Ahead of the opening of Terminal 5 at Singapore Changi Airport, the airport operator Changi Airport Group (CAG) announced plans to invest SGD $3 billion (~USD $2.26 billion) while progressively increasing airport charges.
Ahead of the opening of Terminal 5 at Singapore Changi Airport, the airport operator Changi Airport Group (CAG) announced plans to invest SGD $3 billion (~USD $2.26 billion) while progressively increasing airport charges.
In a statement, the CAG stated the planned SGD $3 billion investment will cover upgrades across the airport's four terminals and airport facilities - including the upgrading of the Baggage Handling System at Terminal 3 and a construction of a new Terminal to 3 Inter-Terminal Baggage Conveyance System, the addition of check-in rows at Terminal 4, refurbishment of Terminal 3, and the expansion of the Arrival Immigration Halls at Terminal 1.
CAG also plans to update the Skytrain subsystems and construct more aircraft parking stands. Once completed, the total number of aircraft parking stands at Changi Airport will be increased to 200.
To support the planned investments, the CAG plans to progressively increase airport charges between 2025 and 2030 which will also cover the higher operating costs such as manpower. The CAG said the charges also take into consideration earlier investments made during the COVID-19 pandemic when charges were held constant between April 1, 2020 to November 1, 2022, and planned increases during the pandemic that were suspended.
For passengers, the Passenger Service and Security Fee (PSSF) for Origin/Destination (OD) passengers – currently at SGD $46.60 (~USD $35.12) – will be increased starting April 1, 2027. Following April 1, 2027, the increase will be SGD $3 (~UD $2.26) annually in the following four years. The PSSF for Transit/Transfer (TT) passengers – currently at SGD $6 (~USD $4.52) – will be increased annually for three years starting April 1, 2025, then SGD $1 (~USD $0.75) annually the next three years.
The CAG identifies Transit/Transfer travelers traveling via Singapore to another country who does not clear arrival immigration in the country.
For airlines, the LPA charges will be adjusted annually from April 1, 2025. The LPA charge for a narrowbody A320 aircraft – currently at around SGD $1,200 (~USD $904.3) per landing – will be increased an average of SGD $110 (~USD $82.89) per planding for the first three years, and an average of about SGD $65 (~USD $48.98) per landing for the next three years. The LPA charge for a widebody aircraft – currently at around SGD $3,600 (~USD $2,712.89) – will be increased by an average of SGD $290 (~USD $218.54) per landing for the first three years, and an average of around SGD $190 (~USD $143.18) per landing the next three years.
“CAG and CAAS have engaged major airlines on the revisions to the airport charges. To help airlines with the transition, CAG will provide a 50% rebate on the increase in LPA charges for six months, from 1 April 2025 to 30 September 2025. More information will be shared with airlines subsequently,” the CAG said in statement.
In addition, the CAG noted the Aviation Levy – which finances the CAAS operations – will remain unchanged at its current rate of SGD $8 (~USD $6.03) OD passengers before being increased to SGD $10 (~USD $7.54) on April 1, 2027.
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