Representation by Ramsgate Airport Sceptics (Ramsgate Airport Sceptics)
- Date submitted
- 8 October 2018
- Submitted by
- Members of the public/businesses
As Ramsgate Airport Sceptics, we wish to draw PINS attention to problematic areas of Riveroak’s Funding Statement:
P4 para 13. Riveroak claims £9million spent already but not how this was accomplished on borrowings in excess of nearly £4million and with no turnover? P5, para 15 Riveroak states it will need £100 million to make the airport operational again. Yet Riveroak’s only stated access to funding is a line of credit for £15million (p4 para 12). Where is proof of the other £85 million? P5 para 22 Riveroak claims its directors ‘between them’ have ‘multiple historical airport capital markets infrastructure financings’. [Redacted] is the only director with this experience. He has dissolved 29 companies and has no track record of running a viable airport. London Manston Airport PLC (Company Number 01472559) was dissolved in 2005 owing £13,829,000.
We believe this to be the current state of Riveroak’s assets: - Riveroak Strategic Partnership Lt (Company Number 10269461) has a net worth of £0 Riveroak AL Ltd (Company Number 10269458) has a net worth of MINUS £46,379 Riveroak Fuels Ltd (Company Number 11535715) has no recorded net worth Riveroak Operations Ltd (Company Number 10311804) has a net worth of MINUS £3,769,941 Riveroak Manston Ltd (Company Number10286975) has a net worth of £0
According to the Funding Statement (p6 para 26), Statutory Blight is triggered when the DCO application is made. In Ramsgate, we already have anecdotal evidence of house sales being rejected because the cargo hub is coming up in searches. House prices in Ramsgate are lower than the SE average but the £500,000 Riveroak states it has set aside is clearly inadequate for the thousands of homes they propose blighting.
Falcon Consultancy, Avia Solutions, York Aviation, Altitude Aviation all assess Manston as unviable. These are respected international airline industry consultancies. Riveroak is relying on the advice of Azimuth Associates, a one woman band based in Whitstable. CAA figures show the dedicated freight market in the UK is declining. Manston is 79 miles from London and classified as a regional airport. Traffic at regional airports is likewise declining.
We have to ask why international investors would want to invest in a regional airfield which has repeatedly failed as an airport and contrary to so much respected professional advice? There is no statement in the Funding Statement about what would happen to the land if the airport were to fail again. Would the land then pass to MIO Partners to do with as they wish?
“The truth is that Manston Airport has failed over a prolonged period of time to run as a commercially successful airport. Kent County Council gave strong support to various investors but the reality of commercial aviation at Manston Airport led to significant losses. In fact, in the 16 years since it was taken into privately (sic) ownership it has incurred losses by those who have tried to operate it in excess of £100 million.” KCC Position Statement March 2015.
We do not understand why KCC has changed its position. It cannot be Brexit resilience as Riveroak’s proposal will clog East Kent with yet more fuel tankers and lorries. It is certainly not motivated by the interests of aviation nor the interests of the residents of Ramsgate.
We urge PINS to reject this application for a DCO.