AAI to pick 51% stake in Dholera International Airport

Construction of the much-awaited Dholera International Airport (DIAC) is likely to begin early next year with the Airports Authority of India (AAI) approving a decision earlier this month to take a 51% stake in the project. AAI will be inducted on the board of DIAC at the latter’s upcoming board meeting in December, Jai Prakash Shivahare, MD, Dholera Industrial City Development, told FE. While AAI will hold 51%, the Gujarat government will hold 33% and the central government, through the Delhi Mumbai Industrial Corridor Development Corporation (DMICDC), will hold a 16% stake in DIAC.
Construction of the first phase of the airport is expected to cost roughly Rs 2,000 crore.

The airport will have a runway of 3,000 metres, a terminal building and other peripheral facilities, Shivahare said, adding that the construction is expected to begin sometime in Q1FY20. The first phase will be built to cater to a capacity of 1.1-5.5 million passengers annually which DIAC expects to reach in 2029. Shivahare said depending on the growth in passenger traffic, DIAC will build a second runway of 4,000 metres in the second phase, designed to cater to 6.5-12.5 million passengers annually, till 2035. The third phase of expansion will accommodate 13.8-25.8 million passengers annually, designed to last till 2044.
AAI is yet to decide on whether construction of the airport will be bid out via a PPP model or for a cash contract.
Shivahare added there is also a plan to build an aircraft maintenance, repair and overhaul (MRO) facility, given the lack of such facilities in the country. “Obviously, the first requirement is to have a functional airport for passenger movement. We will look at the setting up the MRO shortly thereafter,” Shivahare said.

Source: Financial Express

Philippines: Award of crucial airport projects seen in early ’19

With roughly a month to go before the end of the year, the Department of Transportation (DOTr) acknowledged that the final awarding of key private sector-proposed airport projects in Manila and Bulacan could be completed by early 2019 at the soonest.
Transportation Undersecretary for planning Reuben Reinoso yesterday said the two projects—San Miguel Corp.’s P800-billion international airport in Bulacan province and Naia Consortium’s P102-billion offer to modernize and operate the Ninoy Aquino International Airport—had yet to be cleared by the Investment Coordination Committee of the National Economic and Development Authority.

The two projects form part of the DOTr’s so-called multiairport policy, which aims to address worsening congestion in Naia, the Philippines’ main gateway.
The go-ahead of the Neda-ICC will be followed by the approval of the Neda Board, which is chaired by President Duterte. As unsolicited proposals, the final step is a bidding process known as Swiss Challenge, which requires at least 60 days.
Reinoso said they were still targeting to launch the Swiss Challenge, wherein rival bidders would be allowed to submit offers, before the end of 2018. But he explained that this would depend on when the projects would be approved by the Neda ICC.
Reinoso said the offer of Naia Consortium, a group of seven conglomerates, remained with the Neda-ICC pending the submission of additional documents by the Manila International Airport Authority.
He added that the concession agreement for SMC’s airport offer was being reviewed by the Department of Finance and Office of the Solicitor General. It will then be handed over to the Neda-ICC for “reconfirmation.”
Naia Consortium and SMC hold original proponent status (OPS) for their respective projects. This means they both carry a big advantage during the Swiss Challenge. OPS holders can still win the project because they have the right to match rivals with better bids.
Naia Consortium’s members are Ayala Corp., Aboitiz Equity Ventures, Alliance Global Group Inc., Asia Emerging Dragon, Filinvest Development Corp., JG Summit Holdings Inc. and Metro Pacific Investments Corp. Its technical partner is Changi Airports International.
Through a 15-year concession, Naia Consortium wants to increase capacity in Naia to around 65 million passengers yearly in four years. This is double the existing design capacity of 31 million passengers a year. Naia’s four passenger terminals served 42 million passengers in 2017.
On the other hand, SMC is planning a brand-new airport in Bulakan, Bulacan, that will have as many as six parallel runways and a capacity of over 100 million passengers yearly.

Another key part of the multiairport strategy is Clark International Airport, Pampanga’s gateway that is currently being expanded under the public-private partnership scheme.

Source: Inquirer Net

Nepal: Ministry of Finance approves PPP model for GBIA

Ministry of Finance has approved public-private partnership (PPP) model to operate in under construction airport, Gautam Buddha International Airport (GBIA) in Bhairahawa.

After the approval of Finance ministry on this PPP model on last Friday, the uncertainty about the GBIA to come into operation has been cleared and the construction work is about to be completed. Ministry of Culture, Tourism and Civil Aviation (MoCTCA) sent proposal to Finance Ministry to operate GBIA in PPP model 6 months ago.

