Wholly-owned Government commercial company Fiji Airports Ltd (FAL) is Fiji’s largest public enterprise, playing a key role in helping drive growth in air travel, trade and tourism for the country.
It is acknowledged as an essential element of modern society, creating economic and socio-economic opportunities, serving local communities, and connecting people, goods and services.
Fiji Airports Ltd chief executive officer Mesake Nawari said the company commenced operations on April 12, 1999 after the restructure of the Civil Aviation Authority of Fiji (CAAF); and its vision is to transform Fiji aviation and a mission to be number one in aviation in the South Pacific providing world class airports experience to all.
Fiji, already being the hub of the South Pacific, enhancing that position is the strategy.
He frankly puts it: “We are part of an international network of airports, so world class we must be.”
FAL’s key focus is operating Fiji’s six million square kilometres of airspace and managing 15 airports — its very own Nadi International Airport, and 14 other airports and airstrips it manages on behalf of Government.
According to its director Projects Niranjwan Chettiar, FAL has now embarked on a capital expenditure master plan, focused on upgrading the assets and infrastructure for the 15 airports.
He said this ambitious project is not just a testament to the company’s forward-thinking vision, but also a catalyst for significant economic growth.
In a submission to the Parliamentary standing committee on Social Affairs in Suva early this month on the company’s 2021 annual report, Mr Nawari said Fiji Airports’ capital expenditure this year is $140million – $100m for asset replacement and $40m to actually start the infrastructure projects rollout again, especially after now reviving its project management unit that was disbanded at the height of the COVID-19 pandemic.
Fiji Airports now has its key technical team of civil engineers and assures “a lot more work happening in the project area”.
Infrastructural development plans
Mr Nawari said he has come to appreciate during his early years in office that Fiji Airports is an infrastructure company.
“We provide the infrastructure, we provide the assets, and we allow the service providers to come in and provide the service.
“So that’s the focus in the next 10 years continuing on with the good work in the previous leadership of the Fiji Airports left in terms of the master plan.”
Fiji Airports, he said has a 2018-2043 master plan and execution was delayed because of the pandemic, and that plan is now being reviewed to comply with international standards of a five-year lifespan of master plans.
Now Fiji Airports’ long-term strategic plan includes the 2024-2033 master plan for Nadi and Nausori international airports, and five domestic airfields – Labasa, Savusavu, Matei on Taveuni, Lakeba in Lau, and Rotuma.
Nadi International Airport
The 18 projects under the Nadi International Airport Master Plan 2024-2033 are:
- t Departure lounge extension: design consultants commissioned to document scope of work; phased into various stages to avoid impact on operations
- t Additional offgate aprons: complete by year-end and allows additional parking for 2 CODE E and 4 CODE C aircrafts
- t Gates 1-3 relocation and multiple aircraft ramp system for gate 2; timeline: 2025-2028
- t New gates 10-11; timeline: 2029
- t Mill and fill payment maintenance works – 2029
- t Domestic aprons expansion: allows additional parking spaces – tender advertised
- t New domestic terminal: design consultancy will be advertised
- t Transit hotel, commercial and retail building and new car park – currently on tender advertisement
- t Finalise Nadi International Airport Airside Master Plan review: June-July 2024
- t Landslide Master Plan – on tender advertisement
- t Photovoltaic solar — ground mount array solar farm – designer consultant contracted; phase one – 2025/26; phase two – 2029/2030
- t Electrical vehicle fleet replacement; first 15 EVs in second half of 2024; solar charging stations installation; and trialing robotic mowers for airport aerodrome fields and vegetation control
- t Six new aerobridges – four in 2025 and two in 2026
- t Computerised tomography scan (CTS) technology; ideal for high detection rate throughout baggage screening – 2026
- t Common use self-service and terminal equipment and flight information display system – December 2024
- t Communication, navigation and surveillance systems upgrade; $13.2m contract signed with GECI Espanol SA in March
- t Improve aviation rescue and firefighting services – 2024; and
- t Fiji Airports Aviation Training Academy – ongoing.
