Project Definition Sheets Q5 Baggage

Transcription

1 Appendix D: PDS Q5 Baggage Project Definition Sheets Q5 Baggage BCT Number and Project Name as shown in Schedules 1851 : Post T5 Transfer Baggage System 3801 : T3 Integrated Baggage System 7664 : T2A (HET) Phase 2 Baggage System 8747 : Baggage Integration 8818 : Baggage Product Improvement Project 9351 : T1 Baggage Prolongation Programme 9355 : T1 Hold Baggage Screening 9399 : T4 Airline Moves - T : T4 Integrated Baggage

2 Q5 SCHEDULE FOR BAGGAGE PROJECTS BAGGAGE 1851 Transfer baggage system T5-T3 Complete tunnels civils work Tunnel baggage & IT installation T5C - 3A integration WIB Building construction WIB Baggage & IT Tunnel baggage commissioning WIB Building baggage commissioning System Integration T5-T3 Completion Confirmation (Trigger MS) 3801 T3 Integrated Baggage System Construction Decision Building Works Targets Confirmation Baggage Installation Commission & Test Complete T3 IBS (Trigger ms) Cut over from old to new Build & commission OOG and drop off 3810 T1-T4 Baggage Tunnel Refurbishment- additional works Procure Supplier Targets Confirmation Refurbishment works 9351 T1 Baggage Prolongation Brief Decision Procure Supplier Options Decision Construction Decision Manufacture Targets Confirmation Assembly 9355 T1 HBS Replacement Procure Supplier Options Decision Construction Decision Target Confirmation Replace HBS machines Remaining works 9399 T4 Airline Moves - T407 Manufacture External works & enclosure M&E and baggage system inst T4 Integrated Baggage Programme Procure Supplier Options Decision Construction Decision Manufacture baggage sorter Install baggage sorter Manufacture Targets Confirmation Install Test & Commission TBF Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 LEGEND Procure / Design Procure / Design Manufacture & Assembly Commissioning BAA Stage Milestone Trigger Milestone

3 Header Information Project Name: Name in Schedule: Post T5 Transfer Baggage System - T5 to T3 to T1/HET 1851 : Post T5 Transfer Baggage System Project Overview, Objectives and Status Overview: Description: Ref Drawings/Images: (Refer to Appendix A) Objectives: BAA: Airline: Status: BAA Lead Team: Capital & Solutions Project Delivery An automated DCV transfer baggage system (for in gauge bags) to operate as an extension to the T5 system extending to provide a transfer link through to T3 and T1. Plan Layout with key dates Passenger Service improvement (predictability of transfer baggage process including reduction in missed bag rates, reduction in minimum connection times) Business Improvements (income, health and safety and environmental efficiencies) Predictability of transfer baggage process Reduction in missed bag rates Reduction in minimum connection times Reduced overall operating costs Airline Engagement: Strategic Solution or DGS/IGS Stage Amber Civil works/tunnelling - Construction Baggage & Buildings - Construction Total Capital Budget (Outturn): 243,525,324 Refer to appendix B for cost information detail. Time: Brief Decision: Start on Site: Completion on Site: Operational Use Commences: September 2007 February 2008 August 2011 November 2011 Assumptions: The following points cover the significant delivery assumptions related to this project; The capacity of the system will be 3000 bags per hour each way with a 15 min peak of 750 bags The Western Interface Building (WIB) function will be located, as an early phase, within an extended T3 Integrated Baggage building and will provide an integrated facility and system. Construction completion T5 to T3 on defined as: The tunnel

