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It’s been months since NAIA was turned over to SMC. What’s new?

MANILA, Philippines – The Ninoy Aquino International Airport (NAIA) is closing the year with new management — from being government-run, a San Miguel-led firm has taken over the operations of the country’s main international gateway.

The New NAIA Infrastructure Corporation (NNIC) officially took charge on September 14. Although it has only been a little over three months since then, it seems that a lot is already in the works for NAIA’s long-overdue rehabilitation.

“There is no magic wand to fix all of NAIA’s problems quickly. We cannot solve, in a matter of months, issues that have existed or built up over many decades. In fact, more problems may crop up ,” SMC chief executive officer and NNIC president Ramon Ang said in a previous statement.

“But that is part of modernizing an old facility like NAIA. We’re moving as fast as we can to address both immediate and major issues, and we’re putting all our resources into ensuring travelers will have an improved overall experience as we progress,” he added.

Must Read

NAIA now turned over to San Miguel’s group. Here’s what to expect.

The NNIC will serve as NAIA’s operator for the next 15 years. There is high expectation it can turn things around for the country’s aging main airport. (READ: [Vantage Point] NAIA rehab must address problems in cargo handling)

Here are changes it has made at the airport so far:

Fee adjustments

The new operator adjusted fees after taking over the management of NAIA. One of the first to make headlines was its move to hike overnight parking fees to P1,200 — a 300% rise from the previous P300 per 24-hour charge.

Manila International Airport Authority (MIAA) suggested that it may be NNIC’s way of preventing “colorum” vehicles — or illegally operated public transport units — from taking up parking spaces. After rates increased, the operator said they were able to free up 1,800 parking slots.

Meanwhile, VIP access to the airport also skyrocketed after the NNIC noted how it was “prone to misuse and abuse.” VIP services now cost P8,000 from the previous P800 fee, which the operator said “allowed virtually any passenger to avail of these privileges.”

Aeronautical fees, or charges related to an airline’s operations, are also set to increase.

The Department of Transportation (DOTr) had emphasized that all rate adjustments were studied, presented to, and approved by members of the Cabinet.

Must Read

DOTr tempers fears over airport fee increases

NAIA 4 renovation

The airport’s oldest terminal, Terminal 4, has been put under renovation since November 6. It is the country’s smallest airport serving 2,900 passengers on domestic flights daily.

Terminal 4 is expected to reopen in February 2025. In the meantime, affected airlines have been reassigned to Terminal 2. (READ: Cebgo DG moving to NAIA Terminal 2, Cebu Pacific 5J stays in Terminal 3. Confused?)

Renovations will focus on safety upgrades and modernization, as well as installing features that improve passenger flow at the terminal.

It remains to be seen how the rehabilitation efforts can turn things around at the old terminal. NAIA Terminal 4 ranked fourth worst airport in Asia for business travelers, and NAIA itself had previously been called one of the “most stressful” airports in Asia. NAIA Terminal 1, unfortunately, became the world’s worst airport, according to visitors of travel site “The Guide to Sleeping in Airports” over a decade ago.

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NAIA is 4th worst airport in Asia. Can its new operator turn things around?

A new lounge, extensions, a new transport hub

Aside from Terminal 4, the NNIC reported other significant improvements and projects throughout NAIA. One of these was the new OFW Lounge launched in July, ahead of the conglomerate’s takeover.

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PANOORIN: Pasilip sa bagong OFW Lounge ng NAIA Terminal 3

There are now more passenger boarding bridges (PBBs), six of which are for wide-body aircraft. PBBs connect the airport gates to the aircraft. According to the NNIC, two PBBs at Terminal 3 were also made into “swing gates” for both domestic and international flights.

Meanwhile, there will also be more spaces for other projects and renovations as SMC’s infrastructure arm bagged the 25-year lease to the 15-hectare Nayong Pilipino property. Aside from a Philippine Amusement and Gaming Corporation (Pagcor) office, the conglomerate is using the rest of the space to augment airport operations.

The long-abandoned Philippine Village Hotel, on the other hand, will be demolished to make room for the NAIA Terminal 2 extension.

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NNIC plans Philippine Village Hotel demolition for NAIA terminal extension

The NNIC is also working to improve traffic congestion. For instance, the NAIA Expressway, which is also run by SMC, will add new toll exits.

The operator has allocated specific areas for pick-up and drop-off. Arrival curbsides will also be expanded — Terminal 1 and 2 will each have 8 lanes from having 3 and 4 lanes, respectively, and Terminal 3 will have 12 lanes from 8.

Earlier in December, the NNIC also launched a centralized ride-hailing and taxi hub at Terminal 3, which serves multiple international airlines. Grab, Angkas, and JoyRide serve passengers through the transport hub.

JoyRide has metered taxis, while Angkas offers the services of its four-wheeled Angcars. Passengers can book rides on the spot through the transport hub, the NNIC said.

Partnerships for modernization

The NNIC has also partnered with other big companies. PLDT/Smart and Converge have helped the operator make internet connectivity across terminals more seamless.

Free wifi use has now been extended to three hours and users will no longer have to log in personal details before using it.

Meanwhile, the San Miguel-led NNIC and the Manila Electric Company are working together on three projects to help improve power reliability at the airport. NAIA had multiple major power disruptions prior to being turned over to the private sector — most notably in 2023, namely: the New Year’s Day power glitch and an outage in NAIA Terminal 3 on Labor Day.

Must Read

Meralco to improve NAIA’s power reliability with 3 projects

Employee support systems

Of course, behind a smooth-running airport is its staff. The NNIC had allocated P420 million for the smooth transition of airport personnel. (READ: NAIA employees to get 25% pay raise after privatization)

On Sunday, December 29, the NNIC said it was investigating the alleged unfair treatment of baggage porters at NAIA. The personnel are employed by a “long-time third-party service provider” that had an existing contract with MIAA.

Despite not being the direct employer, the operator vowed to check on the complaints.

“As NAIA’s operator, we want to build a workplace that reflects our vision of a modern, efficient airport, where personnel and travelers alike can benefit from an atmosphere of fairness, respect, professionalism and accountability,” the NNIC said in a statement. – Rappler.com

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