General News
Below are links to stories of general interest in relation to aviation and airports.
“Have regional airports had their day in the sun?” Plans by some for business parks, housing etc in future
The Northern Echo writes: "Have regional airports had their day in the sun?" They look at loss-making regional airports, after the news that Manston and Prestwick are to effectively be sold for £1 each. Others are surviving on bail-outs from taxpayers. From Prestwick to Newquay, numbers of passenger at UK regional airports plummeted after 2007 as airlines withdrew flights and consolidated services at the major hubs in response to a reduction in both leisure and business traffic. Durham Tees Valley has been particularly badly hit, and continues to lose money - perhaps £4 million this year. Its owner, Peel, are proposing a business park with housing for the airport, and that sort of plan is becoming commonplace. Peel have launched similar plans at Robin Hood Airport, which includes a pub, offices, and industrial buildings. Newcastle airport's masterplan aims to include 2 business parks. Cambridge has a scheme to build up to 1,500 homes on land adjacent to the airport, and Manston wants to develop a campus with student accommodation.
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Prestwick Airport to be sold to Scottish Government for £1 – and other failing regional airports look to business parks and housing
Infratil, which currently owns Prestwick Airport, has said the airport is expected to be sold to the Scottish Government for £1. The sale is due to be completed by Wednesday, 20 November. Infratil said the airport’s value had been “fully impaired” - effectively written off - after Prestwick and sister airport Manston in Kent were collectively valued at £11 million in March. Infratil bought Prestwick from Stagecoach in 2001 for £33m. Manston is being sold to Stagecoach founder Ann Gloag for an expected £400,000. Scottish Ministers are taking over Prestwick airport, which is losing £7m a year, to avert its closure and safeguard 1,400 jobs, including 300 at the airport. Infratil described its investment in the airports to have been “unsuccessful for Infratil” and that while such regional airports looked like a good investment 5 years ago, they now are not as they are reliant on "robust air traffic growth driving demand." Other failing airports are looking to create business parks on their land, and housing - to try and make money out of them.
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Farmers near Khed, in the Pune area of India, to demonstrate about airport purchase of their land
There are a large number of greenfield sites in India where airports are planned, with the country rushing to build ever more airports, partly in increase domestic aviation. There is much opposition locally, by land owners whose land is appropriated and who are moved off their land. Many are not given fair compensation. There is a possible "international" airport planned for Pune, some 80 miles south east of Mumbai. There are plans to put it partly on a Special Economic Zone, at a place called Khed. This would require also compulsorily purchasing 500 hectares of undulating agricultural land that is privately owned, to make an airport with 2 runways, each of 4,000 metres, on a site of total area 1,268 hectares. Many families would be displaced. One report says: "The farmer leader claimed that the assured financial package to farmers has not been given despite the fact that the firm was formed six years ago." There are some 950 farmers involved, and there will be a demonstration against the land purchases on 18th November. The airport's construction is proposed to begin in 2015.
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Speculation that GIP, Ferrovial and MAG interested in buying Aberdeen Glasgow and/or Southampton airports
Sky News has learned "from banking sources" that various infrastructure investors are interested in buying Aberdeen, Glasgow and Southampton airports - amid expectations that their owner, Heathrow Holdings, will opt to sell them - to focus on its ownership of Heathrow. It is understood that Heathrow is considering a plan to offload, following a string of unsolicited approaches from prospective buyers. Global Infrastructure Partners (GIP) which owns Gatwick and City airports, has expressed an interest in buying Aberdeen airport, although it has not yet made a formal bid. A number of Heathrow's shareholders and board members are said to be keen to dispose of the 3 regional airports but its board has not yet made a formal decision. Ferrovial now only owns 25% of Heathrow,and is reported as now likely to be interested in buying one or more of the airports, through a separate vehicle. MAG is also understood to want to buy one or more of them.
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“Heathrow Hub” proposers, claiming to be without vested interests, revealed to stand to make millions from options on land
The "Heathrow Hub" proposal for a 4 runway Heathrow got some very expensive full page ads in the main broadsheet papers recently, probably costing a total of well over £200,000. Now the Guardian reports that the group behind the "Heathrow Hub" scheme, which said in its adverts that it was without the "lobbying of vested interests" stands to make millions from options on nearby land should its £12.5bn plan be accepted by the government. Heathrow Hub adverts aimed to persuade the public that its expansionist solution could mean "quieter Heathrow expansion" despite almost doubling the number of planes over London. Their plan includes building on a 200-acre site north of Heathrow that the group could buy for a fraction of its future value. If the government approves the Heathrow expansion scheme, the value of the land currently might rise from around £10,000 per acre to £2m or more – an increase in value from £2m to at least £400m for the site. The 4 Heathrow Hub directors are shareholders in the land, and have a vested interest in its development.