4 completed and fully equipped with M&E services with the cart tracks installed and fully tested to meet the bag through put and 'in system time' trials (using test bags). Operational readiness will proceed after this completion date. At the T5 to T3 milestone completion date discharge from the tunnel at T3 will be onto docks at the WIB for onward transport of transfer bags to the T3 baggage system, as the new system will not be fully integrated until Docks will also be used at the WIB to load/unload bags transferring to and from T5 by tunnel. Operational readiness will be carried out from for the fully integrated system at T5C and the dock arrangement at WIB. Operational readiness will then be carried out again when the new T3 Baggage system is complete. Due to change in strategy reflected in Eastern Campus Master Plan Option 6 it is no longer possible to have an above ground Eastern Interface Building (EIB). It was therefore agreed with the airline community (by CCRS in May 09) to delete the EIB building and defer fit out of T1 to T3 Tunnel until Eastern Campus T2A Phase 2 is completed and full connectivity can be achieved c It was further agreed by the airline community (by CCRS) that the Trigger for T1 to T3 Connectivity in March 2012 is omitted and replaced with a new trigger for handover of Stand 117 for operational use in December This is to be ratified by the CAA following the agreed process. Balance of funding of 35.5m resulting from these changes will be transferred to other projects to be identified by CIP Working Group and JST for expenditure in Q5 with proportional trigger amount. Note: Assumptions stated here are to aid understanding and are not necessarily exhaustive. Operational Issues Financial Revenue and Operational Cost (Opex) Impact: Revenue / Opex Cost Area: Revenue (+) / Cost (-) Impact per Commentary: Baggage Opex Annum: Neutral in Q5 Potential 3m pa saving on the current Inter Terminal Operation (ITO) van based baggage service, after estimated tunnel opex costs taken into account, achieved when full T5 to T1 system complete. Interim T5 to T3 tunnel and ITO service T3 to T1 is opex neutral. Both would be reflected in the cost per bag charge Assumptions: The following points cover the significant operational assumptions related to this project; Overall saving in transfer baggage operation will be achieved but details of system down time contingency utilising ITO van operation still to be confirmed. Out of gauge transfer baggage ITO van service will remain between terminals

5 and will be utilised in tunnel system down time contingency. Areas of Disagreement The following points cover any significant areas of disagreement between BAA and the Airline Community regarding this project. Airlines had requested a 15 min peak of 1000 bags (against 750 bag agreed design capacity) for robustness in peak periods but all subject to simulation during design. Capacity model that was issued and agreed by the Connectivity Airline Working Group (appointed by JST) in August 2007, based on a statistical approach resulted in a 15 min demand result of 750 bags max which was expressed as a 3000 bag per hour capacity. The tunnel diameter and baggage system is sized on this capacity. The OneWorld audit dated October 2008 stated that this approach is sound thus closing this issue. CAA Trigger Definition Sheet for T5 to T1 tunnel system incorrectly still refers to this 1000 bag peak and is to be changed using the Trigger CCRS process Note: Any disagreement noted must be read in the context of the airline engagement status shown above

6 Appendix A: Overview: Plan Layout with key dates T5C TBM Launch Chamber from April 2008 T3 WIB Shaft from June 2008 T1 EIB Shaft from September 2008 Tunnel Drive Commence February 2009 Open-face TBM Delivery December 2008 T5 T3 Operational August 2011 Commence Baggage Installation February

7 Appendix B: Project Delivery: Cost Information: Project Information Project Name: Post T5 Transfer Baggage System (Q5) BCT No.: 1851 Cost Information All information extracted from February 2010 month end process Base Costs: 198,505, % On-Cost: 32,928, % Opportunity 0 0 % Risk (R1 Allowance Only) 12,091,470 5 % Total (As entered into Artemis for Feb 2010 month end) 243,525, % Commentary: On-costs include a project specific insurance policy which is greater than usual for BAA Capital Projects (circa 3m)

8 Header Information Project Name: Name in Schedule: T3 Integrated Baggage System 3801 : T3 Integrated Baggage System Project Overview, Objectives and Status Overview: Description: Ref Drawings/Images: (Refer to Appendix A) Objectives: BAA: Airline: Status: BAA Lead Team: Capital & Solutions Project Delivery Provide a single modern facility to process all T3 transfers and departure baggage. Service quality equivalence. Improved system performance Improved operational safety. As BAA s Airline Engagement: Strategic Solution or DGS/IGS Stage Green Construction Decision Cost: Total Capital Budget (Outturn): 224,220,000 Refer to appendix B for cost information detail. Time: Brief Start on Completion on Operational Use Decision: May 2007 Site: Enabling ~August 2008 Site: Commences: August 2012 June 2013 Assumptions: The following points cover the significant delivery assumptions related to this project:- The project shall provide a replacement T3 baggage handling facility which has; A capacity aligned to 2026 forecasts; Provides a new single departures and transfers baggage system at Terminal 3 which incorporates like for like system functionality across the Heathrow campus; Provide screening and processing of baggage in line with United Kingdom (DfT), European EU300 (ECAC Document 30) and United States of America (TSA) legislative requirements; Provides a safe and very efficient operating environment; The project proposes to use new ULD management and ULD baggage loading technology automation and proposes to phase the implementation of this technology into operation such that risk is limited to a practical minimum. This automation technology requires a new operating model which has been developed in partnership with the internal and external stakeholders which is

