"DOT, FAA Put Demand Management Proposals On Hold Due To Sept. 11"

Monday, April 1, 2002

DOT, FAA Put Demand Management Proposals On Hold Due To Sept. 11
Commuter/Regional Airline News


In addition to the FAA's LaGuardia proposals, the Department of
Transportation (DOT) also began the process of determining whether a
nationwide market-based approach to congestion management should be sought.
However, this process was also shelved after Sept. 11.

Unlike the FAA's list of specific options, the DOT's national demand
management paper was presented as a list of 22 questions. The DOT said that
the answers submitted will be part of an information-gathering process on
the "possible role, feasibility, and effectiveness of using market-based
approaches to relieve airline flight delays and congestion at busy
airports." It is seen as a very early step in the process of establishing
demand management tools for airports.

The questions explore the effects of demand management solutions such as
congestion pricing, and how revenue generated would be used. One question
asks if there would be any adverse affects to small community air service,
and how this could best be protected under demand management.

The questions also ask whether a minimum aircraft size would reduce
congestion at airports, whether market-based solutions would encourage or
discourage the operation of certain kinds of aircraft, and whether demand
management solutions should "be crafted to encourage airlines to operate
large aircraft, maximizing the number of seats per turn."

The following is an excerpt from the DOT's Nov. 5 Federal Register notice
postponing the comment period:

"The terrorist attacks of September 11, 2001, on the World Trade Center and
the Pentagon caused the FAA to temporarily cease all non-military flights in
the United States and required airports and airlines to adopt certain
security measures prior to the resumption of commercial service. In response
to the new security requirements and lowered passenger demand, several
airlines have reduced the number of aircraft operations below previously
planned levels throughout the national airport system. These factors, at
least in the short- run, have contributed to a significant decrease in
airport congestion at formerly busy airports.

In these circumstances, the Department has determined that it would be
reasonable and in the public interest to suspend until further notice the
closing date of the comment period for the notice 66 FR 43947, August 21,
2001. At the appropriate time, the Department will publish an advance notice
giving the new closing date for comments."

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