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Airport world
New Changi Retail Campaign To Surprise And Delight PassengersChangi Airport has unveiled what it believes is the boldest ever refresh of its signature retail campaign to give shoppers the winning chance for the ultimate luxury travel experience of a lifetime to their dream holiday destinations.
The year-long ‘Changi Millionaire Experiences’ campaign will see winners of the quarterly draws pick from what it calls “one of five iconic destinations across the globe” to visit with a companion – the Bahamas, South Africa, Paris, Finland (to see the Northern Lights) and Kyoto.
It promises that each winner and their companion will be treated to an indulgent mix of gourmet dining, cultural immersions, and exciting luxury activities.
These packages will include suite-class flights, upscale accommodations, private tours, and personal concierge services, promising them a world-class holiday experience and unforgettable memories. From cultural buffs to avid adventurers, look out for the ultimate in extravagance in store for every type of traveller.
Energising shopping promotions to capitalise on sales momentum
With travel retail sales improving in parallel to recovering passenger traffic numbers, Changi saw a 18% increase in airport-wide concession sales from January to November 2024 compared to the same period a year earlier.
These were driven primarily by consumers from China, India, and Indonesia, which emerged as the biggest markets for Changi in 2024. As in previous years, Luxury, Liquor and Tobacco, and Perfumes and Cosmetics remained the three top drivers of sales among shoppers.
Across the year, more than 170 new leases were awarded across the airport. Of these, 28 were brands and concepts were new to Changi, reflecting the airport’s continued efforts to enhance its shopping experience with new and exciting options.
This, it notes, is also true even for passengers transiting through Changi, who can easily taste or experience Singapore without ever leaving the airport, thanks to the almost 60 local brands present in the transit area.
Meanwhile, more than 70 local brands can be found in the public areas of the terminals, ready to welcome guests with local fare or souvenirs upon their arrival.
Chandra Mahtani, Changi Airport Group’s senior vice president for airside concessions, said: “We are constantly exploring new ways to surprise and delight our customers, and this year’s revamped ‘Changi Millionaire Experiences’ campaign reflects Changi’s commitment to stay on top of the latest trends in retail-tainment.
“As consumers increasingly seek personalised experiences, we have infused the signature Changi touch into a curated selection of luxury travel packages.
“With five premium options tailored to diverse traveller profiles, shoppers can look forward to even more chances to create unforgettable memories, simply by shopping at Changi.”airport
Jan 15, 2025
Airport world
Oag Ranks World’S Busiest Airports By Seat CapacityOAG today unveiled its annual ranking of the world’s busiest airports for 2024 based on airline seat capacity.
Atlanta Hartsfield-Jackson International Airport (ATL) continues to lead as the world’s busiest global (international + domestic capacity) airport with 62.7 million seats.
Capacity at Hartsfield-Jackson Atlanta has increased by 2% compared to 2023 but is still just below 2019 levels by 1%.
Dubai International Airport (DXB) is second busiest and also the leader in international capacity, increasing seats by 7% year-on-year to 6.2 million.
Tokyo Haneda (HND) is in third with 55.2 million seats, a 5% increase on 2023, followed by London Heathrow (LHR) in fourth place.
Heathrow in fourth place had 51.5 million seats and is the busiest airport in Europe, followed by Istanbul (IST) and Paris Charles de Gaulle (CDG).
In the US, Dallas Fort Worth (DFW) and Denver International (DEN) have significantly boosted their capacities by 18% and 24% respectively, earning their fifth and sixth places in the rankings.
China’s Guangzhou Baiyun International (CAN) and Shanghai Pudong International Airport (PVG) take 7th and 9th position, as China’s air capacity continues to recover from the impacts of the global pandemic.
PVG is the fastest growing Top 10 airport with capacity growth of 29% propelling it from 15th to 9th position over the year.
Istanbul Airport (IST) moves up to eighth place, reflecting its growing importance as a global hub.
OAG’s chief analyst, John Grant, commented: “With growth across all regions of the world, the ten busiest airports once again reflect the strong recovery in the aviation sector in the last two years.
“From the successes in DFW and Guangzhou to the more recent rapid recovery in capacity at Shanghai Pudong, airlines continue to power ahead with new routes and services despite the supply chain challenges of the post pandemic world.”
Find full rankings and methodology on OAG’s website.airport
Jan 14, 2025
Airport world
Swedavia’S Green Bonds To Promote Sustainable DevelopmentSwedavia has issued SEK2 billion in green bonds and repurchased bonds of SEK822 million under its existing medium-term note (MTN) programme.
Green bonds are part of Swedavia’s strategy to promote sustainable investments within its operations.
The issue is divided into three tranches, one with a nominal amount of SEK1 billion with a fixed coupon rate of 3.30% corresponding to a credit margin of 0.88% with a tenor of 5.25 years, the other is SEK400 million with variable interest.
“We are pleased to start 2025 with a successful bond transaction. We are extending our capital tie-up period in a positive way and have raised funding for future bond maturities and green investments going forward,” says Swedavia’s CFO, Kristina Ferenius,
Swedavia notes that it strives to be an international role model in sustainability.
This, it says, applies in particular to environmental issues, as climate change is an existential issue for the entire aviation industry.
Swedavia is a world leader in the effort to transform its own operations at the airports it operates.
Raising funding through green bonds is one way that Swedavia makes this work a priority.
“Swedavia is proud of the work we are doing in sustainable development, and by issuing additional green bonds, we secure funding for investments that contribute to the transition,” adds Ferenius.airport
Jan 14, 2025
Airport world
Airports Report Record Breaking Year For Passenger TrafficA few weeks into the new year, a number of European airports are reporting record traffic levels for 2024.
They include London’s Heathrow Airport which handled an all-time high of 83.9 million, boosted by a record breaking December, during which it handled over seven million passengers,
The annual total was an impressive three million more than the previous 2019 record.
Heathrow’s CEO, Thomas Woldbye, said: “2024 was an exciting and a record-breaking year at Heathrow. I’m proud of all my colleagues and our partners who worked so hard to deliver great experiences for more passengers than ever before.
“In 2025, our journey towards better value for our customers will continue by investing in the kind of facilities our passengers and airlines are looking for.
“We aim to become more innovative to ensure that our airport delivers for the whole of the UK.
Elsewhere in the UK, London Stansted is celebrating a landmark year as it welcomed a record-breaking 29.76 million passengers in 2024.
The new annual high is a 5.8% increase on the previous record of 28.14 million passengers set in 2019.
The airport also rounded off the record year with its busiest ever December as strong demand from travellers choosing to fly from their local airport over the festive period.
The airport’s cargo operations experienced significant growth, reinforcing its role as a vital hub for regional businesses and global trade.
In 2024, Stansted handled 307,675 tonnes of cargo, up 15.6% on the previous 12-months. December alone saw 23,607 tonnes processed, maintaining levels from 2023.
Gareth Powell, London Stansted’s managing director, said: “It was a fantastic year for London Stansted in 2024, and I am incredibly proud of what we’ve accomplished. `
“Welcoming a record-breaking 29.76 million passengers is great testament to the dedication of our team and the continued trust of our passengers and partners in the airport.
