Small Regional Airports Research Articles

Benefits of public–private cooperation: The case study of Seve Ballesteros-Santander Airport in Spain

Seve Ballesteros-Santander Airport (SDR/LEXJ) is a success story among Europe’s small regional airports. This success is due, among other factors, to: 1) the commitment to the promotion of connectivity and tourism by the successive regional governments of Cantabria, one of the 17 regions making up Spain; 2) the management of the infrastructure carried out by Aena, with intense modernisation and expansion of the airport; and 3) the commitment of the airlines to Cantabria through the development of a large network of air routes, especially Ryanair, but also Air Nostrum, Vueling, Iberia, Volotea, Wizz Air and Binter. In the last 20 years, the airport’s traffic volume has quadrupled from 250.000 passengers to one million. The number of destinations has increased from just a few frequencies to Madrid and Barcelona to 30 destinations covering the whole of Spain and providing connectivity to the main European capitals and major cities. This paper will analyse some of the factors, including supply and demand, that have given rise to this success. It will also discuss the economic impact of the airport on the region and some of the main opportunities and challenges it will face throughout the coming years.

Analysis of a Survey to Identify Factors to Accept Electric Airplanes

Introducing airplanes powered by renewable energy, such as electricity or hydrogen, is seen as one of the options to contribute to achieving climate neutrality in aviation, especially for regional and short-haul applications. It also brings new possibilities to connect small regional airports and reduce access and egress times to/from airports. This research aimed to gain insights into the acceptance and factors that may affect passenger acceptance of hybrid-electric airplanes for short-haul regional applications. In working toward the aims, a questionnaire was designed and distributed online to active long-distance travelers in Germany. Two structural equation models were estimated to identify the influential factors and their impacts on attitudes and the intention to accept hybrid-electric airplanes. The results confirmed not only the relevance of service attributes, such as travel time, safety, comfort, and climate impact, but also the impacts of psychological and behavioral factors. Generally, safety and security had the highest impact on passenger acceptance. Stronger concerns about the safety and comfort of the new airplanes and of conventional airplanes flying today might reduce the intention to use the new airplanes, whereas stronger climate concerns and trust of new mobility technology might lead to stronger acceptance. Moreover, passengers’ previous experience taking similar types of conventional propeller-driven airplanes might affect their safety concerns about the new airplanes. Information about new aircraft technology and test flying experience may help to overcome psychological barriers.

Evaluation of the Efficiency of Regional Airports Using Data Envelopment Analysis

Background: Small regional airports provide the necessary assistance to enable mobility in isolated areas where access is critical and costly due to poor road infrastructure and geographic constraints. Colombia’s air transportation industry has grown astonishingly quickly and dynamically over the past fifteen years. This period was coincident with the establishment and continued implementation of a public policy intended exclusively for the aviation industry and airports. However, there are currently no methods available to measure the efficiency of airports in Colombia, especially small regional airports. Methods: The research presented in this article aims to evaluate the technical efficiency of small regional airports in Colombia, using data envelopment analysis. This efficiency is achieved by considering the minimum infrastructure required to provide services and the administrative forms or properties that provide appropriate levels of this. Results: The study’s input and output data are identified, a non-parametric data envelopment analysis methodology is used, and the findings are assessed. Conclusions: The factors directly identified in the research affect the airport administration and, in the options, are available to help citizens transport optimally.

What are the sources of regional airport economic effectiveness? The dynamic capabilities perspective with evidence from Poland

The aim of this paper is to examine the sources of regional airport economic effectiveness from the perspective of the Dynamic Capabilities View, a much debated theoretical construct of organization and management discourse in recent years. The category of dynamic capabilities embraces those organizational competencies which enable organizations to modify their routines, operational capabilities and resources with the aiming of adapting to business environmental changes. The research results, conducted on a full sample of Polish regional airports, suggest that there is a difference among regional airports in perceiving the role of particular dynamic capabilities in achieving economic effectiveness. Some dynamic capabilities are more important for small regional airports in comparison with their larger rivals. Research conducted on similar groups suggests that heterogeneity in shaping dynamic capabilities exists within organizations operating in the same sector.

