Balearics to have flexible airport taxes

For the past few years now, the Canary Islands have been operating a very successful flexible airport tax plan which has lead to a significant increase in air traffic and passengers, leaving many of the UK's airlines and tour operators wondering why the Balearics does not follow the example.

However, in accordance with the new airport restructuring plan, Balearic airports will be able to follow the Canary Islands' lead.
The small print of the remodelling of the airport network has yet to be complete but it is expected to be finalised by the end of this month because Pastor and AENA want to get moving as quickly as possible as it will make Spain much more competitive.

This year, as AENA tries to clear it debt of around 15'000 million euros, airport taxes on average will rise by 10.2 percent in Spain with a further hike promised in July.

However, the Balearics has given the green light to introduce a more flexible plan.
This primarily involves the local airport being able to reduce airport taxes and operating costs of the slow days and during the slack months in order to attract more operators and to ease the pressure on the airport.

The scheme has worked in the Canaries and Air Berlin, for example, have already embraced the announcement and said it will be able to expand its “hub” here in Palma.

Traditionally, there have always been two extremely busy “transfer days” every week during the summer season.
What the flexible tax scheme will mean is that Balearic airports will be able to offer airlines and tour operators incentives to fly on the quieter days which will ease the pressure on the airport and also air passengers. Pastor said that such a move will additionally serve to help guarantee regular inter-island flights and more affordable prices.

And, it also means that airport taxes can be reduced by as much as 10 percent, during the winter, again with the intention of persuading airlines to operate more flights, especially between the UK and the Balearics.

This summer, Spain is connected to 20 new destinations with direct flights to 96 cities in 31 countries and Pastor said that the number of destinations linked to Spain and the islands will only increase under the new restructuring scheme. Regional airports which handle less that 500'000 passengers per years will have their operating hours reduced while AENA has also drawn up a marketing plan to significantly increase its duty free shopping centres in a bid to boost revenue.