Ryanair criticises airport regulator in UK
10-Feb-2009 |
Airline Code [RYR]
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Tags :UK, Ryanair
Ryanair criticised (09-Feb-09) the UK CAA’s incompetent regulation of the BAA monopoly at Stansted Airport. Ryanair was presenting evidence, along with the Stansted Airline Consultation Committee (ACC), at the CAA’s hearing on its pricing proposals at Stansted Airport.
The CAA, the body responsible for failing to regulate the three monopoly London airports (Heathrow, Gatwick and Stansted) has come under severe criticism from the UK Competition Commission, the Department for Transport and airlines for its “light-touch” approach to regulating the BAA monopoly. The result of this regulatory failure has been an escalation of prices at Stansted (doubling in 2008) and a dramatic decline in passenger numbers. Speaking at the CAA’s hearing today, Ryanair’s Jim Callaghan said: “The CAA has repeatedly ignored the airlines over the past eight years and has failed to fulfil its statutory objectives of protecting the interests of users at Stansted Airport. As a result, BAA has built costly and inefficient facilities which do not meet the needs of its customers, which has led to inflated charges and profits for the Stansted monopoly. “Despite severe criticism of its approach by the UK Competition Commission, the DFT and airlines, the hopeless CAA continues with its “light-touch” approach to regulating Stansted, to the detriment of ordinary consumers. In 2008, the BAA monopoly doubled charges at Stansted yet the useless CAA Regulator did nothing. Passenger growth at Stansted has been decimated as a result. BAA is pushing ahead with plans to waste GBP4bln on a second terminal and runway that should cost less than GBP1bln and yet again the useless CAA proposes to do nothing. “Ryanair is calling on this useless Regulator [Harry Bush] to either start regulating the BAA monopoly in the interest of airport users, and the travelling public, or to step down in favour of someone else competent who will try to protect the interests of airport users”.
(c) Centre for Asia Pacific Aviation. Date posted: 10-Feb-09
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