“And as we move into 2025, we expect the year ahead to be another busy and exciting time at the airport.
“Our £1.1 billion transformation programme in now underway, with a number of new projects already progressing well, including the development of our own on-site solar farm, the introduction of barrierless access to the express set down area plus a new domestic baggage reclaim facility as we continue to enhance the passenger experience.”
In Greece, passenger numbers at Athens International Airport soared by 13% to a historic high
of 31.85 million in 2024.
Overall, international passengers rose by 15.7%, to 22.4 million, while domestic traffic grew by 7.3%, to 9.4 million, on an annual comparison basis.
In December, total traffic increased by 14.5% compared to the same month in 2023, to 2.2 million, of which 1.5 million were international passengers. This comes as AIA is launching its expansion works.
Photo courtesy of Roger Cremers.
Meanwhile in the Netherlands, the Royal Schiphol Group has announced that a total of
66.8 million passengers (+8%) passed through Amsterdam Schiphol in 2024.
The gateway also handled 1.49 million tonnes of cargo, 8% more than in 2023 (1.38 million tonnes).
There were 15,661 cargo-only flights, a decrease of almost 2% compared to 2023 (15,969). The amount of cargo handled in 2024 was 10% more than in 2019.airport
Jan 13, 2025
Airport world
Next In Line?Smiths Detection’s Hans Joachim Schöpe considers what might come next for security checkpoints at airports.
The evolution of airport security checkpoints reflects the growing complexities of global travel and the continuous effort to balance passenger safety with operational efficiency.
Indeed, ever evolving threats in an increasingly interconnected world has necessitated the development of more sophisticated detection technologies.
Computed tomography (CT) scanners are already in use all over the world and are well placed to stay ahead of threats with superior material analysis and smart learning algorithms, which aid automatic detection.
As the volume of air travel continues to increase, the integration of biometric technology into checkpoint systems looks to further enhance efficiency and security. These advancements will collectively redefine the landscape of security screening, ensuring a safer and more streamlined experience for travellers.
At Smiths Detection, we want to help make the world a safer place and as such our goal is simple – to provide the security, peace of mind and freedom of movement upon which the world depends.
Hassle-free travel: leaving liquids and laptops in the bag
In the airport passenger journey, the security screening process is often seen as one of the most congested stages, although this will improve with the widespread adoption of CT technology that no longer requires passengers to remove electronics and liquids from their bags at checkpoints.
Next-generation CT screening systems combine advanced detection capabilities with AI-powered automatic detection of explosives and object recognition, ensuring the ability to combat current and evolving threats.
Diffraction: shaping the future of threat detection
X-ray Diffraction (XRD) is poised to revolutionise security screening due to its non-invasive detection capabilities and superior level of material analysis and substance identification.
XRD is able to respond to the growing complexity of threats that are increasingly challenging to detect. One of the primary advantages of XRD lies in its ability to automatically identify crystalline materials, making it particularly effective in detecting a broad range of narcotics, explosives, and other dangerous substances.
For airports, XRD would represent a leap forward in non-invasive, automatic threat detection, significantly improving the speed and accuracy of screenings due to its ability to discriminate materials based on their molecular structure.
Its ability to identify new compounds, including those mixed with other materials, addresses one of the core challenges in modern security, ensures it is future-proofed against emerging threats, and brings false alarm rates down even further.
XRD, when integrated with CT scanning, would offer a highly advanced and efficient solution. CT focuses on detecting suspicious items based on their density and XRD leverages electromagnetic wave interference, creating a “diffraction fingerprint” to distinguish between materials, even those with similar densities.
An evolving synergy between CT and XRD technologies ensures that security screening will continue to meet the high standards demanded by increasingly sophisticated global security challenges.
Multiplexing: revolutionising real-time security monitoring
To further advance X-ray technology, multiplexing images offer the potential to significantly improve efficiency.
By delivering images from all security lanes to the first available analyst, located centrally and away from the checkpoint, this approach provides a range of operational advantages. It allows for greater flexibility in adjusting the ratio of operators to lanes and reallocating staff to accommodate fluctuations in demand.
Teams can be redeployed to different locations, airports, or even internationally, as needed.
A key benefit of centralised image evaluation is the ability to multiplex images. Multiplexing enables a flexible operator-to-lane ratio, optimising resources to meet changing demand patterns and specific operational requirements. X-ray images taken from across the airport are sent to analysts based away from the checkpoints, where they are reviewed by the first available person.
Multiple images can be analysed simultaneously by different analysts, eliminating the need to pause conveyors during inspections and ensuring maximum equipment utilisation.
Artificial intelligence: already taking off
Artificial intelligence (AI) is already demonstrating its ability to provide more efficient, adaptable, and reliable systems.
AI, through its advanced algorithms and machine learning, will play an increasingly crucial role in enhancing threat detection at checkpoints by improving the accuracy and reliability of X-ray screening systems.
Our object recognition software, iCMORE, uses AI and advanced detection algorithms to reduce the burden on operators – and potential errors – by automating the detection process for suspicious items.
Advances in AI based algorithms have enabled the real-time, automatic identification of a fast-growing list of prohibited items ranging from weapons and ammunition to lithium batteries. By framing any suspect items, image analysts can make faster, more accurate decisions which increases both security levels and efficiency.
AI algorithms are trained on thousands of real and synthetic images, allowing them to recognise patterns and detect threats more effectively than traditional human-operated systems.
The integration of AI into checkpoint security has multiple benefits, including reduced human error, lower false alarm rates, and a faster screening process.
Automated prohibited item detection systems (APIDS) and Explosive Detection Systems (EDS) demonstrate how AI is being used to enhance safety by detecting a wide range of threats from X-ray images. These systems not only enhance security but also streamline operations by supporting image analysts, reducing their workload, and minimising the decision-making burden on operators.
In the short-term these algorithms will be used to assist operators by drawing a frame around detected items, increasing efficiency and security levels. These intelligent algorithms are also central to the ongoing move towards further automation and alarm-only viewing at the passenger checkpoint.
Collaborative tech: enhancing security through open architecture
Open architecture in essence, refers to a design approach that promotes interoperability, flexibility, and collaboration among different components or systems and it is gathering momentum across industries.
A key advantage of open architecture is the ease with which components and technologies may be added, upgraded, and swapped within a system.
Naturally, complex structures such as this, which incorporate technology from diverse suppliers, require a level of standardisation. This is why it is crucial to develop common data formats and lucid oversight mechanisms. Not only do these improve the ease-of-use of open architecture-based systems, but they provide assurance on aspects such as technical standards, certification, and liability.
Open architecture therefore adds another layer to the future of checkpoint security by creating a framework where hardware, software, and algorithms from various suppliers can work together seamlessly. This means that airports can incorporate the best available technology to meet evolving security challenges.
Biometrics: fast-track security with a single look
Biometric systems, which include fingerprint, iris, and facial recognition technologies, offer a high level of accuracy in identity verification, essential for maintaining safety in an increasingly interconnected world.
Hundreds of airports globally already have biometric identification of some sort in place and adoption is increasing as passenger numbers rise and the need for even more efficient security grows.
