Changi Airport Group (CAG) will invest S$3 billion over the next six years in Singapore Changi Airport Terminals 1 to 4 to improve services such as baggage handling, check-in, immigration and Skytrain connections between terminals, as well as to replace end-of-life systems to facilitate smoother passenger and airline experience.

The investments will help Changi Airport stay competitive and meet rising demand for air travel before Terminal 5 is operational in the mid-2030s.

Airport charges will be progressively raised between 2025 and 2030, to fund these investments, and cater for higher operating costs such as manpower.

This also enables the recovery of significant investments made during the Covid-19 pandemic, such as the expansion of Terminal 2 and check-in counter capacity in Terminal 3, when passenger fees and airlines charges were frozen and planned increases were suspended.

To help airlines with the transition, a 50% rebate on increases in landing, parking and aerobridge (LPA) charges will be given to airlines for the first six months.

Based on current ticket prices, the increase in passenger fees is estimated to be about 1% or less for an economy class ticket on most flights departing from or connecting through Singapore. ■