The next phase of improvements at Nanaimo Airport is cleared for takeoff.

The federal and provincial governments announced Thursday that money will be made available for the project through the federal Building Canada Fund.

The second phase of the expansion – the first included the $12.9-million runway extension nearing completion – will include a $4.5-million terminal expansion, $3 million in improved water and sewer infrastructure and $3 million for improved parking and roads.

The federal and provincial governments will provide one-third of the cost each, while the Nanaimo Airport Commission and City of Nanaimo will work together to contribute the final third.

In March 2007, a Demand and Capacity Analysis determined an increase in population for the airport’s catchment area would result in an increase to 186 passengers per hour by 2025, up from 42 in 2006.

“The terminal expansion will include improved passenger comfort and space for peak times when there are both departures and arrivals,” said Mike Hooper, president and CEO of the Nanaimo Airport. “In a sense, Phase 2 has already started with detailed design and planning and we expect to break ground in early 2010.”

Phase 2 is scheduled to be complete by 2012, while later phases will continue over the next 10 years.

Hooper added that the market for an increased destination area is already there – currently commercial flights are limited to shuttling passenger to Vancouver International Airport, but improved facilities will result in more carriers using the facility.

Airport users and other motorists heading south will also benefit from the federal government’s Infrastructure Stimulus Fund.

A high-crash zone near the Island Highway and Spruston Road will be part of a $2.07-million upgrade to install a centre median from Cedar Road to Nanaimo River Road.

The stretch of road received an $80,000 upgrade earlier this year with a flashing yellow light installed, a speed-reader and large signs identifying the stretch of road as dangerous.

There have been five vehicle fatalities near the intersection since 2005, including three last winter.

Also funded under the stimulus fund will be sewage pump ashore projects at B.C. Ferries’ Duke Point and Departure Bay terminals. Ottawa will cover half the cost of those upgrades, expected to cost nearly $1 million each.

In total, 174 B.C. projects, valued at $719 million, will receive $244 million in federal funding while creating an additional 4,600 jobs provincewide. The province will contribute $233 million while the remainder will come from local governments.

reporter2@nanaimobulletin.com