Economic regulation of Heathrow Airport Limited: Response to its request for a covid-19 related RAB adjustment

Overview

This document has been published in response to the request made by Heathrow Airport Limited (HAL) in July 2020 for the CAA to change its approach to the calculation of its regulatory asset base (RAB) to take account of the impact of the COVID-19 pandemic on its revenues in 2020 and 2021. It provides our initial views on HAL’s request and proposes next steps for consultation.

The document sets out:

• the background to HAL’s request and the initial views of airlines in response to it;
• our approach to assessing HAL’s request;
• our initial assessment of HAL’s request; and
• proposals for our next steps and timetable for dealing with the issues raised by the request.

Consultation document and appendices

• Economic regulation of Heathrow Airport Limited: Response to its request for a covid-19 related RAB adjustment (CAP1966)
• Economic regulation of Heathrow Airport Limited: response to its request for a covid-19 related RAB adjustment – Appendices (CAP1966A)

Views invited

We welcome views on all the issues raised in this document and, in particular, the questions highlighted in chapters 1 to 3.

Please e-mail responses to economicregulation@caa.co.uk 

We cannot commit to take into account representations received after the closing date.

We expect to publish the responses we receive on our website as soon as practicable after the period for representations expires. Any material that is regarded as confidential should be clearly marked as such and included in a separate annex. Please note that we have powers and duties with respect to information under section 59 of the Civil Aviation Act 2012 and the Freedom of Information Act 2000.