1. BEIRUT - RAFIC HARIRI INTERNATIONAL AIRPORT EXPANSION
Directorate General of Civil Aviation
6 March 2018
03 March Directorate General of Civil Aviation

2. Presentation Outline Introduction: General Information
Increasing of Passengers
Airport Expansion Project
Project Timeline
Expected CAPEX (USD)
The Plan of Government on a PPP Basis
Expected Role of Government
Expected Role of Private Partner
Next Step
Advantages
Conclusion
6 March 2018
Directorate General of Civil Aviation

3. General Information
The total area covered by the RHIA-B is around 7 million m2
The overall area of the terminal building is around 150,000 m2
3 Runways: 03/21, 16/34 & 17/35
2 Passenger Terminals
1 Cargo Terminal
29 Aircraft Stands
Emergency Services: Airport Rescue and Fire Fighting, Medical Facility, Military Helicopters
Navigational Aids: VOR-DME, NDB, ILS, RADAR
21 Gates
21 Air Bridges
5 Baggage Claim Belts
Short & Long Term Parking Spaces
3 Lounges: Cedar Lounge, Beirut Lounge & LAT Lounge
6 March 2018
Directorate General of Civil Aviation

4. General Information
Rafic Hariri International Airport is the sole operational commercial airport in Lebanon and currently it is exceeding its design capacity of 6M passengers.
Economic growth and globalization have seen demand for air travel advance rapidly in the last 20 years, where the air traffic for the region is forecast to grow at an average of 6.0%.
Currently, the number of passengers at RHIA-B exceeded the capacity of the airport and reached 8.3 million during
6 March 2018
Directorate General of Civil Aviation

5. 6 March 2018
Directorate General of Civil Aviation

6. Increasing in Passengers
It is worth mentioning that the rate for January and February 2018 have shown an increase by approximately 10% compared with Jan and Feb 2017.
Directorate General of Civil Aviation
6 March 2018

7. Therefore, since the number of passengers is increasing year after year and the MOT put a new vision to expand and develop the airport and modernize the 25-years-old master plan, with the aim of increasing its capacity from 6 to 20 million passengers annually.
6 March 2018
Directorate General of Civil Aviation

8. Airport Expansion Project
This project includes 2 Phases, which will be executed as follows:
First phase is to add a new terminal to the west side of the airport with a capacity of 6M pax.
Second phase includes the construction of a new terminal east side of the airport with a capacity of 6M pax, where the total capacity will be more than 20 million passengers.
6 March 2018
Directorate General of Civil Aviation

9. New Terminal Phase 1 - Construction
Built Up area:
* Existing Terminal: 6 mil. Pax.; 150,000m2
* Capacity Upgrade to Existing Terminal: 2 mil. Pax.
* New Terminal: 6 mil. Pax.; 70,000m2
* Total Terminal Area: 14 mil. Pax; 220,000m2
6 March 2018
Directorate General of Civil Aviation

10. New Terminal Phase 2 - Construction
Built Up area:
* Existing Terminal: 14 mil. Pax.; 220,000m2
* New Terminal: 6 mil. Pax.; 75,000m2
* Total Terminal Area: 20 mil. Pax.; 295,000m2
6 March 2018
Directorate General of Civil Aviation

11. New Terminal - Perspective
6 March 2018
Directorate General of Civil Aviation

12. Advantages
Airports are increasingly being viewed as incentive for local economic development;
Airport expansion has an effect of promoting growth in tourism, financial services, wholesale and retail.
The expansion of RHIA-B will lead us to be committed to high standards of corporate governance.
This expansion will help in the sustainable development process, which is a resilient process that balances business objectives and stakeholders’ interests within a holistic management framework.
The Middle East Regional's aviation market is forecast to grow by 5 percent and will see an extra 322 million passengers a year on routes to, from and within the region by 2036. .
6 March 2018
Directorate General of Civil Aviation

13. Project Timeline Expected CAPEX (USD)
Due diligence completed – December 2018;
Launching the tendering process – December 2019;
Contract Award – June 2020;
Expected CAPEX (USD)
The total expected investments needed for the expansion of the airport including the terminal and the necessary infrastructure improvements are estimated at about USD 500 Million.
6 March 2018
Directorate General of Civil Aviation

14. The Plan of the Government to Expand the Airport on a PPP Basis and its Objectives
Access private sector funding;
Transfer development/construction risk to the private sector;
Transfer of O&M risks to the private sector;
Introduce operational efficiencies;
Introduce innovation;
Free government budgets for other sectors;
Introduce new revenue streams for government.
6 March 2018
Directorate General of Civil Aviation

15. Expected Role of the Government
Provide good governance and undertake a transparent tendering process;
Include enough non‐aeronautical activities to make the project profitable for the private sector;
Attract funding from multilateral financial institutions;
Expected Role of the Private Partner
Finance, build, operate and maintain the new terminal. (Operation and maintenance may apply to the entire airport, depending on final deal structure);
Introduce operational efficiencies.
6 March 2018
Directorate General of Civil Aviation

16. Next Step
The Government of Lebanon has decided to start working on the expansion of the airport and the HCP has been mandated to carry it out on a PPP basis. The HCP will be starting soon to retain advisors to assist with the structuring of this transaction and the tendering of the project.
6 March 2018
Directorate General of Civil Aviation

17. Conclusion
Without increasing airport capacity, Lebanon will lose out on business competitiveness and tourism.
RHIA-B already had good transport links, but an expansion would be the best way to create additional capacity.
Expansion provides a unique opportunity to build a long-term and sustainable legacy for our neighbors by investing in improving the local environment, generating thousands of new jobs and apprenticeships and helping to drive improvements to public transport and the road networks. Expansion will deliver:
job opportunities for the local community.
additional apprenticeships
A legacy of skilled, local experts for future infrastructure projects.
New trade and export opportunities for local businesses.
6 March 2018
Directorate General of Civil Aviation

18. 6 March 2018
Directorate General of Civil Aviation