Yoon Sang Lee: "Preventing Bird Strikes... Willing to Spend 3 Billion Won on Radar" [Q&A]

Full Transcript of the Press Conference and Q&A Session

Lee Yoonsang, Chairman of the Gadukdo New Airport Construction Corporation, held a press conference on the 27th at the Gadukdo New Airport Construction Site Support Center in Gangseo-gu, Busan, stating, "This is the site where the new airport will be built, and the very ground we are standing on will eventually be entirely reclaimed," adding, "We will do our utmost to ensure that there are no concerns regarding safety and quality and to build the airport properly."

After passing the 41st Administrative Examination, Chairman Lee served as Director of the Aviation Policy Office, Director of the Transportation and Logistics Office, Director of the Railway Bureau, and Director of the Road Bureau at the Ministry of Land, Infrastructure and Transport before being appointed Chairman of the Gadukdo New Airport Construction Corporation in April last year. During his tenure as Director of the Aviation Policy Office, he oversaw slot operations in the final stages of Incheon International Airport.

The following is the full transcript of the press conference and Q&A session

Lee Yunsang, Chairman of the Gadukdo New Airport Construction Corporation, is speaking at a press conference held on the 27th at the Gadukdo New Airport Construction Site Support Center in Gangseo-gu, Busan. Photo by Choi Seoyoon

This is the planned site for the Gadukdo New Airport construction. The ground we are currently standing on will all be reclaimed in the future. As you saw from the Daehang Observatory, significant reclamation must be carried out on both the east and west sides for the outline of the new airport to become visible.

As you know well, our corporation was launched on April 25 last year. At that time, four executives including myself sat in the office with vague feelings, wondering how to proceed going forward. Everything seemed daunting then, but now the number of employees has increased to 100. With additional recruitment planned for the second half of the year, we have built a foundation and gained confidence that we can now do something properly.

Since the corporation's launch, we have focused on employee recruitment as well as establishing various regulations and systems for organizational operation. In July last year, we were designated as the project implementer by the Ministry of Land, Infrastructure and Transport, and subsequently signed design contracts for the passenger terminal and ancillary buildings, officially starting the design phase. Various impact assessments such as traffic impact, environmental impact, and disaster impact assessments are also underway.

Compensation is also an important task. To this end, we reorganized the organization in a short period by establishing dedicated departments for compensation, quality and safety, and future operation planning, laying the groundwork. At the end of last year, we signed a memorandum of understanding for governance establishment with local government heads from the Busan-Ulsan-Gyeongnam (Bu-Ul-Gyeong) region and Minister Park Sang-woo of the Ministry of Land, Infrastructure and Transport. This created conditions to promote airport construction and regional economic revitalization together.

Construction projects need visible results to be felt. Groundbreaking ceremonies and blasting works must take place for people to feel that "real construction has started," but so far, most work has been behind the scenes. We have been steadily carrying out tasks not easily visible to the general public, such as design and establishing operational foundations.

Looking back since our launch in April last year, the government, National Assembly, Ministry of Land, Infrastructure and Transport, and Ministry of Economy and Finance have laid the groundwork well. On top of that, we are working as if stacking bricks one by one on bare ground. Considering the difficulties private contractors face having to prepare everything from the start, my respect for businesspeople has deepened.

This year, we plan to focus on starting the priority construction sections and completing the basic design of airport buildings such as the passenger terminal and ancillary buildings. Once the basic design is completed, we will move on to the detailed design phase. One of the most important tasks before full-scale construction is compensation. As can be seen from the banners hung around, this is a matter of high interest to residents. Another is permits and approvals. Of the total 49 permits and approvals, 19 are key, involving many related ministries such as the Ministry of National Defense, Ministry of the Interior and Safety, Ministry of Environment, Ministry of Oceans and Fisheries, and the Cultural Heritage Administration (formerly the Cultural Heritage Administration). The permit process is sequentially linked, so if one step is not completed, it is difficult to proceed to the next. This year, we will focus on smoothly progressing these permits and approvals to obtain implementation plan approval.

Due to several accidents last year, I understand that the public has significant concerns about safety and environmental issues. We will do our best to build the new airport properly so that there are no worries about quality and safety.

Our corporation's vision is not merely to build an airfield where airplanes take off and land. The goal is for related industries to concentrate around Gadukdo New Airport and for this area to develop into a new growth hub. We will solidify this foundation well during the construction period. We will work hard. Thank you.

- Is it realistically possible to open by the end of December 2029? Some experts say completion within five years is difficult due to technical reasons such as ground subsidence.

▲ Please understand that since Hyundai Engineering & Construction is currently conducting the basic design, I can only provide a general answer. However, the fact that the bidding guidelines requested a design based on opening in December 2029 and a total construction period of 84 months shows our determination to pursue that goal unwaveringly.

