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flee

Changi Airport to invest $80 million to help airlines cut costs

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Singapore's Changi Airport Group is investing S$100 million ($80 million) to trim costs for airlines and boost passenger traffic, as part of a wider initiative by the government to reduce reliance on foreign labour and raise productivity.


"From 1 July 2014 to 30 June 2015, all airlines operating at Changi Airport will enjoy an across-the-board reduction in operating costs including rebates of 50 percent on aircraft parking fees and 15 percent on aerobridge fees," Changi Airport Group (CAG), manager of Changi Airport, said in a statement on Thursday.


Changi, one of the world's most popular airports, which boasts marquee retail stores, a movie theatre and a swimming pool, served a record 53.7 million passengers last year.


CAG, which is committing the investment for one year from July 1, aims to raise efficiency at airlines' terminal operations by encouraging airlines to make use of a range of self-service options for departing passengers. More than 100 airlines operate from Changi.


"While we cannot iron out the volatilities of the industry cycle, we believe that GAIN (Growth and Assistance Incentive) will provide helpful temporary cost relief as airlines implement the necessary measures needed to adjust to the evolving market environment," said Lee Seow Hiang, CAG's Chief Executive.


The Singapore government has a long-running mission to boost productivity and reduce reliance on foreign labour, under which it draws up measures to help businesses improve their automation processes.


Recognising the increasing manpower challenges faced by the ground handling and security agencies at Changi Aiport, CAG said it will work with them to raise productivity levels.



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Changi splits gates to dock more planes

 

Changi Airport is splitting some of its terminal gates to accommodate more flights and minimise the need to ferry travellers by bus to and from their planes.
At Terminal 2, four gatehold rooms, the area where passengers wait before boarding, have so far been split. Another four - two at T2 and two at T1 - will be modified next year, Changi Airport Group said.
This effectively doubles the capacity of each gate, which can then accommodate either one big aircraft or two smaller single-aisle planes.
Typically, each gate handles just one aircraft - big or small.
The move to add capacity comes as traffic volumes continue to rise at Changi Airport, which handled a record 55.4 million travellers last year. Between January and July this year, passenger traffic hit almost 34 million, a 7.7 per cent jump from the same seven months last year.
Changi Airport Group spokesman Ivan Tan said that while commercial flights are generally scheduled, there are occasionally last-minute changes to schedules which result in the need for gate allocation to be dynamic to prevent a bottleneck situation.
Full report:
Edited by flee

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