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BAA will retain Heathrow

source:Cargonewsasia author: time:2009-03-25  

The sale of Gatwick and Stansted called for by the Competition Commission (CC) will give BAA a much reduced role in London's aviation market. But it will still own Heathrow, the international hub described as a "cash cow" for its owners, the Herald reported.

The intervention of the CC is predicted to make the biggest difference at Stansted, where low-cost operators have long complained that relatively high charges imposed by BAA have hampered their ability to develop budget services.

The Stansted Airline Consultative Committee (ACC), which represents airlines at Stansted, welcomed the CC's report.

Committee chairman David O'Brien said: "Passenger numbers at Stansted are in freefall, driven downwards by high airport charges and BAA monopoly indifference.

"The airlines can reverse this trend if new owners deliver what airlines and their passengers need - efficient facilities and lower costs.

"Under the discredited CAA regulatory regime of Harry Bush, BAA produced overpriced facilities, with the inevitable consequences of collapsing traffic and loss of business. Prospective new owners should take note."

The Stop Stansted Expansion group said the CC's report could mean the scrapping of a plan for a second runway at the Essex airport ?C though the report explicitly leaves open the possibility of a second runway.  

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