BAA unveils future vision for Aberdeen Airport

Investment "opens up a world of opportunities" for the North East.

• £10m two year international development plan, including runway extension, expanded international arrivals hall
• £60m investment over next decade
• Up to 4 million passengers by 2015, and 5.9 million by 2030
• Two million international visitors by 2030
• Over 1,200 new jobs at the airport; many more across Scotland
• Commitment to sustainable and responsible growth

A two year plan to transform Aberdeen Airport into a “truly international gateway for north east Scotland” was unveiled today by airport operator BAA Scotland, just days after City councillors gave the go-ahead for a major runway extension.

The £10 million investment plan was confirmed today by Managing Director Andy Flower as he launched Aberdeen Airport’s Master Plan.

The ambitious blueprint outlines BAA’s vision for the future of the north-east terminal between now and 2030.

As a first step, the Master Plan sets out a two year, £10 million, plan to boost Aberdeen’s credentials as an international gateway, with two major development projects:

The first will see the international arrivals hall at Aberdeen Airport extended and refurbished, providing additional terminal capacity, a larger Customs and Immigration hall, and improved baggage reclaim facilities.

The second development will involve the construction of the first phase of a 300 metre runway extension designed to increase the range of international destinations within direct range of Aberdeen.

Customer Service Director Kevin Brown said: “We have listened to passengers who have told us that the international arrivals process is not what it could be, and that Aberdeen needs more direct flights. This Master Plan addresses both points. Together, these twin developments will allow Aberdeen Airport to deliver the international growth that is the hallmark of this ambitious Master Plan.”
Aberdeen City Councillors approved the runway extension at a meeting of the full Council last week. The decision means that BAA can now proceed with the detailed design and development work on the runway extension.

Aberdeen Airport managing director Andy Flower said: “We welcome this vote of confidence from our local councillors. It sends a clear signal that Aberdeen Airport is ready to become a major player in what is an increasingly competitive industry.

“This decision opens up a world of opportunities for Aberdeen Airport - for the millions of people who use our airport today; for the airlines who see the business and leisure opportunities the city and the north-east provides; and for the local businesses who rely on the network of direct flights from our airport.

“Today, our airport is the fastest growing of BAA’s seven UK airports, a remarkable achievement of which the city and region can be proud. We are determined to build on that success and so, today, I am delighted to confirm a two year £10 million investment plan that will deliver a better service to our growing number of international passengers, and support our efforts to attract new international air services.”

Mr Flower also revealed that the original Master Plan forecasts of up to 3.6 million passengers by 2015 and 5.3 million passengers by 2030 had been revised in response to the recent growth of Aberdeen Airport. Earlier this year, the airport saw passenger numbers soar past the 3 million mark. The revised Master Plan predicts that by 2015, the terminal could be handling 4 million passengers, with as many as 5.9 million by 2030.

“This hasn’t happened by accident,” added Mr Flower. “It is the direct result of BAA’s continued investment in Aberdeen, and our success in bringing new business and leisure flights to the north-east.”

Local business and tourism leaders welcomed the Master Plan.

Geoff Runcie, Aberdeen and Grampian Chamber of Commerce chief executive said: “The Chamber of Commerce welcomes the Airport’s commitment to the next stage of its development Master Plan. In particular we welcome the commitment to the £10m spend over the next two years on terminal enhancements and the first phase of the runway extension.

“As one of the key pieces of North East transport infrastructure this investment is crucial in terms of its timing with the Aberdeen Western Peripheral Route now making good progress towards completion in 2011. These two major projects will help release the full potential of the North East economy and support the continued international reach of the region’s businesses and technology.”

Councillor Alison McInnes, Chair of Nestrans, the regional transport partnership for Aberdeen City and Shire, said: "This announcement is the latest in a succession over the past week which will take the north-east into a new era for transport. It represents another big step towards meeting our key objective of improving the connectivity of Aberdeen City and Shire.
 
"These ambitious plans will further unlock the potential of the airport to support economic growth and competitiveness. Development of the airport is a key part of our draft Regional Transport Strategy now out for consultation, and we will support the airport to achieve its ambitions."

Ian Dunlop, area director for VisitScotland, Aberdeen and Grampian, said: “The ambitious plans which BAA Aberdeen Airport has set out in its Master Plan are very exciting for the north east, as they can only bring huge benefits to the area and help to really put Aberdeen City and Shire on the international map.
 
