Victoria International Airport is expecting this year will bring a record number of passengers, a new baggage-screening system, larger runway aprons to park more jets and new revenue potential from the old helicopter squadron building.
“We should surpass, quite comfortably, 1.7 million passengers in 2015,” said Geoff Dickson, president and chief executive of the Victoria Airport Authority.
He added the difference between the value of the Canadian and U.S. dollar is helping drive the number of American passengers higher and “we don’t see the trend abating.”
A previous record of 1.65 million passengers was set in 2014.
Looking 10 years ahead, it’s expected the airport will handle 2.2 million passengers, said Dickson. The airport authority’s annual general meeting was held this week to look at the past year’s performance and what’s ahead.
As more people use the airport, it will need more parking, space for additional aircraft and a larger terminal, Dickson said.
“We’ve got to make investments to accommodate that. We always want to be a little bit ahead of the demand curve, but not too far in front because then you are being inefficient as an airport operator.”
The airport’s long-term capital plan requires $165 million, Dickson said. The terminal building will be enlarged to the north starting in two years. This summer, an $8.2-million apron expansion will begin.
A streamlined baggage-screening system will be installed at the end of summer for the Canadian Air Transport Security Authority, providing that $10 million in funding is approved, Dickson said.
Design work is being done this year on plans to boost long-term parking capacity by 30 per cent. Construction will start in 2016, Dickson said.
Overflow from the lot saw 135 cars parked on Willingdon Road last Christmas.
The facility’s 2014 revenue rose by six per cent year-over-year to $26.2 million, with concessions bringing in the biggest portion at $8.4 million. Rentals brought in $3.1 million.
“We’ve got a big push on growing non-aviation revenue,” Dickson said. Non-aviation revenue increased to $11.9 million in 2014, from $10 million in 2000.
Victoria is striving to generate more of the non-aviation income to help keep other costs down.
The airport is also working on development plans that it hopes to take to the Town of Sidney this year for land at the corner of Beacon Avenue and the Patricia Bay Highway.
At the end of this year, the former 443 Maritime Helicopter Squadron building will become airport property. That building has been replaced by a new high-tech facility. The old building is still in good shape and the airport authority plans to generate revenue by renting it, Dickson said.
The airport improvement fee is moving up to $15 in July from $10, a rate which had been unchanged since 2004. That charge collected $8 million last year.
Victoria’s fee will remain lower than many other airports and will go toward capital improvements.
Airport officials are also keeping in touch with companies hoping to establish low-cost airlines in Canada, planning to be on their radar if they start offering flights, Dickson said.
Last year, two main capital projects were completed. The terminal was upgraded to create a more efficient space, and the runway overlay project was “probably the most complex project we have ever done at the airport because you are paving a live runway,” Dickson said.
