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While NERL’s RAB is relatively small compared to other regulated
companies (such as Heathrow Airport Limited (HAL)), the regulatory allowances
for WACC and the returns on the RAB remain important in our calculations of the
NR23 price control.
79.
Last updated: 07 July 2023
Overview
Effective economic regulation of Heathrow’s recoverable capital expenditure is essential as the airport
dominates the UK aviation market and in practical terms occupies a monopolistic position as the country’s
main hub airport.
Last updated: 03 November 2021
This approach is also used in a slightly different form in the regulation of
fixed access charges.
3
CAA, Review of price regulation at Heathrow, Gatwick and Stansted airports (Q6) policy update,
May 2012, page 56.
Last updated: 03 November 2021
Most notably there are several arrival and departure routes
to and from Heathrow, Gatwick and Southampton airports crossing the
region.
Last updated: 21 December 2015
This includes London
Heathrow, Cardiff, Exeter, London Luton and Sumburgh.
Last updated: 09 August 2016
Of the other major UK airports, we have classified London Stansted, London Luton, London
Heathrow and London Gatwick as good.
Last updated: 11 July 2019
Continued economic regulation of Heathrow and Gatwick Airport LTD
New Runway Capacity - How CAA will adapt our existing approach to economic
regulation to facilitate the planning and delivery of the new runway
Last updated: 03 July 2017
The next phase, LAMP2, will require detailed change plans to be
prepared, and will include more fundamental changes to the routes for
Stansted, as well as for Heathrow, Gatwick and Luton airports (which are
interlinked with those from Stansted).
Last updated: 04 April 2017
While a 60% CCO achievement
would bring £54 million in benefits by 2030.
100%
80%
60%
100%0%
6%
LOSS
100%0%
21%
LOSS
delayed implementation
of Gatwick, Luton and
Stansted would bring a
6% loss in benefit
delayed implementation
of Gatwick, Heathrow and
London City would bring
a 21% loss in benefit
Changes in London could bring
most benefits
The study found that implementation of the
changes should be prioritised on where the biggest
benefits can be gained:
• 94 per cent of the total benefits would be at the
London airports
• with Heathrow alone seeing 56 per cent of total
benefits
Aviation needs to act sooner
rather than later
Finally, it also showed that early implementation
of the changes is key to gaining the most impact.
Last updated: 01 July 2013
UK Civil Aviation Authority Official Record Series 6 Part 2, No 148
June 2006 Page 1 of 3
ISSN 0951-0600 UNITED KINGDOM
CIVIL AVIATION AUTHORITY
Official Record Series 6 Part 2 No: 148
Airports - Economic Regulation Date: 8 June 2006
Notices relating to applications and permissions
All communications regarding content of this document should be addressed to:
Economic Regulation Group
Fourth Floor
CAA House
45-59 Kingsway
London WC2B 6TE
Tel: 020 7453 6225
E-mail: airportregulation@caaerg.co.uk
This notice should be read in conjunction with the Civil Aviation Authority Official
Record Series 6 Part 1.
Last updated: 08 June 2006