SE Lithuanian Airports has announced the Lithuanian Government has created a new strategic committee, tasked with continuing to develop Lithuanian Airports` concession project.

Lithuanian Airports  is a state enterprise, which unites and manages Vilnius, Kaunas and Palanga airports. Altogether during 2015 they served over 4.2 million passengers (Vilnius – 3.3M, Kaunas – 0.747M and Palanga – 0.145M) and 50 thousand flights.

Government's strategic committee assured not only the concession project to be continued, but also to make an analysis of the possible development of the new airport in Lithuania as an alternative to the initial scope of the three airports’ concession project. The results of this analysis will be announced in a six-month period.

The full investment program of all three Lithuanian airports is set at approximately €250 million (US$288.5 million).

The tender is expected to be launched in the first half of 2019.

According to the Lithuanian Transport and Communications Ministry, the concession project would not only help Lithuania develop the airports, but also achieve significant results on the Baltic market. Under concession agreement, the airports’ assets would remain as a state property, but would be maintained and improved by private funds. 

Last year, the Lithuanian Parliament approved a law that enabling three state-owned airports to be managed by a private concession.

As we reported in May 2016, a consortium led by the aviation consultancy firm InterVISTAS was selected as the preferred bidder to provide consultation on the structuring and implementing of the procurement. The anticipated duration of the contract is 22 months and the advisers will consult the government of Lithuania throughout this process.