The Myanmar Times
The Myanmar Times

Government invites bidders for airport upgrade

Department of Civil Aviation has invited the private sector to participate in a planned redevelopment of Yangon International Airport, which will see the capacity more than doubled to 5.5 million passengers a year.

U Tin Naing Tun, director general of the department, said the Ministry of Transport intends to develop Yangon International Airport as a “business centre” in Yangon Region with private sector participation.

The department announced on October 25 that it would accept submissions from interested local and foreign firms, which can participate either as a joint venture or consortium under the investment law.

Interested firms can submit prequalification documents with a non-refundable fee of US$1000 to the department. The prequalification period runs until December 5 and the department will invite qualified companies to submit a tender for the project in January 2013, U Tin Naing Tun said.

“Yangon airport can handle only 2.7 million passengers a year. Last year we saw about 2.4 million passengers [and] in 2012 we expect that we will have to handle about 2.8 million passengers. If the number of passengers continues to grow as we expect over the next four years, we will urgently need to expand the terminal, aircraft landing area and so on,” he said on October 25.

The redevelopment of Yangon airport will take place at the same time as a new international airport is constructed at Bago.

“We conducted a feasibility study over the past two years with a team of foreign experts. According to our study, the number of passengers using the airport is likely to increase 20 percent to 23pc each year so in the next four years the number will increase to 5.5 million,” he said.

“Yangon airport will only handle a maximum of 5.5 million passengers a year when the project is finished. The rest of the passengers will go through Hanthawaddy airport.”

The Yangon project will take the form of a public-private partnership with private sector financing, he said, and will see an airport master plan developed and both the international and domestic terminal buildings, apron and car parking expanded.