- The Busan city government is concerned that operating with only one runway makes 24-hour operation difficult and that responding to accidents may be challenging. Have you considered expanding the runway?

▲ We have not officially reviewed this yet. Of course, two runways are better than one, and three better than two. It would be good to secure spare facilities, but the current government plan, based on Busan city's request, is to start with one runway, and the basic plan was established accordingly. Reconsidering expansion at this stage could halt all procedures. The current basic plan anticipates an annual passenger demand of 23 million by 2065, and it is not too late to judge based on demand trends after actual operation. In fact, some foreign airports handle over 40 million passengers annually with just one runway. Safety issues are also sufficiently considered, including emergency measures. There is no standard that operation is impossible just because there is one runway. Considering many airports worldwide operate with one runway, it is realistic to monitor demand trends and then consider expansion.

- Regarding the feasibility of airport construction, there are also concerns about the rapid increase in construction costs along with the construction period.

▲ Construction costs are calculated at each stage. When the basic plan was established, construction costs were estimated once at 13.5 trillion KRW. After reflecting increased compensation costs, the current official project cost is 13.7 trillion KRW. After the basic design is completed, costs may be adjusted based on design results, and further changes may occur after detailed design. At each stage, consultations with the Ministry of Economy and Finance on total project costs take place, and the final amount is confirmed through their review. Of course, it would be ideal to proceed with 13.7 trillion KRW, but changes are possible depending on design results and external conditions.

- When is the compensation process expected to be completed? Are negotiations with residents on compensation progressing well?

▲ When we first arrived last year, there were various voices regarding compensation in the region. At that time, there was no dedicated department, so we formed a task force and assigned staff to activate communication channels. The Ministry of Land, Infrastructure and Transport entrusted compensation to Busan city in June 2023, and Busan city is conducting land and marine compensation separately. Negotiated compensation procedures are nearly complete, and land compensation negotiations are expected to begin in earnest from April this year. Negotiated compensation usually lasts 45 days, and if no agreement is reached within this period, the process moves to expropriation decisions through the Central Land Expropriation Committee of the Ministry of Land, Infrastructure and Transport. Our goal is to complete all compensation procedures by the end of this year.

- How much is the land compensation expected to be? What reactions do residents have toward the new airport construction?

▲ Currently, compensation costs are estimated at about 470 billion KRW, an increase of 200 billion KRW from the initial 270 billion KRW. We have maintained steady communication with local residents, and most people I have met personally agree on the necessity of the project. They say, "This airport is essential for the region and the country." However, since they must leave their livelihoods, they hope the government pays sufficient attention to compensation issues. I have not yet met anyone opposing the airport itself.

- There were reports that Gadukdo New Airport would operate exclusively for international flights. Are there plans for domestic flights? Is there any analysis or countermeasures regarding bird strike risks?

▲ Regarding the separation of international and domestic flights, in the past, Incheon Airport initially sent some international flights there, but due to discrimination issues among airlines, all international flights were eventually transferred to Incheon Airport. Similarly, it is practically difficult to operate international flights at Gadukdo and domestic flights at Gimhae Airport separately. Currently, Gadukdo is planned for international flights and Gimhae for domestic flights, and whether domestic flights will operate after opening will be reviewed through governance involving local governments and the government. Regarding bird strike risks, figures such as the number of bird strikes (TPDS) cited in the media are derived from strategic environmental impact assessments. Existing airport figures reflect preventive measures like bird deterrence activities, while Gadukdo's figures are estimated solely based on bird activity, so the numbers are naturally higher. Please consider these points when making judgments.

- Are there specific measures to reduce bird strikes? Are you considering introducing lasers or special equipment? What about costs?

▲ Representative measures include bird detection radar and thermal imaging cameras. Some domestic airports already have thermal imaging cameras installed, and although bird radar is expensive, it is an effective tool. If the budget allows, we plan to actively introduce equipment to reduce bird strikes. The radar costs at least about 3 billion KRW per unit.

- Gadukdo has safety concerns due to wind, fog, and birds. How do you plan to address these? Are there any new technologies applied?

▲ Regarding new technologies, nothing specific has been applied yet, but we aim to introduce verified smart and eco-friendly technologies as much as possible. Safety concerns are understandable since this location is close to the open sea. There are few cases of airports built in such locations, so concerns are natural. However, since the government has finalized this site, we are focusing on building the airport safely here. Marine reclamation is key, and this area has soft ground extending 30 to 50 meters below sea level, so stabilization is most important. If this issue is resolved well, technical concerns like uneven subsidence can be overcome. Fog was also a concern when Incheon Airport opened; however, the cancellation rate due to fog at Incheon Airport is only about 0.1% of total flights. The important thing is how well navigation safety facilities are equipped to allow safe takeoff and landing under such natural conditions. Gadukdo New Airport plans to introduce Category 3 navigation facilities, which allow takeoff and landing with a visibility distance of only 200 meters. Considering these points, there is no need to worry excessively.