A comparative study between ILS and GBAS approaches: The case of Viseu airfield

Purpose: The article aims to show the viability of installing a precision-based approach system in Viseu airfield, in Portugal. This work looks to evidence to what extent the implementation of ILS (Instrument Landing System) or GBAS (Ground Based Augmentation System) in the airfield is viable, and which of the two would be the better option for this case, from a technical and economic view and as a way to increase safety levels.Design/methodology/approach: The article analyses the airfield’s evolution over time and forecasts its movements for the future, over a 10-year period, by utilising two different models: multiple linear regression and IATA traffic forecasts. The different types of airfield taxes were also reviewed and their values were estimated for the following years. The equipment’s technical aspects and individual prices were analysed to accurately determine the time needed for the airfield to recover the investment done, allied with an 80% funding European project.Findings: Approach systems are being modernized, and throughout the years more airports and airfields are starting to replace old approach systems for satellite-based new ones. When compared to ILS, GBAS offers more advantages at a technical and economic level, and even for smaller airfields with a low traffic volume, sometimes it can be technically and economically possible to have such systems implemented.Originality/value: Studies about the implementation of new radio aids are usually prepared for big airports by airport operators or ANSPs before major investment projects. However, for most small regional airports in the country, where traffic is not near as big, such studies don’t exist, and for that reason, investigating the possibility of installing such kind of equipment is very important, especially taking into consideration the safety they provide and other benefits that naturally come up with it.

Safety Implications of GNSS Signal Interference at Zilina Airport

The paper deals with the issue of GNSS interference and its subsequent impact on airport approach procedures. It discusses the problem of GNSS signal interference and interference identification on a practical example of a small regional airport in Zilina, located close to the highway, through research aimed at its identification, a proposal for the location of a monitoring station and subsequent practical verification. The paper seeks to analyse and provide recommendations for enhancing safety and reliability in GNSS approaches. Given the need to develop the air transport, it is important to ensure the safety and continuity of service provision at small regional airports. The GNSS approach at airports with insufficiently equipped navigation infrastructure seems to be one of the most suitable. Introduction of the GNSS interference monitoring in the final instrument approach phase would increase the safety and reliability of the flight.

Safety Implications of GNSS Signal Interference at Zilina Airport

The paper deals with the issue of GNSS interference and its subsequent impact on airport approach procedures. It discusses the problem of GNSS signal interference and interference identification on a practical example of a small regional airport in Zilina, located close to the highway, through research aimed at its identification, a proposal for the location of a monitoring station and subsequent practical verification. The paper seeks to analyse and provide recommendations for enhancing safety and reliability in GNSS approaches. Given the need to develop the air transport, it is important to ensure the safety and continuity of service provision at small regional airports. The GNSS approach at airports with insufficiently equipped navigation infrastructure seems to be one of the most suitable. Introduction of the GNSS interference monitoring in the final instrument approach phase would increase the safety and reliability of the flight.

IMPLEMENTATION PROSPECTS OF THE REMOTE TOWER CONCEPT IN UKRAINE

The real cost of the air travel and air transportation has been decreasing over the past years making air transportation more accessible and thus leading to an increase in the demand for it. This allowed to expand the air connectivity network and provide more destinations for the air travel, including smaller regional airports. One of the components of the cost of the air travel is air navigation service costs for the provision of services by air navigation service providers and these costs are flat-rate costs. For small regional airports with low and/or irregular traffic these costs might be a burden limiting their development. Remote tower concept developed as part of the Single European Sky air traffic management Research program aims at optimising and reducing costs for the provision of air navigation services at small airports allowing them to better utilise resources and improve their profitability. Most of the air traffic in Ukraine is handled by a few strategic airports while small regional airports handle only a few flights a day and in order to provide air traffic services for those flights the regional airports are equipped with local aerodrome control service facilities. Due to the low traffic at the regional airports, resources and facilities aren’t used in the most efficient way. The purpose of this work is to investigate the feasibility of implementation of the remote tower concept at Ukrainian airports to improve the cost efficiency of the provision of air traffic services at the airports and correspondingly decrease the cost of the air travel to the regional airports in Ukraine.

