AIRPORT BAND-AID

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from the NY Post:

AIRPORT BAND-AID =

By ROBERT W. POOLE, JR. =


December 20, 2007 -- TRANSPORTATION Secretary Mary Peters yesterday anno=
unced a plan to =

cut delays at New York's airports - but this "solution" just puts a Band=
-Aid on =

a severed artery: It might help a little bit, but doesn't fix the proble=
m. =

The Transportation Department's main fix is to ask airlines to move a fe=
w flights out of =

the busiest peaks at JFK and Newark; it may also hold auctions to alloca=
te the rights to =

use any new capacity that can be squeezed out of these airports in the f=
uture. =


In short, the plan leaves today's cockamamie system intact - and so send=
s all the wrong =

signals to airlines and passengers about how to make the best (most econ=
omically =

productive) use of these airports' valuable capacity. =


We should start by asking why all three major New York airports (JFK, La=
Guardia and =

Newark) are overloaded with planes at certain hours of each day. The ans=
wer: Airlines =

knowingly schedule more flights than the airports and air-traffic-contro=
l system can =

safely handle, guaranteeing passengers will be stuck on the tarmac. =


To compete on frequency of service over the last five years, airlines ha=
ve added flights =

and substituted smaller planes for larger ones. JFK is the worst: Flight=
s by planes with =

fewer than 100 seats having risen 128 percent. =


Sure, passengers like more flight choices - but the result at capacity-c=
onstrained =

airports is ever-increasing delays. =


The Port Authority, which runs all three airports, contributes to the pr=
oblem because of =

how it charges to use the runways - namely, fees based on each plane's w=
eight. Despite =

using the same time and resources for a take-off, a 35-seat regional jet=
 pays just $181, =

while a 767 carrying perhaps 250 people pays $1,600 =


And those fees are the same at peak periods and off-peak times. =


What if the fees were instead based on how popular (i.e., congested) eac=
h time period is? =



If the charge for taking off from JFK during evening rush hours were $2,=
000, the added =

cost for a 767 would average less than $2 per passenger. But the extra c=
ost for the 30 =

people on the 35-passenger regional jet would be $52 each. Passengers an=
d airlines would =

want that flight moved to a cheaper, less busy hour - making room for th=
e 767 and reducing =

delays. This approach is called airport congestion pricing. =


Transportation Secretary Peters wants congestion pricing. But the Port A=
uthority made it =

clear that it did not - and she lacks authority to force a change. =


In a major study released this week, the Reason Foundation urges the Por=
t Authority to =

take a fresh look at congestion pricing. The report presents evidence th=
at, under this =

system, airlines would move many flights out of peak periods and use lar=
ger planes on =

other flights - reversing the trend toward more flights on smaller plane=
s, which has =

helped usher in these delays. =


It's important to realize that this reform would not cut back on total p=
assenger volume at =

the NY airports to reduce delays. Rather, it would shift passengers out =
of those hourly, =

small-jet flights to Boston and Chicago (which would be significantly mo=
re expensive) to =

less-frequent flights on larger jets. =


By contrast, the new federal plan does cut back on flights - reducing pa=
ssenger numbers =

and thus harming the New York area's economy. =


The airlines - which oppose congestion pricing - have cleverly, but wron=
gly, argued the =

reverse. By claiming that congestion pricing would reduce passenger thro=
ughput, they've =

managed to convince New York and New Jersey business and political leade=
rs that it's a bad =

idea. =


The airlines do have one valid concern - the fear that the Port Authorit=
y would divert new =

revenues from congestion pricing to non-airport projects. But the way to=
 address this is =

to set up a "lockbox" to ensure that all these revenues go to projects t=
hat =

expand the airport's runway throughput. =


Then congestion pricing would not end up as a "tax" on air travel, but a=
s a tool =

to eliminate delays. It would motivate airlines to make the highest and =
best use of runway =

capacity, while generating the funding to expand capacity. =


The new federal plan won't significantly reduce delays: You'll still be =
stuck in the =

terminal or on the tarmac. =


The Port Authority can change that by making airlines face real conseque=
nces for =

over-scheduling and using those fees to create a fund that can pay for n=
eeded capacity =

expansions. But until the PA changes course, flights in and out of New Y=
ork will still be =

hours late. =


Robert W. Poole Jr., the director of transportation studies at Reason Fo=
undation, recently =

advised the Transportation Department on airline delays.

 =


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