HOUSE APPROVES FRANCHISE FOR SAN MIGUEL’S BULACAN AIRPORT PROJECT ON SECOND READING
The House of Representatives on Tuesday approved the measure seeking to grant San Miguel Aerocity Inc., a subsidiary of San Miguel Holdings Corp., a franchise for the construction of its P735-billion New Manila International Airport (NMIA) project in Bulacan.
In a vote of ayes and nays, the chamber approved House Bill 7507, sponsored by Bulacan Representative Jonathan Sy-Alvarado, which also grants San Miguel Aerocity Inc. the franchise to construct, develop, establish, operate and maintain an adjacent airport city.
The franchise to be granted to San Miguel Aerocity Inc. is valid for 50 years and requires it to construct the airport within one year from the effectivity of the act, complete its construction for ten years, and commence operations within one year from the approval of the operating permit from the Civil Aviation Authority of the Philippines.
At the same time, the franchise also requires San Miguel Aerocity Inc. to remit any amount to the national government over the 12% Internal Rate of Return of the Airport City.