Incorporating negative externalities into productivity assessments of US airports

This paper analyses the efficiency of 44 US airports for the period 2005–2009. In addition to the conventional outputs (i.e., passengers, flights and cargo), we consider three undesirable externalities of airport activities: delays, noise and local air pollution. We adopt a directional distance function approach and perform a second stage analysis to investigate potential determinants of efficiency. Our base case results with only the positive outputs show that the greater the average aircraft size serving an airport and the larger the dimensions of the airport, the higher the technical efficiency. However, our results are sensitive to the inclusion of the undesirable outputs. The implications are that the inclusion of these externalities into the calculation of efficiency may impact policy decisions.     

Demand for rail travel to and from airports

Rail access to airports is becoming increasingly important for both train operators and the airports themselves. This paper reports analysis of inter-urban rail demand to and from Manchester and Stansted Airports and the sensitivity of this market segment to growth in air traffic and the cost and service quality of rail services. The estimated demand parameters vary in an expected manner between outward and inward air travellers as well as between airport users and general rail travellers. These parameters can be entered into the demand forecasting framework widely used in the rail industry in Great Britain to provide an appropriate means of forecasting for this otherwise neglected market segment. The novel features of this research, at least in the British context, are that it provides the first detailed analysis of aggregate rail flows to and from airports, it has disaggregated the traditional generalised time measure of rail service quality in order to estimate separate elasticities to journey time, service headway and interchange, and it has successfully explored departures from the conventional constant elasticity position.     

A new generalized travel cost based connectivity metric applied to Scandinavian airports

This article proposes a new, generalized travel cost based method to operationalize network accessibility provided by airports. The approach is novel as it integrates features of network topology with multiple quality aspects of scheduled air transport services into one metric. The method estimates generalized travel costs for the full set of feasible travel paths between an airport and all network destinations. Rooftop modeling accounts for schedule delay and isolates the most cost-efficient travel paths per O-D relation. Respecting the assumed arrival time preference of passengers and adjusting for destination importance, connectivity scores are derived. The method is then applied to explore changes in the global connectivity pattern of Scandinavian airports from 2004 to 2018. The results suggest distinct spatial differences throughout the network, but less pronounced in size than suggested by popularly applied connectivity measures. Findings also highlight the importance of the geographical location as a determinate of an airport’s connectivity.     

Managerial efficiency of Brazilian airports

The efficiency of 35 Brazilian domestic airports was discussed with a view to identifying avenues to improvement in two dimensions. The first of these is improved management, which shows in the airport’s ability to generate financial returns. The second is the physical dimension, which shows the level of utilization of airport infrastructure. The data envelopment analysis methodology was used to measure distance from the airport efficient frontier and to enable avenues to managerial improvement to be identified.     

Implementation of a thrust reverse noise detection system for airports

A thrust reverse noise detection methodology for airports is developed and tested in terms of meeting the restrictions at Madrid-Barajas airport. The detection is based on thresholds applied to the sound power level time histories estimated using a microphone array and an inverse sound propagation model. The two sound events detected are classified as landing and thrust reverse to complete the identification of thrust reverse activation. The methodology performs well especially in the detection stage because the estimation of sound power level enhances the sound events and their separation, even if landing and thrust reverse are close to each other. The implementation of the TREND tool has error rates lower than 10%.     

Non-parametric analyses of efficiency of airports

This paper estimates the efficiencies and productivity changes of 12 international airports in the Asia-Pacific region based on data from 1998 to 2006. We apply stochastic frontier analysis (SFA) to compute efficiency estimates and use the Malmquist productivity index (MPI) to analyze productivity changes. We use the SFA model with a translog-type production function after testing the statistical hypotheses. According to the results of the SFA hypothesis tests, airports have experienced a technological regression; the deviations from the efficiency frontier are caused more by technical inefficiency than random noise. However, the inefficiency was found to decrease. The MPI reveals a declining trend resulting more from technological change than from efficiency change, with a decrease in inefficiency. Taken together, both the hypothesis tests and the MPI not only provide consistent conclusions, but also suggest that airports should concentrate on technological progress.     

