Taiwan Plans US$8.6 Billion Airport Renovation

Taiwan's government plans to invest nearly $9 billion to upgrade its busiest international airport, as improving relations with China and an expected surge in cross-strait traffic push the island to make much-needed renovations after years of neglect.

Yeh Kuang-shih, deputy minister of Transportation and Communications, said in an interview that the government intends to invest 270 billion New Taiwan dollars (US$8.6 billion) and add a third runway and terminal at Taoyuan International Airport.

Cross-strait flights will be key to increasing air traffic to Taiwan by helping to "make Taipei into a transfer hub for China and Southeast Asia to other places across the world," he said.

Political and media criticism of Taoyuan, one of two airports that serve Taipei, has intensified this year following a spate of mishaps, including bathroom and roof leaks, a collapsed boarding bridge and a near-collision on the ground between a passenger and cargo jet.

It has slid down the airport service rankings of the Airports Council International, and passengers rated it last in a survey of the island's 10 major passenger airports conducted by Taiwan's Civil Aeronautics Administration this year.

"These new plans are very important for our international competitiveness," Mr. Yeh said. "Taiwan is an island, so it is crucial we use the airport to drive Taiwan's economy."

The plans include the construction of a third terminal, a third 4,000-meter runway to accommodate larger aircraft such as the Airbus A380, and a direct-rail link to Taipei, Mr. Yeh said. Construction has already begun on the rail link.

Beyond updating antiquated facilities, the improvements will enable the airport to handle the increasing number of passengers who travel through the airport, Mr. Yeh said.

"The government hasn't taken care of the airport for close to 20 years," he said. "There's been no new investment, so it's not surprising these sorts of things occur. That's why it's so important we undertake this sort of big project."

He said Taoyuan's passenger volume will likely hit a high of around 25 million this year, up some 16% from 21.6 million last year, partly because of agreements between Taiwan and China last year to allow cross-straits flights. Passenger volume at Taoyuan could reach 40 million to 50 million by 2030, he said.

The government will hold an international competition next year for the design of terminal three, which is slated to be completed in six years at a cost of about NT$80 billion, Mr. Yeh said.

Mr. Yeh also said Taiwan is unlikely to change the number of mainland tourists allowed to visit the island for now, despite local media reports citing the hope of Zheng Lizhong, the deputy chairman of China's Association for Relations Across the Taiwan Straits, that the quota be raised from 3,000 tourists per day.

"Right now we want the quality of the visits to remain high, so we are looking to increase the number of business visitors and solo travelers who tend to stay longer and not travel in tour groups," he said. "We want people to spend several days in Taipei, go to coffee houses, see the local culture, not just spend all of their time in tour groups going from spot to spot."

He said the new airport facilities wouldn't specifically attract tourists, but they could help increase tourism to Taiwan.

"If you have good terminals, more airlines will come in and you will be able to build a network. As it becomes more convenient to come to Taiwan, you will naturally bring in more tourists," Mr. Yeh said.

(Source: 30SEP2010)
 

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