We believe that we are leading the way by integrating biometric technology into checkpoint solutions at airports, allowing for risk-based screening practices that streamline the passenger journey. This integration not only enhances security but also improves operational efficiency, as real-time risk assessments can be conducted, reducing wait times and increasing passenger satisfaction.
For instance, matching passengers with their trays at security checkpoints can facilitate seamless transitions through border control while sharing screening results with transit or arrival airports.
As more airports implement biometric systems, the confidence in these technologies is expected to rise, paving the way for a future where biometric identification not only enhances security but also revolutionise the travel experience, making it more convenient and efficient.
Shaping safer skies: the future of airport security innovation
As airports embrace technological advancements, security processes will become faster, more accurate, and less intrusive.
The growing shift towards contactless, automated solutions – driven by the need for efficiency – will continue to reshape airport security.
As new threats emerge, security technologies and protocols will adapt, ensuring airports become safer, smarter, and better equipped to meet the demands of modern air travel.airport
Jan 13, 2025
Airport world
Spotlight On MegahubsOAG’s chief analyst, John Grant, explains why Megahubs are nothing without their regional connectivity.
Everyone wants to be “mega”. It’s a sign of importance, position, value, and sometimes wealth, and airports are just the same, they love to be Megahubs; or at least some of them do.
The term Megahubs may have been around a few years, but its more formalised usage and recognition came into focus with the launch of OAG’s Megahub Index report in 2015, which helped solidify the term in industry and public discussions about air travel.
Now heavily used in the aviation sector, the performance and growth of Megahubs is tracked on an annual basis. But what makes a successful Megahub?
Incredible connectivity and networks
In addition to handling more 50 million passengers and tonnes of cargo per annum, the very largest airports in the world are also major economic generators.
The very best such Megahubs combine both a wide range of destinations served and, in most cases, that means more than one hundred plus connecting markets and more often than not connected with a high degree of daily frequency.
Indeed, the annual OAG Megahubs report counts both factors as key variables in our connectivity algorithm, and it’s clear that airports falling into this prestigious category are always looking for an edge over their rivals.
Becoming a Megahub requires a huge investment, the support of local airlines from both the legacy and low-cost sectors, close partnerships with key regulatory authorities, a commercial mindset and a degree of geographic luck; the right place, right time mantra is crucial.
But above all of those factors the most important criteria for a successful Megahub is people, and a growing population with an emergent middle class with increasing disposable income is the perfect combination.
In their 2019 Global Market Forecast, Airbus predicted that there will be ninety-five Megahubs by 2038 with cities such as Lagos, Rio de Janeiro and Philadelphia joining the elite club.
Increasing automation and AI
Handling increasing passenger volumes, extra ATMs and all the operational complexity of modern-day travel requires constant investment in technology and, in more recent years the use of AI where possible.
Biometric technology is now common-place at most airports, new initiatives such as remote aircraft and airbridge parking are being trialled in some locations and it’s only a matter of time before Megahubs will have to accommodate passenger drones with high value corporate executives wanting airside rapid transfers as their time becomes more precious.
Megahub airports are continuously undergoing redevelopment, frequently seeking to squeeze more and more capacity from existing terminals or runways.
That balance between contact piers and immediate connectivity, or bussing operations and compromising connectivity, requires airports to embrace the latest technology and innovative strategies while also investing in significant redevelopment.
This is a careful balance, especially if over half or three-quarters of your traffic is connecting and may spend little or nothing on the airports retail offering.
However aspirational, nationalistic or big the budget – sadly – not every airport can be a Megahub. And indeed, many would probably prefer not to even aspire to such visions and instead create their own valuable market position.
In 2024, there were over 1,100 airports worldwide that averaged more than ten flights a day, and approximately 4,200 airports that handled some scheduled flights in a year.
Therefore, Megahubs account for a very small percentage share which highlights that each airport has a role to play in the world of aviation. So, if you either cannot or do not want to be a Megahub, are there alternate positions and opportunities to develop? Absolutely!
Regional connectivity can be a powerful position
The world is a big place and while long-haul connectivity is important, it only caters for a proportion of the market and the majority of flying is within a domestic or regional market.
Airports such as Panama and Casablanca – with the support of the local carriers – have developed really focused networks of connectivity across specific markets that both create those valuable supporting volumes, and in many cases above average revenues, as they connect the more obscure and therefore higher yielding traffic flows.
In both cases, the typical sector lengths for the airlines operating are between two to five hours which allows for efficient crew and fleet utilisation without creating expensive night stop patterns for crews, and in many cases, low weekly frequency services rather than daily services are operated.
Instead of a continuous eighteen or twenty-four hours of high pressure, airports experience intense peaks of about two hours, occurring two to four times a day, which ensures necessary connectivity and offers travellers an excellent connecting experience.
While over time there is inevitably a need for some infrastructure development, the daily construction site characteristic of Megahub airports is avoided allowing both airport operators and airlines to focus on maximising their revenues and assets.
There is absolutely nothing wrong with being regionally focused, in fact it’s a great position to have, but can the same be said of a segment specific airport?
Segment specific airports
Where once airports were all the same, we now have Megahubs, regional hubs and now segment specific or segment airports.
The last twenty years has seen the development of numerous airports dedicated purely to the low-cost airlines, either because they had the long-term capacity to accommodate the demand or because various regulators have directed traffic to that airport facility.
Certainly, the opening of London Stansted was a happy coincidence with the rapid development plans of Ryanair who certainly would not have had access to the levels of capacity they required at London Gatwick for example.
While London Stansted has in recent years attracted some prestigious legacy airlines, it is Ryanair’s base, and the mere mention of their name sends a shudder through some carriers who might otherwise have an interest in operating from the airport.
For the airport operators, of course, the skill in accommodating the low-cost airline passenger is in maximising the non-aeronautical revenue streams, and while some travellers may complain about the barrage of retail products on offer, for the majority spending cash in the airport is part of the holiday experience.
Specialist low-cost airports have developed in all of Europe’s major markets and the ‘model’ is rolling out in Asia and the Middle East and their presence will only increase in the coming years.
Segment specific airports have also created great, and in many cases, incontestable positions based around a combination of geography and seasonal weather conditions or events.
Greek Island airports are the extreme of such segment facilities, catering for the mass summer sun market but almost closing operations from November to April as the final tourists depart.
Airports such as Rovaniemi in Finland’s Lapland region have created a whole leisure product around a few seasonal weeks of the year, initially based on day trips but now increasingly involving three or four-day packages that have sent passenger numbers soaring.
And in Christchurch, New Zealand, the seasonal advantages of a southern hemisphere summer and vast range of perishable products have created a market in which both cargo and passenger airlines add significant capacity in what is an off-peak period elsewhere.
All of which proves that for each airport in the world there is a need to both understand your market and cater for that markets needs as cost effectively as you can.
Being big or even mega may be nice although it does create daily headaches, but it’s equally nice to be close to your local market and customers and maybe even have time for a coffee with that frequent flyer you see every week.
