I would guess the airport is further behind. With the increased area comes an increased cost for maintenance (snow removal). Now, without even 737’s landing here, the airport will be losing more on landing fees. Look for an increasing “airport improvement fee” hidden in your passenger ticket.

The biggest problem with any project in PG is the gross lack of business acumen from any of the participants. Nobody wants to prepare and defend a solid and logical business plan as they would if they were risking their own capital. “Hell, taxpayer cash you say? Go for it…might work!

Years later…”Didnt work? Oh well. Say,, let’s drop 50 mill on a performing arts centre…that will REALLY turn this town full of millworkers and sled heads into a cosmopolitan and cultural mecca!!”

Whispers……Kelowna is all setup and waiting too! Where would you want to do a lay over?

One thing for sure, if we didn’t have a long runway those fully loaded jumbos couldn’t land here. But why oh why would they come here when Alaska, Edmonton, Calgary and Vancouver are already setup and doing business! Heck even Toronto makes more sense, where is greatest population density in Canada? That is where the cargo will go and then distributed from there.

Those big jets you see waaaay up in the sky are well on their way to their destination. No reason to stop here, they have the fuel they need.

Maybe they should turn it into a drag strip.

Prince George was the last of 26 Airports in Canada to be set up and run by an Airport Authority.

Airport Authorities are allowed to assess Airport Improvement Fee’s to collect money, however that money has to be spent on Airport Improvements. It cannot be used for other purposes.

At the PG Airport the improvement fee’s went from $5.00 to $10.00 to $15.00, and now stand at $20.00 per flight. This generates approx. $3.5 Million in 2013.

If the AIF money is not spent on improvement, then the AIF must be reduced or eliminated.

So, this is the situation, for most Airports. Find ways to spend this money. We at Prince George, first improved the Terminal Building for some significant spending, and then the next big project was to increase parking from 500 spaces to 800 spaces. (plenty of empty spaces at the Airport). The last big project was the Runway Expansion. This cost us a total of $36 Million dollars of which $11 million was borrowed by the Airport Authority from NDIT, and hasn’t as yet been paid back.

Sooo, what came first the chicken or the egg. Was the Runway Project proposed as a viable project that would at some time in the future produce some revenue and jobs. Or was it put together by people who did not have the expertise or vision to properly asses the viability of the project, and now sits empty as a testament to their ineptness.

Seems the Fueling station was the last big project that was supported by the AIF, and it sits empty at the North End of the Airport, as remote and forlorn as an Eskimo Igloo, in the remote Artic.

Every year we are told that next year, things will change, and we will see some action at the Airport. We have had three proposals for a 25000 Sq Ft Warehouse, non of which got off the ground, and we are now told that what (little) Air Cargo there is can be handled through Northern Thunderbird Air’s new warehouse.

What we need is for the Airport Authority to tell us exactly where this project stands, what is being done to get it off the ground, (pun intended) and when (specifically) we an expect some results.

Don’t forget the air freight business took a big dive when the economy tanked and it has been a slow recovery ever since.

Another hit is regular international longhaul passenger flights have been flying more and more cargo. There is a reason why luggage has been restricted. That allows more profitable cargo to be hauled. This switch in air cargo hauling has reduced the need for straight cargo only aircraft.
A big cargo outfit called evergreen has just shut down though a big part of there business was US military cargo which has greatly decreased.

So was anyone able to forsee any of this before the runway was built?

Seamut. Using the economy as an excuse is getting a bit time worn. Anchorage took a big hit during the recession, and has since bounced back, so has many other Airports.

The amount of Air Cargo being handled by restricting luggage would have no bearing what so ever, on big Air Cargo Carriers.

The Prince George plan was for Air Cargo Jets (747’s) to be landing fueling and taking off in Prince George. This has not happened. These planes supposedly would already be loaded with Cargo to the Eastern USA, and would use Prince George Airport rather than Anchorage for fueling, and eventually for Warehouse and Distribution. This never happened.

We are now told that if we could come up with Air Cargo that planes going back to Asia could load in Prince George we would have a better chance of getting some planes to stop. Initiative Prince George was doing a survey with business, etc; to look into the possibility of back haul traffic. This report was to be completed in June of this year, however haven’t heard a word so far.

