AIRPORTS (ECONOMIC REGULATION) ACT

ARRANGEMENT OF SECTIONS

   1   Short title

 

PART I
Preliminary

   2   Interpretation

   3   Performance of functions of Authority under this Act

   4   Airports subject to economic regulation

   5   Directions to airport operator in interests of national security

 

PART II
Airport Improvement Fee

   6   Airport improvement fee

 

PART III
Airport Charges

   7   Requirement for permission to levy charges

   8   Grant or refusal of permission to levy charges

 

PART IV
Conditions

   9   Conditions

   10   Mandatory conditions for scheduled airports

   11   Investigations by Authority

   12   Report of Authority

   13   Obligation for secrecy

   14   Discretionary conditions

   15   Provisions supplementary to section 14

   16   Enforcement of conditions other than accounts conditions

   17   Validity and effect of compliance order

   18   Breach of accounts conditions and penalties

   19   Supplementary provisions re: conditions

 

PART V
General

   20   Regulatory fee

   21   Regulations

      SCHEDULE

 

THE AIRPORTS (ECONOMIC REGULATION) ACT

[Date of Commencement: 31st December, 2002]

Acts
6 of 2002,
43 of 2002.

1   Short title

   This Act may be cited as the Airports (Economic Regulation) Act.

[43/2002 s 1.]

PART I
Preliminary

2   Interpretation

   (1) In this Act-

   "aircraft operator" means the person who, at the relevant time, has the management of the aircraft;

   "airport charges", in relation to an airport, means charges levied-

   (a)   on an aircraft operator in connection with the landing, parking or taking off of aircraft at the airport (including charges that are to any extent determined by reference to the number of passengers on board the aircraft but excluding charges payable in respect of air navigation services);

   (b)   on aircraft passengers in connection with their arrival at or departure by air from an airport but excluding-

         (i)   departure tax;

         (ii)   the airport improvement fee; and

         (iii)   any other fee or charge payable in respect of an airport pursuant to any enactment for the time being in force and which forms part of the general revenues of Jamaica;

   "airport improvement fee" means the fee imposed pursuant to section 6;

   "Airports Authority" means the Airports Authority of Jamaica established under the Airports Authority Act;

   "appointed day" means the day appointed pursuant to section 1;

   "approved airport operator" means the Airports Authority or any other person approved by the Minister to operate an airport or any part thereof under section 4;

   "Authority" means the Civil Aviation Authority established under the Civil Aviation Act;

   "international air transport" means air transport between a place in Jamaica and a place outside Jamaica;

   "operational activities" means activities-

   (a)   that are carried out wholly or mainly for the benefit of users of an airport; and

   (b)   the revenues from which are wholly or mainly attributable to payments by those users;

   "relevant activities", in relation to an airport, means the provision of services or facilities at that airport for the purposes of-

   (a)   the landing, parking or taking off of aircraft at the airport;

   (b)   the servicing of aircraft at the airport (including the supply of fuel); or

   (c)   subject to subsection (2), the handling of passengers or their baggage or of cargo at all stages while on the airport premises (including the transfer of passengers and their baggage or of cargo to or from an aircraft).

   (2) The facilities referred to in paragraph (c) of the definition of "relevant activities" in subsection (1) do not include-

   (a)   the parking of motor vehicles;

   (b)   the refreshment of passengers; or

   (c)   the supply of consumer goods or services.

   (3) The Minister may, by order make such modifications to the definition of "operational activities" as he thinks necessary or expedient having regard to Jamaica's international obligations.

3   Performance of functions of Authority under this Act

   (1) The Authority shall perform its functions under this Act in such manner as it considers best calculated to-

   (a)   further the reasonable interests of users of airports within Jamaica and to provide economical and reliable services to those users by establishing a system for the regulation of airports that takes account of those interests;

   (b)   promote the efficient, economic and profitable operation of airports;

   (c)   ensure compliance with such international obligations of Jamaica as may be notified to the Authority by the Minister;

   (d)   create an enabling environment for potential investors in airports;

   (e)   encourage investment in new facilities at airports in time to satisfy demands by users of the airports;

   (f)   impose such restrictions on the airport operator as are consistent with the performance by the Authority of its functions;

   (g)   further such vital public interests as may be notified to the Authority by the Minister from time to time; and

   (h)   ensure that the airport is operated in accordance with performance standards and service levels consistent with best industry practices.

   (2) In making a decision in the exercise of its functions under this Act, the Authority shall observe reasonable standards of procedural fairness, act in a timely fashion and observe the rules of natural justice, and, without prejudice to the generality of the foregoing, the Authority shall-

   (a)   consult with persons who are or are likely to be affected by the decision;

   (b)   give to such persons an opportunity to make submissions and to be heard by the Authority;

   (c)   have regard to the evidence adduced at any such hearing and to the matters contained in any such submissions;

   (d)   give reasons in writing for each decision;

   (e)   give notice of each decision in the prescribed manner.

4   Airports subject to economic regulation

   (1) The airports specified in the Schedule shall be subject to economic regulation under this Act.

   (2) The Minister may amend the Schedule by order subject to affirmative resolution.

   (3) Where an airport is the subject of economic regulation under this Act, the provisions of section 24 of the Airports Authority Act (Power of Minister to reassign Authority's functions) shall not apply to that airport and the Minister may authorise the Airports Authority to enter into arrangements for the airport or parts thereof to be operated by an approved airport operator on such terms and conditions as the Minister may approve.

   (4) The terms and conditions referred to in subsection (3) shall not affect the exercise by the Authority of its regulatory powers under this Act.

   (5) Where the Minister approves arrangements under subsection (3) he may, by order provide for the transfer from the Airports Authority to the approved airport operator, of such of its assets and liabilities and on such terms and conditions as may be specified in the order.

   (6) The Minister may by order designate a person to operate an airport or parts thereof as an approved airport operator for the purposes of this Act.

5   Directions to airport operator in interests of national security

   (1) The Minister responsible for national security may give to any approved airport operator or operators generally, such directions of a general character as appear to the Minister to be necessary or expedient in the interests of national security, including a direction requiring him (according to the circumstances of the case) to do, or not to do, a particular thing specified in the direction, if the Minister considers such a direction necessary or expedient in the interests of national security.

   (2) The Minister may give to-

   (a)   any approved airport operator such directions of a general character as appear to the Minister to be necessary or expedient in the interests of relations with a country or territory outside of Jamaica;

   (b)   an approved airport operator or any company which is an associate of that operator, a direction, in relation to any airport, requiring that operator or company (according to the circumstances of the case)-

         (i)   to do, or not to do, in connection with any operational activities relating to the airport, a particular thing specified in the direction; or

         (ii)   to ensure that a particular thing specified in the direction is done or not done in connection with any such activities,

      if the Minister considers such a direction necessary or expedient in order to discharge or facilitate the discharge of any international obligation of Jamaica.

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