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Page 1 of 14
10 December 2020
No. 1134
DEV
Published biweekly – available by annual subscription only – details & order online at: www.mombergerairport.info
Publisher: Martin Lamprecht martin@mombergerairport.info – Founding Editor: Manfred Momberger
News Editors: Paul Ellis paul@mombergerairport.info – Marnix (Max) Groot max@mombergerairport.info
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AIRPORT DEVELOPMENT International News
Each issue of Airport Development focuses on a different region of the world, with global news at the end of this section. A list of
past focus regions published in recent years can be downloaded from the Bonus section in the subscriber pages of our website.
Focus Region: Southeast Asia Other Regions from page 12
MYANMAR
Construction and initial feasibility studies of the Hanthawaddy Airport in Bago have
commenced in August, the Department of Civil Aviation said. Bago, formerly known as Hanthawaddy,
is the capital of the Bago Region in Myanmar. It is located 91 kilometers north-east of Yangon. The first
phase of the new airport, a joint venture between Myanmar and Japan, is slated to be complete in 2027
with help from the Japan International Cooperation Agency (JICA). JICA will now conduct an
environmental impact assessment and the draft report was submitted to the Ministry of Natural
Resources and Environmental Conservation in October.
Located around 80 kilometers from Yangon, the new airport will cost between USD 1.5 billion and
USD 2 billion to develop and when complete, will be the biggest airport in Myanmar. The
Hathaway is expected to replace the Yangon International Airport, which government officials said will
reach full passenger capacity by 2020, based on the passenger growth rate before COVID-19
The new airport is expected to bring additional tourists and cargo which will help to boost the economy
and trade. It will also drive investment in road construction, water and power distribution and
infrastructure such as wastewater treatment plants, according to the Department of Civil Aviation.
The plans call for the construction of a runway of 3600 meters (11,811 feet), a terminal with an annual
capacity of 12 million passengers, and a total of 42 aircraft. In a second phase a second parallel runway
will be constructed.
The Hanthawaddy Airport project was first launched in the early 1990s but had difficulties
securing the finances needed to take off. A tender for the project, to be implemented under a Public
Private Partnership, was initiated in 2012. A South Korean consortium led by Incheon International
Airport Corporation won but disagreements led to a fresh tender being launched in 2014. This was
subsequently won by a Japanese-Singaporean consortium that included Changi Airports International.
The agreement expired in 2018 with construction yet to commence. #1134.1
Construction of the first airport in Chin State has been completed and test landings have
been conducted, paving the way for more tourism in the state, according to the Department of
Aviation. The first test landing took place at the Falam Surbing Airport in Chin State’s Falam township on
October 27, said U Nay Win, director of the DCA. Chin is the poorest and least developed state in
Myanmar, but the completion of the new airport project will improve ecotourism, according to the
Department of Civil Aviation.
Construction of the Falam Surbung airport project began in 2015 with a government budget exceeding
USD 27 million. The airport was initially scheduled to open this September. The Falam Surbung Airport
runway measures 1,828 meters (6,000 feet) and can handle aircraft up to ATR-72 size, which are used to
fly short-haul routes. The apron measures 5,806 square meters (62,500 square feet). Of the 69 airports
in Myanmar, three are international airports—in Yangon, Mandaley and Nay Pyi—and 31 are domestic
airports.
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The Falum Surbung Airport will shorten travel times for both local and foreign tourists visiting Chin State.
It will also support the development of the state, attracting more investments and creating more jobs for
local people. The airport will enable passengers to travel to Nay Pyi Taw and Yangon within hours, which
will help the tourism industry develop, according to Salai Isaac Khen, former state minister for Municipal,
Electricity and Industry. #1134.2
A contract to upgrade Heho Airport, serving Inle Lake and Taunggyi to provide customs,
immigration and quarantine facilities was expected to be signed this year, a senior official said
over the summer. “We are expected to sign a contract in the next three months,” an official from the
Ministry of Transport and Communication who declined to be named told The Myanmar Times, adding
that negations to upgrade Heho Airport are underway.
Heho Airport, located on the Kalaw township, southern Shan State, is the gateway to Shan’s capital
Taunggyi as well as the major tourist destinations of the Inle Lake and Kalaw. The upgrade is estimated
to cost USD 40 million and to be completed within two years.
When upgraded, the airport will accommodate custom agencies, immigration authorities and facilities for
infectious disease control officials to operate, paving the way for it to serve international flights. It is also
expected to be able to serve Airbus A319 and Boeing 737-800 aircraft, in addition to the ATR-72,
Embraer-1990 and Y-8 aircraft, which it currently serves.
The upgrade is led by KBZ group (65% stake), which owns Air KBZ and Myanmar Airways, and Toyota
Tsusho (35% stake), a member of the Japanese Toyota Group. #1134.3
Mawlamyine Airport in Mon State and Kawthaung Airport in Taninthary region will be
upgraded to boost regional development as well as improve accessibility, according to the civil aviation
department. The two projects cost USD 20 million and USD 36 million respectively.
The push to modernize regional airports is meant to improve tourism and ease the transport of goods
and movement, thereby strengthening trade and attracting investors to put their money in those states
and regions. #1134.4
THAILAND
The USD 1.46 billion northern expansion of Bangkok’s Suvarnabhumi airport is being
revised, to meet “new normal” requirements, according to Airports of Thailand (AoT). AoT president,
Nitinai Sirismatthakarn, says the process will take 1 or 2 months to complete. The airport’s new northern
terminal will have the capacity to handle 30 million passengers a year, with Nitinai remaining optimistic
about a return to normal figures next year. He says the availability of effective Covid-19 vaccines should
fuel a return to normality, with passenger traffic at Suvarnabhumi eventually reaching pre-Covid numbers
of 65 million in 2023.
