These suppliers are subject to the regulatory provisions under subpart 11 of Part 4 of the Commerce Act 1986 (the Act). Specified airport services are defined in section 55A of the Act and relate to aircraft and freight activities, airfield activities and specified passenger terminal activities. Airport companies are subject to information disclosure regulation only.
The Commission made its input methodologies determination for airport services on 22 December 2010 and published the determination in the New Zealand Gazette on 20 January 2011. The determination includes input methodologies for asset valuation, cost allocation, regulatory tax treatment and the cost of capital.
The Commission must review each input methodology no later than 7 years after its date of publication and, after that, at intervals of no more than 7 years.
On this page you will find the airports input methodologies determination and the associated Reasons Paper. Documents relating to consultation undertaken by the Commission in making the airports input methodologies determination can be located on the Consultation Prior to December 2010 page.
The information disclosure determination 2010 for specified airport services is located in Supporting Documents under the heading Input Methodologies for Airports.
On 8 March 2011 the Commission published a memorandum on its process for considering requests for amendments or clarifications of the Part 4 determinations it made in December 2010. This process document along with a summary of requests for amendments or clarifications and the Commission's responses can be found below under Requests for amendments or clarifications. The full requests relating to the airports input methodologies determination and the Commission's responses can also be found below.
Cost of Capital
Determinations of the cost of capital in accordance with the Input Methodologies Determination are published on the Cost of Capital page.
Input methodologies review
The Commission is currently reviewing the input methodologies (IMs), which it is required to do within 7 years of setting them.
One of the key topics for the current IMs review is the how we assess the profitability of regulated airports. This topic is about how regulated airports’ profitability is assessed under information disclosure regulation and, in particular, whether changes to the IMs can support this assessment.