THE Civil Aviation Authority of the Philippines (CAAP) remitted P3.5 billion in dividends to the national government (NG) for 2018, its highest ever in history.
CAAP, a member of the “Billionaires’ Club,” an elite circle of Government-Owned and Controlled Corporations (GOCC) that remit billions of pesos to the national government, has a computed dividend payable of P958.5 million for 2018. However, the state aviation authority has reported an excess cash of P2.55 billion, and deemed it appropriate to increase the dividend payment to P3.5 billion while still maintaining its economic viability.
The performance of CAAP has improved under the Duterte administration.
It can be remembered that under the previous administration, CAAP refused to remit dividends from 2011 to 2015, arguing that under Republic Act No. 9497, or the Civil Aviation Authority Act of 2008, it has full fiscal autonomy. However, through Department of Transportation (DoTr) Secretary Arthur P. Tugade’s strong sense of fiscal accountability, CAAP under the Duterte administration started remitting to the NG.
For its 2017 fiscal year, the aviation authority paid P6.2 billion in dividends, topping the list among state-owned agencies under the Department of Transportation (DoTr) that remitted the highest amount of dividends to the national government.
The 2017 dividend represented CAAP’s net income then, amounting to P3.22 billion, and the inclusion of P3 billion worth of unpaid dividend arrears.
In 2018, the agency performed even better with a notable growth of around PhP280 million in net income.
Tugade lauded the CAAP for its substantial contribution to the national government, noting that such accomplishment cascades back to the public by pump-priming the economy through government spending on projects, programs and services.
“CAAP has maintained a very strong fiscal performance, consistently outperforming itself year after year. As custodians of public trust, it is but right that government agencies like CAAP dispense their monetary functions with prudence, efficiency and transparency. This is one way of adhering to President Duterte’s directive of giving the Filipinos a comfortable life,” Tugade said.
CAAP Director General Jim Sydiongco, for his part, said the agency remains steadfast in its mission of serving the best interest of the Filipino people.
“The flying public can be assured that while we remain keen on making our airspace safe, we shall continue to be honest and judicious in our fiscal functions. As directed by Secretary Tugade, we steer clear of corruption for we truly look forward to providing better facilities and services for the connectivity and mobility of Filipinos,” Sydiongco said.