AIRPORT NEWS

CIAL in talks on Sri Lankan airport project

Right: Cochin International Airport is India’s first public-private partnership airport project

Sri Lanka’s President Mahinda Rajapaksa has invited Cochin International Airport Ltd (CIAL) for six days of talks starting on 28 January, concerning construction of a new airport in the country.

CIAL built Cochin Airport, which is India’s first public-private partnership airport project. CIAL managing director S. Bharath says, “The invitation for this came from Rajapaksa and we have taken this opportunity with a lot of excitement.

“If what they want is just the building of the airport, we are prepared for that and if they want us to take care of the operations part also, we are ready for that too. We are ready for what they want,” he adds.

Stakes in CIAL are owned by the Kerala state government, the company’s directors, public sector banks and public sector organisations, including Air India, non resident Indians and Indian residents, while private commercial banks hold a 2% stake in the company.

CAA lists pricing options for Stansted

Right: CAA is trying to determine how to regulate fees at Stansted for five years from April 2009

The UK Civil Aviation Authority has published five different options for the way it calculates fees charged by Stansted Airport. The options would come into effect for a five-year period starting 1 April 2009.

It has invited comment on the options by 17 March and will make a recommendation to the Competition Commission in April. The commission will take about six months to conduct an inquiry before reporting back to the CAA, which will make a decision in March 2009.

The publication of the pricing options follows last week’s decision by the UK government that passenger charges at London Stansted should continue to be regulated (see: CAA drops Manchester fees regulation - news.php?NewsID=2924). The CAA recommended last summer that Stansted price controls be dropped, but the government says there is insufficient capacity in London to ensure charges are competitive.

London’s three main airports, Heathrow, Gatwick and Stansted, are all operated by BAA, a unit of Madrid-based Grupo Ferrovial.

• Option one: an inflation plus option that includes reference to airport investment plans.
• Option two: involves price caps for current airport facilities, but allows unregulated fees for new developments.
• Option three: competitive tendering of terminal developments to minimise costs and therefore fees.
• Option four: a market-led approach that caps fees according to forecasts of the airport’s costs and competitive position.
• Option five: a precautionary price cap, which is set to prevent excessive prices in the event that the airport acquires a dominant position.

The options are described in detail here.

Dr Harry Bush, the CAA’s Group Director of Economic Regulation, says, “We fully accept the Secretary of State’s decision that Stansted Airport should continue to be price-regulated… our job is now to develop proposals that are proportionate, taking into account the market power held by Stansted Airport; do not prejudice the commercial position of other, competing airports; and encourage the efficient investment in capacity that passengers in the market want. The consultation we have begun today represents a first step in the process of developing an appropriate framework and price cap proposals for Stansted. We welcome views on them.”

Manchester to give Concorde new home

From July, passengers travelling through Manchester Airport will be able to view the supersonic plane Concorde in a specially-built US$2.2 million (£1.1 million) hangar and visitor centre.

The 68m x 38m covered glass, steel and hi-tech PVC structure will form the central part of the airport’s exhibitions, which last year attracted some 250,000 visitors.

The new visitor centre is designed to protect Concorde from the elements – it has been on display at Manchester for the last five years. It will also feature an education centre for school tours, a corporate hospitality suite, an aviation exhibition, and a glass-walled restaurant with views of Concorde and the airport’s runway.

Manchester’s operations manager, Andrew Holl, says, “Concorde is very close to our hearts here at the airport and we know that her many thousands of visitors feel passionately about her care for the future. The hangar will not only protect Concorde for future generations to enjoy, it will also provide a great day out for the thousands of people we expect to visit in the future.”

Light aircraft causes Singapore airspace shutdown

Two Australians aboard a Cessna 208 Caravan floatplane caused a 50-minute shutdown of Singapore's airspace, aviation officials said today

On Tuesday night the aircraft approached without an approved flight plan, prompting two Singapore Air Force F16 fighter jets to scramble during Changi Airport's busiest period. The two missile-armed fighters intercepted the Cessna and signalled it to land. The two Australians were escorted away by police, who are investigating the incident.

Altogether, the shutdown of commercial airspace affected 23 aircraft, disrupting flights in and out of Changi. Passengers were delayed and many thousands of dollars in fuel was lost as the airliners circled Singapore while awaiting permission to land.

The Cessna began its flight from Thailand's Koh Samui island.

Singapore Air Criticized Over Elephant Ad

An animal rights organization criticized Singapore Airlines on Thursday for an advertisement using an elephant to sell flights.

People for the Ethical Treatment of Animals (PETA) said the offending advertisement, calling on travellers to "visit colourful India", featured a man holding a bullhook forcing an elephant to bow.

"There's nothing colourful about tearing elephants away from their families and habitats and forcing them to perform for tourists under the threat of beatings," Ingrid Newkirk, PETA's president, said in a statement.

Singapore Airlines said the scene was depicted in a drawing and that the ad had not been used recently.

"That this group chooses to pick on a drawing... shows they clearly aren't aware of the work that our airline is supporting, to facilitate well-managed conservation projects," said a Singapore Airlines spokeswoman. (Reuters)

Jet, Kingfisher Eye SriLankan Air Stake - Report

"Indian carriers Jet Airways and Kingfisher Airlines are eyeing the stake held by Emirates in SriLankan Airlines, the Economic Times said, citing unnamed industry officials.

Emirates, the largest Middle East airline, said earlier this month it was interested in selling its 43.6 percent stake in SriLankan Airlines and wanted around USD$150 million for it.

The Sri Lankan government already owns 51 percent of the airline and has said it may buy Emirates' stake. The management of SriLankan Airlines will revert to the government on April 1.

"For Indian carriers, a major attraction in acquiring a stake is the booming business from India to Colombo with over 100 flights a week," the paper said.

A spokeswoman for Jet declined comment, while a spokesman.

Jet Airways already operates flights to Colombo and is boosting its international operations to counter growing competition in the domestic market.

Jet acquired India's Air Sahara last year. It has approached British airline bmi's majority shareholder about the sale of his stake, the Sunday Telegraph reported at the weekend.

Kingfisher is controlled by India's biggest alcoholic beverage maker, the UB Group. It is merging with Deccan Aviation and is scheduled to start flying overseas this year.