He adds that the construction of the satellite boarding concourse, called SAT-1, should be completed in
2022, with plans also being drawn up to extend the airport’s existing terminal toward the east and west.
The satellite will have 28 close contact stands and is expected to increase the airport’s capacity by 15
million passengers per year. An Automated People Mover, an electric train system, is planned to transport
6,000 people per hour using an underground tunnel connecting to the main terminal which is about a
kilometer away.
In the past the proposed northern expansion has drawn criticism from experts who alleged
it was poorly designed and would do little to alleviate overcapacity at Suvarnabhumi. The
experts insisted a new terminal should be built to the south of the airport instead of expanding the
existing terminal, as stipulated by the master plan. The northern zone where the expansion is earmarked
is not suited to handle additional facilities, they added. They reasoned that a southern terminal would
provide more room to cope with growing passenger traffic over the long run and be more easily
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accessible. Responding to the criticism, AoT has not ruled out building a southern terminal. In fact, the
south terminal has been incorporated into the airport expansion plan to be undertaken from 2025 to
2030. The plan, which also involves constructing a fourth runway, would push the airport's handling
capacity up to 150 million passengers per year and 120 flights an hour, according to AoT. #1134.5
The Airports of Thailand (AoT) board approved a master plan for the third-phase
development of Bangkok’s Don Mueang Airport costing an estimated USD 1.30 billion. The
expansion scheme, which will increase the airport's capacity to 40 million passengers a year—up from 30
million at present—includes a 3.4-kilometer automated people mover system (APM), 12 aircraft stands,
and a so-called “junction terminal”, housing retail space and car park buildings. The APM system will
boost the airport's capacity to handle increasing passenger numbers and should also ease congestion at
the airport, which has caused spill-over traffic jams on the adjacent Vibhavadi Rangsit Road.
The planned new junction terminal will cover 100,000 square meters and incorporates
commercial space to boost the airport's non-aviation income by 40% to 50%. The current
status of the plans is unclear but are likely to be delayed due to the COVID-19 pandemic. According to
procedure, the development plan would be submitted to the Transport Ministry and the National
Economic and Social Development Council for review before it goes to the cabinet for approval. Changes
to the project will be included in the environmental impact assessment report to be considered by the
Civil Aviation Authority of Thailand. The bidding for the third-phase development project is expected to
take place next year.
In the meantime, the airport is using the COVID-19 as an opportunity to revamp the interior of
the international terminal. Costing THB 126 million (USD 3.85 million) the work involves three sub-
projects: improvement of the air-conditioning system; a re-carpeting job; and a switch to LED lights to
save energy. The project was expected to begin in July and be completed by the end of 2020. #1134.6
The government is considering building a THB 25 billion (USD 827 million) greenfield airport
in Nakhon Pathom province, west of Bangkok. Deputy Transport Minister Thaworn Senneam has said that
the demands of air transport keep rising every year, particularly private jets - with about 2,000 now
operating in Thailand - and charter flights. Suvarnabhumi and Don Mueang airports were already
congested.
Thus, the Department of Airports has conducted a study on building a new airport in Nakhon Pathom to
take the pressure off the Bangkok airports and provide added convenience for travelers. He said the
airport would be built on about 560 hectares of land in Nakhon Pathom. The site was chosen after about
10 locations were surveyed for suitability. The private sector would be invited to jointly invest in
the project, the deputy minister said.
The project study was to be completed and submitted to the transport minister over the summer. If all
procedures went smoothly — including the Environmental Impact Assessment, acquisition of land and
efforts to bring local people onboard — the plan could be ready for cabinet approval in 2021.
Construction could begin in 2023. It would take three years to complete, with the planned
opening in 2026, Mr Thaworn said. Jarun Meesomboon, deputy director-general of the Department of
Airports, said the new airport was expected to handle about 30 million passengers a year. The current
status of the plan is unknown. Timelines are likely to be pushed back due to the slowdown in traffic
following the COVID-19 crisis. #1134.7
U-Tapao International Airport near Pattaya, Thailand, is undergoing a major upgrade to
become one of the most innovative airports and multi-modal transport hubs in the Asia
region. The development project, dubbed U-Tapao International Airport and Eastern Airport City
Development Project, is a part of Thailand’s Eastern Economic Corridor (EEC) Scheme which seeks to
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develop the country’s eastern provinces. The upgrade project will involve an estimated investment of THB
290 billion (USD 9 billion) and create 15,600 jobs a year in the first five years. The expanded airport is
expected to commence commercial operations in 2025.
The U-Tapao airport will be turned into Bangkok’s third international airport and linked with
Don Mueang International Airport and Suvarnabhumi International Airport via high-speed
train services. Combined, the three airports would be able to handle 200 million passengers a year
Spanning 1,040 hectares, the airport is a joint civil-military airport located 30 kilometers away from
Pattaya. The upgrade project will enable the airport to handle both passenger and cargo aircraft.
Currently, the airport boasts one 3,500-meter (11,483-foot) runway and a passenger terminal. Currently,
a new 20,000 square-meter (215,278 square-foot) terminal with a capacity of 3 million annual
passengers is being built. In 2019, U-Tapao Airport handled 710,000 passengers.
Future plans include the construction of a parallel runway and a third passenger terminal.
