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A risk for passengers
“[The project’s] timely delivery is required to prevent future consumers experiencing higher airfares, reduced choice and lower service quality. However, we have also been clear that timeliness is not the only factor that is important to consumers. Passengers cannot be expected to bear the risk of Heathrow Airport Limited spending too much in the early phases of development, should planning permission not be granted.” -Paul Smith, group director of consumers and markets at the CAA via The BBC
Because of this spending restriction, the airport expects to complete the third runway between 2028 and 2029. A Heathrow spokesperson responded to the CAA report by saying: “We will now review the detail to ensure it will unlock the initial £1.5-2bn of private investment over the next two years at no cost to the taxpayer.”
More criticism from IAG chief
According to the Independent, IAG chief, Willie Walsh said the following:
“We need a fresh look at the environmental viability and total cost of expanding Heathrow. The airport has a history of spending recklessly to gold-plate projects and paying guaranteed dividends to shareholders while minimising the environmental significance of expansion.”
Walsh’s IAG is the largest presence at Heathrow as the airline group manages several airlines including British Airways, Aer Lingus, and Iberia. This is not the first time Walsh has criticized Heathrow’s spending on the project. However, earlier criticisms blamed Heathrow for underestimating the true cost of the project.
Conclusion
Heathrow Airport and this expansion project will continue to draw criticism and anger from every side. Opponents will criticize it for its negative impact on surrounding communities and the environment. Those who want the project to proceed will be critical of the project falling behind schedule and going over budget. It will be interesting to see how this situation progresses and if more unexpected changes to budget and timeline will surface. Only a matter of time will tell.
Are you in favour of Heathrow’s expansion and a third runway? Let us know in the comments as I’d be interested to know your thoughts. But that’s all for today, so, if you learned something, please do give this video a like, share with others, and consider subscribing. So until next time, keep your eyes on the skies.
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