Three regional airports up for P16 billion upgrade

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February 2, 2026 | 12:00am

MANILA, Philippines — The government is close to deciding on whether to approve a P16-billion offer to improve three regional airports, including in Siargao, that could be key to partly lowering airfares.

The Department of Transportation (DOTr) is in the final stages of negotiation with the Philippine Regional Airports Consortium over the unsolicited proposal to upgrade the Davao International Airport, Bicol International Airport and the Siargao Airport.

Transportation Undersecretary Jim Sydiongco said the DOTr is looking into several components of the offer for the public-private partnership (PPP) prior to issuing an approval.

“Basically, the proposal should be able to demonstrate responsiveness to passenger forecast; the demand of passengers and stakeholders; convenience; modernization; and development of a safe and efficient air navigation and aerodrome. Financial offer is also a factor,” Sydiongco said.

The proponent is offering to invest P16.05 billion for the upgrade of the three airports. Overall, the PPP aims to increase passenger and cargo capabilities by expanding their airside and landside facilities.

For the Siargao Airport, the gateway to tourist hotspot Siargao, the upgrade includes expanding the runway that would enable larger aircraft to land in it.

The proponent, composed of JG Summit Infrastructure Holdings Corp., Filinvest-Infra Solutions Ventures Inc. and the Asian Infrastructure and Management Corp., is seeking a 30-year contract for the Davao and Bicol airports, including a 15-year concession for the Siargao gateway.

The government, led by the Department of Tourism, is finding ways to cut the cost of traveling locally on complaints that fares to domestic destinations are higher than to foreign cities.

In a statement, the Civil Aeronautics Board (CAB) said fares really are higher in some domestic destinations because their gateways are capable of landing solely turboprops. These aircraft can ferry only 72 passengers at best, compared to jetliners that can carry as many as 459.

A number of airports, including in Antique, Busuanga, Catarman and Siargao, remain incapable of handling larger aircraft.

Given this, CAB said investments have to be made in extending their runways.

“If the aircraft is bigger and more passengers can ride on it, then airlines can afford to lower the price of their tickets since they can draw revenue from more people,” CAB said.

CAB also underscored the urgency of making airports night capable, so they can receive flights in the evening, allowing airlines to expand their flight calendar and reduce flying costs.