Rabindra Adhikari, Tourism Minister stated that Finance Minister has approved PPP model for the airport operation. Adhikari also informed that after completing construction work, the Letter of Intent (LoI) will be asked from the interested company.

The construction work of the airport has speeded up aiming to come into operation on June month in 2019. Minister Adhikari said that CAAN will operate the airport for a period of time until the completion of PPP Model processes.

In the first phase, Ministry has been preparing to commence the process of operating GBIA by the government of the concerned countries under G to G (Government to Government).

Minister Adhikari said that G to G will be discussed in the first phase and if no interest is given then letter will be demand and the airport would be operated in PPP model. Since the functional management of the authority cannot operate the airport, Minister Adhikari said that there is no alternative way than to go to PPP model.

The distribution of profit between operator and Nepal Government will be discussed after receiving application form and according to that proposal will be prepared.

Europe, America, India and various companies showed interest for taking responsibilities for operation. Thailand, China, India, Sri Lanka, Malaysia and other countries have shown interests in conducting scheduled flights at GBIA.

The runway of the airport will be 3,000 meters long. The Construction work of terminal buildings, water tanks, and control towers, among other infrastructures, are also underway of construction.

CAAN awarded the Rs6.22-billion Gautam Buddha Airport upgradation contract to China’s Northwest Civil Aviation Airport Construction Group in November 2013. The airport was initially slated to be ready in December 2017.

Of the total project cost, the ADB has provided $58.50 million ($42.75 in loans and $15.75 million in grants), the Opec Fund for International Development (OFID) has provided a $15 million loan and CAAN will bear the rest of the cost as counterpart funding.

However, shortages of fuel and building materials due to the months-long Tarai banda in 2015 delayed the up-gradation works by six months, and its operation deadline was revised to June 2018.

Subsequently, a dispute over payments between the Chinese contractor and the Nepali sub-contractor Northwest Infra Nepal stalled works at the construction site for more than six months. As a result, the project deadline was extended many times. The last deadline given by the project financier ADB to the Chinese contractor is June 2019.

Lumbini is 22km from Gautam Buddha International Airport at Bhairahawa. The airport will also become Nepal’s second international airport and also serve as an alternate international air transport point in the event of poor weather conditions or in case natural calamity shuts down the Tribhuvan International Airport (TIA), the only international airport in the country.

Source:  Aviation Nepal

Amsterdam Schiphol expansion proposed as Lelystad delayed

Amsterdam Schiphol airport in the Netherlands needs to find creative ways to cope with capacity issues and is hoping further expansion could give it breathing space as it awaits the opening of Lelystad as a sister airport.

Proposals to develop Lelystad, some 30 miles east of the city, into a commercial airport to handle Schiphol’s low-cost and leisure flights have been delayed to 2020 instead of next year to allow more time to consult with users and local residents.

In the short term, this gives Schiphol a headache. Despite operating six runways, with slots limited to 500,000 per year, the airport is already maxed out and has been negotiating limits on various types of operations.

Recently, a restriction on the number of morning wide-body aircraft operations has been introduced due to a lack of available gates at the terminal’s piers during this period. Until the new pier and terminal extension opens (progressively between 2019 and 2023) there will be little let-up for an airport which has experienced continual growth in passenger numbers — as much as 9.6 percent in 2016.

Radical proposals have looked into the possibility of expanding Schiphol into the North Sea. With the creation of a new offshore runway, remote boarding and light-rail link between the sites, it would allow noisier runways on the current site to be closed down.

Schiphol has been conscious of its need to be a good neighbor. Local residents have recently taken the airport to court over failings to manage the situation and violations in policy.

Yet residents understand the importance of the airport to the country’s economy. In a comment to Dutch News, researcher Eef Haverkort of the Schiphol area residents’ group said, «Air traffic will continue to grow. A ban on further growth of Schiphol is not realistic because of the airport’s great economic significance to the Dutch economy.»

This week the Netherlands’ Ministry of Transport has confirmed it will be discussing the expansion «seawards» in a study to be finalized in January 2019.

However, it seems that in this case it does not necessarily mean building into the sea which, after all, is 10 miles away at its nearest point. Instead, it would see the airport’s footprint grow to the west — an area which is the least problematic overall.

To expand north, south or east would mean negotiating protected forest and agricultural land, which is in short supply in the country, as well as busy arterial roads linking Amsterdam with the airport and parts of the city’s suburbs.

Ultimately, demand on Schiphol as one of Europe’s major airports will continue to grow and capacity will be reached again, owing to its popularity among travelers and the success of national carrier KLM. The introduction of commercial services to Lelystad as a second airport for Amsterdam is still a vital move in taking some of that pressure away and cannot come soon enough.

Source: Multibrief Exclusive