In 2008 a group of private investors, Terminal A ApS, approached Copenhagen Airport, about the possibility of renting a piece of land with the intention to build a low-cost terminal in connection with Copenhagen Airport. On January 25th 2012, after extensive discussions, the Danish competition council stated that Copenhagen Airport according to the EU treaty article102 where abusing its dominant position. The Danish competition council stated that because the piece of land in question was an “essential facility” for Terminal A to enter the market and thus increase competition. The Danish minister of Transportation and the transport agency (Trafikstyrelsen) has multiple times argued that the case allowed for exemptions, which meant that Copenhagen should be exempt from article 102. They have both argued that § 2 of the Danish competition law constituted an exception from article 102 and article 106 of the EU treaty. The legal analysis concluded that because of the fact that EU has precedence over national law, in cases where the restriction of competition has a noticeable impact on the inner market. In addition it is concluded that exemptions in the EU treaty is not applicable in the case, since the airport sector is of significant commercial interests, why there is no need for public service obligations. The economic analysis presents and discusses the economic situation of Copenhagen Airport, from which it is clear that the majority of earnings are coming from the commercial activities in the airport (non-aeronautical) and why that might be. Through an empiric analysis it is observed that airport taxes in CPH are high compared to the other major airports in Scandinavia. An understanding of the airport tax market is analysed further to understand the competitive landscape and why Copenhagen Airport is able to maintain high airport taxes. With the help of Porters Five Forces it is clear that Copenhagen Airport has very little competition and is well positioned to maintain this position if Terminal A is entering the market. The hypothetical consequences of Terminal A entering the market, and how such market and the parties cooperate and react, has been analysed and which indicate that Copenhagen Airport is well positioned to compete with Terminal A to maintain their position on the market. The integrated analyses discuss the case on a Danish macro level in the context of the potential political agendas. It is discussed if the total society would be better or worse off by introducing Terminal A.
|Educations||MSc in Commercial Law, (Graduate Programme) Final Thesis|
|Number of pages||94|