- Nausori International
- t Commercial development under Landside Master Plan; at tender stage
- t Nausori general aviation precinct and taxiway: free up space in Nadi; considering consultation and planning stage
- t Existing terminal refurbishment: to maximise efficiency – consultation ongoing.
Mr Nawari said they were looking at options for Nausori now, and should take it to their board this month, and hopefully to the Ministers for Civil Aviation and Finance “to see how we can work on the capital expenditure to at least expand the current building and or build a new international terminal Nausori”.
He said $60m was spent on the Nausori airport runway in 2020-2021 hoping to land more international flights, which ceased in October 2022 based on a commercial decision by national airline Fiji Airways.
Labasa
Under its Fiji Tourism Development Program in Vanua Levu, Fiji Airports’ proposed upgrades to the Labasa Domestic Airport include:
- t a runway pavement upgrade
- t remote tower: systems will use technology like high-resolution cameras, sensors, microphones and local processing system to provide flight information; and
- t airport rescue and fire-fighting facilities with the World Bank funding the Ministries of Finance, and Tourism and Civil Aviation.
Mr Nawari said work on the runway has begun in Labasa and should finish by year-end.
Savusavu
- t Runway pavement upgrade – some work done late 2023 and early 2024; ongoing maintenance work
Matei
- t Collaborating with Government to assist with land acquisition to extend runway and terminal building
- t Consultancy discussions and negotiations ongoing.
Fiji Airports’ chief Project Niranjwan Chettiar said Flame Tree Development Fiji Ltd has been awarded the $10m contract in April this year to carry out pavement maintenance projects in Labasa, Savusavu, Matei, Lakeba and Rotuma.
Digital transformationFiji Airports head of Operations and Air Traffic Management Amit Singh said they are working with other government ministries on digital transformation.
He said they have:
- n on the runway, airside tracker – allows staff to capture and record data digitally on a tablet for easy access instead of log book entries
- n automatic aircraft visual guidance system – 10 units to be provided via partnership with Canberra Airport; allow aircrafts to talk and park at gates without manual marshallers
- n gate monitoring – use AI or cameras on all gates to monitor operations along all gates, and helps in turnaround times for aircrafts and activities; and
- n smart and electronic gates: working with ministries for immigration and border control on those to be implemented in future.
However, Mr Singh said with all those digital transformation plans to progress Fiji’s position in the Pacific, they still have to be considerate of island States so it doesn’t go too far ahead in technology advancement for island countries not to be compliant with ICAO standards.
“Yet, at the same time, we have to play in the big league with our neighbours Australia, New Zealand and the US,” he said.
Performance
Mr Nawari said in 2023, air navigation and airport charges accounted for 52 per cent of its revenue; passenger fees – 19 per cent; and commercial revenue – about 27 per cent; and others like interest income at 2 per cent.
He said the return on shareholders’ funds was just under 10 per cent post-COVID.
He said they needed to grow their commercial revenue, an area of growth for the company, hence the focus on commercial and real estate properties.
A transit hotel and other commercial retail spaces are on the radar for Nadi, Nausori and Labasa.
Future
Mr Nawari said for airports, there is never going to be enough land.
With a massive development earmarked for areas in and around the Nadi International Airport alone, the rippling effects will be that of insurmountable opportunities to other sectors of the economy.
The same is expected with upgrades and new developments in other airport facilities scheduled for timely-needed facelifts.
He indicated talks and negotiations on land acquisition will always be on the table as it narrows in on commercial developments.
Mr Chettiar said improved infrastructure will attract millions of tourists and visitors annually, thanks to increased capacity and enhanced passenger experience at terminals.
He said the rippling influx will benefit hoteliers, restaurants, tour operators and MSMEs, creating numerous job opportunities and simultaneously elevate economic resilience.
Revamped facilities and terminal extensions, he said will facilitate faster and more efficient trade to benefit businesses and the economy.
“A world class aviation hub will attract foreign investment in numerous industries, including real estate, retail, and communication and technology,” Mr Chettiar said voicing similar sentiment by the CEO.