Congestion spill effects of Heathrow and Frankfurt airports on connection traffic in European and Gulf hub airports

We develop two stage fixed-effects single-spill and double-spill models for congestion connection spills of London Heathrow and Frankfurt airports on 9 hub airports in Europe and the Gulf. Our panel data covers connection traffic from 1997 to 2013 for Heathrow and 1997 to 2011 for Frankfurt. The single-spill results support strongly that the connection spills from Heathrow’s capacity limitations do strengthen competing hub airports of major alliance groups and to a lesser degree one Gulf hub. The double-spill model for Heathrow and Frankfurt shows nearly asymmetric overall spill characteristics between the two airports. Our results underline the influence of airline network strategies on congestion spills as European airline networks are shaped by alliances and umbrella mergers. Thus, the airline network perspective in airport capacity expansion decisions needs to play a greater role, as indicated by our asymmetric results for overall spill effects between Heathrow and Frankfurt airports.     

Light Rail Rapid Transit systems for more sustainable ground accessibility of airports

This paper investigates the potential of Light Rail Rapid Transit (LRRT) to mitigate the environmental and social burden of ground access systems of an airport. This implies, on the one hand, LRRT's capability in mitigating externalities in terms of noise, air pollution/climate change, traffic incidents/accidents and congestion of airport ground access systems and, on the other, the provision of sufficient capacity to accommodate generally increasing volumes of both air passenger and airport employee demand by connecting the airport to its core catchment area. A methodology for assessing the capability of LRRT operating as an airport ground access system is developed. This methodology consists of models to analyze and predict demand and capacity for an LRRT system and models to quantify the externalities of particular airport ground access systems as well as assessing their prospective savings thanks to the introduction of an LRRT system. The methodology is applied to a large European airport – Amsterdam Schiphol (the Netherlands) – using a ‘what-if?’ scenario approach.     

Effects of corruption on efficiency of the European airports

The effect of corruption on airport productive efficiency is analyzed using an unbalanced panel data of major European airports from 2003 to 2009. We first compute the residual (or net) variable factor productivity using the multilateral index number method and then apply robust cluster random effects model in order to evaluate the importance of corruption. We find strong evidence that corruption has negative impacts on airport operating efficiency; and the effects depend on the ownership form of the airport. The results suggest that airports under mixed public–private ownership with private majority achieve lower levels of efficiency when located in more corrupt countries. They even operate less efficiently than fully and/or majority government owned airports in high corruption environment. We control for economic regulation, competition level and other airports’ characteristics. Our empirical results survive several robustness checks including different control variables, three alternative corruption measures: International Country Risk Guide (ICRG) corruption index, Corruption Perception Index (CPI) and Control of Corruption Index (CCI). The empirical findings have important policy implications for management and ownership structuring of airports operating in countries that suffer from higher levels of corruption.     

A flexible terminal/mobile lounge system for expanding the capacity of existing airports

One of the great dilemmas facing major airports is the problem of capacity and seasonal surges of activity. This paper suggests a system of small, inexpensive Airport Terminal Modules, which together with a new type of Mobile Lounge, could make available a considerable degree of flexibility. The ATM's are designed to allow maximum variations of aircraft type and passenger load as well as high ground utilization. This concept would allow major airports to be extended with a minimum of inconvenience as demand becomes apparent, thereby allowing financial expenditure to be carefully controlled and more evenly spread.     

Cost-efficiency benchmarking of European air navigation service providers

This study uses EUROCONTROL data on operating performance of the national air navigation service providers over the 2002–2011 time period to document in detail the efficiency changes across providers and time using data envelopment analysis. Our results suggest that overall providers’ productivity improved over the time period covered by the data, driven by improvements in technical rather than allocative efficiency. However, some trend reversals in the post-2008 crisis period are also observed.     

Quantitative analysis of passenger and baggage security screening at airports

The terrorist attacks in the United States in 2001 opened a new era in air transportation. The realization that civil aircraft can be used as powerful weapons of mass destruction by a small group of people has drastically increased the need for security screening procedures to protect civil flights. Serving as the interface between the air and land transportation modes, airports have become the main focus in the implementation of those procedures. The need to more thoroughly screen passengers and baggage, and the consequent increase in processing time, has created the need for more space for security checkpoints and baggage screening inside passenger terminal buildings—space that is costly and very difficult to find in existing buildings. This paper evaluates the impact those measures have had on the planning and operation of airport passenger terminals. Quantification of those impacts is performed with the use of discrete‐event simulation and spreadsheet models.     

