportation Undersecretary for Aviation and Airports Roberto C.O. Lim said that the Department of Transportation is considering either creating an independent agency or forming a joint venture with government corporations under a PPP scheme to privately manage and operate the Philippines’ air traffic management system.

Currently, the World Bank and the International Finance Corp. are conducting a study on the management of the country’s air traffic control.

The plan to create a separate entity to manage the country’s air traffic control system will unload CAAP of its conflicting role, the Transportation department said, adding that it wants CAAP to focus solely on being a regulator. — Ashley Erika O. Jose

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