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Airport Development Charge

16 May 2005

Auckland International Airport Limited

Airport Development Charge

The Government recently announced that, as from 1 October this year, costs associated with aviation security services will become a charge on airlines. Currently, a $5 security charge is collected by the major New Zealand international airports as part of an airport development charge (ADC) of $25. This charge is levied on departing international passengers.

Following a consultation process with the airlines, Auckland International Airport Limited advises that its ADC will remain at $25 from 1 October 2005. The retention of the charge at this level is necessary to assist in meeting the costs associated with major terminal development projects being undertaken at the airport.

The Board of Airline Representatives of New Zealand (BARNZ) consults on behalf of the airlines. BARNZ has acknowledged that the retention of the ADC at the $25 level is justified given the extensive international terminal expansion programme at Auckland Airport.

ends

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