Edmonton’s International Airport is well-positioned for growth in 2014 and beyond

Last year was a good one for the Edmonton International Airport (EIA) with a record-breaking 6.9 million passengers served. Additionally, corporate charter flights from the private terminals increased 30%.

“These record-breaking numbers show that Edmonton International Airport completed its expansion just in time. EIA is a not-for-profit corporation that works for the benefit of our region. To foster economic growth, both air service and our airport facilities must keep pace with demand from our region,” said EIA Vice President of Passenger Market Development Traci Bednard.

There were other positives in 2013 too. Non-stop service to New York City began in May, the new NAV CANADA Air Traffic Control Tower began operations in the spring, Icelandair announced service between Edmonton and Reykjavik, and a new Dallas/Fort Worth flight was announced.

New EIA Air Traffic Control Tower

According to EIA itself, 2013 was its second straight record-breaking year, following strong increases in 2011 and 2012 (other statistics are available here). Thing is, air traffic is up around the world, and EIA wasn’t the only airport to report a record-breaking 2013; Montreal’s Trudeau Airport, the Victoria International Airport, and dozens of international airports did as well. Many others have yet to report figures. I wanted to see EIA’s growth in context, so I went to Statistics Canada to get the data.

Here’s a look at EIA’s passenger traffic growth since 1995 (using data from Statistics Canada, except for 2013, which comes from EIA directly):

eia passenger traffic

Here’s what the year-over-year change has looked like in that same period:

eia passenger traffic change

The massive spike in 1996 was of course due to the consolidation of scheduled service at EIA. In the 2001-2003 period, after 9/11, EIA experienced a slowdown in traffic just as airports everywhere did. Since then, EIA has grown significantly, from about 3 million passengers a year to nearly 7 million in 2013.

I wondered what EIA’s passenger traffic growth has looked like compared with other airports in Canada. Again using figures from Statistics Canada, here’s a look at ten Canadian airports:

airport passenger traffic

What stands out for me is that EIA broke away from the pack in the mid-2000s to become the clear #5 airport behind Toronto, Vancouver, Montreal, and Calgary. There was a slowdown in growth between 2008 and 2010, but EIA seems to have turned things around.

Though passengers are the metric we often think of, aircraft movements is another that is useful to track. One movement is a landing or takeoff of an aircraft and an itinerant movement is essentially a flight from one airport to another. Here’s a look at the itinerant movements for the same airports:

airport movements

Here EIA isn’t as clearly the #5 airport, though it has moved up significantly from the mid-2000s and is now approaching 300,000 itinerant movements per year.

Expansion 2012

If current trends continue, EIA should finally break the 7-million-passengers-per-year milestone in 2014, and the airport’s prospects for growth beyond that look encouraging. I certainly feel that the Expansion 2012 project has resulted in a more attractive, functional airport, and the numbers seem to support that. It’s also a similar sentiment that I often hear Edmontonians express. They’re proud of the airport now, whereas they weren’t before. Future expansion plans will not only add capacity, but will also bring a new hotel and an outlet shopping mall to EIA. And certainly Edmonton’s hot economy will continue to push usage ever higher. Altogether, it makes the outlook for EIA look very good indeed.

For more on EIA’s impressive 2013, check out the press release here.

Media Monday Edmonton: Update #98

Here’s my latest update on local media stuff:

You can follow Edmonton media news on Twitter using the hashtag #yegmedia. For a great overview of the global media landscape, check out Mediagazer.

So, what have I missed? What’s new and interesting in the world of Edmonton media? Let me know!

You can see past Media Monday Edmonton entries here.

Edmonton Notes for 1/19/2014

Be green for more than an hour…

Edmonton is one of three Canadian cities chosen as finalists in WWF’s Earth Hour City Challenge 2014.

The Earth Hour City Challenge initiative was created by WWF in 2011 to celebrate cities that are taking innovative actions towards creating greener, cleaner and more sustainable cities to live in, while inspiring other cities to do the same.

Edmonton was selected as a finalist based on The Way We Green, “which uses community-centric commitments and publicly engaging actions to achieve a carbon neutral future.”

vote for Edmonton!

The winner of Canada’s Earth Hour Capital will be announced on March 27. You can also vote for Edmonton until March 20 in the “We Love Cities” campaign (check out more details here). Earth Hour 2014 takes place on Saturday, March 29 at 8:30 PM.