Calgary Airport a number of years ago looked into trying to get some of the business from Anchorage to come to Calary, and they concluded that there was not a good business case for a project. Prince George chose to ignore the Calgary experience and go ahead. Seems they could have saved a lot of money if they had listened to Calgary.

What we need is a professional update on how this project is progressing, and when if ever, we can expect some return on our investment. This information has to come from the Management and Board of Directors of the Airport Authority. They have the responsibility to keep us up to date, and we pay them good money.

So lets get a professional update.

If I had taken this business idea to my bank would I have been able to get a loan? With no actual commitment or even an expression of interest from potential customers I doubt the loan rep would even meet with me. It seems to be a different story when it’s taxpayers footing the bill. If you can get enough positive media coverage and a politician in the photo the sky’s the limit.

If it wasn’t for the longer runway the Antonov wouldn’t have landed here to pick up or drop off the helicopters and save VIH a pile of dough

slinky. The Antonov landed in Prince George on the old Runway a number of years ago, when it delivered a huge Generator .

By: Thelma Etim
12.12.2013 | 
AIR CARGO revenues are expected to be US$60bn this year and in 2014 – unchanged from 2007 levels, reveals IATA’s Global Economic Outlook. 
The revenues have been made worse by the belly capacity arriving from the improving passenger business, which is adding to the downward pressure on cargo yields, the report says.
Airlines expect to carry 51.6 million tonnes of cargo in 2013, increasing to 52.5 million tonnes in 2014.  
This modest increase in demand is expected to be offset by a decline in yields (-2.1 per cent in 2014). 
The association also expects the global commercial airline industry to generate a net profit of $12.9bn this year and $19.7bn, or 2.6 per cent of revenues in 2014. 
This represents an upward revision of $1.2bn this year and $3.3bn in 2014, which reflects the impact of lower jet fuel prices over the forecast period and the improvements to industry structure and efficiency already visible in quarterly results this year.
“We must temper our optimism with an appropriate dose of caution. It’s a tough environment in which to run an airline. Competition is intense and yields are deteriorating,” states Tony Tyler, director general and chief executive of IATA.
“Cargo volumes haven’t grown since 2010 and cargo revenues are back at 2007 levels. The passenger business is expanding more robustly.” 

Tell the world that Costco is running the refueling part of the airport. Dropping out of the sky for cheap fuel? Could happen.

Good information seamut. You will notice that airlines are making more money in 2014 that in previous years because of the decreased cost of fuel etc;.

In addition you should note that the article states that cargo revenues are back at 2007 levels. It was in 2007 that the business plan for building the expansion of the PG Airport was put forward, so one would assume it was based on cargo available at that time.

Have a nice day.

The volume has decreased to 2007 levels. The thought back then was that air cargo was to greatly expand which it didn’t. With this decrease there was no overflow from Anchorage.

Competition is intense and yields are deteriorating,” states Tony Tyler, director general and chief executive of IATA.

Re: the direct flight to Calgary, I wouldn’t be at all surprised if CMA stopped that route in 2014 due to lack of passengers.

As far as the Airport goes, it has been a huge sinkhole which millions of taxpayer dollars have been poured into with no result.

The Airport has been long on promises and pie in the sky ideas, but short on deliverables… unless you count the huge jumps in the Airport Improvement Fees a success.

If the LNG industry does proceed and they
have to build 3 or 4 pipelines.

The airport may be the delivery point
for the compressors that are used in
pumping the natural gas.

Each pipeline will require a number of
compressor stations.

Another possible use is if the ranchers
could secure a market in Asia, for the beef
they produce. Direct delivery.

Wow, people still don’t “get it”. The airport expansion, painted as development for the region, is nothing more than an “emergency runway”. This is still a “regional airport” under the guise of being and “international airport”. The current facility is “not secure”, and in being so will not see any further development or interest from large international carriers. The airport doesn’t have the infrastructure to support inbound carriers, this mean “In Bond” facilities for direct international deliveries and customs clearance.

