CIG sets out airport plans
(CNS): The government has released its strategic outline case for the redevelopment of all three of the Cayman Islands' airports. Officials said that Cabinet has approved the first step in the process, which is the policy directive outlining the reasons for the projects, which will be the precursor to any business plan and the procurement process. The deputy premier and minister with responsibility for tourism, Moses Kirkconnell, said the policy addresses the sustainability of air transport for the Cayman Islands and the development of tourism opportunities. Government has outlined plans to redevelop Owen Roberts International Airport on Grand Cayman, enhance the Charles Kirkconnell Airport on Cayman Brac and develop an entirely new airport on Little Cayman in the north east of the island.
The policy objective for the airports has been published following Cabinet's approval of the tourism ministry’s plans for the cruise berthing facilities in George Town and the move towards a tendering process for that project.
Although the cruise piers have been identified as a priority for the government, the Progressive administration has also pointed to the need to work on the airports. While overnight visitors make up just 20% of the tourists that come to Cayman, they represent some 77% of annual tourism revenue. As well as boosting visitor numbers, Kirkconnell said a number of other benefits would come from the airport projects.
“The construction and development phases, followed by fully operational facilities will generate additional jobs. More importantly, it will deliver significant economic benefits to the islands, notably improving public revenue and raising the Gross Domestic Product (GDP) from increased visitor arrivals,” Kirkconnell stated in a release on Thursday, announcing that Cabinet was backing the first step in the plans.
The minister said additional benefits included increased opportunity for the continued sustainability and profitability for the Cayman Islands Airports Authority.
Stran Bodden, the chief officer in the ministry, said the procurement process wouldl be open, transparent and competitive in keeping with international best practice and the Public Management and Finance Law. The exact scope and size of each project will be developed in the business case, he said, and a competitive procurement process will identify who will be responsible for designing, and building the facilities.
"Operational responsibility for all airports facilities will remain with the Airports Authority for strategic reasons," he added.
Since government is not allowed to increase its level of debt, funding for the projects will be determined in the business case. Options identified to date include a phased programme of enhancement and expansion of existing facilities.
Whatever government decides, the development of the airports will have potential environmental impacts, particularly on Little Cayman, where the pace and way of life there could be change forever by the development of an airport. The proposed site for a new airport on Little Cayman is also located by a Nature Reserve, which is home to a large colony of red-footed booby birds. The reserve is protected under the National Trust Law and the area has been designated an animal sanctuary and a wetland of international importance under the United Nations RAMSAR Convention.
Given the importance of the site and other environmental impacts, government has said the department of environment will be heavily involved in the consolation process regarding the development of all three airports.
See the outline policy document below.
Category: Politics
The turtle in our flag represents the slowness of our government to catch up with our country's needs and the rest of the world… 🙂
And the missing leg? Money squeezed out of expat fees disappeared into that government.
And I quote "Stran Bodden, the chief officer in the ministry, said the procurement process would be open, transparent and competitive in keeping with international best practice and the Public Management and Finance Law." Open, transparent and competitive, you say? Then please show us the tender instructions that were issued to ALL the law firms inviting them to bid on the provision of legal services on behalf of CIG, including the actual newspaper ad in which it was printed, the criteria / requirements published based on which a selection would be made, etc. Then show us the same details for the consulting firms that were invited to bid on the production of the business case study. Then finally, show us their actual bid submissions, and how you determined which firm was worthy of being selected based on offering "value for money". And while you are at it, let us know how you intend to determine the selection of the consultant to produce the EIA? Or are these services procured based on political connections or who you feel comfortable to "wuk" with? It is one thing to be transparent about who gets to finance, design and build the actual infrastructure, but do you apply the same process to the "behind the scenes"expensive work being done by consultants and lawyers? You cannot claim that a process is above board, unbiased, transparent, open and competitive, if it is not seen by the public to be that way IN ALL ASPECTS, not just one.
