Effectively planning and managing European airport capacity

Abstract

Management of European airport capacity will play a crucial role in the competi-tive development of European aviation. Lack of sufficient airport capacity will limit airlines service route offering, lead to upward price pressure and shift traffic to other modes of transportation such as rail, or in the case of intercontinental traf-fic, to other regions such as the Middle East. Overall, misalignment of demand limits regional mobility and restrains opportunities for economic growth. On the other hand, a substantial overcapacity would lead to inflated infrastructure costs with high aircraft and passenger fees or unnecessary government subsidies.