SAA Aviation Insight Series on Private Financing of Major Airport Capacity Expansions: Economic and Financial Challenges
On 15 July 2015, the Singapore Aviation Academy (SAA) presented a talk under the SAA Aviation Insight Series (AvIS) on ‘Private Financing of Major Airport Capacity Expansions: Economic and Financial Challenges’, attended by over 30 aviation professionals.
Sharing the session with us was Mr Greg Houston, Partner of HoustonKemp Australia, a firm dedicated to applying economic analysis to bring clarity and focus to complex problems arising from competition, finance, policy and regulation. Ms Ng Cher Keng, Director of Airport Economic and Service Regulation, moderated the Question and Answer session.
Mr Greg Houston discussed the implications of sharp increases in the total cost of aeronautical services capacity in the face of modest annual growth in passenger demand, the desirability of long-term agreements to support such investments when airlines and passengers plan on much shorter time horizons and the implications of capital markets requirements for financing such expansions.