And ultimately, at the end of the day, where would a Megahub be if it didn’t have connectivity from that regional hub or that niche local airport which makes all the difference to their connectivity ranking. Small can be beautiful and important!airport
Jan 10, 2025
Airport world
Green Machine!Its achievements, ambitions and commitment to protecting the environment quite simply make Christchurch Airport one of the greenest and sustainably run gateways on the planet, writes Joe Bates.
An ever growing list of accolades for its sustainability initiatives ensure that New Zealand’s Christchurch International Airport is a world leader when it comes to its efforts to mitigate its impact on the environment.
These include becoming the first airport in the Southern Hemisphere to achieve the top Level 5 status in ACI’s Airport Carbon Accreditation programme and being a regular winner in ACI Asia-Pacific & Middle East’s annual Green Airports Recognition programme.
In 2023, for example, its new approach to minimising waste, and its work mentoring other airports to become more sustainable, earned it two Green Recognition awards from ACI Asia-Pacific & Middle East.
It is a member of both the Climate Leaders Coalition – a CEO led community of close to 90 organistions in New Zealand leading the response to climate change through collective, transparent and meaningful action on mitigation and adaptation – and the Sustainable Business Council, which “exists to mobilise the country’s most ambitious busineses to build a thriving and sustainable future for all”.
Not surprisingly, its growing reputation as a green pioneer means that its sustainability transition leader, Claire Waghorn, is often in demand at industry events to talk about aviation’s climate impact and Christchurch International Airport Limited’s (CIAL) sustainability strategy, and this year’s joint ACI Asia-Pacific & Middle East/ACI World Annual General Assembly, Conference and Exhibition in Riyadh was no exception.
Indeed, in a one-on-one interview with PA Consulting’s Kata Cserep, Waghorn revealed that the New Zealand gateway began measuring its carbon emissions back in 2006, joined ACI’s Airport Carbon Accreditation programme in 2017, and became one of the first gateways in the world to achieve the new Level 5 status in the programme in late 2023.
In response to why the airport is so commited to the Airport Carbon Accreditation programme and sustainable development, Waghorn said: “There are many answers to that, not least environmental, but from an airport perspective, it’s good business.
“New Zealand is geographically a long way from everyone and, as such, we rely heavily on aviation. We are a market based economy, and for New Zealand, trade [effectively] means aviation. If we aren’t front footing this, the carbon border adjustment for business and trade will really start to affect New Zealand. So, from a trade, environmental and next generation perspective, we have to do our bit. This is also what people increasingly expect from a modern business.”
She noted that the airport’s sustainability goals had also allowed it access more financially favourable loans for key infrastructure development projects.
On the topic of renewable energy, Waghorn said: “The airlines can’t get to net zero without the infrastructure to support them, which is one of the key reasons why we are building our renewable energy precinct [Kōwhai Park].
“We are trying to replace jet fuel with renewable energy, so going forwards, airports really need to turn their minds to clean energy and expand to become clean energy hubs.”
In Christchurch’s case, it is undertaking the solar power venture in partnership with joint venture partners Lightsource bp and Contact Energy.
Waghorn admitted that working with JV partners better suited the airport’s balance sheet, and noted that she believes that airports with large landholdings should be considering future clean energy revenue streams, which would be game changing.
Kōwhai Park
In August, Christchurch Airport’s proposed clean energy hub took a huge step closer to becoming reality when development partners Contact Energy and Lightsource bp confirmed their investment to build the Kōwhai Park solar farm.
With around 300,000 panels spanning 230 hectares, Kōwhai Park will help meet the growing demand for renewable energy, its initial 170MW solar farm expected to generate 290GWh of electricity per year – equivalent to the consumption of around 36,000 homes.
“Kōwhai Park highlights our commitment to support decarbonisation through creating a clean energy hub that will fuel the region’s economic prosperity,” noted Christchurch Airport’s chief executive, Justin Watson.
“This array will be the same size as around 220 rugby fields – it will be an impressive sight for everyone flying to or from Ōtautahi Christchurch.
“It’s great to see our partners Contact Energy and Lightsource bp ready to develop Stage 1 of Kōwhai Park. These two organisations have all the expertise to make this a project that Canterbury can be proud of and we’re grateful to have them onboard.
“We’re also grateful to Orion, Environment Canterbury and Airways for helping us reach this milestone.”
Watson, who described the news as an exciting first phase for Kōwhai Park, continued: “We’re focused on getting other renewable energy projects located there so we can become a clean energy hub that will enable our city and region to decarbonise and help New Zealand reach its net goals.”
“The announcement paves the way for Lightsource bp and Contact Energy to begin construction in coming weeks. We look forward to celebrating more then.”
Airport Carbon Accreditation leader
As mentioned above, Christchurch was among the first airports in the world to achieve Level 5 status in ACI’s Airport Carbon Accreditation programme.
When the news was announced, ACI Asia-Pacific & Middle East’s director general, Stefano Baronci, stated: “Christchurch Airport has been a pioneer of airport sustainability in Asia-Pacific and Middle East, being the first airport operator in the world to reach Level 4 in the
ACA programme. It has confirmed its leading role in decarbonisation by being among the few airports in the world and the first in Asia-Pacific to achieve Level 5 in the Airport Carbon Accreditation Programme.
“This means having reached and maintained a net zero carbon balance for emissions under its control. This success has been based on the long-term vision of the company, a clear roadmap towards net zero and the commitment of its team and industry partners.
“We hope this milestone will encourage other airports to strive towards sustainability goals and pursue initiatives that lead to more environmentally responsible aviation industry. To support our airport members, ACI APAC & MID will also play its part by assisting airports to develop roadmaps to achieve their net-zero goals.”
Christchurch has since been joined by 18 other airports in achieving Level 5 status in ACI’s carbon reduction programme. They are Amsterdam Schiphol; Stockholm Arlanda; Bengaluru-Kempegowda; Beja; Delhi-Indira Gandhi; Eindhoven; Madeira; Gothenburg; Ivalo; Kuusamo; Kittilä; Malmö; Naples; Ponta Delgada; Ronneby; Rotterdam The Hague; Rovaniemi; and Toulon Hyères.
To achieve this level of accreditation an airport must:
• Submit a verified carbon footprint for Scope 1 and 2 emissions and all relevant categories of Scope 3 emissions as per requirements of the GHG Protocol Scope 3 Guidance.
• Reach and maintain up to 90% absolute CO2 emissions reductions in Scope 1 and 2, and commit to Net Zero in Scope 3 by 2050 or sooner.
• Apply credible carbon removals for the residual emissions.
• Develop a Carbon Management Plan (CMP) outlining the steps to achieve emissions targets.
• Develop a Stakeholder Partnership Plan to achieve Net Zero for Scope 3 emissions by engaging with the value chain, and actively drive third parties at the airport towards delivering emissions reductions themselves with regular milestones in line with their sectors’ net zero frameworks and commitments.
“Christchurch Airport’s been working hard at this for more than 15 years. A dedicated team of people have gone above and beyond to get us here,” enthused Watson.
“I’d also like to acknowledge the assessors who independently verify our work, the Airport Carbon Accreditation Asia Pacific team, and those who have challenged us to lift the bar even higher. We thank them for their support and challenge.”
