Auckland Airport: the next 20 years and beyond

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1 ISSUEBRIEF March 2006 Auckland Airport: the next 20 years and beyond Masterplan: 2005 to 2025 This is a summary of the latest Auckland Airport masterplan review. It is Auckland Airport s growth strategy for the future. It builds on the comprehensive planning carried out in the past and uses the latest data and forecasting to determine where the airport is heading in the next 20 years and beyond. The masterplan is a living document that the airport can use to ensure it is constantly working to provide the safe, secure and seamless movement of aircraft, passengers and freight right out to 2025 and beyond. The airport is pivotal to New Zealand s successful tourism industry and to New Zealand s place in the world as a thriving export economy. Auckland International Airport Limited s (AIAL) objective is to continue to refi ne its long-term strategy to ensure that the airport is meeting the growth and aviation capacity needs of the Auckland regional and wider New Zealand economies. What is a masterplan? Masterplanning is a tool that airports and other major infrastructure providers employ to plan effective and effi cient use of available land. A masterplan identifi es appropriate development at the airport in the short and medium term while keeping sight of long-term needs. It is, essentially, a blueprint for the future development of the airport. The Auckland Airport masterplan provides an extensive overview for business and facility planning, including: demand projections, staging of development, terminal strategy, migration planning for northern runway and terminals, and an integrated land use plan for internal and external use. Fast Facts Major developments in the next 20 years include: 24 million passengers per annum forecast by Major extensions and upgrading of the international terminal along with improved retail and passenger processing facilities. A new domestic passenger terminal, aprons and gates located immediately north of the present international terminal. Dual runways with both runways and new taxiways jet capable. A new control tower to service the parallel runway system. Enhanced apron and terminal facilities for both runways. A cross taxiway system to link the two runways. Redevelopment of the freight facilities and the creation of a precinct for freight in the position of the current domestic terminal. At least two hotel facilities one budget traveller accommodation and the second a four-to-fi ve star hotel in the combined terminal precinct. Improved transport links with Auckland and Manukau cities. A transport hub within the airport precinct. Further development of the key property portfolio areas of commercial, business, recreational, aviation support and shopping.

2 Auckland Airport: the next 20 years and beyond Auckland Airport in 2005 Auckland Airport is an essential infrastructure asset for New Zealand s economy. AIAL s economic impact assessment shows that Auckland Airport generates and facilitates more than $15 billion a year worth of value added to the New Zealand economy. Directly or indirectly the airport sustains around 240,000 full-time equivalent jobs. These impacts equate to 14% of New Zealand s gross domestic product, and more than 15% of national employment. The airport is served by 29 international airlines, nine domestic and commuter airlines and seven dedicated cargo airlines. Auckland Airport is also the second busiest airport for international passengers in Australasia and second largest international freight port (sea and airports) by value in New Zealand. In addition, the airport now handles more than 11 million passenger movements annually. Other indications of the strategic value of the airport to the local and national economies include: 70% of all international visitors to New Zealand arrive at, and depart from, Auckland Airport More than 30,000 passengers are handled on average every day 85% of New Zealand s air cargo is handled through Auckland Airport Annually more than $7 billion of exports, representing 20% of New Zealand s total exports are dispatched through the airport Annually $5.7 billion of imports, representing 13% of New Zealand s total imports, are processed through the airport 105 international fl ights and 329 domestic fl ights are handled every day on average Annually the airport handles over 158,400 aircraft movements. Forecasts Demand projections by external industry experts examined local and global aviation and tourism markets, along with economic drivers and the business environment. These factors infl uence air traffi c growth. Differing airline service models such as full service and low cost were also considered. The masterplan forecasts potential annual passenger demand at 2025 to be 15 million international passengers and nine million domestic passengers. Aircraft movement forecasts are based on the passenger forecasts and take into account projected changes to the fl eet (aircraft type and sizes) and load factors. Aircraft movements are expected to increase from around 150,000 today to 223,500 in Forecast passenger movements 2025 Forecast aircraft movements 2025 International Domestic Passengers (millions) International Domestic Aircraft movements (000s) Benchmarking annual passengers International Domestic Passengers (millions) Brisbane Melbourne Perth Sydney Auckland

3 Masterplan 2025 Public transport corridor Designation line Airport boundary Freight and logistics Aircraft maintenance Aviation support Car parking Recreation and reserve Commercial 5 1 Current JUHI 2 Into-plane tanker facility 3 Control tower 4 Main RFFS station 5 Satellite RFFS station 6 Marine rescue 7 RFFS training facility Possible engine run areas 9 Ground service equipment parking 10 Aircraft waste facility 11 Livestock handling facility 12 Marae 13 Golf course