9 now fully endorsed; The BAA bag charge associated with the existing T3 baggage system is low because of the limited functionality; The new T3 Integrated Baggage System design has been developed with a full understanding of the baggage operating costs. This knowledge has influenced the design and ensured that the bag charge remains competitively low. The project team is aware of the challenges surrounding the potential long term use of the apron area that surrounds the location of the T3 Integrated baggage development site. With the new Terminal 3 Integrated baggage system it will be possible to:- Provide an integrated baggage system which provides integrated make-up facilities for direct and transfer in/out-bound baggage; Provide a solution which has a modular expandable design construction philosophy in line with the phasing strategy; Provide a baggage system with an appropriately sized Early Bag Store; Provide any input to any output functionality; Meet the H&S requirements for a safe environment that meets BAA standards including manual handling; Provide a HBS operation that is equivalent to those in other HAL terminals; Provide secure and reliable Sort Allocation Computer & SCADA systems, comparable to those in other Heathrow Terminals; Meet Heathrow s intra-terminal and inter transfer target as defined in the Heathrow Baggage Product Service Level Agreement; Provide expedite facilities. Provide tug charging facilities in a suitable orientation and location to be agreed with the airlines Provide airline office accommodation and appropriate levels of handling staff accommodation giving due consideration to the impact of automation. Note: Assumptions stated here are to aid understanding and are not necessarily exhaustive. Operational Issues Financial Revenue and Operational Cost (Opex) Impact: Revenue / Opex Cost Area: Revenue (+) / Cost (-) Impact per Commentary: The bag charge Opex of 17.77mPA assumes that the new system is used by multi-handlers. ( 17.77m/PA) Less Risk Opex Annum: 0.25m/PA Possible retail income (signage) As concluded following completion of the Scheme Design stage of work Assumptions: The following points cover the significant operational assumptions related to this project; Automation will be accepted by the airline/handler unions. The baggage system has been designed to operate with a single handler or with multiple handlers. In all instances Service Level Agreements are required to ensure that the system operatives use the system within operationally acceptable tolerances or Service Level Agreements (SLA s)

10 Areas of Disagreement The following points cover any significant areas of disagreement between BAA and the Airline Community regarding this project. Although confidence in the use of automation has been gained through the use of proven system suppliers, baggage, ULD and vehicle simulation tools, further confidence in the automation of ULD management and loading of baggage into ULD s needs to be provided using fully more simulation modelling and system emulation training. Staff training and staffing level changes need to be managed carefully. Note: Any disagreement noted must be read in the context of the airline engagement status shown above

11 Appendix A: Overview: Reference Drawing / Image: New T3IB Baggage Hall Level 100% Conventional Laterals

12 10 HBS - Link bridge and Tunnel Systems Interface (post November 09 load file update) Level 20 Robotic Build Area and Early Bag Store

13 Appendix B: Project Delivery: Cost Information: Project Information Project Name: T3 Integrated Baggage BCT No.: 3801 Cost Information All information extracted from February 2010 month end process Base Costs: 176,120, % On-Cost: 30,320, % Opportunity -1,870,000-1 % Risk (R1 Allowance Only) 19,650,000 9 % Total (As entered into Artemis for Feb 2010 month end) 224,220, % Commentary: Figures based on DL Cost Model Nr 6.1. Percentages are individually rounded up to 2 significant figures

