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Regulator Shortlists Rival Developer Option for Heathrow Expansion

A month-long consultation will test support for opening Heathrow projects to competing builders.

Overview

  • The Civil Aviation Authority, which on Friday opened a consultation running to June 15, set out four options that include allowing a rival to build and operate a new runway and terminal.
  • Other options on the shortlist add tougher checks on Heathrow’s spending, support for cheaper long-term finance, and competitive tenders for construction, which backers say could hold down airport charges.
  • The rival-builder model aligns with Surinder Arora’s Heathrow West plan for a 2,800 metre runway and a new terminal that avoid moving the M25, similar to project setups used at LAX and JFK.
  • Heathrow’s owner HAL argues a single coordinator would be more efficient and says outside bids risk delays to upgrades for passengers and to wider economic gains.
  • The plan cannot proceed without updates to the government’s Airports National Policy Statement and planning consent, while Heathrow’s preferred £33 billion scheme would add a 3,500 metre runway, shift the M25, and raise capacity to about 150 million passengers a year.