Heathrow Airport is planning to invest £3bn to complete the new Terminal 2, construct taxiways and refurbish its baggage system.
The project is part of Heathrow's business plan for 'Q6', to enhance customer service, boost airport resilience and reliability, and improve its environmental performance.
The project, to be executed between 2014 to 2019, also includes early works for the expansion of the building, the development of a new integrated baggage system and the construction of new taxiways to handle larger aircraft such as the Airbus A380.
Since 2003, Heathrow has invested £11bn in the construction of Terminal 5, a new Terminal 2, new baggage tunnels, and the modernisation of Terminals 3 and 4.
Heathrow chief executive Colin Matthews said that it mustr continue to improve the service offered for passengers and airlines at Heathrow as the airport faces stiff competition from other European hubs.
"Our plan for a further £3 billion of private-sector investment will further improve the airport for passengers," Matthews said.
"The plan represents good value for money for airlines and passengers and comes at no cost to taxpayers."
The investments also involve the introduction of self-service check-in kiosks and new self-service bag drops, as well as providing additional customer service training for staff and the launch of mobile staff with tablet computers to enhance passenger services.
In a bid to improve access, Heathrow also plans to extend the service of personal rapid transport 'pods' to connect Terminals 2 and 3 with business car parks, while premium retail and additional lounges will be developed to compensate airport charges.
Heathrow will also invest in providing pre-conditioned air that allows aircrafts to switch off their engines when they land.
Additional airside electric vehicles will also be deployed in a bid to cut local pollution and reduce operating costs.
The new integrated baggage system is aimed at enhancing baggage processing reliability.
Heathrow's Q6 plan also calls for increasing the tariff by 5.9% to £19.33 per passenger during 2012-13 and £27.30 during 2018-19 to pay for the investment, which requires approval from the UK Civil Aviation Authority (CAA).
Image: Heathrow airport's Terminal 2 is scheduled to commence operations in 2014. Photo: courtesy of LHR Airports Limited.