4 It is anticipated that the future international long-haul fl eet will be dominated by B777 and A340 aircraft with some B787 or A350 aircraft on new thin (long but less densely used) routes. The A380, due to enter service at Auckland in 2007, could serve on the Los Angeles, Singapore and Tokyo Narita routes in the longer term. On domestic trunk routes, the B is likely to be progressively phased out in favour of narrow body aircraft with increased capacity. Domestic provincial growth looks likely to be met through larger aircraft rather than increased frequency. Infrastructure provision Terminal strategy The long-term terminal strategy is designed to meet the following objectives for airport stakeholders: Flexibility for incremental expansion Future-proofi ng with technology Retail opportunities integrated with terminal operations Minimal queuing for passengers Alignment with airlines Appropriate investment returns Creating New Zealand s premier gateway with a distinct New Zealand feel. The airport will be developed with a single terminal area. This will create an integrated precinct encompassing international and domestic terminals, transport, car parking and hotel developments all within easy reach of each other, between the two runways. When the domestic terminal is relocated, the area the current domestic terminals occupy will be developed as a freight apron, alongside the existing landside freight facilities. The depth of the apron will then need to be increased to provide effi cient and effective taxiway fl ows. This will also provide space for larger freight aircraft on this apron. Domestic pier(s) Pier B Pier A A vision of how the terminal precinct could look in Existing international terminal building. Expansion of the international terminal to accommodate a second pier and development of the arrivals and departures processing areas. Current position of the domestic terminal will be used as a freight precinct. Future position of the domestic terminal, close to the northern runway and in an integrated terminal precinct with international. A four to fi ve-star hotel, built within the terminal precinct. An inter-modal transport centre encompassing public transport, private vehicles and passengers from the terminals. A new position for the air traffi c control tower, between both runways. Car parking buildings, close to the terminals. Altered road layout around the terminal precinct. Commercial property developments Freight facilities Apron areas will be expanded.

5 ISSUEBRIEF Airfield There are no plans for extending the existing southern runway. At 3635 metres, the runway can accommodate all existing or foreseeable aircraft types including the new large aircraft, the Airbus 380. However, the growth in traffi c will mean that available landing and take-off slots on the existing runway will become constrained. A northern runway will be developed in stages. The fi rst of these is a 1200 metre runway. Later stages will provide an ultimate length of 2150 metres, as provided under the Manukau District Plan. Subsequent lengthening of the runway will include a consultative process with stakeholders. The location of the northern runway, determined in previous masterplans, provides 1950 metres of separation between runways, allowing simultaneous operations. The timing of the northern runway is driven by demand relative to the capacity of the current single runway, apron demand and other factors. In the initial stages, small non-jet aircraft would use the northern runway, which would be later upgraded for domestic jet operations. The ultimate development of the northern runway will be suitable for most aircraft types. Only the runway length will limit some longerhaul international operations. Shifting the smaller, slower, aircraft operations to the northern runway will enable better use of the existing runway by larger aircraft. Freight The masterplan also allows for additional dedicated international and domestic freighter parking and freight processing, along with more storage facilities to meet demand. Options for expansion and improvement of the freight zones depend on overall airport development priorities, for example, the timing for passenger terminal precinct developments. The three freight precincts, which will be developed progressively, are: Southern freight precinct Manu Tapu freight precinct Long-term northern freight precinct. The future northern freight precinct offers extensive long-term capacity. It also provides an opportunity to directly link to the Airport Oaks industrial area to the north, by road and potentially rail. Aviation support Fuel storage facilities are currently located in a Joint User Hydrant Installation (JUHI), or fuel tank area, situated north of the domestic terminal complex. The construction of a fourth storage tank, within the present JUHI lease area, will meet demand until Further out, growth of the airport may require a new long-term JUHI location. When a dual runway airfi eld is operating, the distance between the two runways means that a main Rescue Fire Fighting Service (RFFS) station, in its current location, will primarily serve the southern runway. A new satellite station on the north side will primarily serve the northern runway. The current area for engine runs (where aircraft engines are tested by running them on the ground), at the western end of the standby runway, cannot be used when this runway is in use. Three alternative locations have been identifi ed. Further study and stakeholder consultation is required to identify which is the optimum location. The primary aircraft maintenance and engineering base at Auckland Airport is Air New Zealand s facility to the east of the terminal precinct. An area of land to the north-west of the northern runway has been allocated for possible future aircraft maintenance developments. Passenger experience AIAL is taking a leadership position in the delivery of passenger terminal services to travellers, using technologies such as self-service kiosks to streamline and increasingly automate processes for check-in, baggage handling, security and border control. This will ensure a passenger experience with time to relax, browse, shop and be entertained. Key to this is understanding and providing what travellers want and expect in their airport experience specialty retail with a mix of local and global brands and products, food and beverage, entertainment and services - whilst ensuring that the operational environment is still highly functional. The airport s goal of providing top-quality customer service can be best achieved by providing car parking in close proximity to the integrated terminal precinct. This will require multi-storey parking buildings within the terminal area and allow for parking of private cars, taxis, rental cars, shuttles and coaches.

