This Master Plan highlights the main provisions of the Object by building a modern airport runway, functional buildings and facilities as well as related infrastructure.

Master Plan is the basis for detailed technical planning for the construction of the Object in short and long-term period.

Master Plan should not be considered as a detailed technical plan, it aims to define necessary stages of the Object development. Therefore, the scope and presentation of the plans are presented schematically.

Master Plan contains guidelines for:

1. Establishing overall technical services infrastructure of the Object with regard to aviation and other activities;
2. Defining number of the buildings and facilities;
3. Determining environmental effects of the Object;
4. Registering the Object into the regional and international air transportation network.

Area need for specific functional spheres at all stages of development the airport was defined. This is shown in the general plan of the Object that will be a plan for developing the necessary areas. Stages of developing the areas demonstrate need for their increase as well as difficulties of the Object.

Master Plan aims to ensure equitable long-term development and functioning of the Object.

Based on above said, it can be asserted that present concept is not an isolated action in the form of detailed technical planning but the long-term plan for establishment and operation of the Object.

When dividing the territory of the Object to areas, according to major functional spheres, the expected demand for equipment and necessary space as well as development prospect were taken into consideration.

Based on marketing strategy of the Master Plan the project goals are the following:

1. Object strategy aimed at increasing the international air transportation.
2. The Object is considered as a transit airport.
3. As a base of local Ukrainian airlines, the Object will meet their demand in terms of provision the areas and services.
4. According to future-oriented marketing strategy more and more new airlines will fly to Ukraine which requires all necessary conditions.
5. The quality of services rendered by the Object will be primarily determined by the following criteria:
• flight safety;
• services quality and rate for the passengers and aircrafts;
• complex cargo processing, storage and transportation services.
6. Activities on establishing the Object must be in accordance with economic targets of the company. It means that only those measures to be financed by the Object can be implemented.

Intensive developments of Ukraine’s economy and increasing people purchasing power have caused significant increase of air transport.

Thus, traffic volume at the airports of Ukraine in 2004 has increased more than twice in comparison with 2001. According to expert estimates, the growth of airport operations will exceed the average for Europe in the next 10-15 years.

Boryspil

Boryspil Airport primarily intended for passenger traffic. The airport has two runways with the artificial surface of 4000 and 3500 meters length.

Currently it is necessary to completely reconstruct the flying zone No.2, including runway-2 and related airport facilities due to poor condition of the airport surfaces, artificial foundations, drainage system because of ending the standard service life of all surfaces and long-term exploitation by the aircrafts that caused much heavier load.

The runways provide landing for all types of aircrafts. Aerodrome of Boryspil Airport conform to class "A". Based on most realistic calculations of air transport growth, Boryspil Airport will transport 8,1 million passengers in 2010, 13,1 million passengers in 2015, 18,37 million passengers in 2020.

Boryspil Airport plays leading role in air transport among the airports of Ukraine.

Kyiv (Zhulyany)

Airport Kyiv was one of the major airports of Ukraine and has status of an international airport. The total area of land occupied by the airport is 265,7 hectares. Existing terminal capacity is 180 passengers per hour.

Runway provides landing of the aircrafts type Yak-42. Aerodrome of Airport Kyiv conforms to class "B".

The airport includes following facilities: Runway with an artificial surface 2160x49 m; Taxiways; Platform Parking areas: for aircrafts AN-24 and Yak-42; Air traffic management and control facilities; Meteorological system; Lighting system; Wastewater treatment facilities.

Over the last decade the Airport Kyiv traffic reduced significantly and the airport lost air transportation market share at the Ukrainian and international level.

Technical analysis of the aerodrome and its equipment proves need for its modernization. In particular, condition and capacity of airfield surface, dimensions of the runway and taxiways do not meet standard requirements for operation of different aircrafts and do not allow serving modern and advanced aircrafts of class 2. Moreover, it is necessary to replace runway lighting, landing equipment, radio navigation and air traffic control and meteorological equipment. Airport location with existing surrounding buildings does not allow considering it as the air freight center.

Airport Kyiv can play an important role in the transport services for Ukrainians, foreign tourists and visitors of the capital of Ukraine, for business flights from the capital to different regions of Ukraine, CIS and Europe by small and medium airlines and oriented for local air transportation.

