Rationale for Alternative Ownership Model for Changi Airport Terminal 5

59 Er Dr Lee Bee Wah asked the Minister for Transport (a) why there is a need for the Ministry to explore alternative ownership models for Changi Airport Terminal 5; (b) what are the lessons learnt from the private-public partnership model of the Sports Hub; and (c) whether there is a planned solution should the selected ownership model not work well.

Mr Khaw Boon Wan: The development of Terminal 5 is a major investment to ensure that Changi Airport continues to remain competitive and serve Singapore's growing economic and connectivity needs. At full capacity, Terminal 5 will be as large as Terminals 1, 2 and 3 combined. Given the scale of investment needed, the Government set up the Changi Airport Development Fund to help fund the building of Terminal 5.

For Terminals 1 to 4, Singapore's sole airport operator Changi Airport Group (CAG) is also the owner. However, there are other leading airports where operation and ownership are separate. The Ministry of Transport (MOT) and the Ministry of Finance (MOF) have therefore commissioned a study to determine the ownership model for Terminal 5 following its completion that can best support our objective of maintaining Changi Airport's position as a leading air hub for the long term. We are not, however, considering a public-private partnership model of co-development.