site.btaGovernment Green-lights Higher Charges and Incentives for Air Carriers Using Varna, Burgas Airport

The Council of Ministers approved regulatory changes introducing a new pricing policy at Varna and Burgas airports. From April 15, landing, parking, passenger, and security charges will be increased. A new type of security charge is introduced for aircraft not carrying passengers.

Such an approach will allow the concessionaire, Fraport Twin Star, to secure its operating costs for the operation of the two airports, to maintain a high quality of service, safety, and security, and to execute the projects under the company's approved investment programme in a timely manner.

The concessionaire of the two airports has submitted an analysis showing that traffic at the airports has been significantly weaker since 2020 and its recovery from the COVID-19 pandemic has been much slower than initially forecast. In addition, the war in Ukraine is also having an adverse impact on operations at both airports.

Fraport Twin Star has proposed a pricing strategy to stabilize and stimulate the increase in passenger and aircraft traffic in the long term. 

An incentive discount programme, available to all airport users, is also being introduced. Discounts for air operators are determined by objective criteria: number of passengers departing in the off-peak months; new year-round or seasonal route not served in the previous year; minimum frequency and duration of operation on the route.

The introduction of incentive discounts is aimed at attracting airlines developing new routes, which will increase the competitiveness of the two airports and improve year-round connectivity. Incentive discounts are an established practice and is applied at almost all airports in the European Union, as well as at Sofia, Plovdiv and Gorna Oryahovitsa airports.

The amount of the overflight fee collected by the provider of air navigation services has also been updated. Together with the overflight fee, the interest rate for late payment of the air navigation charges for 2024, determined in accordance with the procedure laid down in the EU Regulation, is updated.