Ryanair issues complaint over Stansted charges
Ryanair has launched a complaint with the Civil Aviation Authority.
Airport news for Travel,Stansted on 28/07/2011.
Ryanair has filed a complaint over the charges BAA levies against airlines for using Stansted airport. The Irish airline filed the complaint with the UK’s Civil Aviation Authority.
The carrier announced the move in a statement issued on Wednesday. Ryanair said it is seeking a review of the price cap Spanish-owned BAA is maintaining at London Stansted Airport. The carrier also said that BAA has overcharged airlines over the last five years.
Ryanair even alleged that BAA had inflated both its costs and its asset base. In the statement, BAA said the airport’s regulatory accounts offer many examples of cases in which BAA and Heathrow had transferred ‘unexplained’ costs to Stansted. The airline says this practice inflates costs at Stansted and makes its profits look weaker than they really are.
At the same time, says Ryanair, this apparent accounting exercise makes the performances of both BAA and Heathrow look better. The airline added that BAA has doubled passenger charges even though business was down by some 30 per cent.
Doing this makes Stansted airport appear uncompetitive, says Ryanair. A BAA spokesman responded by saying that Ryanair pays no more than is allowed by the regulator.
The spokesman added that Ryanair pays less at Stansted than it would at Gatwick. The charges to which Ryanair refers have, said the spokesman, been examined by the UK’s Competition Commission and are in compliance with the CAA’s price cap. BAA maintains that Ryanair has no case for legal action.
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