The Trump Administration Wants to Privatize Airports – but Will It Work?
Joe Cortez March 13, 2018
As part of an aviation infrastructure plan, the White House has floated the idea of selling off the only federally-operated commercial terminals in the United States: Washington Dulles International Airport and Washington Reagan National Airport. Although the idea is foreign in America, it has proven successful in Europe. Would it work for the U.S.?
Would privatizing American airports allow for infrastructure upgrades to flow into aging terminals? The White House believes so, as Travel Weekly reports the current administration is pushing for more privately-operated airports.
The move comes as the federal government decides whether or not to sell the only two United States airports in their control: Washington Dulles International Airport (IAD) and Washington Reagan National Airport (DCA). The proposal came as part of a $200 billion infrastructure plan which received mixed reactions in the aviation industry.
While the idea is not popular in the United States, Europe has embraced the idea of taking airport control out of public hands. According to Airports Council International-Europe, 79 terminals are under independent operation, including London Heathrow Airport (LHR). Only two airports in America are privately operated: San Juan Luis Muñoz Marín International Airport (SJU) and Branson Airport (BKG).
The Trump administration plan would potentially remove road blocks from airport privatization, including reducing approval power given to airlines. The theory behind making airport privatization simpler is that if airports privatize, they will have more access to funds outside of municipal bonds.
But do airports and airlines agree? In a statement during Aviation Day USA, IATA president Alexandre de Juniac told the audience privatization has not “…delivered on the promised benefits of greater efficiency for airlines and a better experience for our customers.” In a statement to Travel Weekly, Airlines for America raised a similar concern, claiming privatization could potentially undermine infrastructure gains while passing the bill onto flyers. Meanwhile, Airports Council International-North America is supporting an infrastructure plan put forward by Senate Democrats, instead of backing the Trump plan.
Airports are not the only thing that could be privatized under Trump. In 2017, the president introduced a plan to potentially privatize air traffic control operations over American skies.
[Photo: Shutterstock]
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The private sector almost always runs things more efficiently than the public sector. YVR (Vancouver International) went through this a couple of decades ago. The result is a nice, clean, efficient terminal with lots of food and shopping choices.
Dumbest idea ever. Australia's airports are privatized, parking is super expensive, they resist any and all attempts to improve transport links there, and getting through the airport is like walking through the fragrance counters at the entrance of department stores.
This is a great idea. This guy is setting up a fantastic future for us.
This is a dumb idea. This guy is going to screw us for decades to come.
Are European airport models?? In my experience, they are inefficient, outdated, and frustrating from the passenger experience. Connecting flights in most euro airports is a nightmare. I would much rather fly, connect, and land in a US airport. Just because europe does something, doesn't mean it is better.