“If we are to achieve our ambition of 50% tourism growth by the year 2015 it is absolutely vital that we have excellent transport links and routes, and these investment and development plans will see Aberdeen Airport take its place as a true international gateway.”

The Master Plan is the result of over twelve months of detailed discussions with local stakeholders, including a four month public consultation that attracted responses from almost 200 local organisations, politicians and individuals.

Mr Flower added: “This Master Plan seeks to strike a balance between the positive and negative impacts of aviation.

“It recognises that the development of the airport will bring increased jobs, investment and inbound tourism. But it is also mindful of the impact of the airport on our local communities, and the legacy we leave future generations.

“Over the course of the past twelve months, we have listened to local stakeholders, consulted widely, and delivered a vision for the future of Aberdeen’s airport that is sustainable, responsible and achievable. We will continue to listen to, and work with, our neighbours and stakeholders to ensure that the north east’s airport develops to meet the needs of the city and region in the 21st century. This is the start of an ongoing process of engagement between the airport and the people it serves.”

Climate change, air quality, aircraft noise and transport links are among the many issues addressed in the Master Plan. The document also highlights the many benefits Aberdeen Airport provides, in terms of its social and economic impact, its contribution to business and tourism, and its substantial investment programme.

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Notes to the Editors:

The context
The requirement to publish a 25 year Master Plan was established in the Government’s 2003 White Paper, The Future of Air Transport, which set out the framework for airport development in the UK up to 2030. The Master Plan shows how BAA Aberdeen intends to deliver the White Paper’s objectives, in a sustainable and responsible manner.

The document is a revised version of an earlier draft published in November 2005 for public consultation.

The culmination of over 12 months of detailed discussions with local and national government, local residents, the business community and the tourism industry, the Master Plan outlines in detail how Aberdeen Airport will develop up to 2015, and the terminal and airfield facilities needed to achieve future growth. It also looks in more general terms at the period up to 2030.

In line with Government guidance, the Master Plan will be refreshed and reviewed every five years.

The 2005 consultation
Following the publication of the draft Master Plan in November 2005, a series of public drop-in sessions were held to give local stakeholders an opportunity to discuss BAA Aberdeen’s proposals face to face with airport managers.

A total of 194 responses - more than similar consultations held at Glasgow and Edinburgh Airports - were received from airport neighbours, local authorities, politicians, business groups, environmental and transport groups and community groups. The majority (155) were submitted by individual members of the public.

Consultants were commissioned to conduct an independent analysis and summary of the views expressed during the consultation.

Their report identified a number of key issues including public transport and car use, the impact of airport development on local communities, aircraft noise and a desire for more direct flights. The revised Master Plan provides a detailed response to each of the comments and questions posed during the public consultation.

In addition to the consultation, a MORI survey was also carried out in the autumn of 2005 to establish the views of over 500 local residents on the future development of Aberdeen Airport. This revealed a 79% favourability rating towards the airport among local residents.

The revised Master Plan: highlights and forecasts
Key sections of the original document have been updated, or re-written, in response to last year’s public consultation.

On the economic and social impacts of aviation, the Master Plan outlines the investment by BAA Scotland – some £21 million in the last financial year – in support of new routes through discounted airport charges and marketing support.

At Aberdeen, more than 20 new services have been secured over the past two years, the majority to international destinations, including new flights to Amsterdam, Oslo, Stavanger, Kristinansund and Tenerife. As a result, international traffic has grown during the period by 34%.

From 2007, new flights to Alicante, Barcelona, Faro, Murcia, Palma and Cyprus will also take off.

In 2002, a study by the respected Fraser of Allander Institute found that Aberdeen Airport contributed more than £482 million a year to the Scottish economy and supported over 9,000 jobs, including 2,800 people directly employed at the airport. As the airport expands, the number of people directly employed is forecast to increase to 3,000 by 2015 and to 4,000 by 2030. The number of indirect employment opportunities is forecast to increase at a similar rate.

The Master Plan also highlights a recent report by Oxford Economic Forecasting, published this month, which found that the air transport industry contributes £11.4 billion a year to the UK economy and supports more than 520,000 jobs. The document also outlines BAA Scotland’s support for lifeline airlinks to the Northern Isles and Highlands.

Aberdeen Airport has seen passenger numbers increase by 34% over the past decade, rising from 2.3 million in 1996 to more than 3.1 million today.

The Master Plan has been revised to take account of the recent growth of Aberdeen Airport. It now forecasts passenger numbers of up to 4 million by 2015 and as much as 5.9 million in 2030 – a near doubling on current levels.

