2019 Pricing Consultation

Airways Corporation of New Zealand Limited Pricing for the 2019-2022 Period

Appendix 1.1: Pricing tables

This appendix provides the formula and pricing tables used to calculate Airways’ unit prices. Prices are calculated by applying the prices from the pricing tables into the pricing formula. Appendix 1.2 provides some example prices for different aircraft types. The pricing formulas are presented below, and the pricing tables are provided on the following pages.

Pricing formulas for Aerodrome, Approach and Unattended Approach Services

The Aerodrome Price is the greater of the Minimum Price or:

= Base Rate x MCTOW / 5

for aircraft < 5 tonnes for aircraft 5-30 tonnes for aircraft > 30 tonnes

= Base Rate + Weight Rate x (MCTOW – 5)

= Base Rate + Weight Rate x 5 x sqrt of (MCTOW -5)

The Minimum Price, Base Rate and Weight Rate are provided by the applicable pricing tables below.

MCTOW is an aircraft’s maximum certified take-off weight measured in tonnes.

Pricing formula for En-route Services

The En-route Price is the greater of the Minimum Price x Nautical Miles / 100, or:

= Base Rate x Nautical Miles / 100

for aircraft < 5 tonnes for aircraft 5-30 tonnes

= [Base Rate + Weight Rate x (MCTOW – 5)] x Nautical Miles / 100

= [Base Rate + Weight Rate x 5 x Sqrt of (MCTOW -5)] x Nautical Miles / 100

for aircraft > 30 tonnes

The Minimum Price, Base Rate and Weight Rate are provided by the applicable pricing tables.

MCTOW is an aircraft’s maximum certified take-off weight measured in tonnes.

For Domestic flights, Nautical Miles is the distance between the origin and destination aerodromes, less the terminal navigation radius at both aerodromes. For International flights, see Airways’ Standard Terms and Conditions for definition wording.

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