A new $80,000 fuel tank being installed at Pukaki Airport at no cost to ratepayers is the latest development at the Mackenzie District Council-owned facility.
Since the council took over the airport on State Highway 8 just outside Twizel it has been extensively redeveloped, including an aviation park subdivision which has helped provide the capital.
The airport is run by the Pukaki Airport Board, appointed by the council.
Board chairman Derek Kirke, of Wanaka, said the council had spent $550,000 buying the former airfield and about 220ha of surrounding land from Ben Ohau Station.
Last year, the board paid back the council the $550,000 it owed.
"As far as I know, it is the only publicly owned airport in New Zealand that has required no capital input or ongoing contributions from ratepayers," he said.
After buying the land, it embarked on a two stage development of the aviation park, with a total of 53 sections being created, along with the necessary infrastructure.
Mr Kirke said almost all of the stage one development of 30 sections had been sold, along with some in stage two.
The latest project is to install a dual aviation tank to supply the two different types of fuel needed by commercial operators.
The above-ground tank will hold 20,000 litres of Jet A1 fuel and 15,000 litres of AvgasAt present, Air Safaris and Helicopter Line operate from the airport, but there have been inquiries from other potential operators.
Those had been put on hold because of the current economic recession, but Mr Kirke expected them to be reactivated once conditions improved.
Mr Kirke said the commercial operators had to make their own arrangements for fuel, but once the tanks were completed by Christmas they would have fuel available on site.
A second project the board is looking at is to provide a 500m grass cross-wind runway for light aircraft to complement the 1100m sealed strip.
A decision was expected on that in January.
Other proposals being considered include a sky division operation and an aircraft maintenance centre.