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Revised Scheme of Airport Charges proposed by Airport Authority Hong Kong to be gazetted
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     The revised Scheme of Airport Charges proposed by the Airport Authority Hong Kong (AA) will be gazetted on Friday (June 17) and come into force on September 1.

     A spokesman for the Transport and Housing Bureau said today (June 14) that the landing and parking charges under the Scheme of Airport Charges were last adjusted downward in 2000. The AA proposes to roughly restore the landing and parking charges to the pre-2000 level in the revised Scheme. The airbridge and terminal building charges will remain unchanged.

     The AA is obliged under the Airport Authority Ordinance to operate Hong Kong International Airport (HKIA) according to prudent commercial principles. The AA regularly reviews its Scheme of Airport Charges, which includes a landing charge, parking charge, airbridge charge and a terminal building charge payable by airlines.
  
     "The increase in landing and parking charges will raise the proportion of aeronautical revenue of the AA. Maintaining a healthy balance between aeronautical and non-aeronautical revenue is in the overall financial interest of the AA in the long-term," the spokesman said.

     "Furthermore, the additional revenue to be generated by the revised scheme will also form part of the financial arrangements of the three-runway system (3RS) project, which is premised on the 'joint contribution' principle. The 3RS project will enable the HKIA to cater for its long-term air traffic demand for maintaining Hong Kong's competitiveness as a global and regional aviation hub, and for catering to our long-term economic and development needs," he added.

     Under the revised scheme, the increase in the parking charge will be implemented in one go, while the increase in the landing charge will be spread over three consecutive years beginning from September 1, 2016.
   
     The spokesman pointed out that the AA has consulted the International Air Transport Association, the Board of Airline Representatives Hong Kong and the Hong Kong Business Aviation Centre Limited. These organisations did not raise an objection to the revised scheme.

     According to a survey conducted by the International Civil Aviation Organization, airport charges represent a rough average of four per cent of global airlines' operating costs.

     "Given this relatively small proportion, the revised Scheme of Airport Charges is expected to have an immaterial impact on the operation of airlines. Its bearing on the competitiveness of HKIA's level of charges is expected to be modest. It is also worth noting that the overall competitiveness of HKIA is influenced by a myriad of factors including its network and connectivity, passenger service and operational efficiency," the spokesman said.

Ends/Tuesday, June 14, 2016
Issued at HKT 15:00

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