Pakistan Airports Authority Denies Approval of Islamabad Airport Outsourcing Bid
The Pakistan Airports Authority (PAA) has refuted claims that the financial bid for outsourcing Islamabad International Airport has been greenlit. In a statement released by the PAA’s spokesperson, it was made clear that reports of the approval of the bid from the T.E.R.G. consortium are “baseless” and “misleading,” as reported by Express News. The spokesperson emphasized that the outsourcing matter is still in the midst of legal procedures and has not been finalized.
Premature Reporting Caution
The PAA has urged the media and all stakeholders to exercise caution and avoid spreading unverified reports, emphasizing the importance of waiting for the official announcement. The spokesperson highlighted the potential harm of premature and inaccurate reporting on national matters, underlining the significance of awaiting the final decision to be communicated at the appropriate time.
Bid Evaluation Details
Last week, the chairman of the bid evaluation committee disclosed that a Turkish consortium, the sole bidder for managing Islamabad airport’s operations, had offered a concession fee below the minimum threshold. The consortium, comprised of Terminal Yapi, ERG Insaat, and ERG UK, proposed to pay the government 47% of its revenue from operations as a concession fee, falling short of the required 56%, as stated by the PAA.
International Involvement
The matter will now be referred to the International Finance Corporation (IFC), a member of the World Bank Group advising Islamabad on the outsourcing process, before a final decision is made regarding the bid. Sadiq ur Rehman, the chairman of the bid evaluation committee and deputy director general of the PAA, mentioned that the financial proposal details will be presented to the IFC for further evaluation and submission of final reports.
Privatization Push
Pakistan’s efforts to accelerate privatization, including outsourcing the management of three major airports, are part of a broader strategy to generate revenue. Additionally, plans to offload a 60% stake in the financially struggling airline PIA are underway to raise funds and reform state-owned enterprises in alignment with an International Monetary Fund program.
In this complex landscape of financial negotiations and national interests, the importance of accurate and verified reporting cannot be overstated. Premature news coverage can have far-reaching implications, shaping public perception and influencing crucial decisions. As we await the official announcement regarding the outsourcing of Islamabad International Airport, let us exercise patience and discretion in disseminating information to ensure a well-informed society.
