MINISTER PICKERSGILL SIGNS CONTRACTS FOR CARGO VILLAGE DEVELOPMENT AT NMIA

Minister Robert Pickersgill signed a contract for Phase One of the Cargo Village Development at the Norman Manley International Airport on Wednesday, April 21, 2004 at the Ministry of Transport and Works' Corporate Office.

This is part of the continuous process of upgrading of the airport and is intended to substantially expand and improve the physical facilities associated with the cargo business at the Norman Manley International Airport (NMIA). Speaking at the signing, Minister Pickersgill noted that air cargo has been seen as a catalyst of economic development around the world and that the Airports Council International (ACI) reported a 2.8% increase in air cargo for the 12 month period ending December, 2003.

Capital Improvements works at the NMIA are fully underway, to ensure that this facility is expanded and modernized to meet acceptable international standards. This will enable the airport to continue to be a significant contributor to the national economy and to ensure its competitiveness with other airports both locally and in the region.

BACKGROUND

In September 1999, the Queens's Warehouse, a 51,000 square foot facility was destroyed by fire. As a result of the fire, the airport's cargo clients were re-located to various areas on the NMIA property including the former Informal Commercial Importers' building in order to facilitate the continuation of their respective businesses.

In October, 2003 three contracts designed to facilitate the modernisation and expansion of NMIA were signed. Those contracts were part of the 20 year Capital Development Programme valued at US$127M. They include general infrastructural development and major maintenance, in addition to terminal expansion and Airside development. The Airport Cargo Village Phase One is part of this Master Plan.

This project involves the construction of a 30,000 square foot cargo warehouse building. Approximately 25,000 square feet of this space will be set aside for rental while the remaining 5,000 square feet of new office space will be allocated to Jamaica Customs. The associated infrastructure for common use areas, security checkpoints and the requisite buildings to house the mechanical and electrical components will also be dealt with during this construction phase.

The contract for the construction of the cargo village has been awarded to HDB Construction Ltd being the one who offered the lowest tender. The recommendation for award was subsequently endorsed by the Ministry and the National Contracts Commission (NCC) and was subsequently approved by Cabinet. The value of this contract is J$191,229,005.00.

SCOPE OF WORKS

The works to be implemented under the contract consist of the following:

1. EARTHWORKS: This is geared at achieving the sub-grade levels needed to facilitate the construction of the buildings and the parking areas.

2. INFRASTRUCTURE: This aspect of the project will result in the installation of a new water supply distribution system, sewers to serve the warehouse, a surface water drainage system to drain stormwater from the airside and landslide parking areas and the underground electrical and communications ducts. An approach road and public car parks are to be constructed, with each having an asphaltic concrete paved surface. An electrically powered Sliding Access Gate with an adjacent, manually operated pedestrian gate will also be installed.

3. BUILDINGS: A 30,000 square foot warehouse building, involving a structural steel portal frame will be erected. A strong room, a hazardous items room, an Auction Shed that will be used by Jamaica Customs and a Generator Room will be constructed within this warehouse. The building will also have a mezzanine floor area of 700 square metres. Both the mezzanine floor and the roof of the building will be made of reinforced concrete. Additionally, a building for the common use waiting area and for accommodating the security personnel as well as an electrical building will be constructed. The Cargo Village will be constructed at the site of the former Queen's Warehouse which is located east of the terminal building at the Norman Manley International Airport. Essentially, a modular type building is being constructed which will facilitate future expansion requirements.

The construction phase of the project will commence in May of this year and will result in the facilities being available for use within 14 months after the date of commencement.

Minister Pickersgill also used the opportunity to give an update on the Airport Improvement Fund (AIF). He said that the fee of US$5.00 which was introduced on February 15, 2003 is dedicated to the support of capital development programmes at Sangster International Airport and the Norman Manley International Airport. With regards to the NMIA, J$153M has been collected to date from passengers departing the island. He also highlighted the fact that the construction of a ticketing counter at the NMIA is now in progress and that approximately US$1M has already been spent on this project.

The Minister also explained that efforts continue to prepare the NMIA for eventual takeover along the basic lines of the concession arrangement that exists at Sangster International Airport.