Boston Logan operator, Massachusetts Port Authority (Massport), today approved a rolling five-year programme of more than $1 billion to fund 340 projects as part of the its fiscal year 2012-2016 comprehensive financial plan of capital improvements.

This year’s plan is expected to sustain the equivalent of 505 full time design and construction private sector jobs for each year of the five-year project.

The largest initiative is the construction of the Consolidated Rental Car Facility for Boston Logan International Airport. Massport hopes that the $300 million project will enhance customer service, ease airport roadway and terminal kerbside congestion and replace rental car diesel buses with alternative fuel buses and improve air quality.

Airfield improvements include an expanded, decked safety area for runway 33L with an engineered material arresting system to safely stop an aircraft that overshoots the runway.

The plan includes the $85 million upgrade of Massport’s facilities; the renovation and rehabilitation of Terminals B, C and E to accommodate airline growth and relocation; and a bypass road in East Boston for commercial traffic headed to and from the airport which will ease traffic on East Boston streets.

The capital programme totals $301 million in Massport funding, $233 million in Customer Facility Charges, $195 million in federal grants, $130 million in Passenger Facility Charges, $144 million in revenue bonds, and $75 million in a TIFIA loan, for a total of $1.078 billion.

“The capital programme is our road map for the next five years in order to meet the transportation needs of businesses and the travelling public,’’ says Massport Interim CEO, David Mackey.

“It also highlights how important an economic engine Massport is for the New England region. These projects will create needed construction jobs and permanent jobs.’’

Boston Logan Airport will receive the lions share (87%) of the funding, with maritime projects (5.6%), Worcester Regional Airport (2%) and the general aviation facility at Hanscom Field (1%) of the $1 billion investment.