Bring us up-to-date with Pristina International Airport (PIA) – how has it changed in the last three years? What services does it now offer
that it didn’t in 2006?
The airport was under the Icelandic Civil Aviation Authority until October 30, 2008 which was responsible for managing the major infrastructure projects in order to fulfill the security and safety conditions. But on the aforementioned date the airport was fully certified according to international standards by the same authority.
In the last two years there have been a lot of major projects completed such as runway resurfacing, apron extension, perimeter fencing, lighting system, construction of a new arrival terminal, because before there was only one terminal used for arrivals and departures. There has also been an extension to the existing terminal, increased capacity of the check-in counters, the business lounge was made operational and improved space and services have been provided, such as the VIP Customer Services, construction of INAD passengers areas, construction of a 600sq m building for Protocol VIP Services, new terminal chairs put in place and many more features to increase the standard of the airport.
PIA has started to operate 24 hours a day, which is one of the most important and effort demanding activites during the year 2009. We now
have new commercial routes and destinations as well as new airlines, by including the Cargo airlines as well.
How many passengers does PIA handle every year?
The passenger number of one million was reached in 2008 which was the first time in the history of PIA. The number of commercial passengers in 2009 was 1.2 million.
How many people do you now employ at PIA?
We have 788 employees, including the Air Navigation Services Provider, which functions under the umbrella of PIA. It is already in a
procedure of being separated by the airport operator.
How is this figure likely to change in the next three years? Why are these figures changing?
By having the airport in the Public Private Partnership we expect an increase in passengers and flights figures, considering that we will be
able to attract new airlines and new routes and destinations.
What are your most popular destinations?
Our most popular and regular destinations among others are London,
Tirana, Zurich, Vienna, Ljubljana, Budapest, Istanbul, Dusseldorf,
Stuttgart, Hamburg, Berlin, Frankfurt, Copenhagen, Zagreb, Podgorica
and Geneva.
What was your turnover in 2009?
The turnover in 2009 was around €30m.
Are there other ports of air entry into Kosovo other than via PIA?
PIA is the only airport for handling commercial flights. There is another airport (military) in Kosovo, which is handled by Italian
Military Forces (KFOR), and it is used only for military services.
Tell us about how public private partnerships are changing and improving the airport? What partnerships exist currently?
The tender dossier for the Public Private Partnership contains a significant number of investments to be carried on by the successful
bidder, which is believed to be enriching the actual services at PIA and identifying new potential income streams for PIA.
There are three prequalified bidders; FRAPORT – IC, BOUYGUES-EGIS, LIMAC AIRPORTS DE LYON and RIVIERA – LR Group Israel.
Is PIA likely to be privatised in the future? If so, when?
Pristina International Airport is in the midst of the process of Public Private Partnership. The prequalification process is concluded, and
there are three companies that are qualified for further competition in this process. The process will be finalised sometime this year.
What is the balance between civilian (retail) and commercial services? How will this change in the future?
Developing commercial activities has been seen as one of the priorities in the last year. We have introduced new commercial activity, such as a Business Lounge, VIP Customer, promotional opportunities and more. These actions aim at making the airport more attractive to commercial activities and toward the ”airport city” concept, where airport
development services go beyond the core aeronautical activities. Currently PIA revenues mainly derive from aeronautical rates and
charges. Non-Aeronautical services make up 14 percent of total revenues, which is very small percentage compared to other Europeans Airports. However, development of further commercial activities is linked to a new terminal planned to be built in the near future.
Who are the biggest companies operating out of PIA?
The biggest companies operating at PIA now are British Airways, Austrian Airlines, Turkish Airlines, Adria Airways, Swiss International, Air Berlin, Croatia Airlines, Malev, Norwegian Air, German Wings and Belle Air, some of whom have been operating for years.
Which airlines occupy your main slots?
Airlines that occupy our main slots are Austrian Airlines, Malev, Turkish Airlines, Adria Airways, Air Berlin and Belle Air.
What about the potential for foreign investors for concessions at the airport – what concessions have already arrived?
In June 2009 the Government of Kosovo authorised a proceeding with a PPP for the operation and expansion of PIA. The contract structure is a design-build-finance-operate-transfer (DBFOT), with contract duration of 20 years. Four bidders: 1.“FRAPORT – IC”; 2.“BOUYGUES-EGIS; 3.
“LIMAC AIRPORTS DE LYON”; and 4. “RIVIERA – LR Group Israel”, submitted their bids for qualification for the PIA Concession. The PPP for PIA envisaged a 20 year agreement to include construction of a new terminal of 25,000sq m, construction of a new control tower for air traffic control, new parking platform for airplanes, water recycling plant and other facilities.
How is Kosovo’s economic situation itself changing – did it improve in 2009?
According to The World Bank, economic growth has continued at an estimated 5.4 percent. This growth was partly supported by foreign
assistance and remittances (estimated at around 12 percent of total GDP). Private consumption and public investment accounted for a large part of this growth. So far the recession in Europe has had little impact on the real growth of the economy in Kosovo. This can be explained by the fact that FDI and the economy export base are small, and on the other hand the public expenditures are rising rapidly.
Have you been affected by the downturn in the global economy?
We have not been affected by the global economy at our airport. Bearing in mind that most of the airports have seen a decrease in the number of passengers and flights because of the economical financial crisis, it is an immense pleasure to point out that we have an increase of five percent in the passengers’ number and 17-20 percent in flight numbers for year 2009.
What are your main challenges for the next three years?
We are on hold, we have stopped all investments because the Kosovo Government is in the final phase of implementing the Public Private
Partnership project.
The price of oil has come down significantly in the last few months – has this helped business, do you feel?
According to passenger numbers and aircraft movements for 2009, we can say that it had a direct positive impact.
What about expansion into new markets and new clients? What sort of markets/clients would you like to develop that you don’t attract
currently?
We have had up-to-date a progressive result in new clients as well as in existing clients by having the airport operational 24 hours per day,
which means that few of the current airlines have doubled their flights. EasyJet has shown high interest in starting to fly to/from PIA
during the coming summer season.
What about security arrangements – have these changed much in recent years?
All security staff of PIA are well trained and qualified for their day to day duties and activities. All security measurements at PIA are in
place and are in compliance with ICAO Annexes.