Cost-efficiency benchmarking of European air navigation service providers

Bilotkach, Volodymyr; Gitto, Simone; Jovanović, Radosav; Mueller, Juergen; Pels, Eric

doi:10.1016/j.tra.2015.04.007

Cited by 15 publications

(5 citation statements)

References 12 publications

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“…In this regard, we can emphasize that large transport projects such as the creation of an airport are considered to be major absorbers of the unemployment rate in the sense that transport as an intermediate consumption service contributes to national and regional development either directly through the direct recruitment of the workforce or indirectly through the creation of other work opportunities in related transport services such as travel agencies, etc. As Bilotkach et al (2015) shows that adding 100 passengers per day to the total airport volume creates between 98 and 315 new jobs. Moreover, the opening of a new airline allows the creation of an average of 98 to 223 new jobs, as well as the opening of new businesses of a number varying between 4 and 15.…”

Section: Presentation Of Second-stage Resultsmentioning

confidence: 99%

Investigating the impact of the transport system on the regional performance: Empirical evidence from Tunisian cities

Ghannouchi

Aloulou

Farhat

2022

Preprint

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This study aims to estimate the performance level of 24 Tunisian cities using the DEA method from 2008 to 2016. the scores were then regressed in a set of transport related factors to assess the impact of transport infrastructure on the variation of efficiency scores between the 24 cities and to interpret its contribution to their performance. Furthermore, we used multiple metrics of Total Factor Productivity (TFP) and applied \(\beta\) and \(\sigma\) convergence/divergence of productivity to detect the sense of its evolution between cities. The key findings reveal the following: (i) The majority of regions have efficiency level ranging from 50–80%. (ii) The results of the second stage reveal the motorization rate has a negative impact on efficiency because it represents a source of traffic congestion when the number of vehicles exceeds the road capacity. The population density is negatively correlated with efficiency since regions with high population density are more charged and involve more traffic problem than those with weak density. (iii) The \(\beta\) and \(\sigma\) convergence/divergence tests show that there is a convergence of TFP in the sense that the lower productive cities have a faster tendency to be more productive than the higher ones.

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Section: Presentation Of Second-stage Resultsmentioning

confidence: 99%

Investigating the impact of the transport system on the regional performance: Empirical evidence from Tunisian cities

Ghannouchi

Aloulou

Farhat

2022

Preprint

View full text Add to dashboard Cite

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“…However, holistic approaches in ANSP benchmarking require methodologies that consider multiple inputs and/or outputs. Subsequently, recent academic studies analyzed ANS performance using data envelopment analysis (DEA) (Arnaldo, Comendador, Barrangan, & Pérez, 2014; Bilotkach, Gitto, Jovanović, Mueller, & Pels, 2015; Button & Neiva, 2014; Ćujić, Jovanović, Savić, & Jakšić, 2015) or stochastic frontier analysis (SFA) (Blondiau, Delhaye, Adler, & Proost, 2016; NERA, 2006).…”

Section: Approach and Methodologymentioning

confidence: 99%

Efficiency losses through fragmentation? Scale effects in European ANS provision

Standfuß

Fichert

Schultz

et al. 2019

Competition and Regulation in Network Industries

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Fragmentation has been suspected of contributing to inefficiencies in the European Air Traffic Management (ATM) system. Heterogeneities between providers may contain multiple aspects, such as airspace structure, staff rostering, or systems used for flow management. Applying the scientific approach of data envelopment analysis, this article provides a new outlook on the relationship between airspace fragmentation and efficiency in the admittedly complex and highly dynamic environment of European ATM. We show that there are airspaces that might benefit from economies of scale, but that there is a tipping point where diseconomies of scale occur. Subsequently, the current approach of functional airspace blocks might inhere inefficiencies for some air navigation service providers.

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“…They made benchmarks for relative efficiency for the period from 2002 to 2009, but were not particularly interested in the existence of economies of scale. A later study by Bilotkach et al (2015), which used a cost-DEA model did consider economies of scale. They conclude that the majority of ANSPs in their panel operated under economies of scale from 2002 to 2004.…”

Section: Literature Reviewmentioning

confidence: 99%

Does ANSP size and scope matter in the European ANS market? A multi-product stochastic frontier approach

Buyle

Dewulf

Kupfer

et al. 2020

Journal of Air Transport Management

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This paper assesses the existence of economies of scale and cost complementarities in the European air navigation services (ANS) industry to provide policymakers and air navigation service providers (ANSPs) insight into the economic viability of possible industry-led consolidation and unbundling opportunities. While previous studies using parametric methods made abstraction of the multi-product nature of the ANS industry, this paper tries to fill that gap by estimating a stochastic multi-product translog cost frontier. The existence of economies of density and scale is evaluated from the estimated cost frontier at the sample means as well as for individual ANSPs in the panel. The results suggest that during the period from 2006 to 2016 the European ANS industry faced economies of density and produced at constant economies of scale in the sample means. However, cost complementarities do not seem to be present.

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Cost-efficiency benchmarking of European air navigation service providers

Cited by 15 publications

References 12 publications

Investigating the impact of the transport system on the regional performance: Empirical evidence from Tunisian cities

Investigating the impact of the transport system on the regional performance: Empirical evidence from Tunisian cities

Efficiency losses through fragmentation? Scale effects in European ANS provision

Does ANSP size and scope matter in the European ANS market? A multi-product stochastic frontier approach

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