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Australia's approach to airport charges: The Sydney Airport experience

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  • Schuster, Dominic

Abstract

Australia has been progressive by world standards in its programme of airport privatisation and the adoption of a ‘light-handed’ regime of airport regulation. This paper discusses Sydney Airport's experience in negotiating commercial pricing agreements with airlines in the context of the light-handed regime and the Australian infrastructure access arrangements. It concludes that contractual relationships in an environment of informal regulation are able to provide sound, and arguably superior, outcomes to formal price regulation.

Suggested Citation

  • Schuster, Dominic, 2009. "Australia's approach to airport charges: The Sydney Airport experience," Journal of Air Transport Management, Elsevier, vol. 15(3), pages 121-126.
    • Handle: RePEc:eee:jaitra:v:15:y:2009:i:3:p:121-126
    DOI: 10.1016/j.jairtraman.2008.11.001
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    Citations

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    Cited by:

    1. Littlechild, Stephen C., 2012. "Australian airport regulation: Exploring the frontier," Journal of Air Transport Management, Elsevier, vol. 21(C), pages 50-62.
    2. Lohmann, Gui & Trischler, Jakob, 2017. "Licence to build, licence to charge? Market power, pricing and the financing of airport infrastructure development in Australia," Transport Policy, Elsevier, vol. 59(C), pages 28-37.
    3. Starkie, David, 2012. "European airports and airlines: Evolving relationships and the regulatory implications," Journal of Air Transport Management, Elsevier, vol. 21(C), pages 40-49.
    4. Forsyth, Peter, 2018. "Pre-financing airport investments, efficiency and distribution: Do airlines really lose?," Journal of Air Transport Management, Elsevier, vol. 67(C), pages 259-267.
    5. Michael O'Donnell & Miriam Glennie & Peter O'Keefe & Seung-Ho Kwon, 2011. "Privatisation and ‘Light-Handed’ Regulation: Sydney Airport," The Economic and Labour Relations Review, , vol. 22(1), pages 65-80, May.
    6. Georges Assaf, A. & Gillen, David, 2012. "Measuring the joint impact of governance form and economic regulation on airport efficiency," European Journal of Operational Research, Elsevier, vol. 220(1), pages 187-198.
    7. Arblaster, Margaret, 2014. "The design of light-handed regulation of airports: Lessons from experience in Australia and New Zealand," Journal of Air Transport Management, Elsevier, vol. 38(C), pages 27-35.
    8. Littlechild, Stephen C., 2012. "German airport regulation: Framework agreements, civil law and the EU Directive," Journal of Air Transport Management, Elsevier, vol. 21(C), pages 63-75.
    9. Yang, Hangjun & Fu, Xiaowen, 2015. "A comparison of price-cap and light-handed airport regulation with demand uncertainty," Transportation Research Part B: Methodological, Elsevier, vol. 73(C), pages 122-132.

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