MANILA, Philippines – The Senate of the Philippines on Monday (October 12) approved on third and final reading the franchise bill seeking the construction of the New Manila International Airport in the province of Bulacan.
House Bill 7507 grants San Miguel Aerocity Incorporated, a subsidiary of San Miguel Corporation, to start the 10-year project that includes the creation of an ‘Airport City.’
The company will shoulder the overall expenses of P736-B and no amount will come from the national government, and during that period, it shall be exempted from all direct and indirect taxes and fees.
The franchise also awards San Miguel Corporation the right to operate the airport for 40 years from opening before the government may take over its operations. within which, it shall be exempted from income and property taxes until it has recouped its investments.
Senator Grace Poe, who sponsored the bill in the Senate, has earlier assured her colleagues that the projected economic growth in the province will compensate for the revenues that the government is expected to lose due to the tax incentives that will be given to the developer during the 50-year franchise.
Poe added that the project will generate jobs for Filipinos.
“The San Miguel Airport alone will provide 450,000 during the construction phase alone and then after that, upwards of a million people will be able to benefit in this undertaking,” she said.
Senator Joel Villanueva thanked his colleague for the support of the project which he believes will be a big boost to the economy of his home province.
Senator Richard Gordon, meanwhile, believes that the new airport will help decongest other airports in Luzon such as the Clark International Airport and Manila International Airport once constructed.
The new facility is expected to accommodate 100 to 200 million passengers every year. MNP (with reports from Harlene Delgado)
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