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  1. Cost-efficiency
  • Year report
    • 2025 ✓

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  • Overview
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  • Capacity
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  • Cost-efficiency
    • PRB monitoring
    • En route CZ
      • Unit cost
      • AUCU
      • Regulatory Result
    • Terminal CZ
      • Unit cost
      • AUCU
      • Regulatory Result

Cost-efficiency - Sweden

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PRB monitoring

  • The en route 2025 actual unit cost of Sweden was 65.68€2022, -3.6% lower than the determined unit cost (68.17€2022). The terminal 2025 actual unit cost was 141.85€2022, -2.6% lower than the determined unit cost (145.65€2022).

  • The en route 2025 actual service units (2.9M) were -5.6% lower than the determined service units (3.0M).

  • The en route 2025 actual total costs were -18.7M€2022 (-9.0%) lower than determined. This is mainly due to lower staff costs for LFV (-17.9M€2022, or -18.4%). According to the NSA, this decrease was primarily due to a one-off effect on pension costs following an increase in interest rates, which reduced pension debt, as well as delayed recruitment.

  • LFV spent 16.9M€2022 in 2025 related to costs of investments for both en route and terminal charging zones, +2.1% more than determined (16.5M€2022). This increase is mainly due to a higher share of financing through equity than planned, which is more costly than debt financing.

  • The en route actual unit cost incurred by users in 2025 was 67.09€ (-5.5% below the 2025 DUC), while the terminal actual unit cost incurred by users was 144.08€ (-6.6% below the 2025 DUC). The difference between the AUCU and the DUC for the en route and terminal charging zones is mainly driven by pension costs in cost exempt from cost sharing.

En route charging zone

Unit cost (KPI#1)

Actual and determined data
Total costs - nominal (M€) 2025 2026 2027 2028 2029
Determined costs 224.8 224.0 226.2 231.5 233.2
Actual costs 204.3 NA NA NA NA
Difference costs -20.5 NA NA NA NA
Inflation assumptions 2025 2026 2027 2028 2029
Determined inflation rate 2.0% 2.0% 2.0% 2.0% 2.0%
Determined inflation index* 110.8 113 115.3 117.6 119.9
Actual inflation rate 2.6% NA NA NA NA
Actual inflation index* 110.8 NA NA NA NA
Difference inflation index (p.p.) +0 NA NA NA NA
*100 = 2022
NoteFocus on unit cost

AUC vs. DUC

In 2025, the en route AUC was -3.6% (or -26.41 SEK2022, -2.49 €2022) lower than the planned DUC. This results from the combination of significantly lower than planned en route costs in real terms (-9.0%, or -198.5 MSEK2022, -18.7 M€2022) and significantly lower than planned TSUs (-5.6%).

En route service units

The difference between actual and planned TSUs (-5.6%) falls outside the ±2% dead-band, but does not exceed the ±10% threshold foreseen in the traffic risk sharing mechanism. The resulting loss of en route revenues is therefore shared between the ANSP and the airspace users (see the main ANSP regulatory result).

En route costs by entity

Actual real en route costs are -9.0% (-18.7 M€2022) lower than planned. This is the result of lower costs for the main ANSP, LFV (-12.0%, or -17.5 M€2022), the NSA/EUROCONTROL (-2.4%, or -0.7 M€2022), the other ANSPs (ACR, ARV, SDATS and CNS providers, -1.0%, or -0.3 M€2022) and the MET service provider (-4.1%, or -0.3 M€2022).

En route costs for the main ANSP (LFV) at charging zone level

Based on the additional information to the en route reporting tables, the significantly lower than planned en route costs in real terms for LFV in 2025 (-12.0%, or -17.5 M€2022) result from:

  • Significantly lower than planned staff costs (-18.4%), mainly due to the variation in pension costs (-172 MSEK, or some -15 M€2022) reflecting a combined effect of higher interest rates (which lowered the level of pension liability) and higher pension indexation (which increased pension liability). It should be noted that the difference in pension costs will be returned to the airspace users through the cost exempt from cost sharing mechanism. Staff costs (excluding pensions) were also lower than planned due to delayed recruitments.

  • Slightly higher than planned other operating costs (+0.2%).

  • Significantly lower than planned depreciation (-6.1%), mainly due to “lower depreciations on ATM and COM assets due to delayed investments”.

  • Significantly higher than planned cost of capital (+59.7%) mainly reflecting much higher than planned proportion of financing through equity as well as higher actual interest rate on debt.

Assessment of the actual performance in the charging zone reported by the NSA

The NSA of Sweden provides the following overall assessment of the actual performance in 2025 at charging zone level:

"Overall lower actual unit cost in real terms because of lower actual costs exceeding the effect of lower traffic. Note that excluding the effect of uncontrollable costs of LFV by 170 m SEK the DUC would be appr. ~ 750 SEK. A similar effect is difficult to anticipate the upcoming years."

Explanation of the differences between actual and determined costs at charging zone level reported by the NSA

The NSA provides the following explanation for the differences between actual and determined costs in the charging zone:

“The most impacting effect and reason behind the lower actual costs relates to LFV pensions. Due to a change in the discount rate the pension costs are reported 172 million SEK lower than planned. This amount will be reimbursed to the users according to article 28 in the next reference period when all the years changes have been consolidated. The argument behind consolidating through an entire period is to have the possibility to smoothing out the effect of this uncontrollable item in order to not have unproportional effects on the unit rate. Lower pension costs are also identified in other organizations, however, since applying different pension schemes these are not considered uncontrollable.