The size of the third terminal will depend on future traffic development but the master plan allows for a
terminal building of 450,000 square meters with an annual capacity to handle 60 million passengers
annually. Other elements of the plan are a ground transportation center, a logistics and cargo complex
with a capacity of three million tons of cargo annually, a free trade zone, an MRO boulevard and “Airport
City-type” developments such as commercial areas.
The U-Tapao Airport project will be built and exploited by the BBS consortium, which comprises Sino-Thai
Engineering and Construction, Bangkok Airways and BTS Group Holdings, which won the bid as it offered
the best return to the state — THB 305 billion (USD 10.1 billion) under a 50-year contract. Narita
International Airport Corporation will be hired to run the airport, which is owned by the navy. #1134.8
A new regional airport in southern Thailand’s Yala province is planned to open in the middle
of 2020. The Betong Airport project is part of long-term effort to boost economic development in the
country’s southern region. According to the Civil Aviation Authority of Thailand (CAAT), the airport, meant
to serve the town of Betong in Yala’s Province, is scheduled to open in mid-2020.
The airport was first greenlit in 2015 in a plan to develop southern Thailand and was
completed over the summer. It is now several months into its CAAT certification process. Betong is on
the border with Malaysia. The nearest airport on the Thai side of the border is in Narathiwat province,
about a four hours’ drive northeast of Betong, so the new airport will improve air connectivity
significantly. #1134.9
The Department of Airports (DoA) of Thailand is planning to spend THB 5.8 billion (USD 191
million) upgrading airports across the country next year. DoA Acting Director-General Thawi Kesi-
samang said the huge investment in key regional airports is “urgent mission”. The department plans to
conduct bids for the projects from early next year, he added. Among them are the construction of
taxiways at Krabi airport, plans to build new terminals at Narathiwat and Buri Ram airports respectively
and projects to expand the number of airports stands and an international terminal at Surat Thani airport.
In the 10-year airport development plan worth THB 35 billion (USD 1.16 billion), up to THB
27 billion (USD 897.88 billion) will be allocated for major upgrades at 17 airports between
2019 and 2022. The rest will go to further airport development until 2027. Meanwhile, Transport
Minister Saksayam Chidchob proposed extending the runway length at 38 airports from 2,100 (6,890
feet) to 2,400 meters (7,874 meters) to serve large aircraft. #1134.10
The Thailand government has called a halt on a plan to transfer four airports currently under
the supervision of the Thai Government’s Department of Airports (DOA) to Airports of
Thailand (AoT) Plc to manage. Thailand’s Deputy Transport Minister, Thaworn Senneam
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said that a thorough study is necessary to avoid legal problems and benefit the public. He added that the
handover cannot proceed until it is established whether the law allows it. He said the four airports run by
the DOA are considered state assets and that their transfer to AoT, which is a state enterprise agency
and a listed company, may violate the law. The transfer is aimed at providing improved services for
airlines and air travelers.
The AoT board agreed to the transfer of four airports at Udon Thani, Tak, Krabi, and Buri
Ram. Thaworn said two options are likely to be studied: the DOA hiring AoT to manage the airports; or
AoT leasing and managing the airports and investing in airport upgrades. “If the AoT is hired to manage
the airports and it uses the DOA’s resources, that can also cause legal problems. So, the most feasible
option is for the AoT to lease and manage the airports, plus invest in upgrades. The airports will remain
state-owned when the contracts end,” he said. The issue will be submitted to a Transport Ministry-
appointed panel set up to clear the hand-over legalities. AoT currently manages and operates six airports
across Thailand: Suvarnabhumi, Don Mueang, Phuket, Chiang Mai, Mae Fah Luang – Chiang Rai and Hat
Yai, all of which have suffered from the punishing effects of Covid-19 on passenger volumes and
revenues. #1134.11
MALAYSIA
Malaysia Airports Holdings Bhd (MAHB) is reprioritizing airport investments due to the
COVID-19 pandemic. Chairman Datuk Seri Dr Zambry Abdul Kadir said it was important for the airport
operator to replace ageing assets in the Kuala Lumpur International Airport (KLIA). "However, the current
situation causes us some limitation in undertaking the physical asset replacement," he said. In June
MAHB reportedly said it had slashed its planned MYR 1.8 billion (USD 442 million) capex for 2020 by 82
per cent as the airport operator embarked on an aggressive cost-optimization plan amid the Covid-19
pandemic.
The prioritized focus included its ageing aerotrains and baggage handling system, runway
upgrades, commercial reset for retailers and the “Airports 4.0” digital initiative at selected
local airports. He, however, added that the revised capex might be subjected to a further review
depending on MAHB's financial position. "We may defer some upgrades but at the moment we need to
re-prioritize," he said, adding that the upgrading work would take about two to three years and would be
done in phases. The 23-year old aerotrains, he said, were not able to accommodate KLIA's 32 million
passenger traffic annually as the trains were designed for a maximum capacity of 25 million passengers.
"Hence, we need to supplement passengers with bussing. We need to rebuild new tracks for the new
trains with enhanced technology. #1134.12
The proposed Penang International Airport (PIA) expansion project has been put on hold
pending the finalization of a National Airport Strategy Plan (NASP) study by the government.
The NASP study is expected to complete in 2023 in line with the National Transport Policy. According to
the reply by the transport minister, the NASP study was to determine the direction of airport development
in Malaysia in terms of its roles, airspace requirement, and economic and strategic studies so that the
development of the airport could be implemented based on real needs as laid out in a full study.