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“London Britannia” (aka ‘Boris Island’) mega Thames Estuary airport designs publicised by promoters, Testrad
In the last month before the Airports Commission reveals its interim report, there is a flurry of activity, with airport schemes vying with each other to get media attention - and the attention of Sir Howard Davies. The mega-expensive (and needing huge public funding) scheme calling itself "London Britannia Airport" (aka Boris Island) had got itself plenty of media coverage. Its developers, Testrad, say the cost of £47 billion to develop the airport plus rail links, infrastructure etc, "would be recouped from the real estate value and closure of Heathrow." There is little new, other than what was reported earlier, in July. The airport claims it would bring huge economic benefits, cover most of the Thames estuary in a development area, allow the area at Heathrow (airport would have to be closed) to become a pleasant London suburb, and there are a list of other claims - including that it "avoids the problems of other land-based airport developments." It even makes out that it avoids bird strike problems (?). The entire area is part of the Outer Thames Estuary Special Protection Area.
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Environmental Audit Committee warn that biodiversity offsetting plans are too simplistic and a “box-ticking exercise”
The Environmental Audit Committee has said a plan to help developers to win permission to build housing on wildlife habitats by “offsetting” the impact is too simplistic and could turn into a licence to pour concrete on the countryside. The government scheme would involve very perfunctory assessments of species in the area being targeted for development, taking as little as 20 minutes. A developer would then offer to create a replacement habitat somewhere else. Many sites need to be studied over a year, to get a true record of the species using them. The Audit Committee said the scheme could deliver benefits if subjected to stricter rules, but as proposed it could diminish important habitats, such as ancient woodland or SSSis. They told the Government the scheme needs to be delayed till pilot projects have been independently evaluated. Owen Patterson does not like development schemes being held up for biodiversity reasons. Many valuable sites have ecosystems that have taken decades or centuries to develop - these cannot be instantly replicated.
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Committee on Climate Change warns that UK must not reduce the level of ambition of its 4th carbon budget (2023 – 2027)
The Committee on Climate Change (CCC) has advised that there has been no significant change in the climate science, international and EU circumstances on which the UK's 4th carbon budget (2023 – 2027) was set in 2011. It says there is therefore no legal or economic basis for the government to change the budget or reduce its ambition. Only if there is significant change in circumstances can budgets be altered. Considering the recent IPCC report, the CCC agrees the emissions cuts to meet the 4th carbon budget are a minimum UK contribution to required global action. It reiterates that the UK is not acting alone in shouldering its responsibilities. In fact our targets are relatively unchallenging. It and says the UK has an important role in securing an ambitious international agreement. The latest IPCC report reiterates how vital continued action is and that a global temperature rise of 4 degrees C is likely if emissions continue to increase. The CCC will provide its final advice on the 4th carbon budget in December 2013.
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Sec of State for Wales says South Wales to Heathrow rail link would provide major economic boost
Secretary of State for Wales David Jones has said a £500m direct rail link between Heathrow and South Wales would be a major economic driver for the area. He said better infrastructure would play a crucial role in growth of the Welsh economy. Last year the UK Government outlined its commitment to the Western Rail Access scheme – a new rail link which will cut 30 minutes off the journey times from South Wales. Network Rail is currently looking at options for the proposed spur, including direct services from South Wales on the Great Western Main Line into Heathrow, or providing a separate shuttle service from Reading. And David Jones added the standard speil about “Fast and convenient links to our major airports are crucial as we look to compete in the global race." What race? Colin Matthews said 8.8% of the 1.3 million people in the UK working for foreign-owned firms that use Heathrow are from Wales.
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CAA air passenger survey 2012 confirms low % of passengers on business, and high % of AB and C1 flying
The CAA Air Passenger Survey for 2012 has been published. It covered Birmingham, Bristol, Cardiff, East Midlands, Exeter, Gatwick, Heathrow, London City, Luton, Manchester and Stansted Airports. (Each year it covers a slightly different selection). Over 210,000 departing passengers were questioned. Some of the interesting findings from the survey were: Heathrow had 37% connecting passengers; London City airport had the highest proportion on business, at 54% (down from 63% in 2010); Heathrow had 32.4% on business; Gatwick 17.5%; Manchester 23.9 %; Stansted 15%; Luton 16.1%; Birmingham 22.5%. The survey also looked at the socio-economic group of passengers. In the categories C2, D and E, Heathrow had 19.9%; London City airport 14.6%; Gatwick 26%; Stansted 29.3%; Manchester 43.4%; Luton 28.9%; Birmingham 33% and Bristol 35.3%. By contrast around 45% of the UK population are classed by polling organisations at C2,D+E. For the London airports, the AB group fly a disproportionate amount.