Expanding airport capacity of cities under uncertainty: Strategies to mitigate congestion
| Autor: | Matteo Balliauw, Evy Onghena |
|---|---|
| Rok vydání: | 2020 |
| Předmět: |
050210 logistics & transportation
Economics 020209 energy Strategy and Management 05 social sciences Holding cost Transportation 02 engineering and technology Management Monitoring Policy and Law Environmental economics Air traffic control Investment (macroeconomics) Order (exchange) 0502 economics and business 0202 electrical engineering electronic engineering information engineering Revenue Business Demand growth Occupancy rate Operational costs Law |
| Zdroj: | Journal of air transport management |
| ISSN: | 0969-6997 |
| DOI: | 10.1016/j.jairtraman.2020.101791 |
| Popis: | Airport capacity constraints are increasingly challenging the growth of air traffic. At the same time, decision-making about airport capacity investments is extremely complex, involving trade-offs. This paper’s objective is to optimise a privately owned airport system’s capacity investment decision in a city under demand uncertainty. Next to the investment size, our real options model incorporates the timing of the investment, as well as the cost of congestion. The results reveal that the larger a city’s initial airport capacity, the smaller its investment will relatively be and the lower the occupancy rate threshold at which investment will take place. We also show that, in case of a higher demand growth combined with more demand uncertainty, the city will benefit from a significantly larger investment, but made later at a higher occupancy rate. In this case, cities with a small initial capacity will sometimes even more than double current capacity. Higher airport charges and an increase in non-aeronautical revenues both lead to a later investment in more capacity, due to the increased project attractiveness. An increase in congestion costs results in a larger investment made earlier, in order to eliminate delays. Airport operational cost and capacity holding cost increases both lead to smaller investments. |
| Databáze: | OpenAIRE |
| Externí odkaz: |
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