The number of international passengers is forecast to rise significantly as the airport’s international route network expands. By 2030, the number of foreign based passengers using Aberdeen Airport is set to reach 35% of overall passenger numbers, the equivalent of two million international visitors.

With passenger numbers set to rise, considerable investment in new terminal and airfield facilities will be required. Over the next decade, BAA Aberdeen expects to invest around £60 million on capital investment, as part of a BAA Scotland wide investment worth around £600 million.

As part of the investment, additional terminal and airfield capacity will be required for check-in, baggage reclaim, departure lounges and boarding gate facilities. A £3 million Departure Lounge was completed in 2006, providing greater circulation space and an improved retail and catering offering for departing passengers. A £2.5 million extension of the Northern elevated walkway, incorporating new gate rooms and business lounges, is due to start in 2007. Beyond 2015, it is likely the Northern elevated walkway will be further extended to provide additional space, and a new Southern pier will provide enhanced facilities for passengers using Stands 0 to 3.

In addition to the approved 300 metre northern runway extension, the Master Plan also seeks to safeguard the possibility of a further 100 metre extension to the south by 2015, extending the size of the runway to 2,229 metres.

Beyond this, further extensions to the north and south could extend the length of the runway to 2,629 metres. This would allow airlines based at Aberdeen to fly non-stop to destinations across the Mediterranean, North Africa and even North America, removing the need for costly and inconvenient fuel stops. It would also allow Aberdeen Airport to accommodate the new generation of cleaner, quieter aircraft such as the Boeing 787.

As the runway expands, so too will the number of aircraft stands required at Aberdeen Airport. Currently, the airport has 16 stands of varying sizes. By 2015, this number could increase to 25, with as many as 29 required by 2030, including a ‘jumbo’ stand to accommodate the new generation Boeing 787 Dreamliner or a Boeing 747 jumbo.

Since the approval by Aberdeen City Council, in March 2005, of extended opening hours, the airport has recorded a 15% increase in air cargo and mail volumes. The Master Plan predicts further growth in the years ahead, from 6,361 tonnes in 2005, to 7,200 tonnes in 2015 and 8,800 tonnes in 2030.

As well as promoting the benefits of aviation, the Master Plan makes it clear that addressing the negative impacts of aviation will also be a priority for BAA Aberdeen .

On the environment, a new section on climate change has been added to make clear BAA’s commitment to address aviation’s contribution to greenhouse emissions through an industry-wide EU emissions trading scheme. This will force the aviation industry to make a choice: either cut emissions or pay for permits which will fund innovation in other industries to deliver matching emissions reductions.

The Master Plan also sets out efforts by BAA Aberdeen to reduce energy use and promote energy efficient across the airport campus. Details of a feasibility study into carbon-offsetting, part funded by parent company BAA Scotland, are also highlighted.

On aircraft noise, the Master Plan recognises that managing noise impacts remains a key challenge. Aberdeen Airport already has in place a range of measures designed to control noise, including lower charges for quieter aircraft types, a ban on so-called ‘chapter two’ aircraft, and voluntary restrictions on the types of aircraft permitted to fly at night. At an industry level, BAA is also working with airlines to design quieter, cleaner engines.

Going forward, the proposed runway extensions will allow airlines to operate cleaner, quieter and more fuel efficient aircraft from Aberdeen. The anticipated reduction in helicopter movements by 2030 could also result in the closure or partial closure of helicopter runway 05/23, resulting in a reduction of helicopter air and ground noise.

Following consultation with local neighbours, BAA Aberdeen is currently considering a number of options that might further mitigate against the impacts of ground and air noise. A separate five year Noise Action Strategy for Scotland will be published, together with an annual Aberdeen Airport Noise Action Plan.

On air quality, the Master Plan highlights BAA Aberdeen’s work, in partnership with the relevant local authorities to identify and address areas of poor air quality. A separate air quality strategy, setting out objectives to reduce the impact of the airport on local air quality, has been published.

On transport links, the Master Plan recognises the value of local bus services as a means of reducing road traffic congestion. Today, almost 220,000 passengers access the airport by public transport, the equivalent of 7% of total passenger numbers. A separate plan to increase public transport use will be published in spring 2007.

The Master Plan re-iterates BAA Aberdeen’s support for the Aberdeen Western Peripheral Route as a means of reducing peak congestion, and supports improvements to the nearby rail network, including the progression of Aberdeen Crossrail.