Professional Aviation Publications
MIDDLE EAST NEWS arrow Costs blow out at Doha Airport

Costs blow out at Doha Airport

Costs blow out at Doha Airport
Doha’s new airport is now expected to cost up to USD9 billion, up from a previous USD5 billion. Higher labour and materials costs across the Middle East are having a serious budgetary impact on airport development plans in the region. The massive new airport is scheduled to open in 2010, providing capacity for 24 million passengers and 750,000 tonnes of cargo in its first phase. US engineering firm, Bechtel, commenced construction at the airport’s 2,000 hectare site in 2005. The airport will be expanded later to handle up to 60 million passengers by 2020.

The existing Doha Airport is operating above its design capacity, handling some 10 million passengers last year.

The news follows an announcement by the Bahrain Government last month that development costs of Bahrain International Airport’s expansion project could more than double to an estimated USD800 million. The expansion will increase the airport's capacity from its current 3 million passengers p/a to up to 15 million passengers p/a, once all works are completed. In 2007, the airport handled approximately 7 million passengers, or more than double design capacity.

These two project budget increases alone have pushed the total regional investment in airports beyond USD50 billion, according to a regular sample published in the Monthly Essential Middle East report on the region’s airlines and airports.

Governments in the region have so far not expressed concerns about airport development budget pressures. Airports are considered key infrastructure projects for the development and diversification of the region’s economies and, to date, all the projects are proceeding as planned.
India Aviation - Insights into the world's fastest growing aviation market