Statement By The Council To Contracting
States on Charges For Airport And Air Navigation Service

Introduction

The cost basis for airport charges:

  1. 1Airport charging system;
  2. Landing charges;
  3. Parking and hangar charges;
  4. Passengers-service charges;
  5. Security charges;
  6. Noise related charges.

The cost basis for airport charges
As general principle it is desirable, where an airport  is  provided for international use, that the users shall ultimately bear their full and fair share of the cost providing the airport. It is therefore important that airports maintain accounts which provide information which is adequate for the needs of both  airports and user and that the facilities and services related to airport charges be identified as precisely as possible. In determining  and  allocating the total cost to be met by charges on International Air services.

Airport Charging System
Charging systems at International Airports shall be chosen in accordance with the following principles:

  1. Any charging system should , so far as possible, be simple and suitable for general application at international airports.
  2. Charges should not be imposed in such a way as to discourage the use of facilities and services necessary for safety.
  3. The charges must be non-discriminatory both between foreign user and those having the nationality of the State of the airport and engaged in similar international operation, and between  two or more foreign users.
  4. To avoid undue disruption to user, increases in charges should be introduced on a gradual basis. However, it is recognized that  in some circumstance a departure from this approach may be necessary.

Landing Charges:
The Council recommends that the following principles be taken into account when landing charges are established:

  1. Landing charges should be based on the weight formula, using the maximum permissible take- off  weight as indicated in the certificate of airworthiness.
  2. The landing charges scale should be based on a constant rate per 1000 kilograms or pound in weight, but the rate may be varied at a certain level or levels of weight if considered necessary.

Parking and Hangar Charges:
It is recommended that the following principle be applied in establishing parking and hangar charges:

  1. For the determination of charges associated with use of parking, hangar and long-term storage of aircraft , maximum permissible take-off weight and/or aircraft dimensions (area occupied) and length of stay should be used so far a possible as the basis

Passenger-Service Charges:
The Council reaffirms the passenger-service charges are not objectionable in principle and recognizes that the revenue assured from such charges is essential to the economy of a significant number of airports. There are however practical objections to the collection of passenger-service charges directly from the passenger. The Council considers that  there the collection of a passenger-service charges directly from passenger at an airport gives rise to facilitation problems. Should be levied on  the airline.

Security Charges:
The Council notes States are responsible for ensuring the implementation adequate security at airports pursuant to the provision of Annex-17 and that they may delegate the task of providing individual  security functions to such agencies as airport authorities, airlines and local police. The Council also notes that  States may determine in which circumstances and the extent to which the costs involved in providing security facilities.

  1. Consultations should take place before any security costs are to be assumed by airports, airlines or other entities.
  2. The authorities concerned my recover the costs of security measures at airports from the users in a fair and equitable manner, subject to consultations.
  3. When the costs of security at airports are recovered through charges, the methods used should be, discrimination but such charges should be based either on the number of passengers or on aircraft weight.

Noise- Related Charges
The Council recognizes that although reductions are  being achieved in airport noise at source, many airports will need to continue the application of noise alleviation or prevention measures.

  1. Noise-related charges should be levied only at airports experiencing noise problems and should be designed to recover on more that the costs applied to their alleviation or prevention

On Charges For Air Navigation Services
The global costs of providing air navigation service continue to increase relatively rapid to handle growing volumes of traffic more efficiently. However, the level of cost recovery is now greater than it was not only because of increases in existing charges but also because charges for Route Air Navigation Service are presently almost universally applied, such charges currently accounting for around 1.5% of total scheduled airline operating expenses.

Attachment-4
Sample Format  For Invoicing

Landing and Associated Charges

Invoices presented by the airport to aircraft operators should provide the aircraft operator with all the information necessary for verifying and paying the invoice. The invoices should contain:

  1. Airport name and address, and, if applicable, address and account references of bank (s) designated to handle payment of invoices;
  2. Information identifying the aircraft operator being charged and the terms and currency of the payment for the services;
  3. Data on the aircraft to which the services have been provided (type, maximum take-off weight or mass (MTOW), registration number);
  4. Data on the flight performed (flight number, date, route);
  5. Data on the volume of services provided. 

In order to speed up receipt of payment for the services provided, it is advisable to minimize the number of invoices presented to one aircraft operator over a given period of time. It is also advisable that invoices be presented  not less frequently once a month.

Two basic approaches may be followed in the
preparation of invoices
:

The preparation of a general summary format containing all the information on the flights charged and services provided. Since it may not be possible to include in a single summary format all the information required by the aircraft owner in order to verify the invoice, it may be necessary to attach vouchers to the invoice.
  • The preparation of invoices according to the types of services provided or according to groupings thereof with detailed information given on the services provided. In this case, it is no longer necessary to attach vouchers, but the number of invoices will increase.

At airports providing a small range of services, it is advisable to prepare invoices in a single summary format. Such a summary invoice may also include charges for air navigation services in the event  that the airport is empowered by the Civil Aviation Authority. A possible format for such a summary invoice is given below.

In addition to information on the services provided and charged for, the invoice should  contain  information on the terms and date of payment as well as banking details.

In order to ensure timely payment of invoices a by the aircraft operator, it is advisable to refer to penalties that may be imposed in the event of non-payment within the time limits established. The amount of the penalties would be regulated by local; legislation.

Airport entities should take the necessary measures to ensure timely presentation of the invoices to aircraft operators. In some circumstances, it may be advisable to present the invoice to te operator’s representative at the airport, rather than send them by mail to the head office, since the latter invoices considerable  delays in the receipt of the invoices by the accounting services to the airline. This leads to delays in the payment of the airport’s invoices. Faster communication means, such as facsimile or e-mail, should be used whenever feasible.

Frequently, payment of the invoice made by means of a bank transfer in a currency other than that Stated in the invoice. For that and other reasons, it is desirable for the invoice to contain a detachable portion (payment counterfoil) which should be returned with the payment to the airport or its designated bank (s) as required. This will assist the airport in identifying the payee and property crediting the payment against the amount charged.

Sample Invoice Format
Date
Airport Invoice
Airport Aircraft
Address Address
Telephone
E-Mail
Code
Fax  

Charges
Aircraft Type Number Misc Air Other Total
Registration Passenger Aircraft Navigation Charges Amount
Flight Related Related Facility    
Number Charge Charge Charge