IATA opposes alleged plans to charge passengers for Changi Airport expansion

IATA CEO emphasises the need to come up with the right funding model.

The International Air Transport Association (IATA) is opposing alleged plans to tax passengers to fund the Changi Airport Terminal 5.

“There have been reports on plans to introduce a tax on passengers and increases in charges to fund the construction of Terminal 5. The airline industry does not support pre-funding to finance in advance infrastructure projects,” said IATA in a press release.

Previous reports highlighted the possibility of charging passengers with an additional $10 to $15 in fees to help fund the airport expansion, including the building of the Terminal 5.

Singapore Business Review reached out to Ivan Tan, group senior vice president, corporate & marketing communications, to confirm the information but he refused to comment. However, Tan noted that “any changes to airport fees or taxes, if introduced, will be announced by the relevant agencies.”

"The Singapore government is also showing great foresight with its expansion plans for Changi Airport, including Terminal 5 (T5). But there are challenges. We must ensure the plans for T5 are robust enough to meet the high standards of airline operations and passenger convenience users of Changi Airport have come to expect. And we need to get the funding model right to avoid burdening the industry with extra costs,” said Alexandre de Juniac, CEO and director general of IATA, in his keynote address to the Singapore Airshow Aviation Leadership Summit (SAALS).