8-11-2024 (SINGAPORE) Singapore’s Changi Airport has announced significant increases in passenger fees and airline charges over the next six years as part of an ambitious ($3 billion) enhancement programme, marking the most substantial price adjustment in recent years.
The Civil Aviation Authority of Singapore (CAAS) revealed that departure fees for originating passengers will rise by 21 per cent, from the current $65.2 to $79.20 by April 2030. Transit passengers face an even steeper increase, with fees more than doubling from $9 to $21 over the same period.
Airlines will also shoulder higher operational costs, with landing and parking fees set to increase by approximately 40 per cent by 2030. Narrow-body aircraft operators will see per-landing charges rise from $1,200 to $1,735, while wide-body aircraft fees will increase from $3,600 to $5,040.
The comprehensive upgrade plan targets critical infrastructure improvements across all four terminals, including modernisation of the baggage handling systems and the inter-terminal Skytrain network. Terminal 3, now entering its 17th year of operation, is also slated for refurbishment.
Koh Ming Sue, Executive Vice-President for Engineering and Development at Changi Airport Group (CAG), explained: “We’re facing the necessity to renew and expand critical systems approaching their operational life limits, ensuring they meet future capacity demands.”
The timing of these increases reflects growing passenger volumes, with the airport handling 65.9 million travellers in the year ending September, approaching pre-pandemic levels of 68.3 million. CAG projects its terminals will reach their combined 90-million passenger capacity by decade’s end.
Industry response has been mixed. The International Air Transport Association (IATA) acknowledged the need for infrastructure investment but expressed concerns about the impact on airline operations and passenger demand. Budget carrier Jetstar Asia highlighted particular concerns about the charges’ effect on their low-fare business model.
To ease the transition, CAG will offer airlines a 50 per cent rebate on increased charges for six months from April 2025. However, the long-term trajectory of higher fees appears set, as the airport positions itself for future growth ahead of its Terminal 5 opening in the mid-2030s.
Aviation analyst Shukor Yusof noted: “While contentious, these investments are crucial for maintaining Changi’s position as a premier global aviation hub. Excellence comes at a price.”
The fee increases align with similar moves by major airports worldwide, including Amsterdam’s Schiphol, which recently announced a 37 per cent fee increase over three years, reflecting a broader trend of infrastructure investment in the post-pandemic aviation landscape.
