Specialist architects have designed a new $5 million baggage area for Bermuda International Airport as part of a $20 million redevelopment scheme.

And the airport is to pilot a new CUTE computer system to reduce departure lounge delays by allowing all airlines to use any check-in desk.

It is even hoped more planes will be attracted to Bermuda once CUTE, or common-user terminal equipment, has been set up next year.

Transport Minister Wayne Furbert yesterday launched phase two of a massive regeneration scheme aimed at increasing passenger traffic by 30 percent.

And he said a committee was already preparing a report after bidding to attract more of the world's top airlines to Bermuda.

The Royal Gazette revealed last month that phase one of the huge redevelopment project had been completed, with hundreds of new take-off and landing lights stretching out into the ocean.

But Mr. Furbert yesterday said a $4.7 million plan to upgrade the airport's baggage area would begin on January 5.

He said another $890,000 would be spent on a new ground transportation system -- relocating car parks, building a separate lounge for taxi drivers and hiring independent transport advisers to help passengers.

Jack Gordon, General Manager of the Department of Airport Operations, said work on the baggage terminal, to be stretched 38 feet, would be carried out by BCM McAlpine after architects Conyers & Associates drew up a redesign.

He said a stage would even be built in the baggage area so musicians could entertain arriving passengers.

And the area will also be given Bermudian-style pillars and a new colour scheme with huge pictures of Bermudian scenes.

Baggage conveyor belts, now 22 years old, will be replaced on January 26.

Mr. Gordon added: "By the time we have finished phase two in May, we estimate that we will be able to handle 1,000 arrivals passengers per hour, instead of 700.'' "The CUTE system will also enable us to take 1,000 departures passengers an hour, instead of 700.'' He said phase three of the redevelopment plan, which has yet to be mapped out, could involve a complete overhaul of the cargo terminal which is now under review.

Government have spent $14.6 million on upgrading airport facilities since taking control from the US Navy in June 1995.

Around $7 million has been spent on phase one of the improvements -- including a renovated arrivals and departures lounge, US departure area and immigration hall.

Millions more have been spent on drainage, the runway lights and "obstacle-removal'' programmes.

Mr. Gordon said the fast-gate customs clearing scheme, which reads palm prints to give passengers lie-detector tests, was already proving popular with flyers.

Vancouver-based designers will be brought in to oversee the work and there will be 55 temporary jobs for sub-contractors.

Airport terminals manager Mike Osborne said charges for long-term parking, at $5 a day, would be introduced when the car park is moved to the present taxi holding area.

Staff parking charges, to be priced lower than Hamilton costs, will also be introduced but short-term parking charges will remain unchanged.

Mr. Osborne said the airport needed to place "less of a burden on taxpayers''.

And he said there would be a new road layout to make it easier for taxis to operate. Work on a new executive aircraft handling lounge will also start in January.

"The airport cannot afford to stand still,'' said Mr. Osborne. "People's expectations have changed.

"We have to make sure that we match the expectations of our visitors and give them the first and last impressions of Bermuda that they want.'' Mr. Furbert added: "There's no doubt this work is going to cause disruption, particularly if people are coming back off long shopping sprees in January.''