The associate transport Minister in charge of aviation, James Meager, wants to see government agency charges for the sector fall.
Civil Aviation Authority (CAA) charges are increasing by an average of 10% in Jul as part of what Meager (pictured) calls the C-19 hangover to rebuild reserves. Airways fees are also going up. Airlines and smaller operators say added agency costs come as they face rising airport fees. Based on the authority’s forecast expenditure, it would rack up a funding shortfall of $301 million in the two years to Jul 2027, if aviation levies, fees and charges remain at their current rates. “Once we’ve got CAA back into a good place, we can immediately look at what we do to reduce those levies,’’ Meager says.
He adds there has been good progress in cutting queues at aviation security through better technology and processes stating better tech, could speed up certification elsewhere in the sector and help attract new airlines or enable existing ones to fly new routes. Meager, also Minister for the South Island, said he was looking at more price transparency options but didn’t want to impose added administrative costs on airlines. A big review of CAA funding will be launched later this year.
. . . More Data
The Ministry of Transport gathered domestic on time performance (OTP) data has been published for almost a year and is being expanded beyond domestic jet routes. Meager said other countries also published fare trends as a way of shining more light on prices. “I am looking at all the options in that space and if it’s something that would realistically put some pressure on airfares, I’ll be open to doing it, but at the same time, I’m wary of making big moves where airlines are under pressure already.’’
