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  1. Cost-efficiency
  • Year report
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  • France
  • Overview
    • Contextual information
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    • Cost-efficiency

  • Safety
    • PRB monitoring
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      • Runway incursions
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    • ASDRS

  • Environment
    • PRB monitoring
    • En route performance
      • Horizontal flight efficiency
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      • AXOT & ASMA
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  • Capacity
    • PRB monitoring
    • En route performance
      • En route ATFM delay
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    • Terminal performance
      • Arrival ATFM delay
      • Other performance indicators

  • Cost-efficiency
    • PRB monitoring
    • En route CZ
      • Unit cost
      • AUCU
      • Regulatory Result
    • Terminal CZ - France Zone 1
      • Unit cost
      • AUCU
      • Regulatory Result
    • Terminal CZ - France Zone 2
      • Unit cost
      • AUCU
      • Regulatory Result

Cost-efficiency - France

Download Report

PRB monitoring

▪ The en route 2020/2021 actual unit cost of France was 129.22 €2017, -2.1% lower than the determined unit cost (132.06 €2017). The terminal zone 1 actual unit cost was 178.34 €2017, -6.1% lower than the determined unit cost (189.83 €2017), while terminal zone 2 actual unit cost was 670.03 €2017, +1.7% higher than the determined unit cost (659.13 €2017).

▪ The en route 2021 actual service units (11,181K) were +1.9% higher than determined (10,969K).

▪ In 2021, actual total costs were -28 M€2017 lower (-2.2%) than determined, despite the increase in cost of capital and other operating costs.

▪ The decrease in total costs was driven by lower staff costs (-19 M€2017, or -2.6%) due to staff costs containment, and lower depreciation (-17 M€2017, or -10%). The reduction in depreciation was mainly due to the postponement of investments commissioning and because a part of the investment costs was transferred to project-related OPEX costs.

▪ According to 2021 reporting tables, DSNA spent 208 M€2017 in 2021 related to costs of investments, -7.1% lower than determined (224 M€2017) mostly driven by lower depreciation costs.

▪ The en route actual unit cost incurred by users in 2020/2021 was 135.73€, while the terminal zone 1 actual unit cost incurred by users was 329.27€ and 447.86€ for terminal zone 2.

En route charging zone

Unit cost (KPI#1)

Actual and determined data
Total costs - nominal (M€) 2020-2021 2022 2023 2024
Actual costs 2,650 NA NA NA
Determined costs 2,668 1,357 1,382 1,407
Difference costs -18 NA NA NA
Inflation assumptions 2020-2021 2022 2023 2024
Determined inflation rate NA 1.2% 1.3% 1.4%
Determined inflation index NA 106.3 107.7 109.3
Actual inflation rate NA NA NA NA
Actual inflation index NA NA NA NA
Difference inflation index (p.p.) NA NA NA NA
Focus on unit cost

AUC vs. DUC

In the combined year 2020-2021, the AUC was lower than the planned DUC (by -2.1%, or -2.84€2017). This results from the combination of higher than planned TSUs (+1.1%) and lower than planned en route costs in real terms (by -1.1%, or -28.1 M€2017).

En route service units

The difference between actual and planned TSUs (+1.1%) falls within the ±2% dead band. Hence the resulting additional revenue is kept by the ANSPs.

En route costs by entity

Actual real en route costs for 2020-2021 are -1.1% (-28.1 M€2017) lower than planned. This result is driven by the main ANSP, DSNA (-1.0%, or -21.9 M€2017), the MET service provider (-0.2% or -0.3 M€2017) and the NSA/EUROCONTROL costs (-3.5%, or -5.8 M€2017).

En route costs for the main ANSP at charging zone level

The lower then planned en route costs in real terms for DSNA in 2020-2021 (-1.0%, or -21.9 M€2017 lower) result from:
- slightly lower staff costs (-1.3%);
- slightly higher other operating costs (+1.3%);
- lower depreciation (-5.9%), “mainly in relation with the postponement of commissioning from 2021 to 2022 and the transfer of part of the investment costs to project-related OPEX costs”;
- higher cost of capital (+5.3%), due to increases in both the asset base (+1.3%) and WACC (+0.08 p.p.);
- lower deduction for VFR exempted flights (-3.8%).

Actual unit cost incurred by the users (AUCU) (PI#1)

AUCU components (€/SU) – 2020-2021
Components of the AUCU in 2020-2021 €/SU
DUC 136.72
Inflation adjustment 0.54
Cost exempt from cost-sharing -1.11
Traffic risk sharing adjustment 0.00
Traffic adj. (costs not TRS) -0.17
Finantial incentives 0.00
Modulation of charges 0.00
Cross-financing 0.00
Other revenues -0.42
Application of lower unit rate 0.00
Total adjustments -1.16
AUCU 135.56
AUCU vs. DUC -0.8%
Cost exempt from cost sharing by item - 2020-2021 €'000 €/SU
New and existing investments -16,077.7 -0.81
Competent authorities and qualified entities costs -231.9 -0.01
Eurocontrol costs -5,606.9 -0.28
Pension costs 0.0 0.00
Interest on loans 0.0 0.00
Changes in law 0.0 0.00
Total cost exempt from cost risk sharing -21,916.4 -1.11
Focus on AUCU

The actual en route unit cost incurred by airspace users (AUCU) in respect of activities performed in combined year 2020-2021 for France en route charging zone (135.73€) is -0.7% lower than the nominal DUC (136.72) which includes DUC initially charged: 61.27€; and to be charged: 75.45€. The difference between these two figures (-0.98€/SU) is due to:
- the positive inflation adjustment resulting from higher than planned inflation (+0.54€/SU);
- the deduction of the traffic adjustment (-0.17€/SU) for the costs not subject to traffic risk sharing to be reimbursed in future years;
- the deduction of the other revenues (-0.42€/SU);
- and the impact of adjustments resulting from the costs exempted from cost-sharing mechanism (-0.93€/SU).
The share of regulatory result in the AUCU is 3.6%

Regulatory result (RR)

Focus on regulatory result

DSNA net gain on en route activity in the France charging zone in the combined year 2020-2021
DSNA’s net gain amounts to +35.7 M€, as a combination of a gain of +10.1 M€ arising from the cost sharing mechanism and a gain of +25.6 M€ arising from the traffic risk sharing mechanism.
DSNA overall regulatory results (RR) for the en route activity
Ex-post, the overall RR taking into account the net gain from the en route activity mentioned above (+35.7 M€) and the actual RoE (+59.9 M€) amounts to +95.6 M€ (4.0% of the en route revenues). The resulting ex-post rate of return on equity is 27.7%, which is higher than the 17.1% planned in the PP.

 
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