14 Header Information Project Name: Name in Schedule: T2A Phase 2 Baggage System 7664 : T2A (HET) Phase 2 Baggage System Project Overview, Objectives and Status Overview: Description: Ref Drawings/Images: (Refer to Appendix A) Objectives: BAA: Airline: Q5 funding of early management and design resources for Eastern Campus Phase 2 baggage Overview Plan for Eastern Campus Baggage Masterplan 6 Alliance collocation Service quality improvement Operational efficiencies Alliance collocation Service quality improvement Operational efficiencies Status: BAA Lead Team: Capital & Solutions Airline Engagement: Strategic Solution or DGS/IGS Stage Amber Explore Project Delivery Total Capital Budget (Outturn): 20,963,694 Q5: 3, Q6: 17,463,694 Refer to appendix B for cost information detail. Time: Brief Decision: Start on Completion on Operational Use Site: Site: Commences: August 2010 To be agreed To be agreed To be agreed Assumptions: The following points cover the significant delivery assumptions related to this project; The need for a Phase 2 of the Eastern Campus is driven by passenger growth and asset life expectancy. Current forecasts excluding Mixed Mode effects suggest T2A Phase 1 will reach its design capacity by 2020, along with this Pier Service demands in Terminal 3 and the Eastern Campus would suggest the construction of additional infrastructure. Other key drivers are the life expectancy of Terminal 1 and the removal of T2A reliance on the Terminal 1 Baggage System. Enablers to the commencement of this project are: Completion of Eastern Campus Phase

15 Relocation of the Terminal 1 Non Aligned Airlines Reprovision of the British Airways Cathedral Hanger T2C/D safeguarding completed during Q5 BCT 7664 will be used during Q5 to fund early management and design resources for EC Phase 2 baggage Key scope and new infrastructure assumptions as stated in PDS 7720 T2A Phase 2 with the following baggage specific items highlighted Civil Construction of the TTS and Baggage tunnels between T2A, B and the remaining sections connecting T2B to T2C Baggage System fitout of T2A, B and C based on Masterplan Option 6 Baggage civils zones & basements in the extension of the T2A Terminal based on Baggage Masterplan Option 6 Retrofit and integration works required inside T2A Phase 1 Eastern Campus Phase 2 Operational Readiness Key scope assumptions for this project are: Early feasibility assessments Early constructability assessments Early optioneering assessments Early design cost advice Note: Assumptions stated here are to aid understanding and are not necessarily exhaustive. Operational Issues Financial Revenue and Operational Cost (Opex) Impact: Revenue / Revenue (+) / Commentary: Opex Cost Area: Cost (-) Impact per Annum: Baggage To be advised Opex Assumptions: The following points cover the significant operational assumptions related to this project; Baggage design will take full account of operational issues with a view to reducing end to end operating costs. Areas of Disagreement The following points cover any significant areas of disagreement between BAA and the Airline Community regarding this project. Terminal 1 Airline occupancy post the opening of Eastern Campus Phase 1 has yet to be agreed. The Airline occupancy of Eastern Campus Phase 2 has yet to be agreed which affects the ultimate design and construction delivery program. Note: Any disagreement noted must be read in the context of the airline engagement status shown above

16 Appendix A: Overview: Baggage Masterplan 6 EASTERN APRON BAGGAGE MASTERPLAN T2C T2B T2A PT5TBS LI NK TO T 1-T4 T UNNEL HEADSHUNT OPT I ON B BELOW GROUND TRANSFER + DEPS BUILD AT PIERS OPTION 6 T2D PT5TBS EI B CURRENT L OCATION CUT & COVER RAW BAGGAGE TUNNEL LVL TRANSFER INPUT EXPEDITEHBS NOTIONAL EXTENSION TO ACCOMODATE 40MPPA I/O DOCKS 2500m2 BAGGAGE BASEMENT BASEMENT BAGGAGE TUNNEL LVL BAGGAGE TUNNEL LVL ITTTS SAFEGUARDED BAGGAGE BASEMENT TTS PHASE 1 BAGGAGE LINK BRIDGE TTS TUNNEL PASSENGER EXPEDITE OUTPUT DEPARTURES BUILD ARRIVALS SYSTEM DEPARTURES SYSTEM 30MPPA. SAFEGUARD FOR 40MPPA XX-GA-XXX

17 Appendix B: Project Delivery: Cost Information: Project Information Project Name: T2A Phase 2 Baggage System BCT No.: 7664 Cost Information All information extracted from February 2010 month end process Base Costs: 3,500, % On-Cost: 0 0 % Opportunity 0 0 % Risk (R1 Allowance Only) 0 0 % Total (As entered into Artemis for Feb 2010 month end) 3,500, %

