£2.7billion runway proposition

BAA today launched a detailed consultation document on the location of the planned second runway and associated facilities at Stansted Airport.

The company also disclosed its latest estimates of the cost of the project, which show an almost 30 per cent reduction on the cost of the option shown in the Government’s White Paper on Air Transport.

The project, known as Stansted Generation 2, is now costed at around £2.7billion, compared to a Government estimate of around £3.7billion for the construction of everything within the expanded airport boundary. It will deliver a two-runway Stansted, capable of handling around 76 million passengers a year by 2030.

Subject to planning permission, the additional capacity will be built in phases as passenger numbers grow. The first phase, costing approximately £1.7billion, would provide additional capacity for around 15 million passengers and includes the cost of acquiring the land, preparing it for the construction and the building of the second runway and airport facilities. This will build upon the 35 million a year capacity of the single-runway airport. Subsequent phases will cost a further £1 billion.