RP3 UK performance plan – UK final decisions
RP3 UK performance plan – UK final decisions
Exceptional measures for 2022
Decision to modify the price controls for NATS (En Route) Plc's (NERL's) regulated activities under its air traffic services licence for the year 2022, following consultation of CAP2245.
- Exceptional measures for the economic regulation of NATS (En Route) plc: decision on licence modifications (CAP2279) (November 2021
NERL RP3 price control conditions: Exceptional measures for 2022
In October 2021 we consulted on modifications to the price controls for NATS (En Route) Plc's (NERL's) regulated activities under its air traffic services licence for the year 2022. These related mainly to exceptional measures in response to the impact of covid-19 on traffic levels.
- Economic regulation of NATS (En Route) Plc: consultation on licence modifications to implement exceptional measures (CAP2245) (October 2021)
Responses to CAP2245
NERL RP3 price controls decision
Decision on licence modifications to NERL's air traffic services to implement the price controls for the period 2020-2022. The modifications implement the CMA's decision, introduce a new licence condition to establish processes and procedures to coordinate airspace modernisation, modifications to improve the clarity of certain obligations in the licence, and guidance relating to NERL's capital expenditure incentives.
Economic regulation for Reference Period 3 under the Single European Sky (2020-2024)
Economic regulation for Reference Period 3 under the Single European Sky (2020-2024)
RP3 UK performance plan - CAA final decisions
The CAA has made its final decisions on the UK RP3 performance plan. These decisions are contained in the documents below. On 10 September 2019, NATS formally advised the CAA that it rejected our decisions in respect of the NERL UK and Oceanic price controls. Consistent with the statutory provisions within the Transport Act, on 19 November 2019 the Civil Aviation Authority referred this to the Competitions and Markets Authority to consider and report in due course.
- Economic regulation of NATS (En Route) Plc consultation on licence modifications and guidance (CAP1967) (September 2020)
Responses to CAP1967
- Reference to the CMA - CMA Final Report (August 2020)
- Reference to the CMA - CMA Final Report appendices (August 2020)
- Reference to the CMA - CMA Final Report glossary (August 2020)
- CAA response to CMA request to extend reference period (May 2020)
- CMA request to extend reference period (May 2020)
- Reference to the CMA - CAA response to CMA Provisional Findings - Appendix A Responding to Covid-19 (April 2020)
- Reference to the CMA - CAA response to CMA Provisional Findings (April 2020)
- Reference to the CMA - notice of variation of reference (February 2020)
- Revised draft Condition 10a - Airspace Modernisation
- Guidance note: NER Licence Condition 10a _ Airspace modernisation
- Reference to the CMA of NERL RP3 price controls: CAA response to NERL's Statement of Case
- CAA letter to CMA re: reference of the NERL RP3 price controls
- CAA reference to the Competition and Markets Authority of the NERL RP3 price controls
- NATS letter to CAA re: RP3 Final Decision Document CAP 1830
- CAA RP3 Decision Statement
- UK RP3 CAA decision document(CAP 1830)
- Appendices to UK RP3 CAA decision document (CAP 1830a)
- UK RP3 CAA Decision Document - RAB Rules Working Paper (CAP 1830b)
- UK RP3 performance plan
- Letter from Paul Smith to Martin Rolfe - Summary of CAA RP3 conclusions (August 2019)
Consultancy reports
- Europe Economics - Comments on NERA/NERL critiques of Europe Economics' WACC analysis (June 2019)
- GAD - Review of further evidence provided by NERL (June 2019)
- Grant Thornton - NATS Financial Model 2018 - Findings from agreed testing procedures, updated for CAA final decision on price controls for Reference Period 3 (August 2019)
- PwC Economics - Estimating the cost of capital for H7 and RP3 - responses to stakeholder views on total market return and debt beta (August 2019)
CAA draft performance plan proposals for consultation
This document sets out for consultation the CAA's proposals for the UK's draft performance plan for Reference Period 3 (2020-2024)
- Draft UK Reference Period 3 Performance Plan proposals (February 2019)
- Appendices to Draft UK Reference Period 3 Performance Plan proposals (February 2019)
- Update on cost of capital for RP3 and H7 (February 2019)
- NERL capital expenditure (capex) and Airspace Modernisation Strategy (AMS) funds governance policy and processes - draft for stakeholder comment (July 2019)
- Horizontal flight efficiency (KEA) target for RP3 (July 2019)
- Explanatory note: draft airspace modernisation condition for NERL licence (June 2019)
- Working note: Capex and Airspace Modernisation Strategy (AMS) funds governance policy development (April 2019)
Consultancy reports supporting the CAA's proposals for the UK's RP3 draft performance plan
- Components of the Cost of Capital for NERL by Europe Economics (February 2019)
- NERL's Cost Allocation and Non-Regulatory Income Forecasts by CEPA (February 2019)
- NATS (En Route) plc SIP: Review of SIP Process by Grant Bremer (February 2019)
- NERL's forward-looking capital programme and expenditure efficiency by Steer Group (February 2019)
- NATS Financial Model 2018 - Findings from agreed testing procedures by Grant Thornton (February 2019)
- H7 Initial WACC response document by PwC (February 2019)
- The trustees of the CAA Pension Scheme wrote a letter to the CAA in January 2019 about a Regulatory Policy Statement on NERL's Pension Costs.
