Debate on ministries' budgets

Fair for all fliers to pay same fees at Changi: Minister

From July 1, all travellers will have to pay $13.30 more when flying out of Changi Airport. Second Minister for Transport Ng Chee Meng says the Government had considered a tiered pricing system, but decided against it and was using the same principle
From July 1, all travellers (above) will have to pay $13.30 more when flying out of Changi Airport. Second Minister for Transport Ng Chee Meng says the Government had considered a tiered pricing system, but decided against it and was using the same principle that guides current Changi Airport charges.PHOTO: LIANHE ZAOBAO
From July 1, all travellers will have to pay $13.30 more when flying out of Changi Airport. Second Minister for Transport Ng Chee Meng says the Government had considered a tiered pricing system, but decided against it and was using the same principle
From July 1, all travellers will have to pay $13.30 more when flying out of Changi Airport. Second Minister for Transport Ng Chee Meng (above) says the Government had considered a tiered pricing system, but decided against it and was using the same principle that guides current Changi Airport charges.PHOTO: LIANHE ZAOBAO

Whether on short or long flights, they use same facilities in airport, says Ng Chee Meng

All travellers, whether they take short or long-haul flights, use the same facilities at Changi Airport and should pay the same departure fees, said Second Minister for Transport Ng Chee Meng.

"It is only fair," said Mr Ng, who was responding to a suggestion by Mr Zaqy Mohamad (Chua Chu Kang GRC) on Tuesday for long-haul travellers to pay a higher rate.

This is to ensure that Singapore does not lose its competitive edge as a regional hub, said Mr Zaqy who raised the matter following an announcement last week that from July 1, all travellers will have to pay $13.30 more when flying out of Changi Airport.

The extra - on top of $34 which travellers now pay - is to help fund the development of Changi East, a massive expansion masterplan which includes the construction of Terminal 5 (T5).


Mr Ng said that the Government had considered a tiered pricing system, but decided against it and was using the same principle that guides current charges at Changi Airport.

AVOIDING LARGE SPIKES LATER

Having users start paying earlier also avoids having large spikes in the amount they must pay later on.

SECOND MINISTER FOR TRANSPORT NG CHEE MENG, on the new fee.

Speaking in Parliament yesterday during the debate on the Transport Ministry's budget, Mr Ng also addressed Mr Zaqy's point that while airports in Hong Kong, Dubai and Qatar are also collecting from users to fund future expansion, South Korea's Incheon airport is not doing so.

Mr Ng pointed out that while the Incheon airport expansion added extra capacity of 18 million passengers a year - about the size of T4 - the Changi East project is tantamount to building a brand new airport development.

Slated to be completed around 2030, T5 will eventually be able to handle up to 70 million passengers a year, which is more than T1, T2 and T3 combined.

On the need to impose user charges ahead of T5's completion - something that airlines and some travellers have objected to - Mr Ng pointed out that airport users will benefit even before the new terminal opens.

A third runway being built as part of the Changi East project will allow the airport to handle a growing number of flights when all three runways are operational in the early 2020s, almost 10 years before T5 opens.

"Having users start paying earlier also avoids having large spikes in the amount they must pay later on," said Mr Ng.

He added that the Government will bear a significant portion of the Changi East development costs, expected to run into tens of billions, while Changi Airport Group will also commit significant resources.

Mr Ng did not reveal the total projected cost for the expansion, a question Mr Zaqy had raised.

The minister, however, reiterated that with the demand for air travel in the Asia-Pacific expected to grow strongly in the coming decades and with the aviation sector a cornerstone of the economy, Changi's expansion is much needed.

A version of this article appeared in the print edition of The Straits Times on March 08, 2018, with the headline 'Fair for all fliers to pay same fees at Changi: Minister'. Print Edition | Subscribe