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HOME arrow Archive arrow Industry Archive arrow Stansted shaves a third off the cost of a new runway
Stansted shaves a third off the cost of a new runway
Written by Business Weekly   
Friday, 09 December 2005
The second runway at London Stansted could be built for £2.7 billion – 30 per cent less than original estimates, airport owner BAA has revealed. The second runway at London Stansted could be built for £2.7 billion – 30 per cent less than original estimates, airport owner BAA has revealed.

And if BAA’s preferred option for siting the runway is approved, a staggering 76 million passengers a year could be accommodated from the Essex hub – hitting the Government’s wish list on meeting soaring UK demand for low fares air travel.

BAA has unveiled seven options across four runway locations – three to the south-east between the airport and the A120 and one on the opposite north-west side, some 475 metres from the existing runway. The new runway will be the same length as the existing one, at just a shade over 3km, located 2.2km to the east. The two runways would be linked by a cross-taxiway.

Stansted's preferred option involves the least landtake of all and a smaller area of land would have to be taken than was envisaged in the Government’s aviation White Paper.

Using the airport's preferred blueprint, 627 hectares of land would be taken compared to the 700 h.a. originally forecast; 87 properties would be lost, 25 of which are Grade II-listed. It would affect eight county wildlife sites and three ancient woodland sites and devour 27 hectares of woodland.

These figures assume the two runways operating independently – each being used for both take-offs and landings. The environmental impact is less if one is used for take-offs and the other for landings.

Depending on which option is eventually chosen, the capacity of the two-runway airport will increase from 22 million passengers a year today to between 63 million and 76 million in 2030. Subject to planning permission, the airport will be upgraded in phases as passenger numbers grow.

Phase I of the project will include a new terminal building, 42 extra aircraft stands, a new aircraft control tower and a new connecting road from the M11.

It would provide additional capacity for around 15 million passengers a year on top of the expected 35 million who will be using the airport in 2015. The Phase 1 capital cost is expected to be around £1.7 billion.

Subsequent phases will add additional capacity, taking Stansted to around 76 million passengers a year, costing a further £1 billion.

The cost is almost 30 per cent less than estimated in ‘The Future of Air Transport’ White Paper in 2003 and compares favourably with other major airport investment projects. Terminal 5 at Heathrow, for example, is being forecast to come in at £4.2bn – and that after huge preparatory costs.

In the best case scenario, the new runway would be operational in 2013 but any planning or related turbulence could see it slip.

BAA has launched a three-month consultation on the shortlisted options for the second runway and the related airport development at Stansted – a project called Generation 2.

Around 200,000 local residents are being sent details of the blueprint and MPs – together with local and regional politicians and airlines – are being briefed.

This is the first time since the Government published its White Paper backing Stansted as the preferred UK airport for a new runway that BAA has shared its development proposals.

Each option is supported by an outline design of the airport development, including a terminal building, taxiways, aircraft parking and passenger facilities. The land and building requirements for each will be contained within an expanded airport boundary.

The impending consultation is the first of many that can be expected in coming months by BAA and others on any road and rail schemes needed to support a two-runway development and any changes that may be required in airspace design.

This will all take place in advance of BAA submitting a formal planning application for the second runway development in 2007.

Terry Morgan, BAA Stansted’s MD, said: "This is a hugely significant moment in the development of Stansted as one of the EU and UK’s premier airports.

"A second runway here will play a key role in helping UK industry compete and win in the global economy.

"The airport is central to the dynamic £80 billion economy of the East of England and already gives increasing numbers of business and leisure travellers access to increasing numbers of European and international destinations.

"Government policy that drives this project looks ahead 30 years at the expected growth in demand for air travel. New runway capacity is seen as essential to meet this demand, and Stansted is the choice for the first new runway in the south-east. We were asked to bring forward plans for the development."

 
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