Changi Airport Group (CAG) will invest S$3bn over the next six years in Singapore Changi Airport Terminals 1 to 4 to improve services such as baggage handling, check-in, immigration and Skytrain connections between terminals, as well as to replace end-of-life systems to facilitate smoother passenger and airline experience.
The investments will help Changi Airport stay competitive and meet rising demand for air travel before Terminal 5 is operational in the mid-2030s.
Airport charges will be progressively raised between 2025 and 2030, to fund these investments, and cater for higher operating costs such as manpower.
This also enables the recovery of significant investments made during the Covid-19 pandemic, such as the expansion of Terminal 2 and check-in counter capacity in Terminal 3, when passenger fees and airlines charges were frozen and planned increases were suspended.
To help airlines with the transition, a 50 per cent rebate on increases in landing, parking and aerobridge (LPA) charges will be given to airlines for the first six months.
Based on current ticket prices, the increase in passenger fees is estimated to be about 1% or less for an economy class ticket on most flights departing from or connecting through Singapore.
The Civil Aviation Authority of Singapore (CAAS) will work with CAG to monitor the air hub’s performance to respond nimbly and make further adjustments if needed, to ensure the air hub’s competitiveness.
Over the past few years, Changi Airport Group has invested heavily in airport infrastructure to position the Changi air hub for recovery and growth.
These include the significant expansion and upgrading of Changi Airport Terminal 2 spanning the departure, immigration and transit halls and its baggage handling system, increasing the terminal’s handling capacity by 5 million to 28 million passengers per annum; additional check-in facilities in Terminal 3; new aircraft parking stands as well as operationalisation of the three-runway system.
CAG will further invest S$3bn over the next few years to expand Changi Airport’s capacity, efficiency and resilience, improve the passenger experience and make the airport a more attractive place to work.
The investments include rejuvenation of the Skytrain subsystems, upgrading of Terminal 3’s baggage handling system and new Terminal 1 to 3 inter-terminal baggage conveyance system, as well as more check-in rows at Terminal 4.
They also include expansion of Terminal 1’s arrival immigration halls, strengthening of airside infrastructure, construction of new airside facilities and refurbishment of Terminal 3.