– government cites ‘shift in policy’

In a shocking turn of events for one of the territory’s most critical infrastructure projects, the Turks and Caicos Islands Government has abruptly pulled the plug on the Public-Private Partnership (PPP) procurement process for the redevelopment of the Howard Hamilton International Airport (HHIA), formerly the Providenciales International Airport.

The unexpected decision, made by the Cabinet on December 29, 2025, was announced in a joint press release from the Ministry of Physical Planning and Infrastructure Development and the Turks and Caicos Islands Airports Authority (TCIAA) on Wednesday, December 31, 2025.

In a press release titled, “Howard Hamilton International Airport Redevelopment (PPP) Project Terminated,” the Government underscored that the move is “rooted in a shift in policy, and other reasons, intended to best serve the national interest”.

The release explained that the decision to terminate the PPP came after a strategic review, which determined that the project’s long-term objectives “will be best achieved through an alternative delivery method rather than the previously contemplated structure”.

However, the government was quick to emphasise that the redevelopment itself is not being abandoned, despite the cancellation of the procurement.

“The Cabinet’s decision does not signal a discontinuation of the redevelopment of the airport…on the contrary, it allows for the immediate acceleration of critical capacity enhancement that would have otherwise been delayed while awaiting the award of a contract under the now cancelled exercise.”

In a swift pivot, the TCIAA has already initiated what was originally planned as a contingency: “the immediate advancement of interim capacity works”.

The government release stressed that the recent tender for the construction of a new Arrivals Hall has now been designated as the first phase of the overall project.
According to the TCIAA, by advancing this component “under the direct supervision of the TCIAA, the government is ensuring that urgent capacity needs are met without delay”.

Flagship project

The now terminated PPP project had been a flagship initiative for the Washington Misick-led administration, designed to give the HHIA a sustainable life cycle of at least 40 years.

In this vein, the project gained critical momentum back in 2023 when the UK government gave its official consent for the “new, state-of-the-art passenger terminal” and the broader expansion works.

The UK’s Foreign Commonwealth and Development Office (FCDO) approval was announced by the TCIAA on Thursday, May 25, 2023, following an official visit to the UK by the Hon Premier and Deputy Governor HE Anya Williams.

At the time, the TCIAA called the UK approval a “critical step toward the construction of a new passenger terminal,” confirming the UK’s consent to proceed with the project “through a Public Private Partnership (PPP) programme.”

The redevelopment was slated to include significant airside expansion, which encompassed increasing the current apron, extending the existing runway, and adding a taxiway, a vital element to accommodate the territory’s explosive tourism growth.

Congestion at tipping point

The urgency of the project has been underscored by chronic and escalating congestion at the international gateway. The Turks and Caicos Islands has become one of the best-performing destinations in the Americas, and the record start to 2024, with a surge in air arrivals in January and February, had pushed the airport to its limit.

The government acknowledged that “a lack of sufficient airport capacity to meet traffic demands and the resulting problem of congestion and delays is casting a shadow on the visitor experience”.

Especially on Saturdays, the congestion at HHIA is described as “at a tipping point,” leading to “extremely long queues and longer wait times to clear security checks, flight delays, and flight cancellations among other issues”.

While the government has guaranteed the redevelopment will continue, the termination of the existing PPP process injects significant uncertainty into the timeline for the full, long-term project.