Reflecting on the achievement, Waghorn said: “This is a great moment for our team. This is a challenging sector to abate and no one is under any illusion – we have a whole lot more work to do to decouple carbon from aviation and make the zero aviation dream a reality.
“We recognise however the critical role that aviation plays, especially for isolated nations, and therefore are committed to being part of the solution. That’s why 90% of the work we do now focuses on how we can help other businesses, including our airline partners decarbonise.
“As a business we are working hard. We’re part of a consortium to enable hydrogen aviation to take off in New Zealand and we’re helping lead Sustainable Aviation Aotearoa.”
Airport Carbon Accreditation is the only institutionally-endorsed, global carbon management certification programme for airports.
It independently assesses and recognises the efforts of airports to manage and reduce their carbon emissions through its levels of certification: ‘Mapping’, ‘Reduction’, ‘Optimisation’, ‘Neutrality’, ‘Transformation’, ‘Transition’ and ‘Level 5’.airport
Jan 08, 2025
Airport world
Terminal VelocityAn exceptional passenger experience and commitment to sustainability were key goals for Portland International Airport’s new terminal.
The new one million square foot main terminal at Portland International Airport doubles the capacity of PDX and will enable the airport to welcome 35 million passengers annually by 2045.
Featuring a 9-acre mass timber roof, the new terminal evokes the feeling of walking through a Pacific Northwest forest.
Views to the airfield, abundant natural light, and interior landscapes that celebrate the natural beauty of the region are present throughout the passenger journey.
“Everybody loves Portland International Airport,” said Gene Sandoval, ZGF partner. “We had a tall order to evolve a terminal that’s essentially multiple buildings pieced together since the 1950s – and double the capacity while designing an experience passengers and employees will love as much as the original.”
The expanded terminal is the largest mass timber project of its kind, and it is designed with people and place at its heart. Intimate plazas with tree-lined retail concessions recall Portland’s pedestrian-friendly streets.
According to ZGF Architects, the terminal’s interior environment is designed to increase passengers’ comfort and reduce the stress that many people experience while travelling.
PDX has always placed an emphasis on cultivating a sense of place by incorporating elements of wood, plants, and natural daylight into its design. Through collaborations with Terrapin Bright Green and landscape architect PLACE, ZGF applied the concept of biophilia holistically throughout the terminal.
As a result, almost every corner of features access to natural light and touches of Oregon’s signature greenery.
Pathways are filled with trees and plants, with 72 large trees up to 25ft tall, located at the seam and throughout the terminal; cascading gardens; and over 5,000 strategically placed plants.
The landscaping provides a sense of wandering through a forest and acts as a wayfinding tool that guides passengers from security checkpoints to their ultimate destinations.
Upon entry, the reconfigured and expanded ticket hall offers clarity and ease. A central threshold directly after ticketing provides a forest-like experience with trees and dappled light that transitions passengers to the TSA security checkpoints and on to their gates.
A pre-security marketplace features stadium seating with 30% of the total concessions offering regional goods and dining open to anyone. The additional 70% of the concessions are beyond security. Retail concessions were designed as a “kit of parts” with plug and play utilities for ease of installation and flexibility in configuration and brand expression.
“The new main terminal is a testament to the vision of our incredible client, the Port of Portland, and their willingness to embrace new ideas and lead optimism,” said Sharron van der Meulen, ZGF’s managing partner.
“The design evokes the best of our region yet offers other airports a new model for how to expand and renovate in place to meet the travel demands of the future generations.”
The project’s sustainable design sets a new standard for airports worldwide. The main terminal doubles capacity while achieving a 50% reduction in energy use per square foot with a highly efficient, all-electric ground-source heat pump. Resilient design strategies enable the terminal to withstand a 9.0 magnitude earthquake in the Cascadia Subduction Zone.
A second phase of the project is underway now and will complete early 2026. It will feature additional retail and dining amenities and exit lanes on the north and south sides of the terminal.airport
Jan 08, 2025
Airport world
Green PlanningSustainable master planning can ensure that airports balance expansion plans whilst accelerating their sustainability objectives, writes Alton Aviation Consultancy’s Mabel Kwan.
Airports are vital gateways to nations, linking cities, driving trade and serving as cultural hubs for millions of travellers.
However, whilst aviation has brought about economic and social benefits, it has also increased the impact on the environment, with a 50% rise in CO2 emissions since 2000.
Alton projects the global aircraft fleet to grow from 31,200 aircraft to over 41,000 aircraft by 2035. That equates to an annual increase of 2.8%, equivalent to 2.8% per year, intensifying the environmental and social challenges on airport operations.
As key players in the aviation ecosystem, airports are uniquely positioned to lead sustainability efforts.
Situated at the intersection of airlines, governments, and communities, airports can drive collaborative initiatives to address these challenges.
Sustainable master planning has emerged as a crucial tool, enabling airports to balance growth with sustainability while meeting stakeholder expectations and building resilience for the future.
The necessity of sustainable master planning
The aviation industry faces growing pressure to decarbonise, in alignment with global sustainability goals. Both ACI and IATA are committed to achieving net-zero carbon emissions by 2050, but the path requires airports to be proactive and establish a common vision to align initiatives.
For example, Changi Airport in Singapore implemented an airport-wide energy management system aiming to reduce Scope 1 and 2 emissions by 20% by 2030.
By integrating sustainability into master planning, airports can adopt renewable energy sources, enable carbon-neutral operations, and contribute meaningfully to global climate targets.
Globally, governments and regulatory bodies are also introducing stricter regulations to tackle climate issues. For instance, the EU’s Green Deal mandates decarbonisation in all sectors, including aviation.
As part of this, airports must address community concerns such as noise pollution and local environmental impact.
Heathrow Airport’s ‘Fly Quiet and Green’ programme incentivises airlines to use quieter, cleaner aircraft through a ranking table and has led to a step change in noise levels. This demonstrates how aligning the community’s interests with sustainability objectives can create positive outcomes for multiple stakeholders.
Sustainable airports are better positioned for long-term success from increased economic resilience, benefiting from reduced operational costs, increased passenger satisfaction, and mitigated risks from climate disruptions.
In 2020, San Francisco International Airport (SFO) invested $86 million into 10 energy-saving initiatives, designed to reduce its future energy use by 54%. This better protects the airport from energy scarcity by reducing energy demand.
Sustainability improvements can extend beyond technology, as demonstrated by Baltic Ground Services Group’s eco-driving training for ground handling. This initiative reduced fuel consumption by approximately 5% by optimising transportation routes and avoiding unnecessary driving.
Planning for resource efficiency and sustainability ensures airports improve their economic resilience amid growing environmental risks.
Balancing expansion with sustainability objectives
Sustainable master planning demands a delicate balance between infrastructure expansion and environmental stewardship.
Given the long-term horizon of master plans, often spanning 20–30 years, forward-thinking strategies are crucial in future-proofing operations.
Planning for emerging technologies during this phase helps mitigate the risk of costly retrofitting in later years. For instance, accommodating the electrification of ground support equipment requires robust charging infrastructure within plans, even if the current adoption of such technology remains limited.
