Sabiha Gökçen’s passengers back on track, operator seeks relief
People are seen at the domestic departure terminal of Sabiha Gökçen Airport, in Istanbul, Turkey June 11, 2020. (Reuters Photo)


The operator of Istanbul’s second-largest airport Sabiha Gökçen is seeking relief from its current contract in the wake of the pandemic as the number of passengers traveling through the facility nears the record level registered prior to the outbreak.

ISG, the operator, is close to reaching a deal with the Turkish government on relief, its executive director, Mohammad Nazli Abdul Aziz, said Tuesday.

Fully owned by Malaysia Airports Holdings, the operator has a 20-year contract with the government to run Sabiha Gökçen Airport until 2034. The contract was worth 1.93 billion euros ($2.01 billion).

"We are discussing with the government some forms of relief due to the pandemic," Abdul Aziz told Reuters.

"We have been getting a very good response and cooperation. And we’re happy to note that the government takes care of our concern very well," he said in an interview.

ISG’s discussions with the government’s Presidency of Defense Industries revolve around securing benefits that other airports received to recover from the COVID-19 pandemic. Most of the country’s other airports operate under a different authority, which has already secured relief packages.

Possible relief may include an extension of the agreement, a revision in payments and a rebate, Abdul Aziz said.

"These are the same relief (packages) that have been accorded to other airports in Turkey during the pandemic. Every airport has a different agreement with the government," he said.

Abdul Aziz said the pandemic cut passengers to about half of the 35.5 million in 2019, but added that May numbers show it is finally back on track and recovering toward those levels this year.

The number of passengers from January through May reached nearly 12 million, some 80% of the record in 2019.

"If this intensity of travel continues until the end of the year, Sabiha Gökçen is likely to reach the 2019 figures and even set new records," ISG CEO Berk Albayrak told a meeting in Istanbul.

"Millions of flights were canceled over the past two years due to the epidemic, and thousands of aviation employees lost their jobs. Mobility, which began in the spring, continues to increase. However, airlines and airports that laid off workers remain incapable in the face of the demand boom in airline traffic," Albayrak noted.

ISG ranks eighth in Europe in passenger traffic, he added.

Asked whether the Malaysian parent company is searching for a potential partner for ISG, Abdul Aziz said such an option is "always on the table" but not a top priority for now.

"Post pandemic, the industry will be restructuring. Definitely. It’s not just happening to us, it's happening to everybody," he said.