It is almost eight years since I last blogged about the airport. Since then it has been operational, but a few fairly major problems remain, COVID has intervened, and the expected or more accurately, hoped for benefits have not materialised.
Most Saints I speak to - I am currently visiting the island for the fourth time - are very critical of the decision to build the airport and nostalgic about the RMS St Helena, which used to be the only link to the island from the outside world. The cost of water, electricity, food and basic essentials has rocketed. Real wages have decreased. The population decrease has continued and the remaining population is rapidly ageing. For those who can afford it the big positive change has been a reliable internet, much cheaper than on our last visit three years ago, and streaming has put the two shops selling DVD's out of business, but it is still about twice the cost in the UK where wages are much higher.
A recent UK Government Audit report has spelled out in grisly detail the failure of the airport to do what it was intended to do, i.e. make St Helena self sustaining so that it no longer required large subsidy from the UK.
Firstly commercial viability of the airport is limited by the island’s remoteness, the short runway length and local wind conditions. Extending the runway or removing a hill that exacerbates wind conditions are not considered cost effective
As a result of wind and visibility issues 11% of flights between 2017 and 2024 were delayed or cancelled. In the past two years this has increased to around 25%
The UK Government subsidy for the airport is now around £4 million a year.
The main aim of the airport was to increase tourist numbers. These were expected to reach 29,000 after 25 years.In 2023, 2,112 tourists arrived, around a quarter of the approximately 8,000 projected for 2023 in the airport business case.
FCDO now acknowledges that the numbers given in the business case were over-optimistic.
Financial aid provided by FCDO has increased from £16.2 million in 2010-11 to £33.0 million in 2023-24, an increase of 104% in cash terms, or 46% in real terms. Not bad for a UK Government implementing a policy of austerity.
In conclusion the airport has facilitated improved access to healthcare for residents, and an improvement in the quality of life for many, but the hoped for wider economic benefits - increased employment prospects, higher working incomes, more private investment, increased Government revenue to finance public services, a reversal in the decline of the population - haven't materialised.
The report also mentions the dreadful waste of money on the bulk fuel project which was covered here a few years back. £78 million has been spent, the original budget was £31 million, it is now 9 years overdue, and it will need further expenditure to get it up and running in the next three years. Happily all the redundant vehicles shown in my original post are no longer present in Ruperts Valley. Hopefully they have been sensibly disposed of.
In September there will after five years of the new system of Ministerial Government be a General Election. It will be interesting to see who stands and who gets elected and forms the new Government. Big challenges remain.