Market Intelligence
Airport and Ground Support Equipment Safety and Protection Safety and Security Greece

Greece Aerospace and Defense Security Upgrades for Airports

Greece has seen an unprecedented inflow of visitors and tourists in recent years, with an expected 35 million visitors in 2024. Many of Greece’s airports need are in need of infrastructure and security upgrades in order to accommodate the ever-increasing influx of tourists. 

Ensuring safety and security at airports is governed by stringent standards and requirements set forth by the European Union (EU). Greece’s ambitious project to privatize 22 airports underscores the pressing need for comprehensive security upgrades and presents opportunities for U.S. firms. 

The EU mandates rigorous security protocols for Member States to ensure the safety of passengers, crew, and airport staff. These common basic standards encompass a broad spectrum of measures, including screening of passengers, cabin baggage and hold baggage using advanced imaging technologies; airport security surveillance systems; cargo screening; and the training of staff to comply with these security measures. EU Member States including Greece are obligated to have a competent authority for aviation security, establish a national civil aviation security program, and implement a national quality control program to ensure adherence to these standards.

Privatization of 22 Airports
The Greek government is poised to release a tender for the privatization of 22 airports, building on the success of an earlier phase where 14 airports, including Mykonos, Corfu, Zakynthos, Kos, Samos, and Rhodes, were privatized. This second wave of privatization will include smaller airports such as Kalamata, Alexandroupolis, Chios, Kastelorizo, Milos, Nea Anchialos and not only. Growthfund has released the tender for Kalamata Airport and the final decision of the award is expected within 2024. The current four consortium bidders are GEK Terna - GMR Airports, Mytilineos - Corporation America Airports, Egis Airport Operation – Aktor – Aéroports de la Cote d’Azur, Fraport AG – Delta Airports – Pileas (Constantakopoulos Group). This move aims to enhance operational efficiency and attract investments for much-needed safety and security upgrades. The involvement of private entities is expected to bring advanced technologies and practices that align with EU security requirements.

The Management of the Athens International Airport (AIA)
The Athens International Airport is operated by AIA S.A. and ownership is divided between the Greek State and Private Sector in a 55%-45% stake following a PPP scheme for the airport company. The Hellenic Republic Asset Development Fund (Taiped) holds a 30 percent stake in the airport, with German airport investor AviAlliance owning just over 40 percent and Copelouzpos Group with 5 percent

The management of the 14 regional airports
Fraport Greece (73.4 percent owned by the Frankfurt based airport operator Fraport AG and 26.6 percent by Copelouzos Group) has commenced the 40-year concession for managing, operating and developing 14 regional airports on the Greek mainland and popular holiday islands. The 14 Greek regional airports project is one of the largest and most beneficial investments and is a basis for boosting the Greek economy. 

Through its management, Fraport has made much needed infrastructure upgrades, delayed for years due to public sector management and the financial crisis. In addition to modern security infrastructure, airport amenities such as lounges and retail outlets were also enhanced to better meet the demands of tourism. Fraport has demonstrated that the key to successful privatization is through proper investment. It is expected that the new wave of privatization will have similar investments by the executor, while at a smaller scale due to the size of the airports being tendered. 

Opportunities for U.S. Firms
In response to the evolving security landscape and EU mandates, Greece has committed to the following significant security enhancements at its airports:

  • Installation of modern baggage handling systems;
  • Construction of new access control systems and guardhouses; 
  • Expansion of security-check lanes;
  • Refurbishment and expansion of fire stations; and
  • Installation of advanced electronic video surveillance systems and sophisticated access control mechanisms. 
     

The main priority for the privatization of the 22 airports is to enhance international competitiveness through the optimization of operational processes, the modernization and upgrade of the airports’ infrastructure and the continuous training of employees. Most importantly the airports will need to be equipped with new state-of-the-art baggage handling and security systems. The Greek government is expected to utilize both national funds and funds from the European Union to facilitate these security enhancements. These upgrades present a substantial market opportunity for firms specializing in high-end security technologies.

Guidance on the procurement process and where to find tenders

U.S. firms interested in entering the Greek market will need to partner with local entities that have technical expertise and experience in navigating public tenders. By leveraging cutting-edge technology and forming strategic local partnerships, U.S. firms can play a pivotal role in enhancing airport security in Greece and meeting EU requirements.

For more information, please contact U.S. Commercial Service Athens, the Safety & Security Commercial Specialist Athina Kladis at Athina.Klads@trade.gov.
 

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