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NATIONAL AIRPORTS POLICY
In 1992, Canada’s first four local airport authorities were created when
community-based groups in Vancouver, Calgary, Edmonton and Montreal expressed
an interest in operating their local airports. Subsequent negotiations
resulted in these airports being transferred to not-for-profit entities known
as Local Airport Authorities.
The 1994 National Airports
Policy (NAP) called for the commercialization of designated Canadian
airports to be divested to not-for-profit, community-based entities. The
primary intention of the NAP divestiture policy was to enable the not-for-profit
airport authorities to develop their airports, reduce costs, tailor levels of
service to local demand, and attract new and different types of business. This
policy encouraged airport authorities to be financially self-sufficient and
gave them freedom to determine how to fund their operations.
National Airports System
The National Airports System
(NAS) is composed of 26 airports (all of which have been transferred) deemed
essential to Canada’s air transportation system. The NAS airports handle
approximately 94 per cent of all passenger traffic in Canada. These airports must
have year-round regularly scheduled passenger service with a minimum of 200,000
passengers annually and/or be in a provincial or territorial capital.
The NAP allows for the long-term lease (60 years plus 20-year renewal option)
of NAS airports to Canadian Airport Authorities, not-for-profit corporations
headed by locally constituted boards of directors with representation from
organizations such as chambers of commerce, boards of trade, consumer, labour
and professional groups, and federal, provincial and municipal governments. Once
the airports are transferred, these local entities become responsible for their
management, development and operation.
A review of the Local Airport Authorities (LAA) took place between 1997 and 2000.
It involved 12 separate studies conducted by independent consultants and Transport
Canada technical experts, followed by extensive consultations with key stakeholders.
The Transport Canada project team and consultants concluded that, overall, the
transfer of airports to LAA management was a success and the airports were being
operated well. The review brought to light a number of important policy issues that
have emerged since the initial transfers, including accountability and transparency
standards.
Regional/Local Airports
- Canada's 71 regional/local airports serve scheduled passenger traffic but
handle less than 200,000 passengers each year. Under the National Airports Policy,
these airports are offered to provincial and local governments, airport commissions,
private businesses and other interests.
- As of January 1st, 2006, 64 regional/local airports had been divested,
leaving seven (St. Anthony and Wabush in Atlantic Region; Havre-Saint-Pierre, Natashquan and
Sept-Îles in Quebec Region; and Penticton and Port Hardy in Pacific Region) under
federal jurisdiction.
Small Airports
- Historically, Transport Canada owned and operated 31 small airports that did not
have scheduled passenger traffic. They are being offered to local interests to purchase
and operate them according to community needs.
- As of January 1st, 2006, 30 small airports had been divested, leaving
one (Bonnechere in Ontario Region) under federal jurisdiction.
Remote Airports
- Transport Canada will continue to provide financial support to 13 remote airports,
which provide exclusive, reliable year-round access to isolated communities.
Arctic Airports
- As of January 1st, 2006, Transport Canada had divested 11 Arctic airports
under the National Airports Policy, three of which were part of the National Airports
System: Iqaluit, Nunavut; Whitehorse, Yukon; and Yellowknife, Northwest Territories.
Airports Capital Assistance Program
- Under the National Airports Policy
the Airports Capital Assistance Program
(ACAP) was established to provide $190 million in financial assistance over five
years to eligible airports for projects related to safety, asset protection and
operating-cost reduction. To be eligible, airports must receive regularly scheduled
passenger service, meet airport certification requirements, and not be owned by the
Government of Canada.
- ACAP eligibility has been expanded to accommodate the aircraft firefighting
regulations. As a result, airports that are required to provide these services — and
providers of the services — will be eligible to apply for new funding under ACAP to
help cover costs for initial capital for vehicles, on-going vehicle replacement and initial training.
For further details on airports transferred to date and forecasts on remaining ones please consult
Airport Divestiture Status Report.
January 2006
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