how long they can operate at a loss if the national economy should implode,” CAPA warned.
This public sector support of an airport
infrastructure put the European regulations on state-aid into perspective. Similarly, a different economic model applies in the Middle East, where the Gulf state airports, like their airlines, seem to have unlim- ited funds for expansion. This September Dubai announced plans to spend US$32 billion extending facilities at Al Maktoum International airport – which only opened last year. Ultimately, it will be capable of
handling 200 million passengers a year and will become the hub for Dubai’s flag carrier, Emirates. Within six to eight years the development will have room for more than 100 Airbus A380s at any one time. The scale of this project matches the ambitions of Dubai, and there is a level of government backing for the project which matches the Chinese. Elsewhere in the region, Qatar saw the opening of Hamad International earlier this year. The airport, which will be the home for Qatar Airways, will see its capacity increased until it is
DISMAL OUTLOOK FOR BRITAIN
THE SNAIL-PACED PROGRESSION OF A DECISION about UK airport capacity continues. The £100 billion-pound Boris Island in the Thames estuary is now not an option. Attention is currently focused on three alternatives: a second runway at Gatwick; and either a third runway at Heathrow or extending one of its existing runways so it can operate as two independent runways. But hold on: Boris Island could be back on the agenda. Its eponymous proponent, London Mayor Boris Johnson, has promised that he will campaign for the airport if he gets elected in next year’s General Election. He is standing in the safe Conservative seat of Uxbridge and South Ruislip, which borders the Hayes and Harlington constituency that covers Heathrow.
The UK general election is too close to call at the moment – with many pundits talking up the likelihood of no overall majority. This raises the prospect of another five years of coalition with the Lib Dems, who are opposed to all expansion options. Whatever
BUYINGBUSINESSTRAVEL.COM
decision Sir Howard Davies’ Airports Commission makes, chances are it will face some sort of political upheaval, at local, national or even pan- European level, if not all. But don’t forget, the Commission isn’t going to make the decision. Its purpose in life is to oversee the process by which a recommendation will be made. Whichever government (or coalition) is in charge can choose to accept or ignore that recommendation. So when will this
recommendation, for what it’s worth, be made? The Commission said last December that it will start a public consultation this autumn. At the time of writing no date has been set. And how long do public consultations last for? The government’s Consultation Principles document says: “The amount of time required will depend on the nature and impact of the proposal... The timing and length of a consultation should be decided on a case-by-case basis; there is no set formula for establishing the right length.”
capable of handling up to 90 million passengers a year.
As mentioned at the outset, while the UK dithers over the addition of a single runway, the world’s emerging economies are regularly opening new airports and expanding existing ones. The world’s eco- nomic power is moving east and airport trends reflect that. The UK is exposed to this paradigm shift in many ways. Having a new runway is unlikely to stem the tide but it would give the UK a fighting chance to remain competitive over the next couple of decades.
Third runway? Heathrow airport
Once the public
consultation period – for which there is no timetable or deadline – has ended, how long does the
Commission have to come up with the recommendation? Luckily here the government is crystal clear. “Consultation responses should usually be published within 12 weeks of the consultation closing,” it says.
But: “Where departments do not publish a response within 12 weeks, they should provide a brief statement on why they
have not done so,” the government says. So if it’s going to take more than 12 weeks to respond to the consultation, that’s okay – you just have to let people know. And finally, what’s this, under the ‘practical considerations’ section? “Consultation exercises should not generally be launched during local or national election periods.” So chances are the consultation might not start until after the next election. It’s taken so long thus far, another few months isn’t going to make that much difference...
BBT NOVEMBER/DECEMBER 2014 73
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