18 Header Information Project Name: Name in Schedule: Baggage Integration 8747 : Baggage Integration Project Overview, Objectives and Status Overview: Description: Ref Drawings/Images: (Refer to Appendix A) Objectives: BAA: Airline: Status: BAA Lead Team: Capital & Solutions Project Delivery Integration of the baggage product & assurance across the programme where not already included within individual projects scopes None Provide a robust & reliable baggage operation across the baggage portfolio that aligns with the functionality agreed under airline constructive engagement: Integration of discrete baggage projects to provide a single baggage product for Heathrow Provide greater baggage operational reliability, flexibility & maintainability Fit with future terminal occupancy strategy Standard baggage product solutions across the portfolio Service quality equivalence Standard baggage product solutions across the portfolio Airline Engagement: Strategic Solution or DGS/IGS Stage Green Various Cost: Total Capital Budget (Outturn): 3,413,443 Refer to appendix B for cost information detail. Time: Brief Decision: Start on Site: Completion on Site: Operational Use Commences: TBD TBD TBD Assumptions: The following points cover the significant delivery assumptions related to this project; When the baggage programme was created there was recognition that not all projects included all required costs for assurance and integration. This project was created to provide budget to cover baggage product integration costs that are not already included within specific project cost plans. It is proposed to maintain this project as a centrally managed integration activity

19 rather than to allocate it across several projects currently in delivery (as was proposed in CIP 2009). Note: Assumptions stated here are to aid understanding and are not necessarily exhaustive. Operational Issues Financial Revenue and Operational Cost (Opex) Impact: Revenue / Opex Cost Area: Revenue (+) / Cost (-) : Commentary: The detailed scoping for this project is yet to be completed. This is a 2010 activity. Assumptions: The following points cover the significant operational assumptions related to this project; None Areas of Disagreement The following points cover any significant areas of disagreement between BAA and the Airline Community regarding this project. None Note: Any disagreement noted must be read in the context of the airline engagement status shown above

20 Appendix B: Project Delivery: Cost Information: Project Information Project Name: Baggage Integration BCT No.: 8747 Cost Information All information extracted from February 2010 month end process Base Costs: 0 0 % On-Cost: 3,413, % Opportunity 0 0 % Risk (R1 Allowance Only) 0 0 % Total (As entered into Artemis for Feb 2010 month end) 3,413, % Commentary: Holding account to cover baggage integration costs that are not already provisioned for in specific cost plans for individual projects

21 Header Information Project Name: Name in Schedule: Baggage Product Improvement Project 8818 : Baggage Transition (NB. This project has been renamed as the Baggage Product Improvement Project) Project Overview, Objectives and Status Overview: Description: Ref Drawings/Images: (Refer to Appendix A) Objectives: BAA: Airline: Status: BAA Lead Team: Capital & Solutions Project Delivery Minor projects fund for baggage system improvements during Q5 to maintain performance, reduce opex or improve safety. None Provide a robust & reliable baggage operation across the baggage portfolio that aligns with the functionality agreed under airline constructive engagement: Provide greater baggage operational reliability, flexibility & maintainability Fit with future terminal occupancy strategy Standardise baggage product solutions across the portfolio Service quality equivalence Standard baggage product solutions across the portfolio Airline Engagement: Strategic Solution or DGS/IGS Stage Green Various Cost: Total Capital Expenditure (Outturn): 10,645,856 Refer to appendix B for cost information detail. Time: Brief Decision: Start on Site: Completion on Site: Operational Use Commences: TBD TBD TBD Assumptions: The following points cover the significant delivery assumptions related to this project; The Baggage & Flight Connections Programme was created after the Q5 CIP was set. To create the Programme, scope was transferred from other Programmes and from within existing projects. This project is a holding account in recognition that the projects created from this exercise may not include all user requirements. This fund is used to provide budget for additional minor projects identified by the airlines and other users which were not known about at the

22 time of the creation of the Baggage Programme. As the required scope is identified, a new BCT project is created to execute the works and the funds transferred to it from this holding fund. Note: Assumptions stated here are to aid understanding and are not necessarily exhaustive. Operational Issues Financial Revenue and Operational Cost (Opex) Impact per annum: Revenue / Opex Cost Area: Revenue (+) / Cost (-) : Commentary: To be developed on a project by project basis. Assumptions: The following points cover the significant operational assumptions related to this project; None Areas of Disagreement The following points cover any significant areas of disagreement between BAA and the Airline Community regarding this project. None Note: Any disagreement noted must be read in the context of the airline engagement status shown above