While technological advancements will continue to enhance operational efficiency, meaningful progress in sustainability will depend on partnerships among stakeholders. Aligning business objectives across the aviation ecosystem fosters stronger relationships and creates opportunities for significant improvements.
Achieving net zero, however, requires both internal and external stakeholder buy-in, emphasising the importance of a shared commitment to sustainability goals.
Strategies for sustainable development
There is no silver bullet to achieving sustainability goals and the aviation sector’s decarbonisation journey will likely involve a combination of strategies.
These include enhancements in operational efficiency, widespread adoption of sustainable aviation fuels (SAF), electrification of ground operations, and the eventual deployment of hydrogen-powered aircraft.
Achieving net zero emissions will require more than a single solution, it demands a multifaceted, integrated approach. For instance, airports in the Asia-Pacific have identified five focus areas to meet their decarbonisation targets, underscoring the necessity of a portfolio-style strategy to effectively address the complexities of sustainability goals.
On fuels specifically, new technology requires infrastructure adaptations. SAF, which is compatible with existing infrastructure, offers a near-term solution while electrification and hydrogen are expected to make a step change in sustainability.
Airports like Amsterdam Schiphol (AMS) are already investigating hydrogen fuelling systems to prepare for a longer-term transition.
Incorporating modularity and optionality into master plans enables airports to adapt to evolving technologies and enables a faster uptake, particularly given differing expectations and implementation path.
Hydrogen’s route to market demonstrates the need for flexibility at airports. IATA’s latest forecast indicates that 54% of the regional fleet could be hydrogen fuelled aircraft by 2050.
However, the high development and implementation cost could lead OEMs to bring hydrogen to market on narrowbody or even widebody aircraft.
Airports can also reduce the carbon footprint of expansion works through integrated design and innovative construction practices. Circular construction principles – for instance, reusing building materials – have been employed at Oslo Airport (OSL) in Norway, resulting in an estimated 35% reduction in carbon dioxide emissions.
Similarly, digital twin technology allows designers to simulate operational performance and optimise energy efficiency before construction begins.
Brussels Airport (BRU) used digital twin technology to demonstrate the potential for the airport to reach net zero and determine the most efficient way to achieve this.
Carbon neutrality remains one of the most effective strategies for improving an airport’s sustainability but requires robust investments in renewable energy and infrastructure.
Payback periods for green technologies can often be measured in decades and high capital costs can place strain on an airport’s financials.
Airports are turning to green bonds to raise funds for capital-intensive projects. One notable example was JFK Millennium Partners’ issuance of a $1.85 billion green bond in 2024, to finance the expansion and operation of Terminal 6 at New York’s JFK International Airport.
Additionally, government grants serve as an alternative funding source for airports. In 2023, the US’s Federal Aviation Authority received $268 million in grants and allocated approximately $92 million to sustainability projects.
Integrated data systems play pivotal roles in aligning stakeholders by offering a unified platform for tracking emissions, fostering transparency, and ensuring accountability.
With standardised reporting guidelines, airports and their partners can identify areas for improvement and collaboratively implement effective solutions.
Advanced systems such as the Aircraft Communications Addressing and Reporting System (ACARS) further enhance this capability by providing real-time aircraft data. This data can optimise air traffic management, ground support equipment, and ground handling agent operations, contributing significantly to emission reductions and operational efficiency.
Smart resource management empowers airports to reduce their environmental footprint by optimising resource utilisation. Frankfurt Airport (FRA), for example, has implemented ‘smart, needs-driven’ technology powered by AI algorithms to regulate air conditioning systems, achieving annual CO2 emission reductions of up to 1,900 tonnes.
In some cases, airports have gone beyond conservation, generating resources that benefit local communities. Bengaluru International Airport (BLR) in India, for instance, has become water-positive through initiatives such as rainwater recharge pits and integrated waste management systems.
Looking ahead, innovative technologies like harvesting kinetic energy from aircraft takeoffs and landings are being explored, representing the next frontier in resource efficiency and sustainability.
It is important to remember that airports serve as critical social infrastructure, and their development should be community centric. Local communities are inherently affected by airport developments making their involvement important during master planning.
Partnering with local stakeholders to protect biodiversity and promote cultural heritage creates a sense of shared ownership. Inclusive planning ensures that airports remain socially sustainable, aligning with community interests.
Conclusion
In a multi-stakeholder environment, airports must lead by aligning efforts and fostering collaboration. Frameworks like the Civil Aviation Authority of Singapore’s sustainable aviation blueprint, demonstrate how partnerships can create shared visions and direct resources effectively.
By embedding stakeholder needs into sustainable master planning, airports can address environmental imperatives, regulatory demands, and economic resilience.
Through initiatives such as integrating renewable energy and adopting community-focused practices, airports can balance growth with sustainability, driving the aviation industry toward a greener future while fulfilling their social and environmental responsibilities.airport
Jan 03, 2025
Airport world
Sustainable Design: Uniquely PdxBeing resistant to earthquakes and built from locally sourced materials are two of the key sustainability drivers behind the design of Portland International Airport’s new terminal, writes Vince Granato, chief projects officer at the Port of Portland.
It was more than a decade ago, back in 2011, when the conversation about building a new main terminal at Portland International Airport (PDX) turned from should we make upgrades to how should we make upgrades.
The renovations to increase capacity, flexibility and resilience needed to happen, and also presented us with an opportunity to make the building more sustainable. But when we initially asked people who work at PDX, live around PDX and travel through PDX what they wanted us to do, their answer was simple: don’t change it.
So, the project team set out with a mission to make PDX bigger, while doubling down on what people already loved about our airport.
Approaching it differently
When the concept was first introduced to build PDX’s new main terminal out of wood, it was met with a question: Can it be built in a way that’s better for our communities?
For most of the construction industry, lumber is anonymous – and that makes sense when you consider that most clients want a single, consistent product.
But we wanted to approach this big project differently. So, together, the team made a plan to not only source the wood locally (which we did), but to source it in a way that creates better outcomes for our regional forests and the people who manage them.
All images by Ema Peter.
We tapped industry pros to help us define success and a way to get there. With five custom sourcing pathways, we prioritised conserving and restoring forest ecosystems, while creating economic opportunity for landowners, sawmills, and fabricators across the region.
Transparent sourcing had never been achieved at this scale before, and many initially said it couldn’t be done. But enough partners agreed to try and see how much wood could be traced back to its forest of origin.
It took six years of collaboration with sustainable forestry pros, multigenerational foresters, and mills who were all passionate about doing the work in a way that balances ecological and economic values.
It was the first attempt at anything like this and reached targets no other projects had. In the end, 100% of the 3.7 million board feet came from within 300 miles of the airport, which kept the money in the region.
Some 72% came from landowners who are FSC-certified or practicing ecological forestry. And 30% can be traced back to its forest of origin – a number that’s typically zero for large construction projects.
A feat of engineering
The undulating mass timber roof was built in 18 modular cassettes, each weighing about 1,000,000lbs, and assembled in a prefabrication yard west of the terminal. Then, in the middle of the night when no flights were operating, they were moved one-by-one across the airfield using self-propelled modular transporters.