Airport Kyiv is best for small aircraft charter flights of business aviation.

In order to diversify the Airport services first of all it is necessary to establish the infrastructure for business aviation services: hangars for airplane storage and their maintenance, terminal for business passengers, parking equipment and cars rental, etc.

Kyiv (Antonov)

Airport Kyiv (Antonov) (Gostomel village) is an integral structural subdivision of Antonov Aeronautical Scientific and Technical Complex (ASTC). Currently it’s the only airport in Ukraine to implement full cycle flights and ground tests, upgrading and certification of new and existing aircrafts design.

The aerodrome has a runway with artificial surface of 3500 meters long and related facilities that provide aircraft takeoff and landing according with I and II category of meteorological minimum.

The runway provides landing of almost all types of the aircrafts. Aerodrome of Airport Kyiv (Antonov) conforms to class "B".

At present, the Airport Kyiv (Antonov) is used to test Antonov aircrafts designed by ASTC and partly for the enterprise’s production air transportation.

Testing and certification flights make up 60% of airfield working time. Certification testing programs of AN-148, AN-70, An-124-100M, An-140-100, An-74TK, AN-124-300 and others are planed for five years.

Thus, there’s no possibility to use this airport as transit complex for air cargo transportation without restrictions, because of test flights.

Other aviation subjects

Other subjects of aviation have no impact on passenger and cargo air transport.

Aerodrome Uzyn has a runway with an artificial surface of 3500 meters long and related facilities that provide the aircrafts takeoff and landing in ordinary weather conditions.

Runway and facilities located in the airport require major repairs. Aerodrome Uzyn has been withdrawn from the Register of civil airports of Ukraine. Now it is not in use.

Airport Vasylkiv is the property of Ministry of Defense. It has runway of 2500 meters long and is the base airfield of the Airline Spets-Air. Characteristics of the airport and equipment as well as its location do not allow establishing the passenger or cargo airport.

Aerodrome Kyiv (Svyatoshyn) has runway of 1800 meters long and is Aviant’s factory airfield. It is used for production purposes, has no perspective due to its location.

Aerodrome Borodyanka has earth runway of 2500 meters long and is the base airfield of the Airline OJSC "AC". It is used for small aircraft flights. The Aerodrome is located in 35 km far from Kyiv and has potential for development on existing and surrounding areas.

Ukraine is the largest European country after Russia and Turkey and seventh in population.

Structural geopolitical changes occurred over the past 10 years, and as a consequence, new areas of integration of EU countries, Eastern European and CIS countries, resulted in a dramatic change of traffic flows (goods and passengers).

Relations between the Western countries and the Eurasian continent have become closer and foreseen to grow rapidly in the future. Optimal transport connections between these countries (air, rail, and road) pass through territory of Ukraine.

According to the Airports International edition there was continuous growth of freight transport in all regions of the world in 2004:

• Asia / Pacific (+14%),
• Middle East (+13%),
• Africa (+10%),
• Europe (+8%),
• Latin America (+7%),
• North America (+5%).

It is expected that the volume of air transport will increase by 60% within next ten years and the airports must be prepared adequately.

Using the potential of aircrafts type An-124 and based on air traffic development forecast, the worldwide airlines provide new services - transportation of heavy and large (oversized) cargo. Most manufacturers believe that in some cases it is efficient to assemble the major mechanisms, components and equipment on manufacture site and then transport them by air transport to the installation place.

Currently the airlines specializing in cargo transportation (for example, UK Air Foile and HeavyLift) show considerable interest in AN-124 and its unique technical features. At present many manufacturers of the equipment negotiate with the transport airlines having AN-124 at fleet.

Usage of heavy (wide) aircrafts caused number of problems for the airports worldwide. For example, 23 airports reported that the use of heavy aircrafts require reconstruction of airport, with the highest costs of reconstruction of territory maneuverability (platforms, airplane parking area, taxiways including increasing strengthening of runway, enlarging parking areas, taxiways, runway, repositioning of lights and signs). The cost of such works is about $ 160-500 million per airport. Not every airport can afford such costs.

Problems of cargo air transportation in Ukraine have their own peculiarities. The existing airports network has no expansion potential or it’s highly expensive. The airports of Kharkiv, Lviv, Dnipropetrovsk, Donetsk cannot be expanded because of existing surrounding buildings and other factors.

