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Transpo Honcho Touts Airport Landing Auction




By www.EmploymentCrossing.com

  www.EmploymentCrossing.com 

A new runway set to open at O'Hare International Airport next month will position the world's second-busiest airport for future growth, US Transportation Secretary Mary Peters says. 

But airports in Chicago and elsewhere are suffering flight delays related to congestion at New York City's airports, which don't have as much room to expand.

 Speaking to reporters at O'Hare, Peters continued to make the case for government "slot auctions" that would charge airlines higher takeoff and landing fees for the most popular times of day. The plan, set to go into effect in January, is strongly opposed by major airlines operating at New York-area airports.

 The Department of Transportation has already implemented flight caps that limit air traffic during peak congestion times, but Peters said that both caps and slot auctions are needed. She said caps curtail traffic but don't let in new competition, which is needed to keep ticket prices from rising too much. 

She cited new evidence in a government report that showed average second-quarter air fares rising 8.1% over the previous year. But air fares at Newark Liberty Airport jumped 16% after caps were put in place in May of this year.

 Peters said fares at all airports with flight caps have gone up faster than the overall average. That's unfair to the flying public, she said.

 

Airlines have said they must raise ticket prices to keep up with higher costs, especially for jet fuel.

 

Congested airports are getting a break this year as the airline industry has cut back nearly 10% of seat capacity, eliminating flights that don't make money.

 

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