Determinants of air traffic volumes and structure at small European airports

This study investigates the determinants of air traffic volumes and structure (carrier type) at lesser studied small European airports serving below one million passengers per annum. It discusses airport choice factors for airline customers and focuses on the characteristics of small airports and their catchment areas in order to explain variation in 2016 traffic volumes for 146 regional gateways in 21 EU countries. Through the application of multiple linear regression and correlation it is found that population size, airport charges and the need for capacity coordination are the most related to the number of passengers using these airports. Several different correlations are found with respect to the share of low-cost, full-service and charter carriers as a proportion of total airport traffic, which in most cases extends the findings of the limited number of other studies in the field of small regional airports. The research concludes that while certain relationships can be found, their statistical significance is moderate, leaving scope for a deeper study into a smaller samples of airports.

THE CONTRIBUTION OF REGIONAL AIRPORTS ON TOURISM ENTERPRISES. THE PERSPECTIVE OF TRIPOLI AIRPORT, IN GREECE

Air transport and tourism development are considered to be two closely related concepts. According to international literature, one of the most important modes of passenger transport around the world is air transport, thus affecting the economic development of many areas, especially those isolated geographically and touristically, as well as local tourism businesses. Understanding the scale of these impacts is important not only for the development of tourism businesses and the local economy, but also for policy makers who make strategic decisions. Most studies focus on the impact of large airports on the national and regional economy, while much less attention has been given to the impact of airports on regional destinations. This study, exploring the potential of the Tripoli military airport in Greece as a civilian airport, seeks to analyse the functional relationship between small regional airports and local tourism businesses, the results of which can contribute to the financial planning and organization of a destination.

The Regional Airports’ Problems in the Slovak Republic: The Case Study of Žilina Airport

This paper solves the regional airports in the Slovak Republic and the problems they have been facing while focusing on the specific, i.e. ˈsmall regionalˈ airports category (up to 200,000 passengers transported per year). Moreover, the issue of Slovak regional airportsˈ problems is connected mainly to their funding system, which has shown to be insufficient, and the extent of their utilization in relation to their untapped potential. It was proven that small regional airports with an annual throughput under 200,000 passengers are unable to break even and to cover their operational costs as well and thus must be subsidized. Funding of ˈsmallˈ regional airports can be considered as not only the Slovakian problem, actually it is a broad long-term EU problem and there were several approaches established by the EU related to adjustment of those issues. The current legislation is represented by new Commission Regulation (EU) 2017/1084 thanks to which the state aid at the EU level has been greatly simplified. The paper focuses on the case study of chosen Slovakian small regional airport near Žilina, in Dolný Hričov, which the possibilities of several measures for its revitalization and efficiency improvement are depended on the operational-technical characteristics and position within the region.

Aviation market in Poland in 2000-2017

The changes that have taken place over the last 3 decades on the market of air services in Europe have had an impact on the markets of individual regions. The paper presents short introduction to the issues of transformation on the European aviation market. The main purpose of this article is to present the development of the aviation market in Poland over the period 2000-2017. The data presented in the article comes from the reports of the Civil Aviation Office in Poland and International Civil Aviation Organization. Aviation market in Poland is becoming more and more popular and its further development is expected in the coming years. There is a great potential for small regional airports that are increasingly operating on the transport services market.

Exploring the determinants for airport profitability: Traffic characteristics, low-cost carriers, seasonality and cost efficiency