Responses to consultation document
- NERL (response, Appendix E, Appendix F, Appendix G)
- NSL
- IATA (response, Attachment 1, Attachment 2, Attachment 3)
- IAG (response, cost of capital)
- Emirates
- Ryanair
- Virgin
- Heathrow Airport
- Prospect
- PCS (Aviation group)
NERL RP3 Business Plan
RP3 Customer Consultation Working Group
Consultancy Reports
- Updated Weighted Average Cost of Capital for NATS (En-Route) plc at RP3 - report by NERA (September 2018)
- Staff Operating Expenditure for Air Traffic Control - report by NERA (March 2018)
- GAD report
Views on NERL's RP3 Business Plan
- Letter from NERL to CAA regarding NERL RBP3 Initial Business Plan (June 2018)
- Letter from CAA to NERL regarding NERL Initial Business Plan (May 2018)
- IATA letter to CAA on NERL Business Plan (letter, Appendix 1, Appendix 2, Appendix 3, Appendix 4)
- IAG letter to CAA on NERL Business Plan
Expectations for NERL Revised Business Plan
Business Plan Guidance to NERL for RP3
This document sets out guidance to NERL from the CAA in preparing its Business Plan for Reference Period 3 (2020 to 2024).
This consultation document sought views from interested parties on the Business Plan guidance that should shape the CAA's approach to the future economic regulation of NERL in the period from 2020 to 2024.
Responses to Consultation document
- NERL
- IATA
- British Airways
- Virgin
- Prospect ATCOs Branch & ATSS Branch
- PCS
- CAA Pension Scheme
- FAS Deployment Steering Group
- Aviation Communities Forum and Stop Stansted Expansion
Strategic themes for future regulation of NERL
This discussion documents ought stakeholder views on the CAA's proposed strategic themes for the future regulation of NERL, in order to inform the development of the CAA's approach to the regulation of NERL from 2020.
Responses to discussion document:
RP2 2015-2019 price control licence conditions
RP2 2015-2019 price control licence conditions
- CAP 1252 - Decision on the modification of NATS (En Route) plc licence to transpose the UK-Ireland FAB Performance Plan for 2015-2019(January 2015)
- CAP 1254 - Decision on modifications to NATS (En Route) plc licence in respect of the Oceanic price condition for 2015-2019(January 2015)
- CAP 1249 - FAS Deployment Facilitation Fund(January 2015)
- CAP 1253 - Decision on modifications to NATS (En Route) plc licence in respect of reporting and Specified Services(January 2015)
- Flight efficiency metric calculation and annual review protocol(January 2015)
Economic regulation for Reference period 2 under the single European Sky (2015-2019)
Economic regulation for Reference period 2 under the single European Sky (2015-2019)
Final UK-Ireland FAB Performance Plan submitted to European Commission
- Corrigendum to the UK-Ireland FAB Performance Plan for RP2 (November 2014)
- Final UK-Ireland FAB Performance Plan for RP2 (2015-19) submitted to the European Commission
Post-consultation Performance Plan (NSA initial submission to State)
- FAB Performance Plan: UK-Ireland FAB - Second reference period (2015-2019) (May 2014)
- UK-Ireland RP2 performance plan supporting document (May 2014)
- Responses to consultation on draft UK-Ireland FAB performance plan for RP2 (April 2014)
Transcript and presentation from Stakeholder Consultation meeting
- RP2 Stakeholder Consultation meeting 14 March 2014 - transcript (March 2014)
- UK-Ireland FAB Performance Plan for RP2 - Stakeholder consultation (March 2014)
Draft performance plan published for consultation
- Draft UK-Ireland RP2 Performance Plan - Consultation document (February 2014)
- FAB Performance Plan: UK-Ireland FAB - Second Reference Period (2015-2019)- template
Consultancy reports
- GAD analysis of pension costs for CAA's RP2 price control review of NERL (March 2014)
- NERL non-staff opex review - report by Capita for the CAA
- Assessing the efficiency of NERL's total employment costs in RP2: a research report for the CAA - report by IDS
- Estimating the cost of capital for NERL - report by PwC for the CAA
- What is the cost of capital for NATS (En Route) plc for RP2? - a report for NERL by Oxera
- NERL RP2 capex review - phase 1 report by Arup and Helios(January 2014)
- NATS cost allocation - final report by CEPA and BDO(October 2013)
London Approach
- CAP1158 - Regulatory treatment of London Approach charges in Reference Period 2 (2015-2019) of the Single European Sky Performance Scheme: CAA conclusions (February 2014)
- Regulatory treatment of London Approach charges in Reference Period 2 (2015-19) of the Single European Sky performance scheme (October 2013)
- Responses:
UK Terminal Air Navigation Services (TANS)
- CAP1157 - The CAA's approach to the regulation of terminal air traffic service in RP2 (February 2014)
- Approach to terminal air navigation services regulation in RP2 - a consultation (December 2013)
- Terminal Air Navigation Services - draft RP2 Business Plan (December 2013)
- UK TANS charge benchmarking - consultancy report by Capita for CAA (December 2013)
Other
- RP2 airline community - Special interests paper (December 2013)
- In focus - developing the UK-Ireland performance plan for RP2 - December 2013 update
- RP2 Revised Business Plan (2015-2019) (October 2013)
- Appendices to RP2 Revised Business Plan (October 2013)
- Agreed modifications to the requirements following publication of PRB recommendations for EU-wide targets (October 2013)
- RP2 Customer Consultation working group: Report from co-chairs (September 2013)
- Letter to NERL setting out CAA requirements for NERL Revised Business Plan (RBP) (September 2013)
- The CAA process update for the economic regulation of NERL and contribution to the UK-Ireland FAB Performance Plan for Reference Period 2 (2015-2019) of the Single European Sky Performance Scheme: A mandate for Customer Consultation between NERL and airspace users (April 2013)
- A consultation on the CAA's process for developing economic regulation for Reference Period 2 under the Single European Sky (July 2012)
- Responses:
- Workshop
Provide page feedback
Please enter your comments below, or use our usual service contacts if a specific matter requires an answer.
Fields marked with an asterisk (*) are required.