AOT cuts budget for Phase 2 of Suvarnabhumi expansion

After a new feasibility study, AOT adjusted the budget from the initial Bt85 billion to Bt61.6 billion. However, all major aspects of the second phase are retained as planned, and work is expected to start next year. The plan will be proposed to the Transport Ministry for approval on October 28.

Prasong Poontaneat, chairman of the board of directors, said AOT planned to spend Bt19 billion for a new runway, Bt11 billion for parking and a tunnel, Bt29 billion for a terminal complex that will also include a car park and monorail system, and Bt2.6 billion for other facilities and infrastructure.

He said the new passenger terminal would increase passenger capaci

ty from the originally planned 15 million to 20 million, while other new facilities would increase the airport’s overall service competency.

AOT does not expect to need to borrow from financial institutions for the Suvarnabhumi expansion next year but may need to do so later,

he said.

AOT is also expanding Phuket International Airport and renovating Bangkok’s other international airport, Don Mueang. The renovation at Don Mueang is nearly complete. This should increase passenger capacity from the current 18 million to 30 million.

Prasong said air traffic at its six airports between October 2013 and last month totalled 609,937 flights, up by 9 per cent from a year earlier. Of these flights, 285,145 were domestic and 324,782 international.

The total number of passengers in the same 12-month period was 87 million, up by 1.6 per cent. Of that total, 36 million were domestic passenger, representing growth of 14 per cent, and 51 million were international passengers, down by 5.6 per cent. As a result, revenue is expected to drop slightly from last year. The company then will cut staff’s annual bonus from 11 months last year to 6.5 months this year.