PT Angkasa Pura to expand five airports

Antara News, Friday, October 15, 2010 20:48 WIB

Jakarta (ANTARA News) - PT Angkasa Pura I plans to expand five airports in the country in the next two or three years with an investment reaching Rp4 trillion, its president director, Tomy Sutomo said here on Friday.

"The airports to be expanded are Ngurah Rai in Denpasar, Bali, Sepinggan in Balikpapan, Adi Sutjipto in Yogyakarta, Juanda in Surabaya and Ahmad Yani in Semarang," he said after signing a collective labor agreement for 2010-2012 between the company`s board of directors and employee association and union.

He said the expansion was needed to increase service in the airports. In general, he said, the airports are already overcapacity making their service to decline.

Citing an example he referred to the case of Ngurah Rai airport in Bali which was initially designed for accomodating 1.5 million passengers a year but was now accomodating more than 9.5 million passengers a year consisting of 4.5 domestic and five foreign passengers.

He said the first to be expanded would be Ngurah Rai early next year.

The enterprises ministry as the shareholder and the ministry of transportation have already given the permits, he said.

He said the documents for bidding some works had already been prepared and hopefully the project would all be completed in 2013.

He said for Ngurah Rai around Rp2 trillion would be needed, Rp1.25 trillion of it from loans and the rest from the company`s internal cash.

He said the company would cooperate with the Bali provincial government to help clear 129,000 square meters of land needed for the project.

The company expected its income this year to reach Rp2.361 trillion with a net profit of around Rp500 billion.

Until the third quarter this year, the state-owned airport operator company for the eastern region already earned Rp1.79 trillion.