Copenhagen Airport reduces prices for airlines
Copenhagen Airports A/S is implementing two initiatives, both of which will reduce the charges that airlines pay for using the airport. In order to strengthen the CPH hub, a new incentive scheme is being introduced for frequent feeder traffic from regional airports. Overall, charges will be reduced by an average of 10%.
Copenhagen Airports A/S (CPH) has decided to reduce the charges that airlines pay to use its facilities. From 1 April 2018, airlines will therefore pay 10% less on average to use the airport.
“In July, the government presented the new aviation strategy focused on strengthening Denmark’s international connectivity and Danish domestic aviation. As a result of the aviation strategy, we have new regulation, which will not take full effect until April 2019.
Both from the political side and from airlines, there has been a wish for lower airport charges. We have listened to that. At the same time, we want to respond to the new regulation now and create a good common starting point for the upcoming charges negotiations. Therefore, we will be reducing charges from April 2018 through two specific initiatives. Firstly, we are reducing the charges that all airlines pay to use the airport. Furthermore, we’re introducing a special incentive scheme that will make charges 35% lower for frequent feeder flights between regional airports and CPH. On average, CPH’s charges will be 10% lower from April 2018, says Copenhagen Airport’s Chairman, Lars Nørby Johansen.
The new incentive scheme will mean that the charges are 35% lower for flights between CPH and regional airports such as Billund, Bornholm, Midtjylland, Sønderborg, Aalborg and Aarhus, as well as Bergen, Gothenburg, Stavanger, Vilnius and Gdansk.
According to Lars Nørby Johansen, the reduction in charges is part of an overall strategy to strengthen Copenhagen airport’s position as a North European hub:
“We want to strengthen our hub status, so the lower prices will particularly benefit airlines that fly several times daily on the shorter routes between CPH and the regional airports. In this way, we’re continuing our efforts to connect up the whole of Denmark more closely,” says Lars Nørby Johansen.
The 10% reduction in charges will cost the airport around DKK 300 million annually. The airport hopes that the considerable price reduction for, in particular, the feeder routes will lead to consolidation and growth in hub traffic:
”We anticipate that the airlines will welcome the price reduction and respond with increased activity and growth,” says Lars Nørby Johansen.
Facts about Copenhagen Airport and the new charges
- From 1 April 2018, there will be a general reduction in charges for all airlines as well as a special reduction for feeder routes from regional airports. The charges will be reduced by 10% on average.
- The new incentive scheme of 35% will benefit airlines that provide feeder traffic between CPH and regional airports more than three times a day on the same route. At present, this covers the following destinations: Billund, Bornholm, Midtjylland, Sønderborg, Aalborg and Aarhus, as well as Bergen, Gothenburg, Stavanger, Vilnius and Gdansk.
- The new reduced charges will apply for both current and future airlines from April 2018. The special reduction for feeder traffic from regional airports has to be approved by the Danish Transport, Construction and Housing Authority, but should be able to enter into force on 1 April 2018.
- In 2016, 29 million passengers flew into and out of Copenhagen Airport. This was 9.1% more than in the previous year.
- CPH has more than 160 direct air routes out of Denmark.
- Copenhagen Airport is currently undergoing a major expansion. The aim is to create an airport with capacity for 40 million passengers a year. The expansion, costing DKK 20 billion, is one of the biggest ever private construction projects in Denmark’s history.