23 Appendix B: Project Delivery: Cost Information: Project Information Project Name: Baggage Transition BCT No.: 8818 Cost Information All information extracted from February 2010 month end process Base Costs: 10,645, % On-Cost: 0 0 % Opportunity 0 0 % Risk (R1 Allowance Only) 0 0 % Total (As entered into Artemis for Feb 2010 month end) 10,645, % Commentary: BCT8818 is set up to hold budget which will eventually be transferred to a dedicated new BCT for project execution. Risk and on-cost allowances will be assigned in each project once the scope is defined

24 Header Information Project Name: Name in Schedule: T1 Baggage Prolongation 9351 : T1 Baggage Prolongation Programme Project Overview, Objectives and Status Overview: Description: Ref Drawings/Images: (Refer to Appendix A) Objectives: BAA: The T1 Prolongation projects are required in order to maintain the current T1 operation and meet future demands including the operation of the direct and transfer baggage system for T2A phase 1. Scope captured in BCT 9351 relates to: Domestic & International Reclaim units & feeder conveyors Emergency Stop Zoning Improvements Remote Flight Systems Monitors upgrade SCADA upgrade Low Level Controls upgrade (PLC s) Options being developed. These work-streams form part of the T1 Baggage Programme and respond to both the agreed document Heathrow Baggage 2018 Product and Operating Strategy and to the Eastern Campus Baggage Masterplan 6. Each work-stream has its own objectives, detailed in both the Statement of Need documents and the Brief Decision funding papers submitted to and approved at the Baggage Programme Boards in Nov 2009 and January General objectives across the scope include:- to improve system reliability to ensure the T1 PLCs remain supportable and resilient up to 2019 to ensure the T1 infrastructure has the capacity to meet the demand of the baggage system for T2A Phase 1 to bring the T1 PLCs & SCADA onto a common platform to facilitate the BAA IT Support Strategy. to reduce downtime through quicker response times and simpler fault identification, to improve speed of fault identification and rectification to reduce opex to reduce rebate payments to airlines to ensure compliance with BAA standards and

25 Airline: Status: BAA Lead Team: Capital & Solutions appropriate BS standards to reduce opex to improve manual handling where possible Airline Engagement: Strategic Solution or DGS/IGS Stage Amber Brief Decision Nov 2009/ Jan 2010 Options/ Construction Decision for SCADA Feb 2010 Options Decision March 2010 for all other Prolongation workstreams (& HBS) Construction Decision - September 2010 (BAA Bd, August 2010 Baggage Programme & Stakeholder Boards) Project Delivery Cost: Total Capital Budget (Outturn): 20,100,000 Refer to appendix B for cost information detail. Time: Brief Start on Completion on Operational Use Decision: November 2009 & January 2010 Site: Site: March 2010 March SCADA November other workstreams Commences: April 2013 Assumptions: An Assumptions register is being developed for these projects and will be available at the Options Decision gateway. Initial assumptions include:- The baggage operation will need to be maintained throughout, hence disruption to be minimised Passenger experience to be maintained to an agreed acceptable level Note: Assumptions stated here are to aid understanding and are not necessarily exhaustive. Operational Issues Financial Revenue and Operational Cost (Opex) Impact: Revenue / Opex Cost Area: Revenue (+) / Cost (-) Impact per Commentary: Baggage Opex Annum: Not known at this stage An understanding of the opex implications forms part of the Options development process. The governance gateways are targeted for March

26 Assumptions: The following points cover the significant operational assumptions related to this project; Baggage operation to be maintained during the programme of works. A detailed phasing plan is being developed to share with stakeholders. Areas of Disagreement The following points cover any significant areas of disagreement between BAA and the Airline Community regarding this project. None at this stage Note: Any disagreement noted must be read in the context of the airline engagement status shown above

27 Appendix B: Project Delivery: Cost Information: Project Information Project Name: T1 Baggage Prolongation Programme BCT No.: 9351 Cost Information All information extracted from February 2010 month end process Base Costs: 20,100, % On-Cost: 0 0 % Opportunity 0 0 % Risk (R1 Allowance Only) 0 0 % Total (As entered into Artemis for Feb 2010 month end) 20,100, %

