17 Dec 2018
EUR 10 million
Infrastructure, transportation and telecom
|Date of loan:||16 Dec 2016|
|Customer:||AS Tallinna Lennujaam|
|Amount in EUR:||EUR 24 million|
|NACE sector / loan type:||Air transport|
|Business area:||Infrastructure, transportation and telecom|
The loan has been provided for upgrading the infrastructure and increasing the commercial capacity of Tallinn International Airport. The project includes the expansion of the airside area and the construction of a new parking facility and an aircraft painting hangar.
The airside development project involves extending the runway, which will increase service capacity from twelve to twenty flight operations per hour. The runway extension will also allow flight operations to be conducted farther away from the adjacent drinking water reservoir.
The new parking garage will offer convenient facilities for up to 1200 vehicles. The airport hangar will support the development of business segments important to Tallinn Airport. The project is planned to be completed by 2020.
Tallinn Airport will be investing EUR 127 million in development projects between 2016 and 2020, of which EUR 70 million have been deemed eligible for funding from the EU Cohesion Fund. The EU Cohesion Fund shall contribute EUR 35 million of the EUR 70 million investment, the remaineder of the funds will be obtained through equity finance and loans from NIB and EIB, among others.
Tallinna Lennujaam AS is a state-owned company which operates the Lennart Meri Tallinn International Airport and six regional airports in Estonia. In 2015, Tallinn Airport served 2.2 million passengers and provided routes to 32 destinations.
Tallinn Airport needs larger capacity to attract new carriers and increase its passenger turnover and its non-aviation revenues from other commercial activities. The improved service capacity is expected to support Estonia’s connectivity to other regions.
The investments in enhancing the environmental status of Tallinn Airport will help to mitigate the negative environmental impact of the airport infrastructure on the surrounding areas.
The project is not expected to have any negative environmental impact.