Why is there it seem to be no consideration of there been a relocation instead of a remodel of the GCM airport
Lack of funds.
Why? It needs to be near the biggest asset – SMB and the financial district, which it is. Unless you are proposing it be near east end that would then become another concrete jungle for the tourist industry, minus one of the world's best beaches? It needs a runway that can face into the prevailing winds, which it does. Unless you fancy some interesting crosswind landings.
As for calls for a longer runway, that would be nice to allow a fully fueled 787 to take off that would reach london no problem and I would very much appreciate that. However, lets think about it in the real world……you can get here from pretty much any destination in America/Canada direct as it. Range on a 737-900ER is 3,235 miles, Vancouver to Grand Cayman is 3,098 miles – is it flown? No. Brasilia to Grand Cayman is 3,330 so a 757 will do that no problem with a 3,900 range (and GCM's 7,008ft runway is more than adequate for a fully loaded 757 to rocket up into the sky). Is it flown? No. When you can fill planes from there, consider looking at Europe.
If Europeans wanted to come here (i assume the market we are talking about), they already would. Europeans like their cheap euro holidays, of which there are an abundance of them to some very nice destinations, flying with low cost airlines at a tenth of the cost of an economy ticket to here. This island is too expensive to attract the Europeans for what you have to offer (sun, beach, fish, rum). You might get the Ritz sort of crowd, but they wouldn't bother as they know they would be crammed in on the beach on some over used smelly beach chair…..with a bunch of loud American tourists. Europeans hate that. As far as i can tell from talking to people on BA252/253 the vast majority of europeans that come here are visiting expats (or expats themselves), and stay with said expats rather than in the hotels. And I can guarantee that BA will not lower prices if it was a direct flight – flying to GCM on BA252/253 is often cheaper than simply going to NAS. The wonders of airline pricing management for transatlantic flights….Pricing being the main inhibitor for anyone to fly here directly – the per person flights costs more than a holiday in the med (where you can find sun, beach, fish, rum). Even if you built a load of low cost resorts, the airfares will put off that market given the fuel costs, taxes, and general rip off that is TATL flying today. It is not often i agree with the previous government, but their analysis that building a longer runway would not bring more people is I am afraid spot on with the state of the world today. You just do not have enough to offer to offset the cost it takes to get (and stay) here.
well said!…. the idea that there would be hundred of thousands of germans, spanish , italians wanting to come here is laughable…….
btw…anybody can get here if they want……a single flight connection through new york or miami is not going to put anybody off….
So Jiimmbbbooo, why is it that when I go to Montego Bay and Negril I see thousands of German, Dutch, Italian and Russian tourists everywhere? The answer is simple, Jamaica has direct flights from Germany, Holland, Italy and Russia. Cayman's loss having no direct flights is Jamaica's gain as well as Antigua's, St. Lucia's and Barbados all islands that have direct flights from those European countries.
Pack your bags Jimmbbboo and start seeing what is happening in the region you live in. I am certain that you will change your mind on direct flights from Europe to Grand Cayman after you have expanded your horizons within the Caribbean.
By the way, there are lots of quote loud American tourists unquote on all those islands and these days the Germans, Dutch and Russians seem to have a lot more money to throw around on expensive vacations than do the Americans.
Now that you all have pretended to do your job we can all sit back and watch as nothing further happens. We have all seen how you operate now for many years. Promise this then wait until its obviouse to everyone that its not happening then find someone else to blame for it and move on to the next thing. This is what is known as leadership here. OOps, "honorable for life" leadership I mean.
all that space released by the old airport would be valuable CIG owned land. Could be sold to pay for the new airport or used in other ways. How about as a new waste management facility?
I didn't see too much about safety in the outline. The current airport is unsafe as it relates to its location. Also how will te safety of users at the airport be dealt with whilst construction/remodeling is going on? These are serious issues that must be given serious consideration.
