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The Civil Aviation Authority has released a proposal to increase aviation safety and security levies, fees, and charges, to re-establish a sustainable funding model, and is seeking submissions on the proposal from 27 August until 8 October 2024.
It said the levies, fees and charges support regulatory activity ensure the aviation system is safe and secure.
The last review was in 2017, with some passenger levies revised in 2019.
A review of levies, fees and charges in 2020 was suspended due to the impacts of the Covid-19 pandemic.
The government has confirmed it will no longer provide financial support to the Civil Aviation Authority beyond 30 June 2025.
Director of civil aviation and chief executive Keith Manch said an increase in funding was needed to undertake regulatory activities at the present level, and to avoid negative impacts on the aviation sector.
“Like many sectors, aviation continues to feel the impacts of the global pandemic, and while the sector recovers to pre-pandemic levels, the need for effective regulation is critical for keeping aviation in New Zealand safe and secure,” he said.
“Not increasing the levies, fees and charges will severely impact our ability to our job which will not only compromise the safety and security of New Zealand’s aviation system, but will have wider economic and sector impacts.”
The proposal presents three options which all recover the same level of revenue, but with differences in the allocation of costs across funding types and different aviation industry activities.
Following the consultation period, all submissions will be analysed and proposals may be adapted. The Civil Aviation Authority and the Ministry of Transport will engage with the minister of transport to consider the results of the consultation, with revised or confirmed proposals taken to Cabinet for approval and implementation.
It will plan to seek final decisions from the government by December, with required regulatory amendments in place by 31 May 2025 and taking effect on 1 July 2025.