Auckland International Airport has announced an average 11% reduction in passenger charges following criticism from New Zealand’s Commerce Commission.
The Commission’s report highlighted that the airport was generating excess profits of approximately NZ$190 million, achieving a return of 8.73% from aeronautical activities—surpassing the acceptable range of 7.3% to 7.8%.
Despite concerns over high revenue forecasts and returns, the Commission acknowledged that the airport’s planned infrastructure investments, including a new domestic terminal, expansion of both domestic and international airfields, and a new ground transport hub, were reasonable.
Commissioner Vhari McWha noted that the price increases exceeded what was necessary to fund these developments aimed at enhancing infrastructure resilience and capacity.
In response, Auckland Airport stated it would adjust per-passenger airline charges by approximately 11% across regional, domestic jet, and international travel sectors.
This move aims to address the regulator’s concerns while continuing to support the airport’s significant redevelopment plans.