From experience of building the airports in Europe, America, Canada, Russia and others countries it is clear that big cities have from 2 to 4 airports. Thus, number of such airports have from 2 to 6 runways. Many of these capitals are experiencing problems in expanding or building new airports required by increasing air traffic because the air volumes were not forecasted at past.

For example, now Moscow Airport Union which includes four large airports is intensely engineering one more runway per each airport.

However, given the existing surrounding buildings, such issues are quite difficult to solve and require significant capital investment.

The aviation transportation is growing three times faster than the passenger service and having special economic value. Many European countries currently seek the opportunities to construct new airports. As an example, a new international airport "Europort Vatry tn Champagnt" was built in France.

The main and biggest air gate of Ukraine is Boryspil Airport in Kiev. Existing flight network provides connection with many cities of Ukraine, Europe, North America, Asia, Africa and other continents.

Boryspil Airport is primarily intended for passenger transportation and having 2 runways could reach its limit traffic up to 57 million passengers per year. Thus by 2015 the roads capacity will be completely exhausted and it will be necessary to construct new transport infrastructure.

Increase of air traffic becomes an attractive issue as is provides additional income. However, even in 2010 - 2015 the passenger traffic will force the airport’s administration to limit the growing demand for air transportation.

Ukraine's economy may significantly benefit from use of airport by transnational companies. Construction and operation of the airport may create 12,500 new jobs taking into account large number of enterprises in Kyiv regions able to secure the airport’s activity.

The Object is aimed for cargo transportation within the country and internationally. The main emphasis made on transit flights that would be approximately 75%.

Establishment of the Object must secure:

1. Increase in air transportation of special and general purpose;
2. Creation of additional jobs, employment growth;
3. Increase of budget allocations;
4. Change of regional infrastructure (transport, medical services, education, etc.);
5. Attraction of foreign investments to national economy of Ukraine;
6. Increased production of consumer goods, including the aircraft of higher complexity and small helicopters;
7. Increase in quantity and quality of aviation and non aviation services for population of adjacent regions and Ukraine in total;
8. Possibility of air expo to demonstrate, advertise and conclude contracts for both domestic and foreign aviation equipment and machinery.

The main strategic objective of the Object is to establish a transnational center of air transportation and transnational air corridor North-South and East-West. Establishing transnational air transportation center will additionally facilitate to positive image of Ukraine as a democratic country with open market economy. Based on evaluation of the transportation market of heavy and bulky goods (survey was carried out by OBN Aviation Inc, Washington), one tenth percent of that amount can be carried by air which is equal to two million tons. In 2016 the expected volume of air cargo transportation will make 716 billion ton-kilometers. The share of cargo aircraft transportation will be 44%.

Accordingly, strategic objectives defined by the construction of the Object are the following:

1. Meet the market needs of heavy traffic with large wide-airplane carrying 130-150 tons or more (such as AN-124, AN-70, B-747, MD-11);
2. Increase the volume of cargo flows up to 300 tons per year (due to geographic location of the Object), that will also result in more intensive use of Ukrainian air space by the airlines. All this will provide growing and stable revenues to the budget;
3. Conducting test flights of new aircraft, sale of the airplanes and helicopters through sales network in Ukraine, CIS and abroad;
4. Maintenance and repair of the aircrafts of any airline;
5. Aviation services for individuals - storage, maintenance and repair of the airplanes;
6. Non aviation services - education, hotels, hairdressers, cafes, bars, offices, bank branches, parking areas and car maintenance stations, shops, etc.;
7. Organization of air shows providing full cycle services to participants and visitors;
8. Rent of the pavilions (hangars) for any goods demonstrations (exhibitions) in other than air show period
.

Implementation of this project will cause further development of existing regional infrastructure, development of roads and railway network, and create about 12500 new jobs.

Air transport service will provide stable income of the Object, result in more intensive use of Ukrainian air space by the airlines.

All above mentioned will ensure growing and stable revenues to the budget.

In addition to direct services of civil aviation and extra employment rate, the air transport has bigger influence on the economy as a whole. Civil aviation acts as catalyst for the passenger markets activities, as well as for goods sale, indirectly contributing to general economic growth, by developing the community in use of its services.