The cassettes are held up by 34 steel Y-columns, which replaced 200 seismically outdated columns.
With fewer fixed points, the terminal has far more flexibility to address changes in air travel and has better passenger flow.
Due to PDX’s geographical location within the Cascadia Subduction Zone, the airport’s new roof was designed to withstand a 9.0 magnitude earthquake.
Seismic isolation bearings at the top of the Y-columns allow lateral movement up to 24 inches during a seismic event, while a hanging curtain wall is attached to the roof with hinged connections that permit it to slide and pivot relative to the structure below.
The curtain wall is a first of its kind. During construction, the team had to pre-load the roof every 10 feet to simulate the weight of the glass windows, then take the weights off to install the glass – similar to a teeter-totter.
This project presented some of the biggest challenges our team of engineers, architects and construction professionals have faced in their careers, and they safely solved one technical puzzle after another.
In early 2025, the final four cassettes will move into place and PDX’s visually stunning and seismically resilient roof will be complete.
Creating a walk in the forest
Beyond the seismic and sustainability reasons, building the new PDX almost entirely with wood was an intentional choice to give travellers a sense of place.
Drawing inspiration from what’s right in our backyard, ZGF Architects designed the space to evoke a walk in the forest. Wood is such a rich part of our regional history and landscape and when travellers arrive at PDX, they’ll know exactly where they are.
PDX brings elements of the great outdoors inside the airport and uses biophilic design (or the idea that introducing nature and natural elements into interior spaces can help reduce your blood pressure and make you feel more at ease) to create a sense of calm in a busy environment.
Travellers are surrounded by lush greenery and 72 full-grown trees forming a mini greenway in the core of the airport.
The thoughtfully placed skylights mimic sunrays peeking through evergreen trees, and scenes of our region’s natural landscapes play across 120-foot-wide video screens. It’s a uniquely PDX experience.
Larger square footage, less carbon footprint
An airport is a 24/7 operation, and it takes a lot of energy to move people and goods in the sky, so we explored every opportunity to save energy on the ground. The architects and engineers who designed the new main enabled us to nearly double capacity at PDX, while cutting the energy use per square foot in half.
By current counts, the choices around design and local materials used will reduce the carbon footprint of the project’s structure by 70%. But other factors contributing to the big savings, include:
• A ground-source heat pump – which will be one of the largest in Oregon – that cuts the heating plant’s use of fossil fuels by 95%;
• 50 skylights and a 36-foot-high window wall that illuminates 60% of the terminal with daylight (even under January’s cloudy skies) and reduce the need for electrical lighting;
• And fixtures (i.e. toilets, sinks, and urinals) that require between 15 and 50% less water. Plus, the airport will soon start using its own well water to flush the toilets and urinals so that by the time 35 million people a year travel through PDX, each visitor will use 50% less water from Portland’s potable water supply.
Sustainability was also a driving factor behind the decision to open the main terminal in two phases, with the remaining 40% of the terminal scheduled to open in early 2026 – marking the end of PDX Next.
This phased approach allowed us to reuse as much of the old terminal structure as was safe, renovating roughly 500,000 of the existing structure and expanding the terminal with new construction.
Between now and the end of Phase 2, our teams are working to build out even more local shops and restaurants, permanent exit lanes, and meet and greet areas, in addition to moving those final roof cassettes.
And through collaboration and innovative thinking on behalf of our partners, we’re doing it all without ever closing the airport.
We’re incredibly proud of what the region came together to build and can’t wait for everyone to see the finished PDX.airport
Jan 02, 2025Airport world
The Net Zero JourneySenior director for environmental protection and sustainability, Jennifer Desharnais, explains how ACI World is guiding airports in their decarbonisation and noise management journeys.
Airports around the world continuously aim to balance environmental responsibility and quality of life for those living near airports, while delivering socio-economic benefits to the communities they serve.
As they progress towards achieving their Net Zero Carbon emissions targets by 2050, or before, they must also sustain their efforts in reducing aircraft noise pollution.
Based on ACI’s Long-Term Carbon Goal Study released in 2021 and the ICAO Long-Term Global Aspirational Goal (LTAG) Report in 2022, the aviation industry has set ambitious decarbonisation targets that are taking centre stage.
Strategies for achieving Net Zero Carbon emissions should include the involvement of leadership and decision-makers, collective effort and a strong partnership amongst various stakeholders from diverse sectors, accessibility to funding and investment, development of new technologies or improvements to existing ones, operational innovation, and capacity building.
The existing complexity of airport sustainability extends beyond reducing its own emissions, over which it has direct control (Scope 1) and indirect control (Scope 2). It also entails encouraging the airport’s stakeholders to reduce their emissions (Scope 3).
To reach net zero, remaining residual can be tackled by investing in credible offset removal programmes, and through permanent Greenhouse Gas Removals (GGR) technologies. ACI’s Airport Carbon Accreditation programme supports airports in managing and reducing their carbon emissions through seven levels of certification.
The programme provides a unique common framework and tool for active carbon management at airports with measurable results. It covers the operational activities that contribute most to carbon emissions.
It is site-specific and can be used at any airport as part of its daily environmental management activity and long-term strategy as it helps to guide and support airports through a process of continual improvement and partnership with stakeholders.
When it comes to aircraft noise management, airports have long been working to address the impact of aircraft noise on human health, such as annoyance and sleep disturbance.
However, with increased pressure from governments and communities, and in order to build strong local stakeholder relationships, maintain trust, and embed the airport in the local community, it is crucial to remain focused on improving the approach to noise management.
Using the ICAO Balanced Approach to Aircraft Noise Management as a foundation, key elements to consider include the initial noise assessment and the establishment of a noise abatement objective, should it be determined that a noise problem exists.
In 2024, ACI World published two guidance publications which help airports navigate through the complexities of decarbonisation and aircraft noise management.
They provide airport operators and industry professionals with the knowledge and tools needed to tackle the ever-evolving challenges of reducing carbon emissions and managing noise in a way that benefits both the environment and surrounding communities.
The Guidance on Airport Decarbonization publication is designed to assist airports in creating a comprehensive decarbonisation roadmap for their operations. It also supports airports in preparing to meet the decarbonization goals, ensuring alignment with the broader objectives of the industry.
The Guidance Application of the ICAO Balanced Approach to Aircraft Noise Management provides a thorough overview of the ICAO Balanced Approach framework and delivers practical guidance on its effective implementation, enabling airports to create robust and efficient noise management strategies, and consequently improve the quality of life of its community.
Both publications are available on the ACI World online store.
Additionally, there are several examples of technological advancement and innovation that could help the industry achieve both decarbonisation and noise reduction targets:
• The introduction of the next generation of aircraft design and advanced engine technologies, including electric, hydrogen and hybrid aircraft.
• Replacing fossil-fuelled ground vehicles and equipment with electric alternatives, or the implementation of sustainable taxiing.
• Improvement of Air Traffic Management (ATM), such as Performance-Based Navigation (PBN) or Continuous Climb/Descent Operations (CCO/CDO).
• The use of data and digital solutions to track, analyse, and optimise operational parameters, or simulate airport operations to predict and implement strategies for noise reduction and decarbonization effectively.