I agree that we can not borrow money to pay the light bill, payroll, or a nice overseas trip. We absolutely should be allowed to borrow money to build a revenue generating asset.
I would generally agree with this statement. However, how many cig created assets are productive and profitable? The airline? The cayman turtle farm? Govt admin building? If all of the previous created assets through borrowings were productive and profitable we wouldn't be broke, would we?
Having the cruise ships and airlines build these projects gives me some peace of mind knowing that the end product will satisfy the end users like ships and planes.
However i am terrified to find out what these companies would want in return.
At least with PPM we know that all the money will be spent on the properly tendered project and not on "commissions".
Any expansion without extending the runway is a waste of time, money and effort.
Im sure Moses will do a full expansion on our airports, including the lenghtening of the runway. and the jet ways.
Let's hope the PPM doesn't take the more expensive route by extending the runway into the North Sound. Much cheaper to go into the cricket pitch.
I agree that the runway needs to be expanded if there are to be upgrades to our present airport. And, that the cheapest option should be employed and that would be the cricket pitch option. Some food for thought though, if the runway is expanded west (cricket pitch), I would think the bigger jets may naturally decent at a lower altitude. It would pose more of a risk, God forbid, if there were to be a crash.
Serious thought must be given to the potential danger the cricket pitch option would pose to the surrounding areas it poses an issue even as is…. There are many homes and apartments on smith road, beyond the pitch and both sides of the cricket pitch.
Business offices, CNB also GAB near by now will be even nearer to flight path. Not to mention the hospitals, ALL TWO. The pitch I would think have to be moved to another location as it serves a huge purpose in our community, whether we like the sport or not, also the road would have to closed. None of which is the end of the world but we would have an even bigger issue with traffic mornings and evenings coming and going East.
Serious thought MUST be given, before a decision is made. And it Must include exploring all options especially one to moving the airport more east. I am of the personal opinion that, that would be in the best interest in the long run, I feel it would lend more options for the presently proposed expansion and best service the needs of it's (new airport) purpose for our country.
While PPM correctly identifies what needs to be done, please don't try to do them all at one time. set soem priorities and the order in which they will be done, which will ensure employment and a buoyant economy for years to come. Nobody eats a whole breadfruit by stuffing the whole thing down their mouth; do it bit by bit.
BY THE TIME
PPM is done with business plans and studies they will spend every dollar this country have. The jobs need to be done so just put it out to tender get prices and proceed. This is crazy spending all this money for some one to tell you you need the project.
People are starving to death and a project is needed to jump start this economy so pull your fingers out and get a move on.
A Canadian Solution
The answer to the airport financing problem is the Canadian Government's proposal through the Canadian Commercial Corporation of a privately financed, long term airport concession that will NOT / NOT require any CIG funding. The Canadian proposal included a significant upfront payment to the financially indebted CIAA, a healthy ongoing revenue share to the CIAA which would enable them to get out of their financial hole long term, fiscal savings to the Cayman Islands by transitioning civil servants to the private sector and the big plus, a guarantee from the Canadian Government that the groups involved with the project would follow through on the contract terms on both deadlines and budget.
The Canadian concession method has been utilized over the past few years to build new airports in Quito, Ecuador, Nassau, Bahamas and Montego Bay. The concession model worked in those places and can work in Grand Cayman. Government officials should look at those models now.
The initial discussions on a Canadian built airport began in 2011 and a lot of work has already been undertaken in terms of the planning for a new airport. This proposal should be revisited immediately rather than undertaking more studies many of which will propose that the CIG borrow money. We do not need further delays as the airport deteriorates day by day and we cannot afford for the CIG to fund a new airport at a time when CIG revenues are not healthy.
The long term future of the Caymans is a new airport now with no further delays and more expensive CIG funded studies and new business plans.
Put the tender out immediately with a Public / Private / Participation proposal being the foundation of the tender. This is the only way to go for a country in the financial bind that the Caymans are in.
