A Thai Airways International plane at Bangkok airport
© AFP/file Pornchai Kittiwongsakul

BANGKOK (AFP) - Chotisak Asapaviriya, president of Airports of Thailand Plc, said construction of the low-cost terminal should be completed within 16 months of the project's approval.

"The design of the new terminal is completed and the plan will be proposed to the board for approval next month," he told AFP.

The move is designed to compete with dedicated budget terminals that opened earlier this year in Kuala Lumpur and Singapore, and to ease concerns among low-cost carriers about increased operating expenses at the new Suvarnabhumi Airport.

The number of passengers on low-cost airlines flying through Bangkok is expected to more than double to 15 million within two years.

Thailand's government has told all airlines to move their operations to the new airport by late September. The new budget terminal will help low-cost carriers reduce their expenses by simplifying check-in procedures.

Low-cost travellers currently account for seven million of the 37 million passengers arriving every year at the existing Don Muang Airport, straining it past capacity.

The 3.7-billion-dollar Suvarnabhumi Airport, whose name means "Golden Land" in Thai, has been under development for more than 40 years but has suffered repeated delays due to construction problems and graft allegations.

The government plans for Suvarnabhumi to open for commercial use on September 28 although some airline officials have said the actual date could be later in the year.

A low-cost subsidiary of Thai Airways International, Nok Air, said the separate terminal is the best solution for budget airlines. All three local low-cost carrier have backed the new terminal, saying the main airport was designed before their airlines existed.

"We need something simple that minimises costs and is convenient for our passengers," Nok Air executive vice president Sehapan Chumsai told AFP.

Thailand hopes the new airport, with an initial capacity of 45 million passengers annually, will surpass rivals Singapore and Malaysia as the region's most important hub.

©AFP