The cost of air travel could be set to fall after government moves to regulate what airports can charge for ancillary services.
The government is changing the way it regulates airports under the Commerce Act because the marketplace is not competitive enough.
Air New Zealand chief financial officer Rob McDonald says passengers will be the ones to benefit.
He says consumers are the ones who bear the brunt of airport-imposed charges on taxi and car hire companies and excessive landing charges for airlines.
McDonald says cheaper travel will hopefully mean more people travelling and cheaper airfares, rental cars and taxis.
However, he says he can understand why airports have been
lifting charges for some time and that they obviously feel they
have to return a dividend to shareholders.