121;27
I totally agree with you.
We have not the money or the luxury of borrowing anymore either. So we have to get with the rest of the World and invite private partnership.
Moses lets not drag our feet on this…you now have a board which understand the need to improve our infrastructures.
That is not true stop giving them a bad name alreddy. the school children in China know we cant spend our money on any of these large projects.
Let's not waste efforts on the Lessers until Owen Roberts is sorted out.
The piers and airports will cost cig a lot of future revenues. Those piers may cost 134m as estimated in pwc reports but that is probably if you pay for them cash. Cig will have to pay with future revenues in absence of being able to pay cash. I think these piers will cost a lot more when you consider the present value of the future revenues. The company who will fork out the cash and pay for these piers will probably build in an interest rate. Ie. I spend 100m of cash to build these piers but I will want 300m of future benefits. Furthermore the govt does not have the upper hand in these negotiations given that all bidders will know that the govt can't build them themselves And also know that these piers and airports are a need to cayman.
CIG be prepared to pay a lot more than youcurrently anticipate!
Building bigger airports will not increase the number of incoming passengers. There is currently no restrictions prohibiting any airline from increasing their number of flights to Cayman. Airlines will match the demand from passengers, not the size of the destination airport. Public revenue and GDP will not be increased with a larger terminal, apart from the initial investment to build it.
The infrastructure needs updating, that is true, but it will be a greater expense than the revenue it will create and will need to be funded through taxes.
Has anyone thought about accommodating all the new tourists following any airport expansion since so many hotels were bulldozed and replaced by condos? Luckily Dart is planning one new hotel which will be completed in two years. This will certainly help the upmarket tourists and the timing is good. However upmarket tourists will want to see ramps rather than going down stairs, so let us hope these are part of the new expansion plans.
As to which is the more urgent, the airport or the dock, I suggest the latter before it is too late. In any event there must be accountants within the Government who can figure it all out and make recommendations, without employing any more costly consultants.
Chris I know you may believe that Dart is our only salvation so you are willing to highlight what Dart MIGHT or might NOT do to address hotel rooms. In your attempt to promote everything Dart, you appear to be quite comfortable to ignore and discount those who are ACTUALLY adding to the Cayman rooms inventory. Please at least give a nod to the two expansion complexes nearing completion in Bodden Town as well as the 5 story hotel being added to Morritts Tortuga in East End. Just thought I would give a balanced view to those of us who think that Dart is our ONLY salvation……… even when it is just a promise to build a hotel.
Just where do I say Dart is our only salvation? You really do need to read my article without blinkers. For your edification Dart has commenced building of his hotel and I am pleased to pay tribute to anyone commencing the building of hotels rather than condominiums. That should keep you happy.If not give me a call so we can further the debate. Some of us do not need to hide behind anonymity. Do you have a record or something.
"… upmarket tourists will want to see ramps rather than going down stairs…"
Hmmmmm… Maybe the upmarket tourists will find the stairs quaint and appealing. The stairs are a hallmark of a land that "time forgot".
six words – direct flights to and from Europe.
why?…we can't even fill a ba plane from london on a regular basis…..
the ba flight is only there because the bahamas is a profitable route….
direct flights are needed, no one wants to fly via miami or bahamas to reach cayman
just look how many germans and other europeans fly to cuba DIRECT ! AND spend lots and lots of money there !!
And where are the airlines that are beating down the door waiting to start the flights if we build the runway? Oh that's right, they don't exist.
Richard Branson of Virgin Airlines did say when he was here last year that Virgin would fly here from Gatwick when the airport runway here was lengthened. He said the problem was that the planes that Virgin uses for the Caribbean cannot fly here because of the short runway.
It would be great to give British Airways competition on the route from London and the resulting drop in airfares would be welcomed by the travel long masses.
another worthless soon come update from the government…….. can't wait for the next 'update' in 6-8 months…….
having the turtle as your national symbol is the pure caymankind brillance!
