§ Bob SpinkTo ask the Secretary of State for Transport pursuant to his answer of 3 March 2003,Official Report, column 795W, on airport development, what rate of return was assessed in section 14.4 of the SERAS Stage Two Appraisal Findings report for each of the Cliffe 260W options; and how far the assessed rates of return for the Cliffe options fell below the target rate of return, measured as a percentage of the target rate. [102299]
§ Mr. JamiesonThe financial appraisal undertaken in the SERAS study indicates that, using airport charges current at the time the analysis was undertaken, the Internal Rate of Return generated by the four runway Cliffe option was some 7 per cent. against a target rate of return of 12.5 per cent.
The principal results of the financial appraisal of different airport options are presented in the SERAS Stage Two Appraisal Findings report (section 14.4). Chapter seven of the SERAS Financial Modelling and Analysis report sets out the detailed results of the financial analysis. Both reports are available in the House Libraries.
§ Bob SpinkTo ask the Secretary of State for Transport if he will set out the ranking of assessed rates of return for the development options listed in section 14.4 of the SERAS Stage Two Appraisal Findings report. [102300]
§ Mr. JamiesonThe Internal Rate of Return (IRR) of different airport options is presented in Table 14.11 of the SERAS Stage Two Appraisal Findings report. The financial analysis applied airport charges current at the time the analysis was undertaken. Table 14.11 also gives some indication of the sensitivity of IRRs to other sources of additional revenue.
Chapter seven of the SERAS Financial Modelling and Analysis report sets out the detailed results of the financial analysis and is available in the House Libraries.