Airport Operations Move
Toward Corporatization
On April 9 the
Executive Yuan approved a draft “Act for the Establishment of a State-run
International Airport Park Company” designed to spur the development of
international airports and their surrounding areas, and thus stimulate regional
industrial development and economic prosperity. The airport company, which is
expected to be set up by the end of 2010, will promote the Taoyuan Aerotropolis
plan and carry out the development and operation of the airport park. The
company may also try to attract more operators into the aerotropolis by setting
different landing fees for different target markets.
The draft Act will provide for coordination between airport operations and the
surrounding hinterland to satisfy the developmental needs of the airport and
the local area. By bringing entrepreneurial spirit into airport operations, it
will upgrade the operating efficiency and competitiveness of the international
airport.
The scope of the airport park’s operation will not necessarily be limited to
Taoyuan International Airport itself and the Taoyuan Air Cargo Park Free Trade
Zone (the development of which has been outsourced to the Far Glory Group on a
BOT basis); in the future, the government may consider requisitioning
surrounding land in order to expand the park further. The Civil Aeronautics
Administration (CAA) Operating Fund will be the main source of capital for the
state-run airport company.
Although it will be state-owned, the airport company will enjoy autonomy in the
hiring of personnel. Its board of directors will have 13 to 15 members, it will
have three to five supervisors, and internationally experienced foreign
professionals will be allowed to serve as executives at the vice presidential
level. The company may be allowed to establish subsidiaries if necessary to
meet the needs of business. In the spirit of entrepreneurship, the airport
company’s operations will not be limited to air transportation alone but will
be allowed to extend to air freight forwarding, logistics, warehousing, and
other businesses—perhaps to include even aircraft repair and maintenance.
