MANILA - The National Economic and Development Authority (NEDA) has allowed a P3.27-billion increase in the budget for the reconstruction of the Panglao airport in Bohol province.

The NEDA's Investment Coordination Committee has approved the proposed change in the cost of the Revised Panglao Island Airport Development Project by about 76%.

From P4.27 billion, the project now has a budget of P7.54 billion.

"The project cost rose due to the increase of item prices and quantity because of design modification and additional acquisition of 14.5 hectares of land, among others," according to NEDA documents.

The budget raise, however, was made under the following conditions:

• that the provincial government of Bohol would conduct another multisectoral consultation to address econological or environmental issues
• that the Manila International Airport Authority will conduct a value analysis or a value engineering of the project
• that the budget cover be issued to the Department of Transportation and Communications

The Panglao airport project aims to open the Central Visayas region to more economic and tourism-related activities. It is set to be implemented from the first half of 2010 to 2012.

Aside from the Panglao airport project, the NEDA committee has also approved the P5-billion Panay River Flood Control Project, which aims to address flooding along the sub-basins of the said river.

Another project is the Philippines' Response to Indigenous People and Muslim Education Facility, which has a budget of P840 million.