On 27 February 2012, the Civil Aviation Authority (CAA) published its initial views on market power assessments in respect of Heathrow, Gatwick and Stansted airports. Amongst other topics, the CCA’s assessment discussed such aspects as market definition, market shares, competitive constraints, capacity constraints and barriers to expansion. The CAA noted that current evidence suggests that Heathrow, Gatwick and Stansted airports will be likely to possess substantial market power beyond the expiry of the current price control in April 2014, and are thus likely to require continued regulation.
DotEcon has supported a number of clients in respect of regulation and competition policy in the transport sector, for example, DotEcon has advised the Irish Commission for Aviation Regulation on the regulation of airport charges following a fundamental restructuring of the sector in Ireland.