Ngurah Rai airport to get Rp 2 trillion face-lift

The Jakarta Post, Kuta | Fri, 08/06/2010 10:56 AM | Business

State-owned airport operator PT Angkasa Pura I said it will spend Rp 2 trillion ($US224 million) to renovate Bali's Ngurah Rai International Airport to improve service to domestic and international travelers.

Speaking to reporters in Kuta, Bali, on Thursday, president director Tommy Soetomo said the company would construct a new, 126,000 square meter terminal designated for international flights.

Tommy said the current terminal would be assigned specifically for domestic arrivals and departures.

Ngurah Rai currently serves 9 million passengers per year, comprised of 4.6 million domestic and 5 million international passengers.

"It is already overloaded," Tommy said, adding that "overcapacity should be resolved by expanding its terminals, especially for international routes."

Tommy said that the airport renovation would be internally funded and supported by bank loans.

"*Financing* is still in the final calculation, but the project may cost Rp 2 trillion," he added.

Apart from additional passenger capacity, Ngurah Rai will be equipped with a modern baggage handling system to guarantee the safety, he said.

"It is important for us to develop an airport that can provide security and also safety for every passenger's baggage. It's a must," he said.

He added that a requirement for new safety and security equipment will require more expensive investment in a new airport.

"We have to be able to provide a service level guarantee for customers for airline, cargo or passenger services," he added.

He said Ngurah Rai airport would have 13-14 million international passengers per year after the renovation is completed in 2013.

Angkasa Pura I controls 13 airports in the central and eastern part of the archipelago, including Hasanudin Airport in Makassar, Adi Sutjipto in Yogyakarta, Sam Ratulangi in Manado, Adi Sumarmo in Surakarta, Franskaisiepo in Biak, Eltari in Kupang, Juanda in Surabaya, Sepinggan in Balikpapan, Achmad Yani in Semarang, Syamsuddin Noor in Banjarmasin, Pattimura in Ambon and Selaparang in Lombok.

According to the company's financial report, PT Angkasa Pura I booked Rp 664.07 billion profits in 2009 up from Rp 662.33 billion in the previous year, while the company's assets reached Rp 8.62 trillion in 2009, up from Rp 7.47 trillion in 2007.

Air traffic control for PT Angkasa Pura I and II will be consolidated into a single body by Jan. 1, 2011, as mandated by the 2009 Law on Aviation, he said.

"Flight Information Region *FIR* will not be separated into two regions - Makassar Advanced Air Traffic Services *MAATS* and Jakarta Air Traffic Services *JATS*," he said.

"We will have a more focused handling of flight information," Tommy added, without further elaboration. (ebf)