By aligning all these strategies, the aviation ecosystem can achieve more sustainable operations that address both carbon emissions and noise pollution, ultimately contributing to a cleaner and harmonious aviation sector.airport
Jan 02, 2025Airport world
Building A Green FutureRome’s airport operator is on a journey towards environmental excellence through innovative financial strategies, writes Aeroporti di Roma CEO, Marco Troncone.
Decarbonisation remains at the forefront of the air transport sector. Indeed, it is pivotal for both its development and survival.
Sustainable finance plays a key role in aligning the industry’s strategies with environmental and social responsibilities.
Aeroporti di Roma (ADR) is championing sustainability initiatives, setting ambitious goals for higher levels of environmental responsibility. The company is leveraging cutting-edge financial instruments like sustainability-linked bonds to drive its decarbonisation targets and advance innovative solutions for low emission aviation.
Sustainable finance at ADR
ADR’s commitment to environmental and social responsibility is reflected in its innovative financial approaches, including the issuance of sustainability-linked bonds, which connect the cost of debt to its environmental performance, incentivising the company to achieve its decarbonisation goals.
ADR was the first airport operator in the world to issue a sustainability-linked bond in 2021. Unlike a green bond, which is used to finance specific sustainable projects (and which ADR used in 2020), the interest rates paid to investors are linked to the company’s sustainability goals.
For example, in July 2023, ADR issued another 10-year bond (€400 million, 4.875% coupon) tied to its targets for cutting Scope 1 and 2 emissions to net-zero by 2030 through initiatives such as new photovoltaic plants, electrifying its vehicle fleet, and using biofuels.
For Scope 3, the goal is a 30% reduction by 2030 (from 2019) in CO2 emissions per passenger transiting through the airport.
Sustainability-linked financing instruments of different nature represented 65% of ADR’s financing structure in April 2024, spanning from a green bond, two sustainability-linked bonds and a sustainability-linked revolving credit line.
All financing instruments initiated since November 2020 have been structured in ‘green’ or ‘sustainability-linked’ formats. The goal is to continue on this path.
Furthermore, Aeroporti di Roma has established itself as a leader in sustainable finance and plays a pivotal role in the World Economic Forum’s ‘Airports of Tomorrow’ initiative.
As a Corporate Champion in the ‘Airports of Tomorrow’ initiative, ADR is leading the finance pillar to advance low-carbon aviation. This initiative, co-led by the World Economic Forum and Airports Council International (ACI) aims to address the energy, infrastructure, and financing needs of the aviation industry as it transitions to net-zero carbon emissions by 2050.
ADR and the EU Taxonomy
ADR’s sustainability performance is also reflected in its alignment with the European Taxonomy.
ADR welcomes introduction of the EU Taxonomy, a science-based classification system to identify economic activities on the basis of their contribution to environmental sustainability objectives.
By channelling private investment into the transition to a climate-neutral, climate-resilient, resource-efficient and fair economy, this system sits at the core of the EU’s world-leading sustainable finance agenda, with also the ambition of avoiding greenwashing practices.
ADR has always actively participated in institutional dialogue with the EU Commission and its technical bodies to promote and develop the EU Taxonomy, and its applicability to transport infrastructure, in order to facilitate its enabling role to the Net Zero 2050 transition.
ADR also collaborated with ACI EUROPE in shaping guidelines for the airport sector to apply the EU Taxonomy.
In 2023, with 75% of its revenues, 81% of its investments, and 65% of its operating expenses aligned with the EU Taxonomy, ADR stood out among its peers for the adherence to this scheme.
The EU Taxonomy serves as a beacon for ADR’s sustainability strategy, guiding its references and best practices, and influencing its role in financial markets.
Such KPIs were possible for a variety of reasons, all linked to ADR’s sustainability efforts. Some examples are:
The energy efficiency of our buildings and terminal. Apart from being certified to the highest standards in sustainability, such as LEED and BREEAM certifications, the terminal of Rome Fiumicino is among the 15% of most energy efficient buildings in Italy.
The provision of electrical power and preconditioned air to airplanes. Thanks to this equipment, which are present in almost all parking stands in Rome Fiumicino, airplanes can avoid using their APUs, avoiding harmful emissions.
The installation of electrical charging points for vehicles. In fact,
ADR has a plan to install more than 5,000 recharging points throughout Fiumicino and Ciampino airports.
EU Taxonomy is not only a reporting tool, but it’s also a way to drive change inside an organisation. Taxonomy has been, and will be, more and more helpful in driving sustainable change in
ADR, especially regarding actions to foster climate change mitigation and adaptation.
In this regard, to tackle climate change risks and opportunities, Aeroporti di Roma has developed a sophisticated ‘Climate Change Risk Analysis’ aligned with international standards and methodologies, such as ICAO guidelines and ISO 14091.
Aeroporti di Roma integrates this comprehensive analysis into its Enterprise Risk Model (ERM), enabling it to manage climate risks with a long-term perspective.
This approach includes advanced climate modelling, resilience assessment, and strategic adaptation planning, aligned with the European Taxonomy for Sustainable Investments.
Conclusions
The pursuit of sustainable finance in the aviation sector is crucial for building a green future.
ADR, through its pioneering initiatives and alignment with international sustainability standards, demonstrates how airports can lead in environmental and social responsibility.
Our innovative use of sustainability-linked bonds and alignment with the European Taxonomy showcase ADR’s commitment to decarbonisation and sustainable development, setting a benchmark for the industry.
Passenger traffic at Rome’s airports continues to rise
Around 49 million passengers are expected to pass through Rome’s Fiumicino (FCO) and Ciampino (CIA) airports in 2024.
Operator, Aeroporti di Roma (ADR), notes that FCO “spearheaded the positive performance of the Italian aviation system” in 2024 and help confirm Italy’s status as the fourth largest European market in terms of capacity offered (almost 150 million seats), following the UK, Spain and Germany, and ahead of France, Greece and Portugal.
During Summer 2024, Fiumicino recorded growth of nearly 20% compared to Summer 2023, a headline grabbing three times the average 7% increase achieved by Europe’s top 20 airports.
Among major European airports, Rome Fiumicino reported the highest growth in seat capacity, achieving “record” levels of expansion in Europe (+20% vs ’23). In July, for the first time in FCO’s history, the airport surpassed five million monthly passengers, a figure further exceeded in August with 5.11 million.
And on Monday, August 19, a new daily passenger record was set, with 180,000 passengers passing through the airport in a single day.
The upturn in traffic has been helped by a significant improvement in FCO’s global air connectivity, particularly with North America, which is now served by 16 destinations, including New York, with up to 12 daily departures in July.
In addition, Rome Fiumicino entered Cirium’s ranking of the Top 10 best-connected airports worldwide, offering over 230 direct destinations.
These remarkable achievements point to a projected year-end growth of over +20% compared to 2023 and suggest further expansion in 2025.
International traffic is expected to drive next year’s development, positioning Rome once again as a key player thanks to a major global event from both religious and touristic perspectives, such as 2025 being announced as a Jubilee year for the Catholic Church.airport
Dec 24, 2024