A turtle is our national symbl as when the islands were discovered by Columus he maned them Las Tortugas (the Spanish langyage equivalent of Turtle) due to the vast abundance of turtles in Cayman waters. The British use a lion as their symbol and lions are not native to Britain. Canada uses just the leaf of a tree grown there are their symbol.
I wonder what it is like living a life untouched by concepts beyond the literal. Tragic.
This person probably votes in elections. Terrifying.
Thank you CIG for committing to do this in a transparent and proper way for the public to know what's going on and having a say in things.. As for the little cayman airport they aren't planning on building something massive there but what's wrong with one of the best dive destinations in the world having a decent small airport to cater to our guests in comfort and to accommodate the general aviation crowd that goes there? They do need the business over there also.. I guess only who feels it knows it eh? I don't see anything wrong with building them a decent small airport to cater to our guests.. Just my humble opinion.. Lord knows we on grand need a new airport . Thank you!
Transparent, huh. Where is the tender bids, for the Port, where is the tender bid for the Attorneys?. Come on now the people footing the bill have a right to know don't they?
Sounds good in theory. How is all this going to be paid for?
Local investors join hands and heart and pull the anchor up.
yes 18;57 Even that method have been suggested, and is sold to many of us. You others need to leave the politics out of it. Its not about party or who won, its all about our country and the future … need to look ahead.
This administration might just be the one carry us across the bridge.
A UDP supporter.
13;45
you must been living on mars for the last 4 years. public private partnership.
Its about time they decided that we need boarding bridges! Nothing worse than walking onto a plane wet from the rain…
Do we know why they are not considering relocation of the Owen Roberts International Airport in the strategic outline case? I know many residents and tourists may not like the extra commute to George Town and West Bay, but it seems to me that it would be emminently sensible to just build an entirely new airport somewhere to the east of George Town
So, again, why aren't we considering relocation? Is it just a matter of cost? Because sometimes I do have to wonder if continually fixing something is actually cheaper than just getting a new one.
Well in all third world countrys the airport is smack in the center of town
and if you build an airport in the east what would they ever do with all the new space in the center of town
In GCM's case, "Town" has grown up around the airport.
The answer to the question about why the airport should not be relocated is therefore because of the cost of all the supporting businesses and services that would also then need to relocate, at huge cost to the private sector, and waste of existing paid for buildings and infrastructure.
Overflow for the garbage dump.
Piarco, (Trinidad), Norman Manley, Donald Sangster( Jamaica) at least are not in the middle of town
Do you have any idea how many NIMBY's exist in the Bodden area and the East End? If you think there was a battle with putting a new garbage dump in Bodden just wait until CIG tries to build a new airport east of George Town. The battles would be enormous and the courts would delay the project for at least 15 years. The short sighted east end NIMBY's will never allow a new airport in their backyard even with all the economic benefits it would bring. Sad but true.
Thank you Moses K for having the balls to push these projects. It would only take a Bracker to do this.
Also hats off to your new board members, that have the foresight and common sense to realise that we need to improve on our infrastructures.
lets leave the politics and BS out of it.
"we need to lock our boarders", I believe that is cosidered unlawful imprisonment or something like that.
SAY WHAT?
First the news that we are building a new Port and now we will also build or expand 3 Airports?
We are going to have to start calling Alden: 'the Alchemist'…
Ahhhhh….but do we have the money…?
Here we go again…do we people ever listen to the repotrs and the news??we do not have the money to spend on infrastructures.
Therefore we have to invite private partnership…what is so hard to understand about that.
Think about when you wanted to own a house,where did you get the money? some one had to finance it for you. 30 year loan.
Or the big spender. They na be build cheap.
“Although the cruise piers have been identified as a priority for the government, the Progressive administration has also pointed to the need to work on the airports. While over-night visitors make up just 20% of the tourists that come to Cayman they represent some 77% of annual tourism revenue.”
