Auckland International Airport will trim its international passenger fees in the 2013 financial year, while hiking domestic travellers' charges as part of a new pricing schedule.
From the start of July, the country's biggest gateway will cut the average international passenger fee by 58 cents, or 2.8 percent, to $21.55, and lift domestic charges $1.32, or 31 percent, to $5.55, it said in a statement.
As part of its pricing restructure, the airport will drop international terminal service charges, domestic terminal lease charges for passenger processing, and introduce an international transit and transfer charge.
Between 2014 and 2017, the airport will increase its charges at an annual 2 percent pace to keep in line with inflation.
"This gives us greater alignment with airlines on the risk and reward of passenger volume growth," outgoing chief executive Simon Moutter said.
"If we didn't price appropriately, we risk not being able to keep up with growth in passenger numbers or the introduction of larger aircraft, which is absolutely essential for New Zealand's tourism and trade interests."
The airport expects slightly faster growth in international passenger numbers, which it forecasts to rise to 8.34 million by 2017 from 7.32m in 2013, while transit numbers would increase to 578,000 from 514,000 over the same period.
Domestic passenger numbers are forecast to rise to 7.31m from 6.44m.
Mr Moutter said the hike in domestic charges would go towards expanding capacity at the domestic terminal over the next 18 months to let it cope with bigger aircraft being used on local routes.
The airport expects to spend $28m on the upgrade, which will tide it over for a few extra years while it stitches up a plan for a new domestic terminal.
"The modifications will patch up the existing domestic terminal for a few more years while we finalise our longer term plans for a new terminal," he said.
source: newshub archive