The Penang state government has been asking for the PIA to be expanded since 2017 to
increase its capacity from 6.5 million passengers per year to 12 million passengers. Despite
several announcements in recent years that the expansion project will commence soon, work never
started. The Ministry of Transport said any new proposals for airport development or expansion will only
be considered after the NASP study is finalized by the government. #1134.13
A first hurdle was cleared for the construction of Kulim International Airport (KXP) when the
government approved the proposed project at the National Physical Planning Council (NPPC) meeting in
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late October 2020. Kulim Airport is a proposed airport construction project for the Malaysian city of Kulim,
located in Kedah State and bordering Penang State. The state government intends to build the new
airport due to growing capacity restraints at Kulim's nearest international airport, Penang.
Kulim International Airport will mostly focus on cargo, whereas Penang International Airport
is more focused on passenger traffic. The state government has allocated 600 hectares of land for
the new project. The proposal will now be further studied in the National Airport Strategy Plan (NASP),
which is expected to be finalized 2023.
The approval is subject to further consideration by the Transport Ministry and other government
agencies, including the Finance and Home Affairs Ministries, the Department of Environment, the Royal
Malaysian Air Force and the Civil Aviation Authority of Malaysia (CAAM), among others. #1134.14
The Mukah Airport project is expected to reach completion by January 2021, says Deputy Chief
Minister Tan Sri Datuk Amar Dr James Masing. Construction of the MYR 360-million (USD 88.66-million)
project had been delayed for over three months due to the Movement Control Order (MCO) period, which
was in force due to the Covid-19 pandemic. “The works have resumed now and barring unforeseen
circumstances, the project should reach completion by January 2021,” Masing, who is also Minister of
Infrastructure and Ports Development, also highlighted the importance of the new airport in that it would
serve as a catalyst for development in Mukah. “It will also be an important meeting point to link Mukah
town to the surrounding areas,” he said. He added that the new airport would also allow ATR-type
aircraft to land, whereas the current short take-off and landing airport (STOLport) could only
accommodate Twin Otters. #1134.15
The Senai International Airport expansion project is expected to be completed in mid-2021.
Senai International Airport CEO Md Derick Basir said the MYR 20 million project (USD 4,93 million) would
boost the terminal building's annual capacity by one million passengers to five million passengers. The
project includes the extension of the existing arrival and departure halls towards the south of the existing
terminal building.
Key elements include the construction of four new departure and boarding gates, additional
new seating area, a covered walkway connecting to aircraft parking bays, installation of additional
baggage handling system and installation of escalators and elevators to link the existing terminal building
to the new area. The airport, which is owned and operated by Senai Airport Terminal Services Sdn Bhd
(SATSSB), had been experiencing strong growth before COVID. In 2019, the airport handled total of 4.2
million passengers, a significant increase from the 3.5 million passengers handled in 2018. “The growth
was mainly attributed by the increased capacity created by the introduction of new routes and the
additional flight frequencies to existing routes such as Kuala Lumpur, Penang, and Seoul,” Basir said.
#1134.16
A Master Plan studying the expansion Kota Kinabalu International Airport (KKIA) was to be
finalized this year. Before the COVID-19 pandemic hit, Kota Kinabalu International Airport was quickly
reaching its passenger capacity of 9.5 million annual passengers. In 2019, the airport had handled in 9.45
million passengers.
The State Government is determined to build a new airport. However, according to the 2008 National
Airport Master Plan 2008, KKIA has a maximum capacity of 21 million passengers annually, a figure which
is only expected to be reached in 2037. The Master Plan Study is intended to undertake a review of
KKIA’s long-term planning and development. One of the development options is to turn Terminal 2, a
general aviation terminal which is said to be underutilized into a general aviation terminal. #1134.17
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The federal government has approved MYR 80.9 million (USD 19,92 million) to upgrade the
Sandakan airport in a bid to enhance the economy and tourism sector in Sabah’s east coast.
Speaking during a groundbreaking ceremony in Sandakan, Finance Minister Lim Guan Eng hoped this
allocation would enable Sandakan to become the “Gateway to East Malaysia”. The upgrading work would
involve improvements to the radar system and the extension of the Sandakan airport runway from 2,133
meters (6,998 feet) to 2,500 meters (8,202 feet), construction of a new connecting taxiway, expansion of
the apron, providing new Precision Approach Light and related works. The project is expected to be
completed in May 2021. #1134.18
The Transport Ministry is planning to upgrade and modernize Tawau Airport and increase
passenger handling capacity from 1.5 million to 2.5 million annual passengers by 2027. In 2019, Tawau
Airport handled 1.83 million passengers. A study was to be completed in April this year. #1134.19
SINGAPORE
Singapore will pause the construction of the fifth terminal at its Changi Airport for at least
two years, Transport Minister Khaw Boon Wan said recently. Mr Khaw cited "great uncertainties" about
the future of the aviation and travel industry amid the Covid-19 outbreak. Singapore is conducting a
"major thorough study" on the future of aviation in the years following the pandemic, said Mr Khaw. Mr
Khaw said the pause will allow the authorities to consider changes that need to be made to the project to
meet the needs of post-pandemic travel. Overall, Mr Khaw said he was optimistic that the Changi air hub
would continue to expand with demand and that aviation in the Asia-Pacific would continue to grow.
The fifth terminal was due to be completed in the 2030s and would be capable of
accommodating 50 million passengers per annum in its initial phase. Within recent years Changi
has completed its 225,000 square-meter (2,421,879 square-foot) Terminal 4 (Oct-2017). Terminal 4
increased the airport's capacity by 16 million passengers per annum, bringing the overall total to 82
million.