So even Govt’s numbers tell them the airport is of far greater importance to the economy. And still the port is top of their list.
Try figure that one Bobo……
Which one is at the highest risk ? The Port …hence the haste!
not hard to figure – the influential merchants downtown have something to do with it, is my guess.
More and more destruction to our beautifull islands I thought the PPM would be better but they are adding to the destruction. we don't need more visitor or more workers. we need to lock our boarders get the population back down to what it used to be and get all these criminals out of here so we an live in peace like we used to. Cayman for Caymanians only.
Rather than thumbs down I should have clicked "troll". That's what you are.
What a stupid post from a very narrow minded person. I don't want to see any further "destruction" here either – modernising Little Cayman's airport for example will go towards losing its charm, that is for sure. If you want to get rid of all the expats and shut your doors so "Cayman is for Caymanians only" with no investment from the outside world, you are even more blind to the real issues that Cayman has than I thought you were. The thumbs down to your post says it all really.
While I agree with you that we have expanded the size of our population faster than the social and built infrastructure to support them, with associated underapreciated environmental cost, and I agree that capping that growth until the infrastructure catches up would be better than the calls for continued growth and ignore the consequences, I don't think that we can properly blame a lack of peace on imported criminals. We have grown most of them here ourselves. This is part of the social infrastructure (and built) that needs addressing. – Cayman for Caymanians
Years ago, every district knew the bad boys therein, now we are in wonder and amazement, when we see those who are roaming our streets and neighbourhoods.
What you are seeing are third and fourth generation Caymanians. The problem in most case is that you do not recognise your own because you are getting old and out of touch of who belongs to whom. Get over it, we are in one small world together to make it a better place for every one.
And the earth and world for people only!
If so, please do not venture of this Island to travel to the USA, UK, Jamaica, Cuba, Panama or anywhere else. In return, you will receive no food or anything else from overseas. Enjoy your shopping and your breadfruit…oh, not seen too much of that around lately…?
My backyard is full of breadfruits, mangoes, neseberrys, ackee, plantain,plums, etc.
So sorry, but we have to recognize nothing stays the sam and everything will change as time goes by. We however, can to som e degree control the timing of development and the neccesary infrastructure, but we cannot avoid them, for if we do we will be worse off than what we have ever been.
I agree with you about PPM and destruction, about the only part of their programme I like is the chance that they might actually improve the airports and ports, long overdue and would be welcomed. Our airport now is a disgrace…
Interesting that you wantCayman for Caymanians only – sadly this won't guarantee the return of the peace we used to enjoy – having just read the report done recently on HM Prison here in Cayman I can confirm that over 75% of the prisoners in Northward are Caymanian – so although there are some foreign criminals the majority appear to be home grown.
Actually, many of the so called Caymanians are in fact foreign nationals, recent CNB convictions being a case in point.
If a fly pitches on these islands the next day it is Caymanian.
WIthout such awful distractions as employment, electricty, health care, roads, education and all those other awful things that tax revenues are needed to pay for.
Oh right, so none of the recent shoootings, robberies or muggings were done by "Caymanians" then???.
Pray, tell us how many Caymanians robbed CNB. Read my lips. Are you reading the newspaper or listening to the news. Importers, hello!
There were two diffrent times that CNB got robed over the years, and memory serves me right who were the master minds behind the start of robberies in Cayman
I like your idea just because it's so radical. Soldier on!
gee anon 0925 looks like you did not get quite the support you were looking for. Think you set a record?
Out of curiosity if we go and shut down the island as you said and not build anything where are the people going to get jobs? and where is the country going to get money?
Racist fool.
We can get the imported criminals out of our islands, by convicting and deporting those who are found guilty, instead of giving short sentences and turning them loose to roam and commit more felons.
Other countries deport/exclude everyday, why can't we?
That would be "borders" not "boarders"