CAAN Souvenir 2010.FH10 - Civil Aviation Authority of Nepal

CAAN Souvenir 2010Fund arrangement from government resource is almostimpossible. But, if we plan right from now a certain percentageof funds can be accumulated. For example, one of the fundingresources would be the revenue generated from the sale oftree logs of the forest land under SIA development area.Secondly, Airport Development Fee-ADF (say, $15 and $3per departing international and domestic passengersrespectively) may be charged in TIA. Estimated annualcollection of ADF would be about $ 20 million. Out of this60% (or about $ 12 million annually) should be depositedin "SIA Development Fund". This fund should be commerciallymanaged to earn interest as well. In a seven years periodthis fund with interest may reach up to $100 million.Implementation & Institutional Arrangement:Presently, CAAN is the statutory right to regulate airspace,to operate airports and to provide air traffic services throughoutNepal. Nevertheless, for SIA development project, governmentmust play crucial role. It is also desirable that a separatesubsidiary company under CAAN be established for projectimplementation. After project completion, the operationalresponsibility be given to a separate fully autonomous SIACompanyTo Sum up:The development of SIA should be taken as a primary necessityof economic development of Nepal. As the passengeravailability for SIA is not so attractive, SIA should be developedfor long term financial sustainability with the Airport City and‘Aerotropolis’ business model. Kathmandu-Nijgadh-Birgunjfast track/ express way will be the pre-requisite for SIAdevelopment. By some technicality, airports are to be locatedin a considerable distance from the main city or capital. Thusmost of the new international airports have an inherentchallenge to develop from hinterland to a business hub andan air city. Feasibility study, master plan and development ofSIA should be guided from this principle.Professor Dr. Kasarda saya “The true challenge is planningto get the Aerotropolis(or airport city) right.Ê If there is notappropriate planning, airport-area development will bespontaneous, haphazard, and economically inefficient andultimately unsustainable.Ê The aerotropolis model bringstogether airport planning, urban and regional planning, andbusiness-site planning, to create a new urban form that ishighly competitive, attractive, and sustainable." Let this quotationbe our guideline to airport, airport city and aerotropolisdevelopment in Nijgadh.References:1 Civil Aviation Airport Project ADB PPTA:NEP 38349-01, Finalreport Volume-1, Airport Planning and Engineering, 20092 Kasarda Aerotropolis Expansion Theory, , Accessed on 9/27,20103 Evolutionchapter1.pdf, , Accessed on 7/12 ,20104 TIA Flight Moovement Data for 2009 As per the records ofTIACAO, Flight Permission Sectin5 Second-international-airport, , Accessed on 30/09, 2010*Deputy Director, CAAN3912 th Anniversary Publication