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Consortium wins 30-year concession for seven Hokkaido airports

A consortium of 17 companies, including ANA Holdings, Japan Airlines and the Development Bank of Japan, has been selected as the preferred bidder for a 30-year concession to manage Sapporo New Chitose and six other airports in Hokkaido.

Hokkaido Airports Group signed a basic agreement with the airports’ administrators – Japan’s Ministry of Land, Infrastructure, Transport and Tourism (MLIT), as well as the local governments of Hokkaido and Asahikawa and Obihiro municipalities.

It will now prepare to establish a special purpose entity and negotiate a project agreement.

Other firms involved in the consortium include Mitsubishi Estate Company, Hokkaido Electric Power Company, and advertising and public relations firm Dentsu.

Aside from Sapporo, the other airports in the concession are at Hakodate, Wakkanai, Kushiro, Asahikawa, Obihiroa and Memanbetsu.

MLIT previously indicated that it planned to announce the award around July, and enter into an execution agreement in October 2019.

The winner is scheduled to undertake building management for all seven airports from January 2020. Starting with New Chitose, it would take over runway management from June 2020, followed by Asahikawa airport in October that year, and the five remaining airports from March 2021.

“The core objective of the project is to stimulate the regional economy of Hokkaido as well as marketing and promoting tourism encompassing all of Hokkaido,” says ANA, “while prioritizing safety and security, developing core functions of all the seven Hokkaido airports to operate as international gateways, and promoting Hokkaido-wide tourism as a joint effort with local municipalities and communities.”

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