Airport Terminal Reconstruction Project

Approval date
September 18, 2019
Effectiveness Date
First Disbursement Date
Closing date
December 31, 2022
Burn rate
0.00%
Procurement plan
No data available

Overview:

The Sint Maarten Airport Terminal Reconstruction Project (US$ 129 million) is financed by the Sint Maarten Trust Fund (US $72 million), the European Investment Bank (US$ 50 million)  and the Princess Juliana International Airport Operating Company (PJAIE) (US$ 7 million). The aim of the project is to fully restore the service and passenger capacity of Princess Juliana International Airport (PJIAE) to pre-Hurricane Irma levels, with improved resilience towards hurricanes. The project will support the internal reconstruction of the terminal facilities, project management and capacity building for PJIAE and the Government of Sint Maarten and support for airport operations.

Financial Summary:

Commitment

Disbursement

Ratio

  • Reconstruction of the airport terminal with improved resilience to hurricanes is a high priority for the Government of Sint Maarten. Airport reconstruction is paramount to promote swift recovery given the importance of tourism to the Sint Maarten economy as well as the sustainability of the airport operation. Restoring airport capacity is vital to economic recovery considering high economic dependency of the tourism sector on tourists’ arrivals through the airport. The terminal reconstruction will promote more tourists to come back to the islands and improve financial situation of PJIAE through receiving more revenues from passengers as well as terminal vendors, most of which are currently closed. A more resilient airport will ensure sustainable airport operation as well as disaster relief and emergency activities during the future natural disaster events. In the long term, the reconstruction will contribute to sustainable economic growth of Sint Maarten. 

    The Airport Terminal Reconstruction Project consists of four project components: 

  • Component 1: Reconstruction of the Princess Julianna International Airport (“PJIA”) terminal facilities:

    Provision of support for the reconstruction of the PJIA terminal facilities to restore airport function and to increase its resilience to hurricanes, including PJIA’s terminal reconstruction, consisting of terminal facility restoration and equipment reinstallation, including passenger boarding bridges, entrance doors, dry walls, furniture and counters, electrical and information technology systems, baggage handling system, security installations, and firefighting facilities.

  • Component 2: Capacity Building of and Project Management by PJIAE:

    Provision of: (a) support to PJIAE on project implementation, management, and monitoring and evaluation -  including environmental, social and fiduciary aspects; and (b) capacity building activities to improve airport resilience and air traffic safety.

  • Component 3: Capacity Building of and Project Management by the Government of Sint Maarten:

    Provision of support to Government and its agencies on matters of project management and on capacity building in areas including airport governance and air traffic regulation, determined based on needs assessed during project implementation.

  • Component 4: Support of PJIAE Operations:

    Provision of support to the operations of PJIA through the financing of operating expenditures, particularly when support is required during disaster and weather-related events.

The estimated result is a fully functional airport terminal, with increased resilience to hurricanes, improved capacity to operate, and advanced air traffic safety management.   

Princess Juliana International Airport (PJIA) is the main international airport serving the entire island of Sint Maarten, for both Dutch and French sides. This airport also serves as an important air hub in the region for Saba and Statia as well as other smaller islands such as Anguilla and St. Barthélemy. 
PJIA’s terminal building and facilities were severely damaged during Hurricane Irma and Hurricane Maria and have not been fully functional since then. The passenger airport terminal, a four-story building and the air traffic control tower were severely damaged by the strong wind and rainwater. The roof of the terminal building was destroyed, the entrance doors were blown out. Due to the roof damage, salty water (mix of rainwater and salt spray from the large breaking waves at sea) entered the building, resulting in significant damage to equipment and the facilities inside and subsequent mold growth. Although the main steel structure is quite solid and has not suffered, the terminal has not been fully functional still now. 
Since the Hurricanes, passenger demand and airport capacity have weakened significantly and as a result, PJIAE’s revenues have lowered too. Even after temporary restoration, the airport terminal can currently handle only 70% of the passenger demand before the hurricane. This impedes rapid economic recovery of the country considering the high economic dependency of the tourism sector on passengers travelling through the airport.