Airlines say private airport charges higher

LANDING and other airport charges are more expensive in private airports than in State controlled airports, the Association of…

LANDING and other airport charges are more expensive in private airports than in State controlled airports, the Association of European Airlines (AEA) has claimed.

Air traffic control and other associated costs account for 50 per cent of airlines operating costs, the president of the AEA, Mr Herbert Bammer, said. Mr Bammer, who was speaking at his association's Presidents' Assembly in Dublin, said costs are excessive at private airports.

"State airports are not as interested in making money as private airports," he said. He accused privately run airports of making excessive use of their monopolies and called for some form of powerful regulation of airports.

His call was backed by Aer Lingus group chief executive Mr Gary McGann. He said there was no point, in having airports competing side by side, but there was a need for some form of regulatory system which would address the issue of costs.

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Airlines are facing costs, 50 per scent of which are outside their control, and there is scope for reduction, he said.

Asked whether Aer Rianta's costs are high, especially at Dublin Airport, he said Aer Lingus flies into plenty of airports which are more expensive than Dublin airport.

The association's conference, which was being hosted by Aer Lingus, was attended by all the major European Airlines who are, represented by the AEA.

The AEA also warned that the abolition of duty free in 1999 will affect airlines. Mr McGann said it will have an impact in three ways - on airline duty free sales aboard aircraft, on the cost of alcohol on board, and of course, on airport costs. (Duty free is a substantial money spinner for airport operators).

The AEA said it had not given up hope that the proposal may be defeated, but until recently all indications were that duty free would be abolished.

The conference called for a single system which would co ordinate the air traffic control systems in Europe. It said that a recent study had shown that inefficiencies in the current air traffic control systems are costing 2.5 billion Ecus (£1.9 billion) a year.

This translates into 8 per cent of the ticket price for customers.

The AEA also said that air transport is a growth area, but needs the capacity to keep pace with demand. It said many European airports are already crowded and the problem will become chronic in the near future.

It said the European authorities should be looking at ways of expanding capacity wherever it is possible to do so.