Monday, January 16, 2012

Philadelphia International Airport (KPHL) expansion price scheme criticized.

PHILADELPHIA — A major airline hubbed at Philadelphia International Airport continued to voice its displeasure about footing the bill for a controversial expansion plan.

Reiterating statements made in December 2010, US Airways said it was concerned with the proposed escalating price scheme for a plan that may not work.

The airport’s capacity enhancement plan would cost about $6.4 billion and would be completed in phases over the next 13 years. The plan would to add one new runway and extend two existing runways. Airport officials said the additions would reduce delays by allowing for simultaneous, independent aircraft operations in poor weather conditions.

But US Airways spokesman Todd Lehmacher was critical of the plan, saying the delays originate in the sky, not on the ground.

“The primary cause of delays is not runway capacity, it’s airspace congestion,” he said, adding that the skies between Washington D.C. and New York City are some of the busiest in the world. “Until something is done to ease airspace congestion, a new runway system will not solve Philadelphia’s runway problems. Once that’s been addressed, then we can look at the potential benefits of new runways.”

Airport Chief of Staff Christine Derenick-Lopez agreed that airspace was a cause of delays at the airport.

“I don’t think we ever said that airspace wasn’t also a problem,” Derenick-Lopez said. “If we just focus on the airspace, that will not solve the delays. We still need that full, independent runway.”

In 2007, the airport, along with the Federal Aviation Administration, partially implemented its controversial NY/NJ/PHL Metropolitan Airspace Redesign Project.

The plan, which was also implemented at airports in New York and New Jersey, included a new departure heading south out of Philadelphia along the Delaware River.

Delaware County paid nearly $886,000 in legal fees, but ultimately lost its fight against the plan when the U.S. Supreme Court denied a petition to hear the case in 2010. The county maintains the redesign was developed without regard to Environmental Protection Agency or FAA regulations, and poses serious threats to the health of county residents.

US Airways said the economics of the expansion plan could force the airline to drastically reduce services.

Airport officials previously stated airport revenue bonds would constitute two-thirds of the expansion’s funding, while a variety of other funding sources — including user fees and additional grants — would make up the difference.

But US Airways’ analysis shows frightening numbers, Lehmacher said. Airline analysis shows the enhancement project threatens to raise airline costs by $3.6 billion over the next 13 years, he said.

“It’s easy to say just pass it on to the customer. But you have to keep in mind, the leisure customer is very price discriminate,” he said. “The ultimate reality is, we can divert services. We’re not at that point yet, but the economics are simple.”

And while the city has said the expansion plan would bring thousands of construction jobs, with fewer flights running into and out of the airport, airlines may cut back on employees, Lehmacher said.

However, Derenick-Lopez said airport officials have yet to see any cost estimates from airlines as they continue to negotiate an agreement.

“We are currently negotiating the next use and lease agreement,” Derenick-Lopez said, adding that the current agreement expires at the end of the year. “We have a lot of time to negotiate.”

Source:   http://dailylocal.com

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