Stansted Managing Director tells London that Stansted is “solution” to aviation capacity demand
Stansted boss, Andrew Harrison, says the airport can meet London’s growing aviation needs over the next 15 years. He was speaking at the inaugural London Infrastructure Summit on March 27th. He said Stansted could more than double the amount of flights it handles and that improving rail links into London would be key to unlocking its full potential. The Summit focused on the importance of infrastructure to London’s overall competitiveness. Andrew Harrison said Stansted has the infrastructure and planning permission to handle 35 million passengers (up from 17.8 million in 2013) per year, and the ability to handle a further 10 million passengers beyond that. That is around the capacity of one runway, fully used, especially with larger planes than at present. Stansted intends to “grasp the opportunity” in the period before any new runway (if one is ever agreed) could be built, to “make the best possible use of Stansted.” Some rail improvements, which could be implemented quickly, might cut the train journey time to London by 10 minutes.
Airport boss tells London that Stansted is solution to aviation capacity crisis
(Herts & Essex Observer)
27 March 2014
by SINEAD HOLLAND
STANSTED boss Andrew Harrison has been driving home the message that the airport can meet the capital’s growing aviation needs over the next 15 years, at the inaugural London Infrastructure Summit today (Thursday, March 27).
He told delegates the Uttlesford hub could more than double the amount of flights it handles and that improving rail links into the city would be key to unlocking its full potential.
The summit, at Kings Place in London, was supported by the Mayor of London Boris Johnson and focused on the importance of infrastructure to London’s overall competitiveness.
“Stansted is an important asset for London, and making the best possible use of its capacity should be an urgent priority for Government. The airport already has the infrastructure and planning permission to handle 35m passengers a year, and the ability to handle a further 10m passengers beyond that,” said Mr Harrison, pictured.
“Wherever the Airports Commission recommends a new runway, it is critical for Londoners that we grasp the opportunity in the intervening period to make the best possible use of Stansted. That is why the commission saw rail improvements as an immediate priority for the Government to address. We believe there are practical solutions that could be implemented quickly to reduce journey times to London by more than 10 minutes. These would make a big difference to passengers, airlines, commuters and the wider region,” he added.
The theme for the event was Infrastructure fit for a world city and the programme included panel sessions on key themes across London’s main infrastructure sectors, including: the overall vision and plan for London; funding and financing; lessons learned from major projects like Crossrail; the aviation debate; and how to build long-term consensus on future priorities for London.
It Gatwick got a new runway, would the necessarily higher landing costs drive travellers to Stansted instead?
GACC (Gatwick Area Conservation Campaign) has produced a report suggesting that if Gatwick was allowed to build a new runway, plus a new terminal, the cost of doing so (the Airports Commission think that might be £10 – 13 billion) would mean Gatwick landing charges would have to rise so steeply that the low cost airlines would be likely to prefer to move flights to – cheaper (and with spare space) Luton and Stansted. See below:
A new runway at Heathrow or Gatwick would mean big increases in passenger fees – New report
March 10, 2014
The Aviation Environment Federation (AEF) has submitted a new report to the Airports Commission which casts doubt on the feasibility of building a new runway at either Gatwick or Heathrow. So far there has been little realistic discussion about who will actually pay for the proposed runways. The new study,“Who Would Pay for a New Runway” by Brendon Sewill, shows that a new runway at Heathrow would be likely to mean an increase in landing fees and other airport charges from £19 per passenger now, up to £31. At Gatwick there would be a larger increase, up from £8 now to £33.60. The study points out that with all the London airports separately owned, unlike in the days of BAA, the cost will have to fall only on the passengers using that airport. If an expensive runway (and terminal) is built, the options are either that the passengers pay for it – or that it has to have public subsidy. A report for the Airports Commission, by KPMG, concluded that a new Heathrow runway would need a subsidy of around £11 billion, and a new Gatwick runway a subsidy of nearly £18 billion. However, the Government is reluctant to commit public funds, and new EU guidelines ruling out subsidies to major airports. That leaves landing charges – will passengers put up with that, or vote with their feet by using cheaper airports? Click here to view full story…
The Airports Commission said, in its Interim Report, on the subject of improving rail links to Stansted in the short term:
●● The Government should work with Network Rail and Transport for London on a
detailed study of the route between London and Stansted Airport and serious
consideration should be given to 4-tracking the line as far as Broxbourne
Junction, subject to a robust business case being developed. This study should
consider how enhancements to the route might benefit airport traffic, London
commuters and Cambridge traffic, recognising that any steps to enhance the
Stansted Express service through regularising or reducing journey times and
improving reliability will help the airport to play an enhanced role in supporting
London and the UK’s international connectivity. The study should take full
account of the Mayor’s London Growth Strategy.
●● The Government, Network Rail and Train Operators should work together on
options to connect Stansted Airport to a wider range of London destinations,
with a particular emphasis on making better use of the connection facilities
available at Stratford domestic station.
●● The Government should work with train operators to promote the introduction
of paperless ticketing facilities for journeys to and from Stansted Airport station.
●● The Government and the Highways Agency should monitor road congestion
around Stansted Airport, with a view to making interventions should substantial
congestion arise as traffic at the airport grows
and in the Commission’s Airports Commission: Interim Report. Appendix 1: Assessment of Short- and Medium-Term Options – December 2013
“The Commission is recommending a study into enhancing the rail line between London and Stansted as part of its Interim Report. It is also recommending that congestion
levels on roads around Stansted be kept under review.”
Hogan Lovells advises Stansted Airport in securing the end of economic regulation
27 March 2014 (The Lawyer)
Hogan Lovells has announced that it has achieved an important victory for Stansted Airport in securing the end of economic regulation at the airport.
The Civil Airport Authority (CAA) published a decision on 25 March 2014 confirming that Stansted does not have substantial market power in relation to its cargo services, and therefore will not be subject to an economic regulation licence from April 2014. This follows a decision on 10 January 2014, in which the CAA confirmed that Stansted’s passenger business would not be subject to economic regulation.
The CAA’s decisions in relation to Stansted’s passenger and cargo businesses follow a two-year review and mean that Stansted now has the freedom and opportunity to drive competition in the market. Both Heathrow and Gatwick will continue to be subject to regulation until at least 2019.
As one of the first market power assessments to be made under the Civil Aviation Act 2012, the case involved complex competition and public law issues. A cross-discipline team at Hogan Lovells, incorporating individuals within Hogan Lovells’ specialist competition law and public law and policy teams, worked closely with Stansted’s legal and regulatory teams to achieve this outcome.
The team at Hogan Lovells was led by Susan Bright and included competition partner Christopher Hutton (assisted by senior associate Thomas Smith) and partner Charles Brasted (assisted by associate Julia Marlow) from the public law and policy team. The team at Stansted included Tim Hawkins, Graeme Ferguson and Heidi Smith.