The only real reason the airport was expanded was to allow space for another long emergency runway (September 11th). That September had every major airport “stacked” we had no further space to land heavy aircraft. Hence the Federal governments move to expand YXS to allow for heavy landings and take-offs. YXS has the apron and field side space to hold a good number of heavy aircraft on a temporary basis. Screening equipment to allow for screening and reboarding of deplaned passengers. Until the airport authority actually starts telling the truth to the public, this airport is nothing more than a regional airport sporting international clothing.

The airport is not to the security requirements of an international airport, it currently just manages to stay on par with the requirements for a regional airport. There is no “in bond” facilities, nor is there any proper passenger loading and unloading facilities (apron fingers) to support volume passenger turn around. Why folks can’t understand this simple concept is amazing, but hey folks will buy whatever BS they are sold if it “sounds good” for the community.

Until those who are in power fess up and tell the truth ( this from any politician is almost impossible) the airport will just remain a simple airport with no growth above the current levels.

Would have been cheaper to leave the airport as we found it. With a windsock on a potato field. Helps to dream, but that costs money.

Seamut. The intention was that the PG Airport would obtain 1/8th of the Anchorage traffic. There was no mention of overflow. In fact they tried to indicate that Anchorage has fueling problems, and congestion problems. This of course was BS and has been proven to be BS by the fact that 8 years later Anchorage is still handling 700 plus large body Cargo Aircraft per week and Prince George are handling **NIL**

What we need is for the Airport Authority to reduce the Airport Improvement Fee’s to about $10.00 per trip, and perhaps even to $5.00 per trip. We have done all the expansion that will be done at this point in time. If at a later date, there is some movement for air cargo, or whatever, then we can re visit the AIF.

Professional pretty well sums it up, as far as an International Airport goes.

the O250 cloud of negativity now floats over the airport ! Where will it float to next ?

Oh oh a 9/11 consperience theorist just jumped in. Amazing where a thread can jump to.

Boon… show us the positives instead of being negative on our negativity… which of course produces a positive as it’s a double negative.

I’m getting a headache.

:)

The business plan for the Airport looks as well thought out as the chopstick factory was.

Seamut: No conspiracy theory at all, simply the truth. Just because it makes more sense than all the other “guessing” that is being bantered around.

We don’t always get sold a “clean bill of goods” from those we charge with the responsibility of looking after these affairs. Aviation was a mess, and the realization that it too way too long to clear the air space. A decision made in Ottawa, this wasn’t the only airport that was upgraded to handle “heavies” across Canada.

Palopu: “What we need is for the Airport Authority to reduce the Airport Improvement Fees to about $10.00 per trip, and perhaps even to $5.00 per trip. We have done all the expansion that will be done at this point in time. If at a later date, there is some movement for air cargo, or whatever, then we can re visit the AIF.”

Someone can correct me if I’m wrong, but I thought the Airport was ‘borrowing’ from the AIF fund to repay their debt.

And yes, Professional summed it up pretty well. But it seems that for some, if you start bringing up these points about the airport, you’re branded as being ‘negative’.

gitterdun I think you have got this one right.IPG another sink hole hole to put your money in.

How do you mean it took to long to clear the airspace. This clearing of the airspace had never happened before and went relatively well considering. Professional back up your claims with some documented facts.

Now if as you say the runway was lengthened because of 9/11, why a secret. Kind of hard to hide a big secret like that. The airports where not full to capacity.

Professional hardly a staggering amount of aircraft landed in Western Canada during 9/11

Most of the Pacific flights landed in the two westernmost provinces – Alberta and British Columbia — as well as the Yukon Territory. In Alberta, 6 airplanes arrived in the provincial capital of Edmonton. To the south, in Calgary, another port of entry, 13 more aircraft were received. (Source 1)

The West Coast province of British Columbia is where the beautiful city of Vancouver is located. It is also a major port of entry. Vancouver had 34 international flights arrive that day. One of them, a 747 Air China (from Beijing to San Francisco) was escorted in by two F-15s because of suspicious communications. When they landed it turned out to be just miscommunications. When the last aircraft arrived at 3:00 PDT the city’s population had increased by 8,500. (Source 1) Because Vancouver is also a port for the major cruise lines, many people were put on board vacant cruise ships because of the critical need for housing. (Source 6)

Seamutt: Yes the airports were at capacity and yet some. We ran out of space in BC to land heavies. The research your looking for is not classified as “public knowledge” material. But if you had anything to do with aviation at that time it was clearly evident that we ran out of space.

