Thessaloniki Forum on Airport Charges: Recommendations – Consultation, Transparency and WACC
The Thessaloniki Forum of European Airport Charges Regulators has published two guidance papers to assist in the implementation of the Airport Charges Directive (2009/12/EC).
The first paper contains recommendations on how the requirements of the Airport Charges Directive on Consultation and Transparency can be fulfilled. It has a particular focus on the annual consultation process for setting airport charges.
The second paper offers recommendations as to how the Weighted Average Cost of Capital (WACC) should be set, either by an airport or regulator. It details the preferred methodology and also offers guidance as to how each of the parameters should be set.
These papers were written by a working group of the Forum which was chaired by the Commission for Aviation Regulations (the Irish Independent Supervisory Authority for the directive), they have been adopted by the Forum as a whole.
The Forum’s mission is to advise the European Commission on the implementation of the Airport Charges Directive and to promote best practices in the economic regulation of airports. It will continue this work in 2017 by conducting further work on the above topics and also examining how best to conduct Market Power Assessments for airports.