The long-sought-after third runway at London Heathrow Airport (LHR), and other cargo expansion plans championed by freight companies across the United Kingdom, received a shot in the arm today with the recommendation by the U.K.’s Airports Commission that the project should move forward immediately.
The price tag for the runway project remains steep: £17.6 billion at last count, which will be funded by private-sector companies. However, the payoff, the report said, will be profound. Heathrow would be able to double its annual freight capacity to 3 million tonnes and generate as much as £147 billion in GDP over the next 60 years. In addition, the U.K.’s largest hub would be able to add 40 new destinations and create 70,000 new jobs by 2050, the report continued.
The commission report, which has been in the works for two and a half years, described the third runway as “critical to British trade and manufacturing,” particularly in the high-tech and pharmaceutical sectors. “In 2014, the total value of tradable goods carried through U.K. airports exceeded £140 billion. With the world economy’s center of gravity moving eastward and global supply chains becoming more complex, air connections will be ever more important in establishing access to key export markets for U.K. firms.”
Other proposals the commission was considering to increase capacity at LHR included building a new airport in East London, extending one of Heathrow’s existing runways or adding a new runway at Gatwick Airport, to the south of London. These options, however, were all rejected in favor of the third runway plan to the northwest of LHR, which was supported by most of the hub’s freight community.
While the conclusions of the commission are not legally binding, and the project continues to face some public opposition, the report was applauded by the British International Freight Association’s (BIFA), the Freight Transport Association (FTA), the Chartered Institute of Logistics and Transport, and the Confederation of British Industry, as well as the U.K.’s pilot unions, airlines and Let Britain Fly.
“Over the past decades, successive U.K. governments have shown a singular lack of vision in the face of a massive surge in air transport and consequent pressure on existing airport infrastructure,” said Robert Keen, BIFA’s director general. “It is now time for everyone, including politicians of all parties, to pull together in the national interest and support the bold plans to expand and improve airport infrastructure at Heathrow in order to maintain the U.K.’s position as Europe’s most important aviation hub.”
Chris Welsh, FTA’s director of global and European policy, said, “Additional capacity at Heathrow is critical to allow importers and exporters to access new and emerging markets in Asia, South America and the Indian sub-continent.”
Noting the concerns of the opposition – including, notably, Boris Johnson, the outspoken Mayor of London – the commission included a list of suggested concessions to be added to the project, including a ban on night flights at LHR between 11:30 p.m. and 6 a.m., the creation of a “noise envelope,” which would which ensure that noise levels do not exceed current limits, and a promise from Parliament to halt any further expansion at LHR.
BIFA also supports Heathrow’s current plans to rebuild the existing cargo area. One of the airport’s oldest air terminals – Heathrow Terminal 1, built in 1968 – closed on June 29 and will soon be demolished to provide room for an expansion of the existing Terminal 2.