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Home / Business / Companies / Airlines

Airlines hit as security pushes up landing fees

By John Martens
1 Jan, 2007 04:00 PM2 mins to read

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KEY POINTS:

BRUSSELS - Brussels Airport will raise landing fees levied on airlines by 34 per cent beginning in April because of increased security costs mandated by the Belgian Government.

The unit rate for calculating the landing and takeoff charges for airlines using the airport in Zaventem will climb to
€2.05 ($3.84) from the current rate of €1.53, the airport management said. The Belgian Government's decision to expand a top-security area led to the higher costs, the airport said.

Brussels Airport, which is 70 per cent owned by Sydney-based Macquarie Airports, last year agreed to offer airlines a stable regulated tariff system, only allowing for fee increases through indexation or because of security changes demanded by the Government. The Belgian state still holds a 30 per cent stake.

"Once again, security costs are being passed on to airports, airlines and passengers," said Francoise Humbert, spokeswoman for the Association of European Airlines in Brussels, which represents 31 network carriers. "We have been calling on European governments to take a bigger share of this burden. Security is essentially their responsibility."

Airport and air navigation charges make up about 11 per cent of carriers' operating costs, according to the International Air Transport Association, which said yesterday it was "shocked and disappointed" by the rate increases in Brussels. The group is working to reduce airport fees, especially in Europe, which has 15 of the 25 most expensive airports in the world.

- BLOOMBERG

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