Headlines

Here are my weekly Edmonton notes:

Glass and Brick Edmonton
Glass and Brick Edmonton by Jeff Wallace

Upcoming Events

Sunset over Whyte Avenue
Friday sunset over Whyte Avenue

Edmonton City Council Initiatives for 2013-2017

With the adoption of Policy C518 (pdf) in March 2006, City Council started identifying and assigning Council Initiatives, “projects that Council deems would benefit from having a Councillor as a sponsor.” At its December 11, 2013 meeting, our current City Council approved the list of initiatives for the 2013-2017 term.

City Council Swearing In 2013-2017

The following initiatives from the 2010-2013 term were renewed (the Councillor assignments, as volunteered, are in brackets):

  • Northern Relationships/Circumpolar (Gibbons, Iveson, Caterina)
  • Arts & Culture (Henderson, McKeen)
  • Economic Development
    • Heartland (Iveson, Gibbons)
    • Startups (Oshry)
    • Port Alberta (Nickel)
  • Housing (Iveson, Henderson)
  • Edmonton’s Poverty Elimination (Iveson, Henderson, Sohi)
  • Indigenous Peoples Strategy (Iveson, Caterina, Henderson)
  • Multiculturalism (Iveson, Sohi)
  • Next Gen (Oshry, Knack*)
  • Public Transit (Knack, Sohi)
  • Recreation (Anderson)
  • Seniors (Knack, Sohi)
  • Traffic Safety (Esslinger, Loken)

The following initiatives are new (the Councillor assignments, as volunteered, are in brackets):

  • Child Friendly Edmonton (Esslinger)
  • Communities in Bloom (Nickel)
  • ELEVATE (Esslinger, Walters)
  • Public Engagement Initiative (Henderson, Walters)
  • Urban Isolation/Mental Health (McKeen)
  • Winter Cities (Henderson, McKeen)
  • Women’s Initiative (Iveson, Esslinger)
  • Post-Secondary Relations (Iveson, Knack, Esslinger)

Here’s a look at all the initiatives by Councillor for the 2013-2017 term:

Councillor Initiatives
Anderson
(Ward 9)
– Recreation
Caterina
(Ward 7)
– Northern Relationships/Circumpolar
– Indigenous People’s Strategy
Esslinger
(Ward 2)
– Child Friendly Edmonton
– ELEVATE
– Women’s Initiative
– Post-Secondary Relations
Gibbons
(Ward 4)
– Northern Relationships/Circumpolar
– Economic Development – Heartland
Henderson
(Ward 8)
– Arts & Culture
– Housing
– Edmonton’s Poverty Elimination
– Indigenous People’s Strategy
– Public Engagement Initiative
– Winter Cities
Iveson
(Mayor)
– Northern Relationships/Circumpolar
– Economic Development – Heartland
– Housing
– Edmonton’s Poverty Elimination
– Indigenous People’s Strategy
– Multiculturalism
– Women’s Initiative
– Post-Secondary Relations
Knack
(Ward 1)
– Next Gen*
– Public Transit
– Seniors
– Post-Secondary Relations
Loken
(Ward 3)
– Traffic Safety
McKeen
(Ward 6)
– Arts & Culture
– Urban Isolation/Mental Health
– Winter Cities
Nickel
(Ward 11)
– Economic Development – Port Alberta
– Communities in Bloom
Oshry
(Ward 5)
– Economic Development – Startups
– Next Gen
Sohi
(Ward 12)
– Edmonton’s Poverty Elimination
– Multiculturalism
– Public Transit
– Seniors
Walters
(Ward 10)
– ELEVATE
– Public Engagement Initiative

The following initiatives from the 2010-2013 term were considered complete and are now discontinued:

  • City of Learners (mandate complete and to be continued by EPL)
  • Community Sustainability (to be re-focused through ELEVATE)
  • Environment (moving into implementation)
  • External Affairs (covered with board appointments)
  • Transforming Edmonton (mandate complete and operationalized)
  • Agri-Food/Urban Agriculture

Council approved the above initiative assignments and closures unanimously. The next step is for Administration to bring forward updated Terms of Reference for each.

One impact of declaring these initiatives is that Administration is required by the policy to include all Council Initiatives in business plans and budgets. That makes it possible (to an extent) to track resources and progress on each.

These initiatives aren’t highlighted and assigned just for show. You can expect to see Councillors at any media events related to their initiatives of course, but there’s a lot of behind-the-scenes work that each will do as well.

In addition to the initiatives above, Councillors are also appointed to various boards and committees. There is a limited amount of overlap.

