By the end of this year, the Airports of Montenegro (ACG) will announce a new incentive scheme (benefits for all airlines) with the aim of further increasing traffic, especially from the main emitting markets that are important for Montenegrin tourism, and there will also be a corrected list of strategic routes, some of which are more will not be part of it.
This was officially told to "Vijesta" in the state company.
The correction of the price policy comes at a time after certain low-cost airlines (Low Cost Carriers - LCC) canceled some of their routes to Montenegro in the previous period due to the price policy of ACG.
"Aware of the importance of good air connectivity for Montenegrin tourism and for the state of Montenegro, in agreement with the Minister of Transport Majom Vukićević, we decided to make our airports even more competitive by correcting the incentive policy, both for air carriers from the LCC segment and for all other carriers, especially for those whose presence is important for the overall air connectivity of Montenegro. Until now, the pricing policy of the Airport of Montenegro has been guided by the idea of attracting new airlines and overall traffic growth, so that the basic prices of airport services and ground handling services are among the most competitive, considering the airports in the surrounding area," the ACG stated. .
Changes due to experiences from the region
As they state, the changes that took place in the incentive policies of some airports in the area (Tirana, Dubrovnik and Sarajevo), some of which in a certain way represent our direct competition, led to the fact that some airlines, especially from the LCC segment, showed reduced interest in traffic development at our airports.
"This represents an additional reason to, in order to increase our competitiveness, prepare a proposal for a new incentive scheme, for which we received the full support of the Ministry of Transport", stated the ACG.
The company did not specify exactly which fees will be reduced and how much they currently amount to.
It was clarified that in order to define the beginning of the validity of the new incentive scheme, they should perform additional internal analyzes and hold meetings with significant partners.
"Given that the current regulation obliges all airports to adhere to the principles of transparency and non-discrimination when defining their commercial policy towards airlines, as before, the new incentive policy will be publicly published and, as we expect, by the end of the year and will be valid for all interested parties airlines. Its goal is the further growth of traffic, especially from the main emission markets for Montenegrin tourism", said the ACG.
The state company says that the definition of the list of strategic routes, which is an important element of their incentive policy, is a process that we implement together with the ministries of transport and tourism and the National Tourism Organization.
"This list should serve the purpose of encouraging traffic from destinations and markets that are of particular importance for Montenegrin tourism. The consideration of possible amendments and additions, which will, first of all, reflect the needs of our tourism industry is currently underway. The current list contains 17 routes, of which, it is already certain, some will no longer have this treatment, and we are considering which new ones should be part of it", explained the company.
To include the tourism sector
The ACG visited that the Government, as the founder and owner of the state-owned company, supplemented the Decision on strategic routes in February 2023 when lines from Podgorica to Marseille, Dublin and Vece were added to it.
The current list of strategic routes includes lines from Podgorica to London, Paris, Rome, Birsel, Berlin, Stockholm, Milan, Barcelona, Munich, Dortmund, Abu Dhabi, Marseille, Dublin and Vece, as well as lines from Tivat to London, Manchester and Berlin.
"Vijesti" asked what is the total amount for discounts on airport services that ACG has calculated for airlines this year, to whom all the discounts have been calculated and in what amount.
"Taking into account the fact that the incentive scheme enables discounts to be granted to all clients who, during the accounting period (one calendar year), achieve traffic volume in various categories (increase in the number of passengers, increase in the number of rotations, opening of new routes...), which are taxatively prescribed with that scheme, the discount amount for this year will be known at the beginning of the next. In any case, bearing in mind the significant increase in traffic at both airports, we expect that amount for 2024 to be higher than for 2023, when it amounted to 10,2 million euros," said the state-owned company.
Discounts are calculated on the basis of incentives for opening new routes, increasing the number of flights on existing routes, the total number of departing passengers, incentives for airlines operating on the so-called strategic routes, and discounts for airlines that have aircraft based at Podgorica Airport and Tivat Airport. Calculation of discounts in accordance with the incentive scheme is done individually, for each airline, in such a way that the calculation of discounts for individual services can only be given on one basis. Airlines use approved discounts to close current and future liabilities to ACG on issued invoices.
Bearing in mind the importance of improving air accessibility for the entire country, the ACG believes that, in order to increase the overall competitiveness of the destination, the wider community should also play its role in this process.
"First of all, certain entities from the tourism sector, which is the practice in certain countries from the surrounding area (Northern Macedonia, Croatia, Bosnia and Herzegovina, Slovenia)," said the ACG.
Discounts are calculated on the basis of incentives for opening new routes, increasing the number of flights on existing routes, the total number of departing passengers, incentives for airlines operating on the so-called strategic routes...
Seven percent more passengers compared to 2019.
From the beginning of the year until September 8, 2024, the airports of Montenegro served 2.154.041 passengers. That is 17 percent more compared to the same period in 2023 and seven percent more compared to 2019, which was considered a record year until now.
At Podgorica Airport, we served 1.275.446 passengers, which is an increase of eight percent compared to last year and 38 percent more compared to 2019. It is an excellent result from an aspect that is wider than regional.
At Tivat Airport, we served 878.595 passengers, which is 32 percent more compared to the same period in 2023 and at the level of 81 percent in 2019.
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