Draft amendments to airport land valuation rules
10 November 2015
Release No. 50
Commission releases draft amendments to airport land valuation rules
The
Commerce Commission has today released draft amendments for
consultation on the application of the airport land
valuation rules as part of the input methodologies
review.
The Commission announced in July this year that it would fast track this tranche of work ahead of the main review to provide greater certainty before the next airport price setting events in mid-2017.
Chair Dr Mark Berry said the Commission was now seeking submissions on the draft amendments relating to the application of the market value alternative use (MVAU) valuation methodology for airport land. The matters covered by the draft decision include the steps involved in determining MVAU, as well as special assumptions and practical valuation requirements.
“Transparency and predictability in relation to asset valuation are important characteristics of an effective light-handed regulatory regime. We remain on track to complete this work by February 2016, which will ensure Auckland and Christchurch airports can prepare updated land valuations, should they wish to do so, well in advance of their next price-setting events in 2017,” Dr Berry said.
A copy of the draft decision can be found here. Submissions are due by 5pm 8 December 2015 and cross submissions are due by 12pm 18 December 2015.
ends