Working Paper Series, Department of Economics, Copenhagen Business School
Forskellige scenarier for den luftbårne trafik til og i Grønland
Abstract: The paper defines a base model of the airborne passenger
traffic to and in Greenland showing the number of passengers on every
non-stop connection. The type of airplane is defined for each route, and
that determines the flying time. The number of connections and capacity
utilization are fixed with due regard to the timetable of Air Greenland and
the density of traffic on each route. Assumptions as to the cost per hour
as a function of the duration of the flight are made for each aircraft.
Applying this to different investment scenarios for airports and landing
strips an index for the costs of supply of air traffic is found. Using this
index the supplier’s cost savings in the scenarios are found as a
percentage of the relevant sale. A number of reports from recent years have
information about the necessary investments in the scenarios, and matching
these with the changes in costs permits the calculation of present values
for the different projects. Apart from direct savings there are derived
benefits in some of the scenarios the most prominent being the possibility
to abandon Kangerlussuaq. The calculations include these indirect effects.
Two scenarios have high present values: the use of Keflavik as hub, and the
construction of a new airport with a 3000 meter runway south of Nuuk: two
rather different scenarios, the first dominated by current savings, and the
second dependent on a large fixed investment.
Keywords: None; (follow links to similar papers)
JEL-Codes: H00; (follow links to similar papers)
48 pages, September 12, 2006
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