Post by corsair67 on Aug 15, 2007 12:21:47 GMT 12
Air NZ files claim against airport charges
NZPA | Tuesday, 14 August 2007
Air New Zealand has made its second legal complaint over airport landing charges, filing proceedings with the High Court over Wellington International Airport's fees.
Air NZ, which last month sought a Judicial review of Auckland Airport's charges, said today it was challenging the validity of Wellington Airport's consultation.
In its statement of claim, Air NZ said the airport company showed a predetermination of increases by majority owner Infratil abusing its monopoly position.
Wellington Airport, which is spending $46.5 million on upgrading its facilities over the next two years, is increasing landing charges by 2.85 percent a year for the next five years, or around 30c for jet passengers. The international departure fee will not change.
Air NZ's airport costs in Wellington will rise by more than a third.
General counsel for Air NZ, John Blair, said multiple landing charge increases were invalid, as airports must consult when they increase charges.
"The statutory power under the Airport Authorities Act should not be permitted to confer upon WIAL the power to set charges that result in monopoly profits," Mr Blair said.
The airline had no other avenue apart from taking the matter to the High Court, he said.
Infratil said last month that the airport company was satisfied it had conducted itself properly in setting its prices, and recognised the risk of regulatory control if it did not do so.
Auckland Airport said in July it would increase airlines' landing charges by 2.5 percent a year for the next five years, with the first rise taking effect on September 1.
The airport also plans to increase its $25 development charge, currently levied on departing passengers, by $1 a year for three years from 2008.
Auckland Airport says it will defend Air NZ's claim, and had consulted for three years about the charges.
