Heathrow expansion plans face hurdles

June 25, 2008

Heathrow, the UK’s busiest airport, is so jam-packed that it urgently needs a third runway for it to remain competitive globally, according to BAA, the head of its operator.

Colin Matthews, in an aviation conference speech, is also to reject a call for cutting the number of transfer passengers. BAA’s new chief executive contends that the new capacity at Heathrow is needed in order to maintain its role. He told BBC News: “If we do not have transfer traffic, we cannot fulfil that role.” A government decision on whether to make further moves on a third runway is likely later this year. Environmentalists are strongly opposed to the idea.

BAA is also likely to face the Competition Commission ruling regarding its ownership of London’s three largest airports. There is speculation that BAA might be asked to sell off one of them for improving choice for travellers. Mr Matthews, while speaking to the BBC, claimed the Commission inquiry was on the wrong issue. He said: “The right issue to focus is the provision of ‘the right capacity at the right time’. Changing the ownership structure could only delay this country - facing up to those difficult questions of putting in (place) the right capacity at the right time.”

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