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Spain to cut airport tariffs to boost traffic

Mon, 14th Oct 2013 12:37

MADRID, Oct 14 (Reuters) - Spain will cut the tariffsairlines pay to use the country's airports and remove the chargeentirely in some cases in an attempt to boost falling traffic,the government said on Monday.

The cuts will reverse increases made over the past twoyears, which doubled tariffs at Spain's two largest airports inMadrid and Barcelona and prompted budget airline easyJet to close its Madrid base and Ryanair to reduce flightsand routes.

The measure could increase traffic in Spain's 46 airports byabout 2 percent, or almost 4 million passengers, Public WorksMinister Ana Pastor said.

Passenger was down 4.9 percent year on year in the firstnine months of the year, or by 7.5 million travellers, onfalling demand for domestic flights in the midst of an economicslump and the elimination of routes across Spain.

The reduced tariffs will take effect from Jan. 1, 2014, andwill be applicable to new routes and for any moves by airlinesaimed at increasing air traffic, Spain's airport regulator AENAsaid.

Rates charged per passenger on routes that carry additionaltravellers will be cut by 75 percent and new routes will havethe tariffs removed completely.

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