28 Header Information Project Name: Name in Schedule: T1 Hold Baggage Screening (HBS) Replacement 9355 : T1 HBS Project Overview, Objectives and Status Overview: Description: Ref Drawings/Images: (Refer to Appendix A) Objectives: BAA: Airline: To replace all necessary HBS machines in T1 to achieve EU compliance by September 2012 Options being developed. a) Meet EC/ DfT requirements for all baggage, both direct and transfers baggage by 1 st September 2012 b) To complete all works on site and hand back a fully operational baggage system in time for the Olympics ie by June 2012 c) Meet TSA requirements for US Carriers for both direct and transfers baggage d) The current HBS warranties end in March 2007 at which time the supplier has stated that they are unable to provide further guaranteed support. This replacement project resolves this issue e) The existing machines require replacement to safeguard the baggage operational performance from HBS failures f) To extend the life of the T1 baggage system to support the T2A Phase1 requirement to use the T1 outbound baggage system until T2A Phase 2 opening circ 2019 g) To comply with the Eastern Campus Masterplan 6, the Heathrow Baggage 2018 Product and Operating Strategy and the transition plans being developed. a) To combine the existing two screening control rooms into one + standby to generate Opex savings b) To configure the HBS equipment to minimise operational costs and manual handling Status: BAA Lead Team: Capital & Solutions Airline Engagement: Strategic Solution or DGS/IGS Stage Amber Brief Decision 15 Dec 2009 Options Decision 16 March

29 Project Delivery Cost: Total Capital Budget (Outturn): 23,057,710 Refer to appendix B for cost information detail. Time: Brief Start on Completion on Operational Use Decision: Site: December 2009 April enabling works September HBS strip out Site: Commences: September 2012 September 2012 Assumptions: An Assumptions register is being developed for this project and will be available at the Options Decision gateway. Initial assumptions include:- a) Demand forecast is based on the Crimson Line 2018 Schedule b) The Conan model has been applied to produce Bph assumptions c) Aer Lingus & Icelandair remain in T1 d) The baggage operation will need to be maintained throughout. e) T1 will support T2A Phase 1 operations for all HBS requirements from Phase 1 opening to Phase 2 opening. f) The bag demand flows up to 2018 are within the limits of the T1 system g) The HBS system layout to be configured to optimise level 1,2,3 & 4 operations Note: Assumptions stated here are to aid understanding and are not necessarily exhaustive. Operational Issues Financial Revenue and Operational Cost (Opex) Impact: Revenue / Opex Cost Area: Revenue (+) / Cost (-) Impact per Commentary: Baggage Opex Annum: Not known at this stage 442k incremental opex assumed at Options Decision for third party contract support for new Examiner machines (provided by John Briggs). Opex savings associated with integrating TSA requirements and consolidating some/ all of the T1 screening rooms will be explored during scheme design when the future operation will be better understood. Assumptions: The following points cover the significant operational assumptions related to this project; Baggage operation to be maintained during the programme of works. A detailed phasing plan is being developed to share with stakeholders. A 'show & tell' is scheduled for 24th March 2010 for an initial roll out

30 Areas of Disagreement The following points cover any significant areas of disagreement between BAA and the Airline Community regarding this project. None at this stage Note: Any disagreement noted must be read in the context of the airline engagement status shown above

31 Appendix B: Project Delivery: Cost Information: Project Information Project Name: T1 HBS Replacement BCT No.: 9355 Cost Information All information extracted from February 2010 month end process Base Costs: 23,057, % On-Cost: 0 0 % Opportunity 0 0 % Risk (R1 Allowance Only) 0 0 % Total (As entered into Artemis for Feb 2010 month end) 23,057, %

32 Header Information Project Name: Name in Schedule: T4 Airline Moves - T : T4 Airline Moves - T407 Project Overview, Objectives and Status Overview: Description: Ref Drawings/Images: (Refer to Appendix A) Objectives: BAA: Airline: The T4 Airline Moves - T407 Project provides transfer out-of-gauge baggage screening facilities for Terminal 4. In production design stage The purposes of this project are: To provide transfer out-of-gauge screening facilities at Terminal 4 to meet the needs of the new handlers at T4 post-airline moves To provide these facilities in close-proximity to the main baggage hall and avoid the need to transport OOG baggage the temporary facility in the T4 EBS area To reduce mis-handled bags To improve end-to-end performance times for OOG transfer bags To reduce handler driving distances Status: BAA Lead Team: Capital & Solutions Airline Engagement: Strategic Solution or DGS/IGS Stage Green Production Design Project Delivery Cost: Total Capital Budget (Outturn): 5,638,181 Refer to appendix B for cost information detail. Time: Brief Decision: Start on Site: Completion on Site: Operational Use Commences: June 2009 April 2010 August 2010 August 2010 Assumptions: Transfer OOG baggage screening will continue in the T4 EBS area until the completion of the T407 project Note: Assumptions stated here are to aid understanding and are not necessarily exhaustive