Given the growing pressure on aeronautical revenues, the increasing focus on airports’ financial performance and the sharpened state aid guidelines in Europe, it is valuable to have detailed insight in the determinants for airport profitability. This paper fills in a gap in scientific research by presenting the most important traffic and financial determinants for airport profitability, since the majority of scientific literature on airport (financial) performance focuses on efficiency rather than on profitability. Comprehensive airport traffic and financial data for 125 airports in Europe, the United States (US), Canada, Australia and New Zealand for the period 2010–2016 have been used to estimate several fixed-effects panel data regression on profit margin. Among others, the results show evidence for the fact that an increasing share of transfer passengers affects an airport’s profit margin. In addition, there is no sign of a general LCC effect and just limited evidence for the fact that the market share of specific LCCs affect airport profitability: only an increase in the market share of Southwest Airlines at major airports leads to lower profit margins. Moreover, a quadratic relationship between seasonality and profitability has been identified. It points at the existence of a certain optimal seasonality score. Below that tipping point, a decrease in seasonality leads to higher profit margins. On the contrary, a further reduction of seasonality after the tipping point leads to lower profit margins. This might indicate that no or limited seasonality is a result of capacity constraints and, in turn, leads to increasing operating costs related to congestion. Regarding financial variables, the results especially show significant positive effects of capital cost efficiencies on profitability. Those effects are especially large for airports in the US and for small regional airports. Labour productivity only plays a important role in the profitability of US airports. Finally, the results show that regional O/D airports largely depend on regional economic development and population growth, while the major airports rather depend on global economic development than on an increase in local demand.

Greening Remote SMEs: The Case of Small Regional Airports

The objective of this paper is to explore, through a qualitative study of small regional airports, how sustainability issues are taken into account in remote small- and medium-sized enterprises (SMEs). Based on 42 semi-structured interviews conducted with managers of small regional Canadian airports and experts in this area, this study shows the quasi-absence of specific measures for sustainability, despite the seriousness of environmental issues, which tend to be subordinated to economic priorities and operational activities. The paper contributes to the literature on sustainability in SMEs by focusing on passive organizations located in remote areas and the complex reasons underlying their lack or absence of environmental commitment. The paper sheds more light on the essential role of stakeholders in providing the resources and skills necessary for the development of sustainability initiatives in passive SMEs. The study’s managerial contributions and implications for stakeholders are also discussed.

Small regional airport performance and Low cost carrier operations

Abstract Low cost carriers have become significant players in air transport market over the past 20 years. They have a significant impact on the operation of many regional airports. Such airports are often used as secondary airports for low cost carriers operations. Because of their market power, they are able to reduce the amount of charges at the regional airports that do not have such bargaining power. This phenomenon manifests primarily in relation to small regional airports of up to 1 million passengers handled per year. The majority of such airports are unable to achieve positive economic results. The aim is to find out how LCC traffic affects small regional airports operation and efficiency. Based on the analysis of historical data from the selected airports, the author examines the impact of a significant proportion of low cost carriers on the economic performance of selected airports. He compares developed airports with an increasing share of LCCs and airports without LCC traffic. It also examines the low-developed airports with a low LCC share. His research was supplemented by expert interviews with the management of the selected regional airports. The comparison of airport performance in the passenger transport, such as passenger numbers, airport revenue, and economic outturn are described in the article. For the purpose of this research, the airport up to 1 million checked-in passengers and over 1 million checked-in passengers has been selected. In addition to the information mentioned in his research, he also included the amount of handled cargo and the performance was recalculated and compared in the Work Load Units (WLU). The author has also compared the KPI basis with the number of employees in the survey. The research findings confirm that on one hand, the Low Cost carriers operate in such manner that it increases the airport’s operating performance (number of checked-in passengers) but on the other hand, the way they operate also reduces the efficiency of the airport. If the airport operates mostly classic, network airlines and charter airlines, it can achieve a positive economic outturn even though it handles less than 1 million passengers per year.

Small regional airports operation: unnecessary burdens or key to regional development

Abstract Regional airports represent not only important points of access to remote locations and parts of country with limited or lengthy ground access but also have significant economic impact on the surrounding region. On the other hand, every public airport with commercial operations must fulfil strict requirements with respect to international safety and security requirements, including operational readiness of the airport infrastructure and airport personnel qualifications. These requirements, which are virtually the same for small and large airports results in high operational costs. Small airports have problem to break even not only due to low throughput volumes but also limited other resources of income, e.g. non-aeronautical services, car park fees; which are substantial part of middle and large airport revenues. It is considered that a small airport with annual throughput under 200 000 passengers is not able to cover its operational costs and needs to be subsidized. At the same time, airports are important stimulators and catalysts of regional economic growth and development. Determining whether the indirect, induced and catalytic impact of an airport on a region outweigh the cost of regional airport subsidies would contribute to informed regional development policy and decision-making.

