Shareholders' Assn unhappy over landing charges

The Shareholders' Association has waded into the debate about airport landing charges at Auckland International Airport.

At its recent annual general meeting Air New Zealand said AIA's landing were among the most expensive in the world.

AIA's chief executive Don Huse replied at his company's AGM that comparing charges from airport to airport was difficult, due to the varying range of levies, duties, government charges and other services offered.

Mr Huse said Auckland charged $5000 to land a 747 but that also included the subsequent cost of takeoff. Brisbane charged $3000 to land a 747 and the same amount to take off.

He said a "like for like, apples with apples comparison" was needed to be valid.

The Shareholders' Association took up the matter with Air New Zealand, copying in the Board of Airline Representatives New Zealand (BARNZ) on a letter asking for clarification.

The Association's research director Oliver Saint said in the letter that on the face of it Air NZ's figures on airport landings seemed to be "inaccuracies" and he believed investors were due an explanation.

"Please try to put yourself in the place of the ordinary investor or even the traveller on your airlines. What sort of confidence can they have in the abilities of your staff, management and board when this kind of information is bandied about as being the truth?" Mr Oliver asked in the letter.

BARNZ responded with a long letter, including three pages of tables which compared charges at five different airports.

BARNZ figures showed the cost of turning around a 747-400 at AIA' is $11,980, 19 per cent more than the $9,666 charged at Sydney airport and 50 per cent more than the $6032 charged at Brisbane airport.

According to BARANZ turning around a 737-300 was more expensive at Wellington airport at $4057, compared to $3201 at AIA and $3386 at Sydney.

BARNZ said when it compares airport charges it includes revenues that an airport gets from the airlines and passengers, but does not include any Government taxes or fees.

"In an attempt to clarify the position and get down to the essentials we have adopted the straightforward approach of looking at the basic revenue streams that airport companies get from landing and terminal and passenger charges which airports impose and retain," BARNZ executive director Stewart Milne said in his letter of reply.

- NZPA