Auditors flag delays and cost overruns in Clark air traffic control tower project

State auditors have flagged the P290.3-million New Clark Air Traffic Control Tower project for repeated extensions and cost increases, leaving it unfinished without a target completion date.

The P290.3-million New Clark Air Traffic Control Tower project was awarded in January 2021 with an expected completion within one year. A 2024 audit report by the Commission on Audit (COA) on the Clark International Airport Corporation (CIAC) revealed it has been extended six times, adding 930 days to the original 365-day contract, yet only 91% complete as of 2024. Costs have risen 22% to P354.41 million.

Auditors attributed delays to weak procurement planning, poor project monitoring, and possible shortcomings in the contractor's capacity. Groundbreaking occurred without required building, electronic, electrical, mechanical, plumbing, and sanitary permits from the Clark Development Corporation (CDC), the regulator for the Clark Freeport Zone. Under the National Building Code, such permits are mandatory, with penalties up to P20,000 fines or two years imprisonment.

"It was only on April 29, 2024 that CIAC was able to secure the necessary permits from the CDC. The absence of necessary permits during the construction period raises serious concerns regarding regulatory compliance, project authorization, and risk management," the report stated.

The contractor requested a suspension of the height clearance limit on March 17, 2022—two months after the original January 2022 completion date—after the Civil Aviation Authority of the Philippines (CAAP) denied permits for exceeding the 192-meter limit, with the tower's proposed top elevation at 228.81 meters (36.81-meter excess). An aeronautical study costing P3.9 million was submitted to CAAP on October 11, 2023, but the permit remains unissued as of December 31, 2024.

Additionally, installed elevators did not match the billed brand; a Global Fuji (Chinese) was found instead of the specified Schneider (German), approved by CIAC's then president during a March 20, 2025 inspection.

"Securing permits is a fundamental requirement in the construction industry, and failure to do so casts doubt on the contractor’s capability to manage regulatory requirements effectively," the report added, highlighting deficiencies in due diligence.

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