In addition, in February 2020, the renovation project of Terminal 2 started. The multi-year expansion
project itself will add 15,500 square meters (166,840 square feet) to the terminal building and increase
Changi Airport's capacity by five million passengers per annum. Works are scheduled for completion
around 2024. In 2019 the airport handled 68.3 million passengers. #1134.20
INDONESIA
The design and planning work for a fourth terminal Soekarno-Hatta International Airport is
targeted for completion in 2021. Groundbreaking is scheduled to take place in January 2022.
Terminal 4 will sit on 130 hectares of land owned by airport operator Angkasa Pura II — the state-owned
airport operator, which operates the airports in western Indonesia.
With an estimated investment of IDR 11 trillion (USD 777 million), Terminal 4 is expected to
have a capacity of 45 million passengers per year, larger than Terminal 3, which has a yearly
capacity of 25 million passengers. Terminal 4 is built in anticipation of an expected surge in international
passengers, the long-term outlook of which has not changed due to the COVID-19 pandemic.
The construction of Terminal 4 will follow smart mobility, smart environment and smart security concepts
with self-check-in counters, self-baggage drop locations and full-body x-ray scanners. #1134.21
It is currently unclear what effect the COVID-19 pandemic has on the timeline of the project
to construct a new large-scale airport for Jakarta. Construction of the new Soekarno-Hatta
International Airport II in Karawang, West Java, is currently expected to commence in 2028, according to
the local administration. The Karawang Development Planning Board (Bappeda) head Eka Sanatha said
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the new airport would cover a 3,000-hectare plot of land in Ciampel and Pangkalan districts, making it
larger than the original Soekarno-Hatta International Airport in Cengkareng, Banten.
The airport would supplement the existing Soekarno-Hatta International Airport and downtown Halim
Airport, which in recent years has developed into a focal point for low-cost carriers. According to the
current timeline, pre-construction planning, including a detailed engineering design study,
would kick off in 2027, with construction expected to begin in 2028.
In 2017, state-owned airport operator PT Angkasa Pura II (AP II) announced that it planned to construct
Soekarno-Hatta International Airport II to accommodate the increasing number of passengers and
planes. AP II president director Muhammad Awaluddin estimated that the number of passengers at the
existing Soekarno-Hatta International Airport would reach 100 million annually by 2025, while the
capacity of the existing airport was only 60 million annual passengers. In 2018, the airport handled 66.9
passengers. #1134.22
In addition to the new Soekarno-Hatta International Airport II, three new smaller airports
will be built to serve the greater Jakarta region. The government intends to build three new
airports in Tenjo, Teluknaga, and Pandeglang — outlying districts of surrounding Jakarta — the Minister
of Transportation Budi Karya Sumadi said. The airports will be complimentary to support Soekarno-Hatta
International Airport in Jakarta. Budi said the aim of building the new airports is to meet the growing
mobility of the growing population. “Imagine Jakarta in 2045, we have to prepare the airports as
alternatives. In the developed countries, the amount of the airport [in large cities] can be up to six, so we
are preparing from now on,” he explained. #1134.23
Gusti Ngurah Rai Airport in Bali is currently developing a new Master Plan, which will raise the
capacity from the current 24 million annual passengers to 37.6 million passengers. In 2019, the airport
handled over 24.2 million passengers, an increase of 2% over 2018, and thus reaching the airport’s
official capacity. The airport has already raised the runway capacity by adding rapid exit taxiways (RET).
For the longer term, a lengthening of the runway is being studied. #1134.24
Construction of a new large airport in the north of Bali was scheduled to begin in 2020 and to
be completed in four years, but the current status is unclear. The new airport, meant to relieve the
existing Gusti Ngurah Rai Airport, is designed to accommodate up to 32 million passengers annually. It
will boast a 230,000 square-meter (2,475,699 square-foot) terminal and a 4,100-meter (13,451-foot)
runway. Phase I which will require just over 1,000 hectares of land. A second parallel runway would be
built in a later phase. #1134.25
As many as 39 local and foreign investors have expressed interest in partnering with state-
owned airport operator PT Angkasa Pura II to develop Kualanamu International Airport in
Medan, North Sumatra, into a world-class regional hub. Angkasa Pura II president director
Muhammad Awaluddin said that most of the companies came from East Asia, West Asia, Southeast Asia
and Europe, while eight were Indonesian companies. “We plan for the selection process to be completed
by the fourth quarter of 2020,” he said in Jakarta on Monday, adding that his company would be open to
proposals until June. The airport operator is seeking a strategic partner to help expand Kualanamu
airport’s capacity to welcome international arrivals, allowing it to compete with the regional hubs of
Changi International Airport in Singapore, Kuala Lumpur International Airport and Suvarnabhumi Airport
in Bangkok. “The candidates must have the capability to boost international traffic to Kualanamu and
make it a regional hub for destinations in East Asia and South Asia,” said Awaluddin. “Together, we will
redesign and improve Kualanamu’s capacity,” he said, expressing hope the airport could become as
important as Soekarno-Hatta International Airport in Tangerang, Banten. Kualanamu is more strategically
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located than Soekarno-Hatta, as it is closer to many Asian countries, such as China, Singapore, Thailand
and Malaysia, as well as countries in the Middle East and Europe. However, international flights to the
airport account for only 11 percent of its total traffic. “The target is for international flights to account for
40 to 45 percent of the airport’s traffic,” he said. Angkasa Pura II plans increase the airport’s capacity to
40 million passengers per year from 8 million at present. In 2019, the airport handled 12 million
passengers. #1134.26
Angkasa Pura Airports in Indonesia has announced that 26 international and national
companies have participated in the procurement process of management and development
of Lombok International Airport. The companies passed the pre-qualification process include: Royal
Schiphol, Incheon Airport, Changi Airport, GMR Airport, Malaysia Airport BHD, Munich Airport, Vinci
Airport, Fraport, Egis International, Titan Global Group, China Construction, Bechtel Enterprise, Scott
Brownrigg, Lotte E&C, CU Phosco, Serco, Itochu Corporation, DAA International, AENA Internacional,
AERTEC Solutions, ADP International, Toyota Tsusho, Mitsubishi, ASTRA Infra, Adhi Karya, and Waskita
Karya.