Besides the pension effects, staff costs are lower than planned. The major explanation is lower costs of technical staff, CNS, ATM and IT, but also operational support staff. The main deviations are found at main-ANSP LFV, but also SMHI, ARV and CNS Ps.

Operational costs are higher than planned partly by consultants instead of hired staff. Eurocontrol costs are lower by 10 m SEK, which is a combination of lower costs and a favourable development of the Swedish currency.

Depreciation costs are lower and postponements and delays are the main explanations. Some changes to major investments at LFV is expected and will be consulted. Changes according to article 28 is disclosed in Swedens Cost risk sharing report for 2025.

Cost of capital is higher due to higher interest rates and to some extent higher share of equity than in the plan. Changes according to article 28 is disclosed in Swedens Cost risk sharing report for 2025.

The cost of Search and Rescue, a service provided by the Swedish Maritime Authority, is set to equal to the determined costs.”

Recommendations formulated by the NSA to the ANSP (LFV) to rectify the situation and actions taken by the ANSP

The NSA 2025 monitoring report indicates that:

“No official recommendations made. There is an ongoing discussion on the share of equity calculation with one of the providers. Concerning Search and Rescue, the Swedish Maritime Authority is under the process of updating the allocation model valid for distribution of costs among their respective users. NSA has some concerns on the model's applicability and this will be subject to consultation.”

LFV reports the implementation of the following actions:

“Concerning the WACC issue the provider is assisted by an external consulting firm. There is also a meeting date decided provider/NSA to discuss the progress of the work. Regarding cost allocation model for Search and Rescue this is subject to consultation as a first step.”

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

AUCU components (€/SU) – 2025
€/SU
DUC 70.96
Inflation adjustment 0.02
Cost exempt from cost sharing -5.89
Traffic risk sharing adjustment 1.57
Traffic adjustment (costs not TRS) 0.67
Financial incentives 0.53
Modulation of charges 0.00
Cross-financing 0.00
Other revenues -0.78
Application of lower unit rate 0.00
Total adjustments -3.87
AUCU 67.09
AUCU vs. DUC -5.5%
Cost exempt from cost sharing by item - 2025 €'000 €/SU
New and existing investments -762.6 -0.27
Competent authorities and qualified entities costs 252.1 0.09
Eurocontrol costs -888.0 -0.31
Pension costs -15,533.7 -5.40
Interest on loans 0.0 0.00
Changes in law 0.0 0.00
Total cost exempt from cost risk sharing -16,932.2 -5.89
NoteFocus on AUCU

En route AUCU monitoring at charging zone level

The actual en route unit cost incurred by airspace users (AUCU) in respect of activities performed in 2025 (741.36 SEK or 67.09 €) is -5.5% lower than the nominal DUC (784.18 SEK or 70.96 €). The difference between these two figures (-42.82 SEK/SU or -3.87 €/SU) is due to:

  • the positive inflation adjustment resulting from higher than planned inflation (+0.20 SEK/SU or +0.02 €/SU), it should be noted that Sweden excludes the pension costs for LFV in its calculation of inflation adjustment;

  • the impact of adjustments resulting from the costs exempted from cost sharing mechanism (-65.04 SEK/SU or -5.89 €/SU);

  • the addition of the traffic risk sharing adjustments (+17.36 SEK/SU or +1.57 €/SU);

  • the addition of the traffic adjustment (+7.36 SEK/SU or +0.67 €/SU) for the costs not subject to traffic risk sharing;

  • the impact of financial incentives (+5.89 SEK/SU or +0.53 €/SU); and,

  • the deduction of other revenues (-8.59 SEK/SU or -0.78 €/SU).

The share of the regulatory result (see next sub-section) in the AUCU (before the deduction of other revenues) is 0.6%.

Initiatives implemented or planned that will improve this PI reported by the NSA

The NSA of Sweden provides the following information regarding the initiatives:

“The major initiatives are on the ATCO staffing side, where SWEA project will not only contribute to more efficient operational provision but also will reduce the number of ATCOs. Also introduction of FIS positions will offload ATCOs and contribute to a more efficient. Last of major initiatives is remote tower systems where ATCOs (for approach, and also Tower) will be reduced. These initiatives where in the RP4 plan originally. NSA monitoring is made on a yearly basis and these are especially scrutinized and consulted.”

Regulatory result (RR)

NoteFocus on regulatory result

LFV net gain/loss on activity in the Sweden en route charging zone in 2025

LFV reported a net loss of -0.1 M€, as a combination of a gain of +3.1 M€ arising from the cost sharing mechanism, with a loss of -4.7 M€ arising from the traffic risk sharing mechanism and a gain of +1.5 M€ relating to financial incentives.

LFV overall regulatory result (RR) for the en route activity

Ex-post, the overall RR, taking into account the net loss from the en route activity mentioned above (-0.1 M€) and the actual RoE (+1.9 M€), amounts to +1.8 M€ (1.4% of the en route revenues). The resulting ex-post rate of return on equity is 3.7%, which is slightly lower than the 3.8% planned in the PP.

 
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