I am a little surprised that the Environment initiative was closed, with no related initiative put forward to replace it. Especially given the direction Edmonton is heading as a leader in sustainability and waste management. I am very pleased to see a new initiative focused on public engagement, however.

* – Though the documents do not reflect it, Councillor Knack has confirmed that he too is on the Next Gen initiative.

Recap: Edmonton’s Economic Impact Luncheon 2014

“This is a new Edmonton, with a new mayor, a new confidence, and a new energy,” EEDC President & CEO Brad Ferguson told attendees of the sold-out 2014 EEDC Impact Luncheon today. Hundreds of Edmontonians, including a large number of political dignitaries, filled the Shaw Conference Centre for EEDC’s annual state of the economy. Brad wasted no time in reiterating a message he has been consistently delivering since taking over a little over a year ago. “Our ability to compete and to be different has never been more important,” he said.

Impact 2014

Deputy Premier Dave Hancock brought greetings from the Province of Alberta, and made note of the number of his colleagues that were in attendance. “There are so many of us here, because we believe that the partnership that we have with EEDC, with the City of Edmonton, and with the Capital Region, is so important.”

Mayor Don Iveson also brought opening remarks. “Right now our city is one of the best places in the world to take a risk, launch an idea, or start a business,” the mayor said. “There is a renewed sense of optimism here in Edmonton.”

After lunch, it was on the main event. You can listen to Brad’s entire speech here:

“Last year was a great year,” Brad said. “Our objective was to outperform every other regional economy in North America, and we did.” He highlighted our city’s economic performance and rosy outlook through a series of measures:

2013 2012 Change
GDP $81.675 billion $78.286 billion +4.3%
Population 1.2 million 1.15 million +3.9%
Net Jobs 19,700 26,500 -34.5%
Unemployment 4.8% 4.4% -0.4%
Inflation 1.1% 1.3% -0.2%
Building Permits $3.0 billion $2.5 billion +22.6%
Major Projects $220.0 billion $193.5 billion +13.6%

Obviously the increased GDP, population, and jumps in the number of building permits issued and major projects identified are positive. Brad noted that although the number of jobs created in 2013 was actually down, context is needed. “One out of every ten jobs created across the country was created here,” he told us.

Brad opened his speech with another measure, of course. Last year he rated Edmonton’s efforts on image and branding at 1.5 out of 10. “I didn’t want to understate the work that needed to be done,” he confessed. It was one of the catalysts for the major changes that EEDC has undergone over the last year. His ranking today? With some input from Councillor Sohi, 2.5 out of 10. “We have a long way to go, but it’s a 66.6% improvement over last year!”

Though Edmonton had a strong year in 2013, the future is even brighter. “We’re anticipating us contributing $2.1 trillion of economic contribution to the country” over the next two decades, Brad told the audience. A large reason for this, is development related to the oil sands. But for all the good work going on, Brad said we need to do more.

That led to his core takeaway for the day:

“The only way forward is to embrace the mantra of: cleaner, greener, safer, faster, cheaper. We need to build our industries and build our entrepreneurs, and activate the country in doing so.”

Embracing that mantra is what will lead to the next wave of innovation, key to diversifying our economy, Brad told us. “The oil sands and the industrial supply chain are the platform of which we get to diversification.” And now is the right time, because our capabilities have caught up with our ambitions. “There’s nothing holding us back.”

Brad went on to connect this opportunity with Edmonton’s place in the country. “We can’t do it alone,” he said. “We need to open up the access point and invite the rest of the country to participate.”

With that, Brad described five big priorities for the year ahead:

  1. Alert the world to the energy in Edmonton
  2. Attract & active those seeking opportunity
  3. Enhance & expand our influence as an economic powerhouse
  4. Diversify by using our strengths as a platform for innovation
  5. Operate as one interconnected, interdependent region

On that last point, he noted “that doesn’t mean amalgamation all the time.” Instead, Brad called for relationships and partnerships with other communities.

“Gone are the days where things happen to us,” Brad declared. “Our strategy is sound, our success lies in our ability to move forward with intention.” It was a confident conclusion to an excellent speech.

Impact 2014

Once again the Edmonton Journal livestreamed the event. You can watch part one here, and part two here.