Lombok airport will be developed under DBFOT (Design-Build-Finance-Operate-Transfer)
procurement with a concession period of 30 years. The estimated investment value for the project
is IDR 10.3 trillion (USD 698.52 million). The next procurement stage will involve the preparation of
qualification documents by potential partners and evaluation of qualification documents (December 16-
January 28, 2021). The announcement of the pre-qualification results is scheduled for January 29, 2021.
Angkasa Pura Airports is currently developing Lombok International Airport. This development was
carried out to support the plans for the 2021 MotoGP in Mandalika. The development is carried out by
extending the runway from the previous 2,750 meters to 3,330 meters, allowing wide-body aircraft such
as the Boeing 747-400 to land. The terminal capacity is being doubled to 7 million passengers per year.
Other infrastructure, such as aircraft parking space and aprons, are also being refurbished to increase the
airport’s capacity. #1134.27
The Indonesian government has awarded a consortium that manages Singapore’s Changi
Airport with a 25-year concession to develop and operate Komodo Airport in Labuan Bajo, East
Nusa Tenggara. Komodo Airport is located on Flores Island and is considered the gateway to the highly
popular Komodo National Park, which is on the neighboring island of Komodo. Transportation Minister
Budi Karya Sumadi announced on Thursday that the consortium – which includes Indonesia's publicly
listed PT Cardig Aero Service (CAS Group) air transportation service company and Changi Airports
International (CAI), a subsidiary of Singapore’s Changi Airport Group – had won the public-private
partnership (PPP) tender for the Komodo Airport expansion project. The project has an estimated
investment value of IDR 1.2 trillion (USD 85.82 million).
The government expected the consortium to upgrade the airport by expanding its domestic
terminal and developing an international terminal, as well as by extending its runway and
apron. Finance Minister Sri Mulyani Indrawati said that the concession project carried an estimated IDR
5.7 trillion in operational costs over its 25-year period, at the end of which the airport was to be returned
to the Indonesian government. Budi Karya added that the government pinned its hopes on the
consortium's expertise in increasing passenger traffic and expected it to boost passenger traffic at
Komodo Airport from 500,000 passengers per year at present to 4 million passengers by 2044. #1134.28
More airport projects were to be offered to foreign investors in 2020, among which the Kuala
Namu airport on the outskirts of the city of Medan, North Sumatra, the Sam Ratulangi airport in Manado
city in North Sulawesi, and an airport in Singkawang, West Kalimantan. #1134.29
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The new Yogyakarta International Airport (YIA) in Kulon Progo regency has been
inaugurated in August, several months after its full operation began in March. Situated around 45
kilometers from the city of Yogyakarta, the new airport has replaced the older Adisutjipto International
Airport as the main airport in the province of Yogyakarta. Indonesian President Joko “Jokowi” Widodo
touted YIA’s development and construction processes, which took less than two years, while also
highlighting the airport’s features, which he described as “the best in Indonesia so far.”
The new airport boasts a 3,250-meter (10,663-foot) runway, which compares to just 2,200 meters (7,218
feet) at Adisutjipto International Airport and can accommodate wide-body aircraft like the Boeing 777 and
Airbus A380.
YIA has a passenger capacity of 20 million annual passengers per year, a massive upgrade
from Adisutjipto’s 1.6 million, due to its larger terminal of more than 219,000 square meters. A total
of IDR 11.3 trillion (USD 775 million) was invested in the airport, with land acquisition accounting for
around IDR 4.2 trillion and the remaining IDR 7.1 trillion spent on the construction of the terminal and
runway. With the YIA’s full operation, the existing Adisutjipto airport will be used specifically for training
and military purposes, while all commercial flights would be directed to the new airport. #1134.30
The government has officially begun the construction of Kediri Airport in Kediri regency, East
Java, which is expected to be completed in two years to help close the economic gap in the province.
State-owned airport operator Angkasa Pura I (AP I) will manage the planned privately funded airport in
Kediri and integrate its operations with Surabaya’s Juanda International Airport to accommodate rising
travel demand and economic activity in East Java.
Designated as a national strategic project, Kediri Airport will be developed in three phases
under a public-private partnership scheme with a concession period of 30 to 50 years. AP I
signed a memorandum of understanding with publicly listed tobacco company Gudang Garam to develop
what would be called Dhoho Kediri Airport, 20 kilometers from central Kediri. Gudang Garam’s subsidiary
Surya Dhoho Investama will oversee developing the first-ever airport to be fully funded by the private
sector in Indonesia. AP I president director Faik Fahmi said the airport would be crucial to take some of
the pressure off the overburdened Juanda International Airport in Surabaya, which is around a two-hours’
drive from Kediri. Surabaya is Indonesia’s second-largest city and a thriving economic hub. “This is
important because Juanda's current capacity is increasingly inadequate for its growing traffic. With a
capacity of only 16 million [passengers a year], Juanda had to accommodate 21 million passengers in
2018," said Faik. "East Java needs an alternative airport to accommodate and boost traffic growth as well
as economic activities in the region.”