- Regarding wind shear, is the current runway direction appropriate? What is the basis for the direction setting?

▲ This issue was raised during last year's National Assembly audit, and we conducted a re-examination. Initially, runway direction was reviewed based on wind direction and speed data from 2013 to 2022, but it was pointed out that data from about nine months between September 2020 and May 2021 were contaminated. Therefore, excluding that period, we reanalyzed 27 years of data from 1997 to 2023. The results showed no significant difference from the existing basic plan. The prevailing wind is northwest, and strong winds tend to come from the east, so no factors were found to require changing the planned runway direction.

- Hyundai Engineering & Construction's basic design is scheduled to be completed in the second quarter. When will the sole-source contract proceed, and when is construction expected to start? Also, if the basic design differs from the Request for Proposal (RFP), is there a possibility of disqualification in the pre-qualification (PQ) process?

▲ Regarding the possibility of PQ disqualification mentioned last, since it is a hypothetical question, I find it difficult to answer. Regarding the schedule, six months are allocated for basic design and six months for detailed design. Basic design started on October 28 last year and is scheduled for submission on April 28 this year. After completion, the Central Construction Technology Deliberation Committee will judge eligibility, and we aim to complete detailed design by November after six months starting in June. Concurrently, Hyundai Engineering & Construction must submit the 'priority construction section,' which includes site access roads, temporary buildings, fences, etc. This must be submitted together with the detailed design. If this part passes eligibility, priority construction can begin within this year.

- There have been continuous criticisms about low economic feasibility, with benefit-cost ratio (B/C) evaluations below 1. Do you have any rebuttals or plans for improvement?

▲ Most regional projects are like that. I have worked on road and railway projects, and it is rare for B/C to exceed 1 in regional areas. Given the economic feasibility controversy, I think this project was exempted from preliminary feasibility studies. However, I want to say something officially for the first time today. The total project cost is 13.7 trillion KRW, which is a large amount. But airports differ structurally from other social overhead capital (SOC) projects. Roads and railways require separate construction for each route, but once an airport is built, no additional construction costs are needed to create new air routes. For example, assuming opening international routes at Incheon Airport level, one airport can secure over 100 routes. Building this scale of routes by road or rail would cost much more. Therefore, rather than judging economic feasibility solely by initial project costs, I hope you consider the structural characteristics and ripple effects of airports.

- Is a runway width of 45m safe for takeoff and landing of large aircraft like B747 and A380? Has runway width expansion been considered? Also, what is your position on the proposed 'Air City Station' on the airport railway line, which Busan city is reportedly reviewing?

▲ Regarding the railway line, I am not familiar with the details of the three options mentioned, so I find it difficult to answer. Regarding runway width, the current plan is 45m. Incheon Airport is 60m, but in 2018, the International Civil Aviation Organization (ICAO) revised standards, reflecting improved aircraft operation technology and navigation safety facility precision, concluding that 60m is not always necessary. According to this change, 45m width is internationally acceptable for safe operation of large aircraft. Of course, wider runways are safer. If the budget allows and Hyundai Engineering & Construction designs accordingly, expanding to 60m is fully possible.

- Once the access transportation network is completed, how long will it take from Gadukdo to Busan Station?

▲ Our corporation is not directly planning transportation connecting to Busan Station. However, Busan city is promoting a deep underground hydrogen train (BUTX) line as a private investment project. It is about to undergo private investment feasibility review by the Ministry of Economy and Finance. Once connected, it is expected to take about 17 minutes from Busan North Port (Busan Station) to Gadukdo. The standard speed is planned at about 100 km/h, comparable to GTX. Of course, many station addition requests exist for the railway project, so actual times depend on final arrangements. Considering this, access within 20 minutes is feasible. Busan suffers severe traffic congestion. Situations like today, where visitors to the airport are restless in buses or private cars, must be improved. Railway network enhancement is essential.

- The current runway width is 45m, but you mentioned Hyundai Engineering & Construction could expand it to 60m through design. Is actual expansion possible within the designated site?

▲ The basic plan sets the runway length at 3,500m and width at 45m. However, if Hyundai Engineering & Construction considers spare space in their design, expansion to 60m is technically possible. There is some spare land secured, and from a pilot's perspective, approach is based not only on the 45m runway but the entire 75m width including shoulders on both sides. Therefore, safety can be enhanced by partial expansion if necessary.