The luncheon was also an opportunity for EEDC to launch its 2014-2016 Statement of Intent:

The decade ahead will be one where competitiveness will take on a whole new meaning in everything we do. Alberta is expected to continue as a high-growth jurisdiction in a low- growth world, making Edmonton a prime location for the attraction of business, investment and people. Global demand for resources will drive opportunities for capital expansion, while also attracting an aggressive assortment of new competitors in search of a share of the local market. These realities will have significant impact on our local economy, and the role of an effective economic development agency has never been more important.

You can learn more about EEDC and what they have planned for 2014 at their new website. You can read my recap of last year’s event here.

Media Monday Edmonton: Update #97

Here’s my latest update on local media stuff:

yeggies 2013

You can follow Edmonton media news on Twitter using the hashtag #yegmedia. For a great overview of the global media landscape, check out Mediagazer.

So, what have I missed? What’s new and interesting in the world of Edmonton media? Let me know!

You can see past Media Monday Edmonton entries here.

Edmonton Notes for 1/12/2014

Here are my weekly Edmonton notes:

A Theme Song for Edmonton

Via Omar, I came across this intriguing “theme song” for Edmonton.

Does anyone know anything about it?

Headlines

The New Jasper Ave
I love this photo of Jasper Avenue by David Sutherland

Upcoming Events

Deep Freeze Festival 2014
There’s still a lot of snow out there!

Embrace winter in Edmonton at Deep Freeze 2014

This year marks the 7th annual Deep Freeze: Byzantine Winter Festival on Alberta Avenue. It’s one of my favorite festivals of the year, and each iteration seems to get better and better.

The Deep Freeze Winter Festival is a free family event that brings together the Ukrainian, Franco-Albertan, Franco-African, First Nations, and Acadian/East Coast communities to revel in the magic and beauty of winter.

Sharon and I went down to check it out this afternoon and had a great time. It was relatively warm today, which meant that melting snow had made the roads quite mucky. By mid-afternoon it had started cooling down however, enough that a light snow could start to fall.

Deep Freeze Festival 2014

Here’s a short video to give you a taste of what to expect at Deep Freeze:

Nearly every event says it has “something for everyone” but at Deep Freeze, that’s really true!

Want to take a horse-drawn wagon ride? You can do that!

Deep Freeze Festival 2014

Want to roast hot dogs or taste some cabane a sucre? You can do that!

Deep Freeze Festival 2014

Want to play a little street hockey? You can do that!

Deep Freeze Festival 2014

Hockey isn’t your sport? No problem. How about curling? You can do that!

Deep Freeze Festival 2014

Want to check out the ice and snow sculptures? You can do that!

Deep Freeze Festival 2014

How about sledding? Or sliding? Or snowshoeing? Or skating? You can do all of that too!

Deep Freeze Festival 2014

Want to try your luck in a Deep Freezer Race? You can do that!

Deep Freeze Festival 2014

Are you a kid who needs to warm up? By the fire or indoors, you can do that!

Deep Freeze Festival 2014

Are you an adult who needs to warm up? By the fire, indoors, or with a shot of Baileys from the ice bar, you can do that!

Deep Freeze Festival 2014

Want to just walk around and enjoy the sights and sounds? You can do that!

Deep Freeze Festival 2014

There’s so much to see and do at Deep Freeze, you basically have no excuse for staying indoors. If you missed it today, you still have all of Sunday afternoon to head down to Alberta Avenue. For the love of winter, get out and enjoy the Deep Freeze Festival!

You can see more photos here. Be sure to follow @DeepFreezeYeg on Twitter too. If you like what you see, consider volunteering or donating for next year!

Edmonton Vaporware: The Arena District

Though the video game industry probably comes to mind first when you hear the term vaporware, it is increasingly being used to describe announcements and predictions that never come to pass in other industries too. Like construction. The construction of, for instance, big “transformative” projects that will unfold over a number of years. Sound familiar?

arena district

As you know, Edmonton’s shiny new downtown arena is being funded in part through a Community Revitalization Levy (CRL). The idea is that “projects funded by the CRL spark new developments, and property values rise on existing developments.” From the beginning, the arena was sold to Edmontonians as a catalyst for additional downtown development. It was clear that additional development would be part of the success of any deal. Here’s what the Katz Group’s Bob Black told the Journal in February 2010:

“In order for citizens of the city to have a reasonable assurance that the community revitalization levy debt will be retired by the city, then you have to have that collateral development.”

Even earlier than that, in September 2009, the Downtown Business Association’s Jim Taylor was arguing for ensuring that surrounding development took place:

“Somebody has to say that they’re building a casino or a hotel there, and you don’t get any money from the CRL unless those projects are part of it. So that funding is only available if those projects are there. It’s not, ‘We’ll do a CRL and hope that those projects are there. It’s: ‘The CRL is not available, the money is not borrowed, unless those specific developments are there too.'”