Gudang Garam will spend up to around IDR 10 trillion (USD 732 million) to acquire 457
hectares of land needed for the airport to be built near the village of Grogol. Earlier last month,
Transportation Ministry Civil Aviation Director General Novie Riyanto said the airport would serve
domestic flights, while Juanda airport would focus on international flights for the East Java area. The
airport’s future development is flexible. “If tourism is developed in southern East Java, the airport can be
for tourism. However, if industry and agriculture in East Java develop, we might also use it for cargo”,
Gudang Garam director Istata T. Siddharta said.
The first phase of construction is to be complete by April 2022. The airport is projected to
serve 1.5 million passengers after the first phase of construction and eventually
accommodate more than 10 million. With a runway of 3,300 meters in length the airport can
accommodate aircraft up to the size of Boeing B777 and Airbus A350. #1134.31
The new terminal at Minangkabau International Airport has been completed and was supposed to
have had a soft opening in February this year, with the official opening following in September. However,
no status updates have been issued this year. The new terminal for passenger aircraft has been built next
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to the existing terminal. The Indonesian airport company, PT Angkasa Pura II, says the aim is for the
new and existing terminals to eventually be connected to ensure a smooth flow of departure and arrival
of passengers on domestic and international routes.
Once the new terminal and the existing terminal are connected, Minangkabau International
Airport will have a capacity of 5.7 million passengers each year; a significant increase compared
to the current 2.2 million passengers per year. “The new terminal will be connected to the existing
terminal, and of course there will also be a refurbishment of the existing terminal,” said Muhammad
Awaluddin, President Director, PT Angkasa Pura II late last year. “The number of passengers in 2018 has
reached around 4.2 million people, while the existing capacity is only around 2.2 million people per year.
We hope that with the new terminal the capacity will reach 5.7 million people per year. In addition to the
new terminal, PT Angkasa Pura II’s apron development has also been completed. The apron was
expanded to 92,250 square meters so it now has 15 aircraft parking stands, compared to the eight
parking stands previously.” #1134.32
State-owned airport operator PT Angkasa Pura II, which manages most airports in the
western part of Indonesia, has reduced its capital expenditure this year to IDR 1.4 trillion
(USD 92.8 million), which is less than 20 percent of the initially earmarked IDR 7.8 trillion (USD 552.3
million), President director Muhammad Awaluddin said the capital expenditure (capex) would focus on
several airport development projects and airport facility and security system improvement. “Several
multilayer development projects are still ongoing this year, for example, the construction of the
commercial area, offices and hotels that are integrated with the Soekarno-Hatta Airport building. The
work on a design plan for Soekarno-Hatta’s Terminal 4 will also be continued this year and it is set to be
completed in 2021, with the groundbreaking [ceremony to be held] in January 2022,” said Awaluddin on
a statement released on Tuesday.
The company’s director of engineering, Agus Wialdi, said Angkasa Pura II had made a
significant cut to its budget following the sharp drop in aircraft and passenger traffic at its
airports due to the pandemic, which has taken a toll on the operator’s revenue. “Cutting costs is one
of our main measures to cope with the impact of COVID-19. Operations at Angkasa Pura II’s airports
have been significantly reduced as we are adjusting to the passengers and aircraft traffic,” said Agus.
Cost-cutting measures include suspending the Soekarno-Hatta Skytrain service, cutting electricity use by
46 percent and slashing water use by 60 percent at Angkasa Pura II airports across Indonesia. Agkasa
Pura II manages 19 airports in western parts of Indonesia, including Kualanamu International Airport in
Medan, Halim Perdanakusuma Airport in Jakarta, Depati Amir in Bangka Belitung Islands, Supadio in
Pontianak, Radin Inten II International Airport in Bandar Lampung and Sultan Mahmud Badaruddin II in
Palembang, among others. #1134.33
One of the options to maintain the level of investment in its airports, Angkasa Pura II (AP II)
is searching for a strategic partner to jointly develop some of the airports it manages. says
AP II’s president director Muhammad Awaluddin said: “Medan’s Kuala Namu International airport is one
such airport, and discussions with potential candidates are ongoing. We are pursuing the development of
airports with a strategic partner, so that we can share the capital expenditure and allow their
development plans to continue [as planned],” He adds: “Through project financing with the strategic
partner, Angkasa Pura II and the partner can share the risk and burden, with an aim of maintaining the
competitiveness of the national transportation sector”.
Besides the search for a strategic partner for its airports, AP II is also aiming to grow its
business inorganically, by acquiring new airports and moving into adjacent business. No other
details were shared. #1134.34
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Other Regions
AUSTRALIA
Melbourne’s long-awaited airport-to-city rail link route has been unveiled, with a promise to
get travelers to their destination in less than 30 minutes. Prime Minister Scott Morrison and
Premier Daniel Andrews announced the route on Saturday, committing billions in funding for the historic
project, which will connect Victoria’s regional and metropolitan rail networks. The reality of an airport-to-
city rail journey has been much-anticipated by Victorians, who unlike Australians in other states, have not
been able to catch a train to their airport but instead had to rely on an expensive Skybus service or taxis.
Construction is expected to kick off in 2022 and be completed by 2029. Melbourne Airport Rail
will see 10-minute turn-up-and-go services running from Melbourne Airport through the city, with direct
connections to sites including Melbourne University, the Parkville medical precinct, Melbourne Central and
Flinders Street stations, and the St Kilda Road business precinct. #1134.35
GREATER CHINA
The National Development and Reform Commission has officially approved the feasibility
study report for the construction of Terminal T3B and a fourth runway at Chongqing Jiangbei
International Airport. The project, which will cost an estimated USD 3.27 billion will start construction
in 2021. A 3,400-meter (11,155-foot) runway and corresponding taxiway system will be built on the east
side of the third runway. Terminal T3B is a boarding satellite serving Terminal T3A and will offer
2,350,000 square meters (2,529,519 square feet) of floor space. The apron will boast 148 stands.
