Folks are up in arms in Australia because the major airports are making money on their parking operations. Well Duh. Isn’t that what they are supposed to do? The parking lots are full, so you increase the fees. The locals are amazed that 18% of the airport revenue is from parking. Well they should get a load of major US airports where parking generates more than everything on the airport except in some cases, landing fees.
Why is this such a major kerfuffle. They will continue to raise rates until the people don’t drive anymore. That’s the way it works.
Now, if they had a lot of private off airport parking at these locations, competition would keep the price down. The airports, if they are like those in the US, will fight them tooth and nail. After all, who wants to compete when they don’t have to.
JVH
One Response
The main problem is not so much the charges, but, removal of set down and pick up areas, forcing people to park when they never had to in the past. The privitisation of the airports and the fact that there is a monopoly, as only one major airport in each capital exists, means that market rates don’t apply and so the ‘free’ market system is not in place.