Annexure II - AERA

NERA
Economic Con sulting
2. Inclusion of the land used of commercial
purposes on the perimeter of the till
We have examined how airport regulation treats land used for non-aeronautical
activities in the following countries: Australia, Belgium, Denmark, France, Germany,
Ireland, Italy , New Zealand, South Africa, The Netherlands and UK.
For each country we have detected whether and to what extent revenues of nonaeronautical
activities contribute to cover costs ofaeronautical activities. We have
then made specific reference to revenues of land used for non-aeronautical activities.
The results of our analysis are the following:
• Under dual till regulation non-aeronautical activities are out of the scope of the
regulated till; real estate is excluded in Germany at Frankfurt and Hamburg, in
Italy at the major airports and in Netherlands at Amsterdam (with the exception of
hotels);
• In general, there is no pure single till regulation. Selected non aeronautical
activities, where no general rule applies, are excluded from the regulatory till.
More specifically, real estate is outside the regulatory till in France at ADP and in
Belgium at Bruxelles airport. Real estate is included in Ireland at Dublin airport,
at South African Airports, in UK at Heathrow, Gatwick and Stansted (but hotels
are outside).
• Where a hybrid till applies, non-aeronautical activities are partially included in the
regulatory till. This is the case of Denmark, as at Copenhagen, where between
10% and 50% of the margin of non-aeronautical activities is used to remunerate
costs of aeronautical activities, and of Italy, at all airports but the large ones,
where it is used 50% of the margin of non-aeronautical activities, but only if such
activities are provided under monopoly or locational rent. The same principles
apply to real estate in both countries.
• Finally, where ex post monitoring applies, as in the case of major Australian and
New Zealand, non aeronautical activities, including real estate, are excluded by
any regulatory till.
Table 2.1 summarizes the international evidence examined.
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Annexure II-B
CP No. 9/2013-14/T-12023(14)/1/2012- Tariff- Vol - III Annexure II-B Page 41 of 51