SMC-SAP & Co., renamed as New NAIA Infrastructure Corp., which bagged the operations and maintenance contract for the Ninoy Aquino International Airport, or NAIA, is planning to transform the Philippines Village Hotel compound into a new passenger terminal to further decongest the airport.

At a press conference on Monday, SMC President and CEO Ramon S. Ang disclosed that the plan aims to serve 35 million passengers annually, which could free up about 30 percent of space across three NAIA terminals.

Ang said the new structure will also have a car park with a capacity of 9,000 vehicles.

“These terminals could soon handle 35 million passengers per year with a concourse and with 50, target-to-build, boarding bridges,” he added.

Once completed, Ang said all the offices in the existing terminals of NAIA will be relocated to the new passenger terminal building.

According to Ang, once the government approves the plan, the consortium is ready to start the new building, which could take at least three years.

The New NAIA Infrastructure Corp. will operate, maintain, and rehabilitate NAIA. Depending on its performance, it has an option to extend the 15-year deal for another 10 years.

The consortium is composed of diversified conglomerates SMC, RMM Asian Logistics, Inc., RLW Aviation Development Inc., and Incheon International Airport Corp., the developer of the world-class South Korean air hub.

Under the NAIA-PPP, the consortium will rehabilitate and upgrade the passenger terminals, commercial assets, and surface access facilities, and modernize the communications, navigation, and surveillance systems of the airport.

It will also provide a connection at the Naia Terminal 3 to the Metro Manila Subway, deploy buses for boarding transfers, and improve the baggage handling systems.

Once these are realized, the overall passenger experience in the NAIA is expected to improve, while the annual passenger capacity of NAIA is likely to expand by at least 62 million from the current 32 million.

The turnover of operatorship to the private sector will take place in September, provided the original timeline is followed.

The NAIA-PPP is expected to yield substantial earnings for the national government, with a projected P900 billion in profits from delivering significant upgrades to the airport.

The project will allow the government to earn P36 billion annually.

The Department of Transportation, or DoTr said the revenues generated from the project will help fund other government social and infrastructure projects.

Amid questions on project financing, Ang assured that the group has sufficient funding to bankroll the rehabilitation, maintenance, and operation of the airport.

According to him, Sy-led BDO Unibank, Inc., along with other local banks, had already committed to financing the NAIA PPP Project.