The Tribune

The Government’s aviation chief yesterday said new and increased passenger and user fees at Family Island airports such as Bimini are “the price of development”.

Dr Kenneth Romer, director of aviation, said the Ministry of Tourism, Investments and Aviation has conducted a study into the fees to ensure they are competitive and will not disadvantage visitors, residents, airlines and private aviation operators alike.

He added that the issue had been discussed with Chester Cooper, deputy prime minister and minister of tourism, investments and aviation, and it was determined “there is a price” for ensuring Family Island airports are brought up to international safety and operational standards.

Mr Cooper said: “The concern came as a result of the implementation of new fees that seem, in some cases, exorbitant notwithstanding that many of the other airports did not really charge certain fees that were passed on to customers.

“The deputy prime minister would have indicated that there was a price that comes again with development, especially world class infrastructural development, to attract the new airlift to the islands - international, domestic - and to really support the economy of these islands. And so there was the imposition of some fees.”

Dr Romer maintained that the Department of Aviation is open to making changes to these fees upon feedback from residents but will continue to do “what needs to be done” to ensure Family Islands have proper airport infrastructure.

He said: “Obviously, constituents and citizens have the right to voice their concerns that were raised. Deputy prime minister was provocative. He had asked again for us to take a look at those fees to ensure that we ensure that there is some competitiveness when it comes to what’s going on across the region.

“And that will segment to many other airports because the concerns are somewhat consistent in terms of the level of fees imposed on the travelling public, the price again for development.

“But deputy prime minister said he will listen to the concerns and, if there has to be amendments like it was in Bimini to delay the imposition of some fees, they would have listened, they would have acted at the same time doing what needs to be done to give our islands brand new airport infrastructure”

Bimini residents and pilots raised concerns after Bimini Airport Development Partners, the private sector consortium charged with transforming the island’s airport, unveiled a host of new charges to help pay for their investment.

“This notice is to serve as an announcement concerning the change of management at South Bimini International Airport,” the notice read. “Effective May 6, 2024, Bimini Airport Development Partners (BADP) will assume the management, operations and development of the airport.

“BADP will begin immediate improvements of the airport to modernise and expand the facility, improve airside and navigational infrastructure, procure equipment and enhance services and processes. As a part of our endeavour to provide world-class services we will be continuing and implementing various rates and charges for all general aviation private operators and passengers.”

The principal that the customer/user pays to finance airport upgrades such as those planned in Bimini is well established, with Lynden Pindling International Airport (LPIA) in Nassau a prime example. The fees levied on commercial airline, charters and private aviation, plus their passengers, will be used by the Bimini consortium to both repay the debt financing for the upgrades and generate a return on its investment.

One Bimini home and plane owner, speaking on condition of anonymity, said that prior to May 6 incoming private pilots and operators were faced with paying a $50 Customs processing fee, along with the $29 per passenger departure tax and a security fee that is around $10 per person. While these charges remain, the BADP group is adding a host more.

These include, according to its April 26, 2024, note, separate passenger facility and passenger processing fees. The new passenger facility fee is pegged at $20 for domestic passengers, and due to increase to $25 per person come June 1, 2025, while that for international passengers has been set at $40 per head and is set to rise to $45 next year.

As for the passenger facility fee, that will start at $5 for domestic and $10 for international passengers, rising to $6 and $12 per head, respectively, in 2025. There is also a $1 per head “passenger levy”, plus a new $25 “pent handling fee” that will rise to $25.50 in 2025.

BADP’s notice also sets out a variety of landing, terminal and aircraft parking fees that it plans to charge. The landing fees, set to be based on the type of plane involved and its weight, start within a range of $20 to $115 before increasing to between $30 to $135 next year. Terminal fees, meanwhile, which are based on aircraft seat capacity and turn, start at between $14.76 to $51.67, and rise to $15.20 and $53.22 in 2025.

Aircraft parking fees are to be determined by length of stay, with the daily “tie down” rate set at $30. This latter price is particularly exercising Bimini homeowners who told Tribune Business that, in the absence of any discount for residents, this would translate into a monthly cost of between $900-$930 if they kept their planes at the airport for so long. And, with 10 percent VAT, the ultimate cost would be $990-$993.