P407-million Ormoc Airport project awarded

THE Department of Transportation (DoTr) said it awarded the P407.57-million Ormoc Airport development project to a Rizal-based joint venture.

In a notice of award dated June 8, the DoTr said the joint venture of E.M. Cuervo, Inc. and Aqualine Construction Corp., based in Cainta, Rizal, have obtained the contract.

The DoTr said the joint venture was found to have submitted the lowest calculated and responsive bid.

According to the DoTr’s bid invitation, the winning contractor has 360 calendar days, inclusive of a pre-determined unworkable period of 60 days, to complete the project.

The Ormoc Airport development project includes airside works and an asphalt runway overlay, the DoTr said.

The DoTr has said that it is embarking on a runway-upgrade program that will make most Philippine airports capable of handling single-aisle jet aircraft like the Airbus A320 or the Boeing 737.

The program is being positioned as a means of ultimately lowering air ticket prices as airlines benefit from the scale offered by switching to singe-aisle jets from the turboprop aircraft that currently serve smaller airports.

The Air Carriers Association of the Philippines said airports with shorter runways involve higher costs, making service to many domestic destinations challenging.

Last year, the DoTr said it was hoping to privatize at least 15 airports by 2026 as the government seeks to make regional airports more economically viable. — Ashley Erika O. Jose