Stock Exchange Announcement number 9/2010
Copenhagen, 31 August 2010
CPH: Low passenger charge for CPH Swift approved
The Danish Civil Aviation Administration (CAA-DK) today approved a charges
agreement concluded by Copenhagen Airports A/S (CPH) with a number of airlines
representing most of the traffic at Copenhagen Airport. Under the agreement,
the passenger charge for using Copenhagen Airport's new low-cost facility will
be approximately 35% lower than the current passenger charge. Copenhagen
Airport will be the first major European airport to offer differentiated
charges and CPH thereby accommodates the interests of both network carriers and
low-cost carriers. The new charges will mean new growth opportunities for CPH
and key airlines; improve Denmark's international accessibility and give
passengers access to more cheap tickets to a wider range of destinations.
When CPH Swift, Copenhagen Airport's new low-cost facility, opens on 31 October
this year, the passenger charge for airlines using the facility will be lower
than the charge currently paid by airlines using the existing terminals at
Copenhagen Airport. The low charge has come about because a number of operating
requirements must be met by the airlines when using CPH Swift and because of
the location and type of construction of the new facility.
In July, Copenhagen Airport recorded more than 400,000 low-cost passengers in a
single month for the first time ever, and the low-cost market share was 18.5%.
The low-cost carriers' year-to-date market share is 17.6%, which is about 3%
higher than in 2009.
The charge for using CPH Swift has been determined based on detailed
discussions during which the parties have sought to take into account the many
different interests of the various users in connection with determining the
terms and conditions for using Copenhagen Airport. The low-cost facility is an
important part of CPH's efforts to hold its own in the strong international
competition by being an attractive airport to all types of airlines.
The new long-term charges agreement recently approved by the Danish Civil
Aviation Administration (CAA-DK) is a supplement to the existing charges
agreement from the autumn of 2009 and will be in force until 31 March 2015. The
parties to the new agreement are CPH and SAS, Cimber Sterling, Norwegian and
IATA, representing approximately 88% of traffic at Copenhagen Airport.
Under the agreement, all passenger-related charges will be changed to better
reflect the underlying costs, and a certain part of the charges will be
facility specific. This ensures that CPH complies with the EU directive on
airport charges from 2009 which must be implemented into Danish law by 15 March
The implementation of cost-related charges means that passenger charges for
other international departures and domestic transfers will be reduced, whereas
charges for domestic departures, international transfer, security and handling
will be increased.
The agreement is balanced and will form the basis for many new routes and a
substantial improvement of Denmark's international accessibility. The charges
structure means that Copenhagen Airport will strengthen its position in the
intensive competition among the major European airports. The opening of CPH
Swift and the differentiated charges will enable Copenhagen Airport to
accommodate the different demands that network carriers and low-cost carriers
have for airport facilities.
In addition to the changed passenger charges, the agreement also includes a new
charge based on aircraft emissions of nitrogen oxides (NOx) designed to promote
the use of more environmentally friendly aircraft.
The existing take-off charge has been reduced by 5%, and a NOx charge of DKK
16.50 per kilo of NOx emitted will be levied, to the effect that carriers using
the most environmentally friendly aircraft and engines will pay a lower
take-off charge than under the current charges agreement. Conversely, older
types of aircraft with older engine technology will pay a higher take-off
charge than today.
Overall, the NOx charge is revenue neutral, and the NOx charge will be used for
purposes such as supporting CPH's environmental initiatives at the airport.
These may comprise improvements of both environmental and noise conditions.
The table below shows the charges for using Copenhagen Airport under the new
charges agreement as from 31 October 2010:
Type of charge New agreement Existing
Passenger charge at Swift 67.18 -
Passenger charge for other international departures 87.18 103.75
Passenger charge for domestic departures 39.11 28.81
Passenger charge for international transfers 52.65 41.65
Passenger charge for domestic transfers 23.62 23.81
Security charge 38.92 32.43
Security charge for transfers 25.69 21.41
Handling charge for international departures 12.50 10.42
Handling charge for domestic departures 6.25 5.21
The complete charges agreement is available at the CPH website.