OREANDA-NEWS. May 31, 2013. The government of Moldova hopes to attract investment of at least EUR 230 million for the development of the Chisinau International Airport through its concession. This is stipulated by the resolution adopted by the Cabinet today on approval of the concession of assets of state-owned enterprise Chisinau International Airport and conditions of their concession in the framework of public-private partnership.

Assets of Chisinau International Airport and lands adjoining them are to be conceded for up to 49 years for development of the infrastructure of the airport and improvement of its services. The total investment in the development of the airport is to amount to at least EUR 230 million, the investment to be made by disbursements as the passenger and cargo traffic grows. At the first stage, during 2 years since the concession contract is signed, at least EUR 40 million has to be invested in the airport.

The money will be spent on broadening the terminal, building parking lots, modernizing the runway, apron, illumination system, etc. At the second stage, during 2 years after the passenger traffic makes 2.6 million a year, EUR 110 million is to be invested to construct a new passenger and cargo terminals and increase a number of parking lots. At the third stage, during 2 years after the passenger traffic makes 3.2 million a year, EUR 80 million is to be invested in broadening the new terminals, increasing a number of parking lots and modernising the infrastructure of the airport.

The investment is going to be returned from incomes of the conceded airport. The reconstruction works are to be started no later than in a year after the concession contract is signed. A concessionaire will be selected on a basis of the following criteria: an amount of the rent (at least 1% of sales incomes), a period of the concession, the fixed capital of at least EUR 30 million, 10-year-long experience in civil aviation services, an experience in airport services concession. Obtaining the concession is available for individuals and legal entities from Moldova and abroad selected by the jury.

During 60 days since a date of the signing of the contract, the concessionaire is to open the concession enterprise to be granted the right for using assets conceded. The fixed capital of the concession company must to be at least EUR 5 million. The company will be given 5 –year long grace period for rent, but will have to pay all taxes, duties and payments to the state and local budgets during the whole concession period.