Decision on the Interim Review of the 2014 Determination Related to the North Runway
The Commission has decided to replace the existing trigger, which added €0.59 to the price cap in the year following Dublin Airport serving 25 million passengers in a 12-month period, with three triggers which increase the price cap in three stages to better align the remuneration with the timeline for delivery of the project.
The triggers allow the remuneration of 10% of the North Runway project allowance (€24.7m) in the year that follows the start of works of the main project, 85% of the allowance (€209.7m) in the year after the North Runway has become fully operational, and 5% of the allowance (€12.3m) in the year after the house buyout closes and the project is complete.
While this Decision is consistent with the Draft Decision, there are two differences: 1) for the volume risk realignment, we have decided to adjust the amount entering the price cap at the time of the milestones being achieved rather than conducting a lookback, and 2) we have refined the evidence required to show the milestones have been achieved.
The Decision paper and the submissions received from interested parties on the Draft Decision are available here.