Cost-efficiency - Greece

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Terminal charging zone

Unit cost (KPI#1)

Actual and determined data
Total costs - nominal (M€) 2020-2021 2022 2023 2024
Actual costs 30 21 24 NA
Determined costs 35 21 25 29
Difference costs −4 0 −1 NA
Inflation assumptions 2020-2021 2022 2023 2024
Determined inflation rate NA 4.5% 1.3% 1.6%
Determined inflation index NA 106.5 107.9 109.7
Actual inflation rate NA 9.3% 4.2% NA
Actual inflation index NA 111.4 116.1 NA
Difference inflation index (p.p.) NA +4.9 +8.2 NA

AUC vs. DUC

In 2023, the terminal AUC was -18.6% (or -33.97 €2017) lower than the planned DUC. This results from the combination of significantly lower than planned terminal costs in real terms (-10.5%, or -2.5 M€2017) and significantly higher than planned TNSUs (+10.0%). It should be noted that actual inflation index in 2023 was +8.2 p.p. higher than planned.

Terminal service units

The difference between actual and planned TNSUs (+10.0%) falls outside the ±2% dead band, but does not exceed the ±10% threshold foreseen in the traffic risk sharing mechanism. The resulting gain of additional terminal revenues is therefore shared between the ANSP and the airspace users .

Terminal costs by entity

Actual real terminal costs are -10.5% (-2.5 M€2017) lower than planned. This is the result of lower costs for the main ANSP, HASP (-7.2%, or -1.6 M€2017), the NSA (-40.7%, or -0.6 M€2017) and the MET service provider (-68.9%, or -0.3 M€2017).

Terminal costs for the main ANSP at charging zone level

Significantly lower than planned terminal costs in real terms for HASP in 2023 (-7.2%, or -1.6 M€2017) result from:
- Significantly lower staff (-8.5% in real terms) and other operating costs (-7.6%). According to information provided by Greece “The operating costs reflect payments of HASP that were incurred in 2023 on a cash basis”.
- Significantly lower depreciation (-90.0%), due to the delays in the implementation of the investment projects, including SMR/A-SMGCS/MLT project for LGAV.
- Significantly lower cost of capital (-96.0%), due to the delays in the implementation of the investment projects, including SMR/A-SMGCS/MLT project for LGAV.
- Significantly lower exceptional costs (-100.0%), without the effect of artificial negative exceptional costs (in determined costs), the difference between actual and determined costs in 2023 would be -10.5%, or -2.4 M€2017 .
- Significantly higher deduction for VFR exempted flights (+30.2%).

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

AUCU components (€/SU) – 2023
Components of the AUCU in 2023 €/SU
DUC 195.40
Inflation adjustment 12.40
Cost exempt from cost-sharing −7.34
Traffic risk sharing adjustment −9.23
Traffic adj. (costs not TRS) −1.36
Finantial incentives −3.28
Modulation of charges 0.00
Cross-financing 0.00
Other revenues 0.00
Application of lower unit rate −38.38
Total adjustments −47.19
AUCU 148.21
AUCU vs. DUC −24.2%
Cost exempt from cost sharing by item - 2023 €'000 €/SU
New and existing investments −461.0 −3.25
Competent authorities and qualified entities costs −580.3 −4.09
Eurocontrol costs 0.0 0.00
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 −1,041.3 −7.34

The actual terminal unit cost incurred by airspace users (AUCU) in respect of activities performed in 2023 (148.21 €) is -24.2% lower than the nominal DUC (195.40 €). The difference between these two figures (-47.19 €/SU) is due to:
- the positive inflation adjustment resulting from higher than planned inflation (+12.40 €/SU);
- the impact of adjustments resulting from the costs exempted from cost-sharing mechanism (-7.34 €/SU);
- the deduction of the traffic risk sharing adjustments (-9.23 €/SU);
- the deduction of the traffic adjustment (-1.36 €/SU) for the costs not subject to traffic risk sharing;
- financial incentives (-3.28 €/SU); and
- the application of a lower unit rate as foreseen in Art. 29(6) in year 2023 (-38.38 €/SU); and
The share of the regulatory result in the AUCU (before the deduction of other revenues) is 10.5%.

Regulatory result (RR)

HASP net gain on activity in the Greece terminal charging zone in the year 2023

HASP reported a net gain of +1.8 M€, as a combination of a gain of +1.3 M€ arising from the cost sharing mechanism, with a gain of +1.0 M€ arising from the traffic risk sharing mechanism and a loss of -0.5 M€ relating to financial incentives.

HASP overall regulatory results (RR) for the terminal activity

Ex-post, the overall RR taking into account the net gain from the terminal activity mentioned above (+1.8 M€) and the actual RoE (+0.005 M€) amounts to +1.8 M€ (7.3% of the terminal revenues).