Sometimes the public doesn’t need to know the reasoning for “things” to happen, they are, at times, sold to us as something else, like “regional economic development”. One devil can serve two purposes, you just don’t have the “need to know” what the other purpose may be.

FYI I don’t need to back up my “claims” on this topic, doubt what I say, you research it yourself. “opinion250”

“you have to have the cargo carriers land and dump their cargo in order to have the storage”

Actually it is the other way around. I do not know of any cargo carrier in the world that will drop off cargo and then hope someone will build a storage space around it.

One obviously needs more than a runway to bring business in. No one will land, other than for show and tell or an emergency unless there is infrastructure to service the planes and infrastructure to service the cargo.

Perhaps the whole system could not be built at one time because it was too large a ticket item for the likes of Prince George. Hard to sell something if there is nothing to sell.

We now have:

1. a runway
2. a fueling facility (I think)
3. a service road to access subdivided property.

I think we still need a few local access roads with services to properties.

However, there is enough there now to allow us to promote the location without it looking like a gong show of smoke and mirrors.

Can we see where the promotion pages are on the net and who has been hired to lead the marketing?

“With no actual commitment or even an expression of interest from potential customers I doubt the loan rep would even meet with me.”

If that approach had been taken by Hammond in the early 1900s the City of Prince George would not be here.

JohnnyBelt. I believe that your right in that the Airport Improvement fees will be used to pay for the borrowing for the Airports portion of the cost of the runway.

To date they have not paid back a red cent, however I believe that they intend to start paying on the principle in 2015. So perhaps there is no room for reducing the AIF until the debt is paid, which would take about 10 years.

So in essence we are hamstrung with a white elephant.

Sorry airports were not at capacity. You should check your information.

You should have been at the airports to see it for your self… I was.

So it looked crowded but that was just Vancouver. They still had room and there were other airports. Comic, fort st. John, Edmonton Calgary

Gus: ” I do not know of any cargo carrier in the world that will drop off cargo and then hope someone will build a storage space around it.”

Without a long enough runway to land a loaded cargo plane there wouldn’t be any dropping off of cargo at all. Does that extended runway have a Best Before date attached to it?

I doubt it.

Last rumour I heard was there is a $4500.00 landing fee to pay every time a “heavy” touches down on any runway in Canada, and this is a federal charge, not provincial, and the feds have no intention of waving that fee for any airport, including our struggling little PG airport.

Top that off with the ripoff fuel prices we pay in PG and Canada, including the “carbon tax” on every litre, vs the US prices, and I wouldn’t give PG the time of day either, while flying over.

Can any of you facts and figures Guys elaborate on this ??

So Ben, were you just bored today and needed something to s**t on? I mean you make out like there’s some big question here as to why this hasn’t worked yet but the answers should be clear as day to you.

Here’s a few reasons …

“First, with Asian cargo flights down by 1% over the past year, the traffic over the Anchorage airport, is not as congested as it has been, so Anchorage remains a preferred tech stop despite the fact Prince George is closer to the Asian markets.”

“The Canadian dollar is holding steady over the U.S. dollar, meaning it is more expensive to land here now than it was when the runway expansion was underway and the Canadian dollar was only worth 65 cents against the U.S. dollar.”

“NAV Canada charges $3,000 for a tech stop, a fee that is not charged in the U.S. With the Canadian dollar at par with the U.S. dollar, the disadvantage created by the NAV Canada fee is significant.”

“Gibson says that in conjunction with the road’s completion, the airport’s fuel depot is receiving hydro power this week and the fuel pumping system and refuelling vehicle are in full working order, just waiting for certification. He says he fully expects the fuel depot will be open for business in December.”( I.E. Now )

A little hard to get business when your fuel depot just opened this month.

So Ben. You of all people should know all of these reasons and none of this should be any surprise to you. After all , your own staff wrote every single one of these quotes that I just copied & pasted.

So what really was the point of speculation when you’ve already answered it in a dozen other stories on your own site. Oh yeah, that’s right… Gotta stir the pot today.

During the planning and expansion of the runway the CDN$ was well above par with the US$.