The project also includes air traffic control and fuel supply projects, as well as the renovation of the T1
terminal. Once completed, Jiangbei International Airport will have four runways, an annual passenger
capacity of 80 million, an annual cargo capacity of 1.2 million tons, and 580,000 aircraft movements.
#1134.36
The National Development and Reform Commission has also approved the construction of a
new terminal and runway at Changsha Huanghua Airport. The project involves the
construction of a new Terminal 3, which will boast 500,000 square meters (5,381,955 square feet)
and a third runway measuring 3,600 meters (11,811 feet) and a 285,000 square-meter (3,067,714
square-foot) integrated cargo handling facility. When completed in 2030, the airport will be able to
handle 60 million passengers a year and an annual cargo throughput of 600,000 tons. In 2019,
Huanghua Airport handled 26.9 million passengers. A second phase will see the construction of a fourth
terminal opposite Terminal 3, as well as a fourth runway. #1134.37
MEXICO
Mexican airport group Grupo Aeroportuario del Pacífico (GAP) has announced its plan to
complete construction of the new terminal building at Puerto Vallarta International Airport
in 2024. The new terminal building will increase the airport’s capacity by almost 60%,
Guadalajara Airport director Martín Zazueta was quoted as saying: “For the purpose of Puerto Vallarta,
whose main investment is the new building, it will be built as it was planned for this five-year period, they
are different needs, since Puerto Vallarta had a series of requirements and the construction of this
terminal building was necessary during the deadlines set from the start.”
According to the proposal for adjustment to the Master Development Programs 2020-2024,
the total investment was estimated to stand at USD 149 million in 2017. More than 50% of this
investment will be made in 2023 and 2024. Along with Terminal Two of Guadalajara Airport, the new
terminal will be designed to cater to net zero environmental sustainability. In November, GAP concluded
the extraordinary review process for the Mexican airports’ Master Development Program 2020-2024. In
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August, the firm filed a proposal for the adjustment of the Master Development Program to the
Aeronautical Authority, thereby postponing investments for almost 20 months. #1134.38
UNITED KINGDOM
London City Airport in the UK has issued its new masterplan, detailing how the airport can
develop in a sustainable and responsible way under its long-term vision. The masterplan
follows a 16-week discussion carried out mid-last year. This plan was finalized after the consideration of
all comments received from residents, stakeholders and passengers during the consultation period. Due
to the Covid-19 pandemic, the masterplan, which was originally scheduled to be published in March, was
postponed as focus shifted to provide support to passengers, staff and local communities.
The new masterplan, which is a non-statutory document, will replace the airport’s previous 2006 master
plan.
The new plan outlined how London City Airport can provide capacity for up to 11 million
passengers and 151,000 aircraft movements per year by using the existing runway to the
optimum in line with government policy. It aims to assist in London’s recovery from the pandemic by
supporting 5,300 local jobs and providing improved connectivity to more domestic and European
destinations. To decrease its overall carbon emissions and become net-zero by 2050, the airport intends
to work in collaboration with the key industry, governmental and community associates. #1134.39
UNITED STATES
After two years of work, a new 23,319 square meter FedEx Express complex has opened at
Ontario International Airport in Ontario, California. The facility boasts nine wide-body aircraft
gates, 14 feeder aircraft gates and 18 truck docks. The airport is located about 50 kilometers from
downtown Los Angeles. The new space on the northwest side of Ontario International Airport is triple the
size of the space FedEx previously occupied. The shipping giant previously had its operation on the
airport’s south side.
The 30-year lease for the new space was approved in June 2018 by the Ontario International Airport
Authority (OIAA). Under that agreement, the OIAA handled clearing the space for the new FedEx facility
and the environmental impact report and analysis. FedEx took on constructing operational, maintenance
and administrative facilities in addition to making infrastructure improvements.
Representatives from FedEx and the OIAA appeared excited about the opening of the new facility.
In October 2020, Ontario saw 81,834 tons of cargo, an increase of 20.36% increase over
October 2019. Cargo volume year to date is up 18.6% in 2020 over 2019, according to data from the
airport. FedEx competitor UPS also operates a hub at Ontario International. Between that operation and
the newly expanded FedEx operation, Ontario International is likely to continue to see increases in cargo
volume in the months ahead. #1134.40
UGANDA
The Uganda Civil Aviation Authority (UCAA) has opened part of the first floor of the new
terminal building at Entebbe international Airport (EBB) to facilitate departing passengers with
adequate space at the check-in counters while observing the necessary Standard Operating Procedures
(SOPs). With the airport welcoming nearly 3 million visitors last year, and its current infrastructure built to
accommodate an average capacity of 500,000, the need for expansion was obvious and immediate. UCAA
has also completed reconfiguration of the passenger boarding lounges from closed to open boarding
lounges by removing the portions to provide more space and seating area.
The project also includes rehabilitation and strengthening of runway 12/30 and the
expansion of the cargo facilities. The overall progress regarding the upgrade and expansion of
Entebbe international Airport is at 75 percent level of completion. According to Mr Daniel Kiyimba, a
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senior Civil Engineer with UCAA, “the first floor of the new terminal building extension at the departure
area will be completed by December 30, 2020.” #1134.41
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