The punctuality performance of aircraft rotations in a network of airports

The aim of this paper is to investigate the influence of aircraft turnaround performance at airports on the schedule punctuality of aircraft rotations in a network of airports. A mathematical model is applied, composed of two sub-models, namely the aircraft turnaround model (turnaround simulations) and the enroute model (enroute flight time simulations). A Markovian type model is featured in the aircraft turnaround model to simulate the operation of aircraft turnarounds at an airport by considering operational uncertainties and schedule punctuality variance. In addition, stochastic Monte Carlo simulations are employed to carry out stochastic sampling and simulations in both the aircraft turnaround model and the enroute model. Results of simulations show the robustness of the aircraft rotation model in capturing uncertainties from aircraft rotations. The propagation of knock-on delays in aircraft rotations is found to be significant when the short-connection-time policy is used by an airline at its hub airport. It is also found that the proper inclusion of schedule buffer time in the aircraft rotation schedule helps control the propagation of knock-on delays and, therefore, stabilize the punctuality performance of aircraft rotations.     

The influence of the operational environment on efficiency of international airports

Heterogeneity must be considered in the efficiency analysis of decision‐making units; otherwise, the results will be strongly biased. This is also valid for airport management where the operational environment heavily influences efficiency. In this paper, conditional efficiency measures are applied to airports to incorporate heterogeneity in non‐parametric frontier models which are robust for outlying observations. In particular, the influence of the operational environment on airport efficiency is examined in a sample of 141 international airports. The conclusions show that the operational environment indeed matters and that privatisation, regulation, traffic transfer and the dominant carrier have a positive effect on efficiency, whereas aeronautical revenues influence it negatively. Copyright © 2014 John Wiley & Sons, Ltd.     

Dealing with the efficient allocation of scarce resources at congested airports

The existing slot allocation mechanism, based on the International Air Transport Association (IATA) system and its complementary version of the European Union (EU) regulation, produces rather poor capacity allocation outcomes for congested EU airports since it fails to properly match slots requested with slots allocated to airlines. Inefficiencies during the initial allocation are mainly due to the problem complexity in conjunction to limited decision support available to slot coordinators. On the other hand, substantial inefficiencies give rise to severe slot misuse and unreasonably low utilisation of airport resources running already into scarcity. The objective of this paper is to develop an optimisation-based model implementing the existing EU/IATA rules, operational constraints, and coordination procedures with the ultimate objective to better accommodate airlines’ preferences at coordinated airports through the minimisation of the difference between the requested and the allocated slot times to airlines. The results of the model are assessed and compared vis-à-vis the allocation outcome produced according to current slot coordination practice in three regional Greek airports. The proposed model produces very promising results and demonstrates that there is large room for improvement of the efficiency of the current allocation outcome in a range between 14% and 95%. The discussion of the model results is complemented by a sensitivity analysis highlighting the importance of declared capacity and the magnitude of its influence on slot allocation efficiency.     

Mobile phone data in transportation research: methods for benchmarking against other data sources

The ubiquity of personal cellular phones in society has led to a surging interest in using Big Data generated by mobile phones in transport research. Studies have suggested that the vast amount of data could be used to estimate origin–destination (OD) matrices, thereby potentially replacing traditional data sources such as travel surveys. However, constructing OD matrices from mobile phone data (MPD) entails multiple challenges, and the lack of ground truth hampers the evaluation and validation of the estimated matrices. Furthermore, national laws may prohibit the distribution of MPD for research purposes, compelling researchers to work with pre-compiled OD matrices with no insight into the methods used. In this paper, we analyse a set of such pre-compiled OD matrices from the greater Oslo area and perform validation procedures against several sources to assess the quality and robustness of the OD matrices as well as their usefulness in transportation planning applications. We find that while the OD matrices correlate well with other sources at a low resolution, the reliability decreases when a finer level of detail is chosen, particularly when comparing shorter trips between neighbouring areas. Our results suggest that coarseness of data and privacy concerns restrict the usefulness of MPD in transport research in the case where OD matrices are pre-compiled by the operator.

     

A clustering based traffic flow prediction method with dynamic spatiotemporal correlation analysis

Transportation - There are significant spatiotemporal correlations among the traffic flows of neighboring road sections in the road network. Correctly identifying such correlations makes an...     

Access to and competition between airports: a case study for the San Francisco Bay area

In this paper (nested) logit models that describe the combined access mode-airport-choice are estimated. A three level nested logit model is rejected. A two level nested logit model with the airport choice at the top level and the access mode choice at the lower level is preferred. From the estimation results, it is concluded that business travelers have a higher value of time than leisure travelers. In the (conditional) access mode choice, leisure travelers have a higher access cost elasticity (in absolute value), while business travelers have a higher access time elasticity (in absolute value). In general, access time is of large importance in the competition between airports in a region.