Business & Finance

The airport operator will develop the 759-acre Clark AeroDistrict

CLARK FREEPORT and Special Economic Zone — BCDA.GOV.PH

By Ashley Erika O. Jose, A reporter

LUZON International Premiere Airport Development Corp. (LIPAD), which operates Clark International Airport, is planning a 759-hectare airport, transportation, and business center, with a master plan due by the end of the year as it aims to transform the airport into a comprehensive economic gateway.

LIPAD has tapped infrastructure consulting firm AECOM to develop a master plan for the Clark AeroDistrict, which will expand the airport beyond passenger activity by integrating aviation, transportation, business, and investment activities within the Clark Freeport Zone.

“Clark International Airport has always been more than an airport. It is a gateway that connects people, businesses, and opportunities. We want Clark to be a leading hub for aviation, transportation, business, and investment, while helping to develop the country’s economy,” LIPAD President and Chief Executive Officer Noel F. Manankil told reporters on Tuesday.

The master plan is expected to be completed by the end of the year, while the development of the Clark AeroDistrict is intended to be completed within five years, said Mr. Manankil.

The project will be built on government-owned land within the Clark Freeport Zone, which LIPAD says will eliminate right-of-way issues.

“Regarding the development, maybe five years. I think a period of five years is fair… Therefore, we will finish the master plan for the logistics this year and we are discussing with potential partners,” said Mr. Manankil.

The master plan will be implemented in four sections including a maintenance, repair, and operations (MRO) facility, general aviation and cargo services, a cargo terminal, and a passenger terminal.

An important part of the development is the 130-a hectare Cargo City, which aims to accommodate existing and emerging logistics players.

“This development provides a fast, investment-friendly infrastructure that will strengthen supply chains and improve the flow of goods in domestic and international markets,” said LIPAD.

The company said cargo operations continue to grow. Cargo flights increased by 31% year-on-year to 752 in June, driven by 694 international cargo flights and 52 cargo flights.

In the first six months of the year, cargo flights increased by 27% to 3,947 from the comparable period last year.

Cargo traffic increased 10% year-on-year to 48,655 metric tons, with international cargo accounting for 47,134 metric tons, or 97% of the total during the period.

Mr. Manankil said LIPAD is looking at public-private partnership or a joint framework for the project.

Meanwhile, LIPAD lowered its annual passenger target to 3.1 million from 3.3 million after the conflict involving the United States, Israel, and Iran raised the price of jet fuel, causing airlines to reduce flight frequency.

Passenger traffic at Clark International Airport reached 1.64 million in the first quarter, driven by international travel.

International passenger traffic was down 5% year-on-year to 879,990, while domestic passenger traffic was up 24% to 758,328 following the transfer of turboprop operations to Clark, Mr Manankil said.

Despite the revised forecast, Mr. Manankil said LIPAD expects the number of passengers in 2026 to exceed this year’s level.

“We are making strategic plans. Due to the disruption, we are waiting for the completion of the installation of winter flights,” he said, adding that the outlook also depends on the expected resumption of several flights to China.

LIPAD is a consortium consisting of Filinvest Development Corp., JG Summit Holdings, Inc., Philippine Airport Ground Support Services, Inc., and Changi Airports Philippines (I) Pte. Ltd., a wholly owned subsidiary of Changi Airports International. The consortium took over the operation and maintenance of Clark International Airport in 2019.



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