33 Operational Issues Financial Revenue and Operational Cost (Opex) Impact: Revenue / Commentary: Opex Cost Area: Revenue (+) / Cost (-) Impact per Annum: Baggage Opex Assumptions: The following points cover the significant operational assumptions related to this project; Transfer OOG baggage screening will continue in the T4 EBS area until the completion of the T407 project Areas of Disagreement The following points cover any significant areas of disagreement between BAA and the Airline Community regarding this project. None at this stage Note: Any disagreement noted must be read in the context of the airline engagement status shown above

34 Appendix B: Project Delivery: Cost Information: Project Information Project Name: T4 Airline Moves - T407 BCT No.: 9399 Cost Information All information extracted from February 2010 month end process Base Costs: 5,302, % On-Cost: included 0 % Opportunity 0 0 % Risk (R1 Allowance Only) 335,221 6 % Total (As entered into Artemis for Feb 2010 month end) 5,638, %

35 Header Information Project Name: Name in Schedule: T4 Integrated Baggage Programme 9516: T4 Integrated Baggage Project Overview, Objectives and Status Overview: Description: The T4 Integrated Baggage Project is required in order to maintain the current T4 operation and meet future demands, including future airline moves. The scope includes: HBS machine replacement (LHS and transfer) Front sorter maintenance platform Additional arrivals belts Additional flight make-up positions ULD stillage Ref Drawings/Images: (Refer to Appendix A) Objectives: BAA: Options being developed. The purposes of this project are: To provide sufficient arrivals and departures capacity to enable airline move steps 9.2 and 9.3 in 2010 and 2011 To achieve EC/DfT security compliance through the replacement of the remaining standard 1 HBS machines (check-in LHS and transfer) by 1 st September 2012 The current HBS warranties end in March 2007 at which time the supplier has stated that they are unable to provide further guaranteed support. This replacement project resolves this issue To enable the further development of the T4 baggage system (under a future project) to comply with the Heathrow 2018 Baggage Product and Operating Strategy document and where necessary to support growth in demand. To complete the front sorter replacement project (maintenance platform) Airline: To enable airline moves 9.2 and 9.3 To reduce mis-handled bags To improve manual handling

36 Status: BAA Lead Team: Capital & Solutions Airline Engagement: Strategic Solution or DGS/IGS Stage Amber Options Decision - March 2010 Project Delivery Cost: Total Capital Budget (Outturn): 53,090,000 Refer to appendix B for cost information detail. Time: Brief Decision: Start on Site: Completion on Site: Operational Use Commences: August 2009 April 2010 May 2011 Various Assumptions: An Assumptions register is being developed for these projects and will be available at the Options Decision gateway. Initial assumptions include:- Airline move sequence takes place as planned in January 2010 The baggage operation will need to be maintained throughout, hence disruption to be minimised Passenger experience to be maintained to an agreed acceptable level Note: Assumptions stated here are to aid understanding and are not necessarily exhaustive. Operational Issues Financial Revenue and Operational Cost (Opex) Impact: Revenue / Opex Cost Area: Revenue (+) / Cost (-) Impact per Commentary: Baggage Opex Annum: Not known at this stage The very recent creation of the T4IB programme means that Opex information has not yet been generated. Assumptions: The following points cover the significant operational assumptions related to this project; Baggage operation to be maintained during the programme of works. A detailed phasing plan is being developed to share with stakeholders Areas of Disagreement The following points cover any significant areas of disagreement between BAA and the Airline Community regarding this project. None at this stage Note: Any disagreement noted must be read in the context of the airline engagement status shown above

37 Appendix B: Project Delivery: Cost Information: Project Information Project Name: T4 Integrated Baggage Programme BCT No.: 9516 Cost Information All information extracted from February 2010 month end process Base Costs: 53,089, % On-Cost: 0 0 % Opportunity 0 0 % Risk (R1 Allowance Only) 0 0 % Total (As entered into Artemis for Feb 2010 month end) 53,089, %