BEIJING AIRPORT EXPANSION

The present project concerns the expansion of Beijing Capital International Airport to respond to expected future market.

It will comprise of design, construction and commissioning of a third runaway, a new passenger terminal, associated airside, landside and surface access infrastructure.

Beijing Capital International Airport has served as one of the main gateways to China since 1958 and has evolved in recent years to cater for rapid growth in passenger traffic.

The project will help to accommodate the strong forecast growth in traffic. The project is a national priority in China and is one of the key infrastructure investments planned to be completed before the start of the Beijing 2008 Olympic games.

The project was subject to an EIA as required under Chinese law and was approved by the competent authority in March 2004. A similar project within the EU would be classified under Annex I of EU Directive 85/337 as amended by Directive 97/11/EC and would require a formal EIA process.

The project will have a significant environmental impact during both the construction and operation phases with principal impacts related to aircraft noise and impact on resettlement of residents. The authorities have undertaken a large-scale resettlement and compensation programme of residents who live within the development area or whose properties are within the acoustic boundaries. The resettlement issue, therefore, represents a key issue in the project appraisal process.

A Public Inquiry was undertaken with a series of meetings held at neighbouring villages. A review of the environmental impact report summary provided by the promoter indicates that the project area is primarily agricultural land and is not classified as ecologically sensitive.

The EIA process, resettlement procedures and level of environmental due diligence will be examined in detail during appraisal.

Civil works contracts have been awarded following National Competitive Bidding procedures in line with the requirements of national legislation. The promoter has undertaken international competitive tendering for consultancy services and for major equipment supply contracts including the Baggage Handling System, automated people mover and IT infrastructure. The promoter has also confirmed that future equipment contracts will also be tendered internationally with publication in the OJEU. The procurement procedures will be verified during appraisal.