Stansted fees subject of fierce debate
Stansted fees subject of fierce debate - Stansted Airport News
Airport news for Stansted on 28/01/2008.
Airport fees are set to change dramatically at Stansted Airport after the Civil Aviation Authority (CAA) proposed some radical changes in price controls at the busy London airport.
According to the CAA, Stansted can no longer justify limiting the charges levied on airlines flying from the airport. The CAA says that the nation’s third largest airport did "not currently enjoy a sufficiently strong market position that would normally be associated with the need to apply price caps."
The CAA report stated: "There is some uncertainty about how this position might change. The conclusions drawn by the government and the CAA from the available evidence differ. The government considers that it is more likely than not that Stansted will acquire substantial market power in the future, while the CAA considers that the airport is not likely to do so."
The CAA remains certain that even with price caps removed, the users of the airport will not be subject to market abuse. However, Kelly disagrees, and has publicly stated that price controls are required in order to protect consumers.
Airlines flying from Stansted have joined the CAA in lobbying to remove price controls. Ryanair and EasyJet, some of the leading operators from Stansted are among those pushing to limit economic regulations in this area.