Network carriers' strategic decisions: does low cost carrier entry matter?

Good decisions require that each decision-maker accurately predicts the strategic moves of the other parties. Dealing with prospective low-cost carrier (LCC) entrants is critical for global network airlines. This research focused on two main issues. First, it investigates competitive reaction by established US airlines when they face an LCC entrant in the less congested, small-sized US regional airports. Second, it examines which of the market indicators are most likely to influence airline fares out of small regional airports with the LCC entry. While the first stage of research demonstrated mixed results and did not discover any patterns in airline behaviour with LCC entry due to a large number of other variables influencing airline revenue management. The second stage confirmed that the stage length, number of passengers, number of competitors, number of stops and the oil price do have an impact on airfares.

Network carriers' strategic decisions: does low cost carrier entry matter?

Good decisions require that each decision-maker accurately predicts the strategic moves of the other parties. Dealing with prospective low-cost carrier (LCC) entrants is critical for global network airlines. This research focused on two main issues. First, it investigates competitive reaction by established US airlines when they face an LCC entrant in the less congested, small-sized US regional airports. Second, it examines which of the market indicators are most likely to influence airline fares out of small regional airports with the LCC entry. While the first stage of research demonstrated mixed results and did not discover any patterns in airline behaviour with LCC entry due to a large number of other variables influencing airline revenue management. The second stage confirmed that the stage length, number of passengers, number of competitors, number of stops and the oil price do have an impact on airfares.

Development Policy of Warsaw Chopin Airport in the Light of the European Funds for 2014–2020

In 2014, Poland celebrated the 10th anniversary of the access to the European Union. At present, air traffic has been increasing since 2004, when the open sky policy was introduced. Unfortunately, the dynamics of year to year growth is getting lower. In 2014 Polish airports operated more than 25 million passengers. Polish Civil Aviation Authority forecasts the growth of air traffic by 2020. It is possible to predict that in 2020 in Poland 38 over million passengers will be traveling by plane. The flight operations and the rate of population mobility will increase. Polish government as well as local authorities and regions have to prepare a strategy of air transport development. This strategy should be realized for the central airport in Warsaw, major regional airports, small regional airports, and local and business aviation. The main aim of this paper is to identify opportunities for Polish airports in the new perspective of European funds for 2014–2020. The main problems of the issue will be presented from various points of view. The first problem focuses on the development of Polish air transport area. Moreover, the paper concentrates on the availability of European funds for air transport. Finally, the paper presents the analysis of selected investments in air transport area: infrastructure, capital and operations. These investments and regional strategies as well as individual programs and the concept of Central airports for Poland will be determining the model of the Polish air transport system until 2020.In the paper, I conducted the detailed research about the development with the management of Warsaw Chopin Airport.

The evaluation of change

Organisational change is as likely to fail as to succeed. The core proposition of the approach outlined in this paper is that the functionality of a socio-technical system is a potential constraint on the way that it can change, and this is something that current theories do not address. Thus, some of the variance in the success rate of change could be due to the inherent properties of the system and/or the way in which these properties are understood. This paper explores this proposition through a high-level discussion of four aviation industry case studies. These include: the change of a small regional airport from a public body to a business concern; the introduction of Airport Collaborative Decision-Making (A-CDM) at a major international airport; the introduction of a new Safety Management System at a major airline; and the assessment of risk in advance of major change in a regional airline. A theory of the mechanisms of socio-technical systems is proposed based on the relation between the functional requirements of operational processes and the social relations that are necessary to support them. Cycles of knowledge and information mediate between these and provide opportunities for intervention. This theory is applied to the case studies through a system change and operational evaluation tool (SCOPE/Structured Enquiry). The theory provides a basis for supporting the change initiatives as well as a framework for evaluating their status and progress. The evaluation emphasises the following themes: understanding the functionality of the operational system, how this can be enhanced by management processes, the inclusiveness of social relations, trust, the transformative role of information and the development of knowledge.