KAA gets insurance settlement for August 2013 fire damage


(Posted 10th April 2014)

The Kenya Airport Authority has now reportedly received their final payment for the fire which in August last year completely destroyed the arrival complex at the Jomo Kenyatta International Airport.

A sum just short of 2 billion Kenya Shillings has been paid in two installments allowing at least the part financing of the demolition of the burned out shell and the start of a major reconstruction.

It was reported here a few weeks ago that the World Bank, among other financiers, has given Kenya a loan of over 17 billion Kenya Shillings, which will be largely used to pay for a new arrivals terminal as well as for the completion of both Terminal 4 and a temporary terminal, with the word ‘temporary’ only meaning that it is by and large a prefabricated unit which will be assembled on site and will then remain in use for at least until the end of the decade if not beyond.

The airport expansion is a key component for Kenya Airways’ fleet renewal and increase, since the present facilities are overstretched and even parking of additional aircraft now poses a logistical problem at the airport until extra parking positions have been completed alongside a major expansion of the apron area.

Excavation work is already underway now, due to be completed by mid year, to pave the way for the start of mainstream construction of what has been dubbed ‘Project Greenfield’, a completely new mega terminal with access to a rail link to the city centre, and the construction of a long overdue second runway which will boost capacity by a further 20 million passengers a year. This will provide growth opportunities to allow airlines already flying to Nairobi to add more flights and a number of airlines who have expressed interest to commence flights to Kenya to finally be able to do so.

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