Of course, he and many other business leaders softened their stance over the years and no such requirement was ever put in place. In fact, I’d say the volume about what would be built was turned up, though details and commitments were always lacking.

In January 2011, U of A provost Carl Amrhein talked about the creation of “a university village” for student housing as part of the district. Also that month, local realtor Terry Paranych said if the arena goes ahead, he’d “build two condo towers, one 40 storeys, one 50 storeys.”

In December 2012, the Katz Group and its partner WAM Development Group stopped talking about individual projects and promised something much grander:

“If a new arena is approved, the Katz Group and partner WAM Development Group hope to push ahead this spring with $2-billion worth of nearby development, including 28 and 32-storey office towers. Plans also include two 35-storey or taller condominium highrises, a 10-storey condo building, a 26-storey luxury hotel and other commercial space along with a proposed open-air Oilers Plaza.”

Another article discussed potential tenants:

“Main anchor tenants are expected to include a VIP theatre complex, a grocery store and the headquarters of a major telecommunications company, according to a 60-page overview of the district by the Katz Group and partner WAM Development Group.”

Yet despite all the hype, there have been no commitments. It’s all just talk. Just vaporware.

In March 2011, the Journal’s Gary Lamphier made this clear:

“Not a single other developer has been willing to publicly commit hard cash toward the project. Despite recent talk from the city’s chief financial officer about proposed hotels, a casino and other projects, she hasn’t identified a single one by name. I’ve talked to roughly a dozen developers, consultants and commercial real estate brokers over the past 15 months in an attempt to flush out anyone who is willing to stand up and be counted as a participant in the arena redevelopment. I haven’t found one.”

The arena deal was finally approved, but still there have been zero commitments. And so we find ourselves in January 2014, clinging to the hope that a new tower for City of Edmonton employees will finally kickstart the development:

“Jim Taylor, executive director of the Downtown Business Association, said putting up an office tower a block from the arena would likely stimulate other development.”

Avison Young’s Cory Wosnack is even more optimistic:

“If WAM and Katz Group are successful (with the office tower proposal) — and I believe there will be an announcement within days — then the hotel deal can be announced, the retail can be announced and the domino effects begin.”

Is anyone still buying this nonsense?

Rogers Place

Perhaps the worst part about the proposed tower is that municipally-owned or leased properties do not pay property tax. Which means that all or most of the tower would not contribute to a lift in taxes within the CRL boundary. That land could have been used for a revenue-generating property instead, one that would actually help to pay down the CRL debt.

What about the Ultima Tower, you say? It was going to go ahead with or without the arena. What about the proposed, 71-story Edmontonian tower? Like the Aurora project before it, The Edmontonian has been vaporware since at least 2007, so there’s no reason to expect anything different now.

We’re being played, and the sad thing is, we’ve seen this story before.

In the world of video games, some have managed to shed their vaporware status and go on to be quite successful. Maybe that should give us hope that the arena district in Edmonton can do the same. Maybe there really is a master plan and an order in which these projects will unfold. But I’m not holding my breath.

UPDATE 2: There was some confusion about the paragraph above on taxation, as you’ll see in the comments below. I received clarification from the City. If the City of Edmonton leases space inside a building owned by a private entity, the space leased by the City is exempt from taxation. The remainder would be assessed and taxed as any other property would be.

Media Monday Edmonton: Update #96

Here’s my latest update on local media stuff:

  • Harvard Broadcasting announced a new format and brand for CKEA-FM, switching from Lite 95.7 to 95.7 CRUZ FM. Their gimmick is that they guarantee no repeat songs all day long, and they’ll pay $10,000 if you catch them breaking the rule. Here’s how the press release introduced the new format:

“95.7 CRUZ FM is playing Great Music, ALL the time! Whether it’s Classic Rock, Classic Hits, Mainstream Rock, Pop, Pop/ Rock or New Wave from the 70’s, 80’s, 90’s and 2000’s……music that was popular when you were!”


Here’s Kevin speaking at Pecha Kucha in 2011

You can follow Edmonton media news on Twitter using the hashtag #yegmedia. For a great overview of the global media landscape, check out Mediagazer.

So, what have I missed? What’s new and interesting in the world of Edmonton media? Let me know!

You can see past Media Monday Edmonton entries here.