These indirect economic activities create extra employment. Finally, the income derived from extra employment and business, provide civil aviation directly and other industries indirectly with additional expenditures for the personal consuming goods and facilitate investments to all areas of the economy.

Direct, indirect and artificial economic factors have an overall impact on the economy of the region. Corresponding surveys prove that the total contribution of civil aviation in the global economy strengthens the direct cost contribution in 3 times and 6 times in terms of extra jobs.

Currently the region has necessary infrastructure to start the works, namely roads and railway network.

The following activities are planned near the Object:

1. Construction of the runway (runway length - 4000 m, width - 60 m) with solid concrete coating, network of taxiways, aircrafts parking places, loading platforms;
2. Aerodrome surfaces capacity (runway, taxiways, parking, platforms) will be designed to accept heavy transport aircrafts of type An-225 and AN-124, AN-70T, IL-76T, etc.;
3. Construction of buildings and landing facilities, air traffic services (ATS) and radio navigation facilities according to international standards of ICAO;
4. Construction of buildings and facilities for air transportation services;
5. Construction of buildings and facilities for aircrafts maintenance (hangar, hangar apron, production premises with maintenance crew);
6. Construction of fuel supply facilities (centralized refueling system, fuel storage, blocking fuel pipeline);
7. Construction of buildings and engineering facilities of aviation systems (special motor transport departments and airfield base);
8. Engineering of the complex:
• Heating by own boiler on natural gas;
• Power networks (central distribution point of diesel power station);
9. Water and sewer facilities and network facilities;
10. Network of rain water and storm water treatment facilities of flight zones;
11. Platform and internal access roads;
12. Vehicles parking areas.

In the future, if necessary to expand passenger sector of Kyiv aviation unit, it is allowed to enlarge the Airport Borodyanka with construction of second runway for passenger complex.

The technological process of air transport services includes the measures to eliminate or reduce the negative effect on the environment - air and water basins, the impact of aircraft noise on people and fauna, waste removal and recycling, the impact of electromagnetic radiation.

The nature of technical processes of cargo handling, passenger serving, operation of process equipment do not provide for any emergency and volley emissions of harmful substances into the environment.

The Object is of low danger for environment and does not contain any "degree of environmental risk".

The project included objective monitoring devices of aircraft noise and aircraft engine emissions on the basis of a comprehensive monitoring system that consists of fixed and mobile observation units and displays.

To implement the project, according to preliminary calculations, it is necessary to have the following land (on redemption terms) for construction:

Ukraeroproekt has conducted initial negotiations with concerned organizations (Ukraviatsiya, Ministry of Defence, regional and district councils, Committees on environmental safety and land resources, etc.) and received preliminary positive results.

1. Having studied the situation of establishing a center of aviation transport in Ukraine, given the importance for the country, the economic feasibility for the region and state in general (contributions to the budgets, growth of industrial and economic potential, additional jobs, development of transport infrastructure etc.), it seems appropriate to establish the aviation complex - the Object.

2. Aviation complex has a favorable geographical location and, if necessary, several runways can be built with minimum acoustic impact on the surrounding settlements. The Object’s core activities will be passenger and cargo transportation.

3. Ukraine's economy will have significant benefit from the revenues received from the transnational companies using the airport complex and participating in powerful international projects (extraction of oil in the Caspian shelf and Tengiz). Construction and operation of the airport will create about 12500 jobs and involve a large number of regional diversified enterprises which will secure day-to-day airport operation, also will promote the development of aviation industry of Ukraine.

4. The development of aviation complex will creates favorable conditions for air fairs, salons which is of great importance for Ukraine as aviation country. Especially it should be accounted that the Object has big territory that many Eastern Europe countries lack.

5. Establishment of the Object will allow Ukraine to have two powerful international airports.

6. Boryspil Airport and the Object can not be competitors and should be treated as two transport companies to solve economic tasks of the government on passenger and cargo transportation. Based on international experience the passenger and cargo transportation is the most efficient, profitable and financially stable business.

7. Construction of modern runway of the Object, its geographical location will provide the aviation unit with high level of security.

8. Preliminary financial and economical survey proves that establishment and development of the Object is an integral part of the Aviation Development Program of Ukraine.