Aerodom contract renegotiated; millions of dollars to be used for infrastructure

President Luis Abinader announced on TV and digital platforms on Tuesday, 14 November 2023 the renegotiation of the Aerodom airport concession contract, signed in 1999 during the first Leonel Fernandez administration. President Abinader said that the 1999 that expires in 2030 did not generate benefits for the Dominican government nor guarantee the best conditions for airport infrastructure.

President Abinader said the renegotiation will bring revenues between US$1.9 and US$2.15 billion to the government. “That is the difference in the negotiations carried out by our government and the previous one,” he stated. Leonel Fernandez is the leading contender in the quest for the Presidency in 2024. Fernandez seeks a fourth term in government. Abinader seeks to be reelected in the 19 May 2024 vote.

President Abinader said the new contract that extends the concession from 2030 to 2060 would be submitted for congressional approval. The contract covers the concession for the Las Americas International Airport (SDQ) and La Isabela International Airport (JBQ) in Greater Santo Domingo; the Puerto Plata International Airport (POP), the Samana International Airport (AZS) and Arroyo Barril (EPS) and the Barahona International Airport (BRX).

Abinader explained that a committee of reputed members of society, including Franklin Báez Brugal, Juan Lladó, Fernando Enrique, Pedro Silverio, Jorge Luis Polanco had participated in the renegotiation. Minister of the Presidency Joel Santos led the talks for the government.

Aerodom is operated by Vinci Airports, the world’s leading international airport operator company. Vinci Airports has successfully secured multiple new flights for the Las Americas International Airport, the capital city international airport.

The agreement calls for an initial payment of US$775 million for the right to operate during the extended contracted years. Aerodom commits to invest US$830 million in improvements in the six airports under its administration. It also contemplates other contributions estimated between US$300 and US$550 million.

The Presidency announced that with the 775 million dollars that will be received in a period of six months, the following works will be carried out:

• Asphalting in La Caleta, Boca Chica, around the airport and an extensive asphalt program in Greater Santo Domingo and other municipalities, with an approximate investment of 350 million dollars.

• Expressway from Plaza de la Bandera, Isabel Aguiar (Pintura), connecting to 6 de Noviembre Highway, with an approximate investment of US$148 million.

• The road solution of República de Colombia Avenue with Los Próceres Avenue, expressway to Jacobo Majluta and road solution between República de Colombia and Monumental Avenue, with an approximate investment of US$108 million.

• The construction of the drawbridge to replace the floating bridge on the Ozama River, with an investment of US$50 million.

• The construction of the bridge parallel to the Jacinto Peynado Bridge, that connects Máximo Gómez Avenue with Hermanas Mirabal Avenue in Santo Domingo Norte, with an approximate investment of US$56 million.

• The crossway on the Sabana Perdida – La Victoria highway, with an intersection at Charles de Gaulle, with an approximate investment of US$30 million.

• The San Cristóbal Traumatology Unit, for US$15 million, and 139 small and medium-sized works in all the provinces of the country, of which 80 are sports, for
US$18 million.

President Abinader said that given the boom in tourism that has resulted in double-digit growth in passenger traffic, the agreement also includes the construction of an additional terminal at the Las Americas International Airport. The airport currently has two passenger terminals. The third terminal is set to accommodate passenger traffic estimated forecast to reach 8.4 million by 2030, exceeding the current capacity of the airport of around 6.5 million passengers.

President Abinader said Aerodom would immediately invest US$16 million to improve, within a period of 12 to 18 months, the airport’s existing terminals. In addition, design work would commence to build the third terminal in 2024. The new terminal would add capacity for 4 million passengers per year and calls for an investment of US$250 million.

Speaking to the nation, President Abinader stated: “This renegotiation is just the beginning. We are working to ensure that all contracts and agreements are for the greatest benefit of the Dominican people.”

Read more in Spanish:
Vinci Airports

15 November 2023