Auckland Airport To Spend NZD$1.8 Billion On Upgrade

New Zealand's Auckland International Airport (AIA) has announced plans to spend NZD$1.8 billion (USD$1.29 billion) on updating and expanding infrastructure as passenger numbers are expected to reach 18.7 million this year.

The infrastructure projects include upgrading the international check-in and arrivals areas, and adding additional gate capacity to accommodate more A380s and 787s.

A new domestic terminal will be built alongside the current international building, during the 2018-2022 construction phase.

“Auckland’s airport has evolved and grown from only several hundred thousand passengers in 1966 to over 18.7 million this year,” the airport’s chief executive Adrian Littlewood said.

The growth “has helped to fuel New Zealand’s recent tourism boom and bring real economic growth to our cities and regions… we are responding to that growth by currently investing over NZD$1 million in aeronautical infrastructure every working day.”

The announcement comes after a 17-month consultation process with airlines and the airport community on aeronautical infrastructure, Littlewood said.

The airport will also secure planning permission for a second runway, with earthworks expected to start in 2020 or 2021, and completion in 2028. Until then the airport said it will increase the capacity and productivity of the existing runway.

AIA also announced changes to its passenger charges, with international charges reduced by 1.7 percent each year, and domestic charges increasing by 0.8 percent per year over the next five years in real terms. A runway land charge of NZD$1.19 per passenger will be introduced from the start of the 2021 financial year once construction of the second runway is confirmed.