Liberalisation of airport air traffic control: A case study of Spain: Fid-Bau Portal

Liberalisation of airport air traffic control: A case study of Spain

Arblaster, Margaret / Zhang, Chrystal

Abstract Liberalisation of air traffic management (ATM) through tendering of airport air traffic control services has occurred in selective countries. While there have been a few studies which have analysed the theoretical concepts of competition to provide ATM services, there has been limited evaluation of the experience of liberalisation on an individual country basis. Using secondary data from literature and primary data collected from interviews, this research reviews the experience of introducing competition in airport ATC services, using the experience in Spain as a case study. The study investigates barriers that hinder the development of an effectively competitive market structure and pro-competition policies to reduce them. The study finds that introducing competition in airport air traffic control is a complex process. In Spain, efficiency benefits have been achieved without compromising safety and economic regulation of the larger liberalised airports has been avoided. Access to qualified air traffic controllers is a critical barrier to the introduction of competition in airport air traffic control services in part related to the complex licence conditions which are unique to specific airports and functions.

Highlights • Review of economic regulation and policy of liberalising monopoly industries. • Barriers to introducing competition in airport air traffic control services are explored. • Reduced mobility of air traffic controllers across service providers is examined. • Effects of liberalisation on market performance and policies to reduce barriers to competition reviewed. • Case study of liberalisation of airport air traffic control in Spain.