6 auckland airport: the next 20 years and beyond ISSUEBRIEF Property development AIAL has a strong and clear vision of an airport city within Manukau City, which underpins all commercial development around the airport. Within the airport boundaries, all types of land use found in a typical New Zealand city could be present with the exceptions of permanent residential and heavy industrial uses. The key to the future success of the property development strategy will be the clear recognition and development of the airport s single most compelling competitive advantage the Auckland Airport brand. Three distinct commercial zones for Auckland Airport are identifi ed in the masterplan: Passenger terminal precinct - comprising terminals, the transport centre, car parking buildings, hotels, shopping, entertainment, services, offi ces and short-stay residential accommodation, serviced by the main terminal access roads and public transport Central zone - a mix of business park, shopping, recreation and commercial bounded by Tom Pearce Drive to the south, George Bolt Memorial Drive (GBMD) to the west and the northern runway end protection areas to the north. It is serviced by the northern expressway and secondary roads such as GBMD and John Goulter Drive Northern zone - mainly commercial development bounded by the airport boundary to the north, the northern freight/logistics zone to the west and the northern runway end protection areas to the south. It is serviced by the northern expressway and secondary roads such as GBMD and Ihumatao Road.a Surface access AIAL has developed parallel planning strategies to foster improved road and public transport infrastructure to enhance airport access. This includes planning for a signifi cant upgrading of the northern access corridor (George Bolt Memorial Drive) to a motorway standard expressway with grade separation at key intersections. AIAL is working with territorial, regional and government planners to ensure the appropriate infrastructure is built to support the public transport network as it develops. This includes bus lanes on State Highway 20A, the airport northern expressway that links to SH20, and Puhinui Road. The plans also provide for the possibility of a future rail link. A comprehensive transport centre will service the future integrated international and domestic passenger terminal precinct. This transport terminus is being planned as part of the mid and longer-term terminal area. It would cater for inter-modal transfers for pedestrians, travellers, visitors, car parking, road access and public transport such as buses, taxis, rental cars and shuttles. It will also allow for a future rail link into the terminal area. Conclusion The airport is pivotal to New Zealand s burgeoning tourism industry and to New Zealand s place in the world as a thriving export economy. AIAL s objective is to continue to annually refi ne its long-term strategy to ensure the airport is meeting the growth and aviation capacity needs of the Auckland regional and wider New Zealand economies. Auckland Airport has come a very long way in the 40 years since it began operations and there is still a long way to go. The next 20 years and beyond will be a period of healthy, sustainable, well-planned growth for the airport which will benefi t both the Auckland region and the wider New Zealand economy. The masterplan represents a vision of the future for Auckland Airport of which Auckland and New Zealand can be justifiably proud. To find out more, or read the full masterplan, please see the Auckland Airport website: The process - producing a masterplan Analysis is carried out using projections of demand and likely needs of airport users such as airlines, government agencies, passengers, transport providers, the community and the other businesses that rely on one of New Zealand s key infrastructure assets Auckland Airport. The 2005 Auckland Airport masterplan provides inputs to Auckland International Airport Limited s business and facility planning, giving insight into: Demand projections The staging of development Terminal strategy Migration plan for the northern runway and terminals An integrated land use plan for internal and external use. The masterplan was developed during the course of workshops held between September 2004 and June These involved all AIAL executive team members. The company also sought stakeholder input through industry briefi ng sessions and written comments in response, to gain appreciation of how their business planning can work alongside and be supported by the airport s development programme. Stakeholders included: Airlines Board of Airline Representatives of New Zealand (BARNZ) Border agencies Air freight and logistics operators Fuel companies. The masterplan takes a medium-term view looking out to 20 years. The migration plan identifi es triggers, such as time, events or activity levels, that would initiate development of particular areas. This brochure is printed on Royal Offset Hi-Brite. Manufactured with pulp sourced from sustainable plantation forests; Elemental Chlorine Free (ECF); Acid Free; milled to EMAS and ISO standards.

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