Airport privatisation: A successful journey?

Area of Science:

• Economics
• Transportation Studies
• Public Policy

Background:

• The first airport privatization occurred in the UK in 1987.
• Over 30 years of airport privatization globally necessitates an effectiveness assessment.
• Key considerations include government role, operator selection, and regulatory frameworks.

Purpose of the Study:

• To assess the impacts and effectiveness of global airport privatization since 1987.
• To analyze the evolution of privatization models, motivations, and geographical reach.
• To examine the influence of the regulatory and competitive environment on privatization outcomes.

Main Methods:

• Review of key issues: government involvement, operator selection, network vs. individual operations, economic regulation.
• Investigation of success measures: efficiency and service quality.
• Analysis of changes in privatization approaches over time, including investor types and sale models.

Main Results:

• Privatization has evolved significantly in its motivations, geographical scope, and operational models.
• The regulatory and competitive environment is critical to successful airport privatization.
• The study identifies key shifts in how airport privatization is perceived and implemented.

Conclusions:

• Airport privatization's effectiveness is contingent on robust economic regulation and a competitive market.
• Understanding the historical evolution of privatization is key to its future success.
• The impact of recent events like the COVID-19 pandemic warrants further consideration.