BLUE MED provided FAB definition in economic terms, assessing the FAB added value on the basis of cost-benefit analysis (CBA). The CBA must demonstrate that Mediterranean FAB establishment will produce overall increased ATM system efficiency and significant cost reduction for users.

The BLUE MED CBA assessed costs and benefits for the stakeholders who would be most affected by FAB implementation: ANSPs, Airlines and Military Organisations. The analysis was performed via expert consultation, and model-based tools, taking as input the proposed organisation of airspace (link to Operational) and the new requirements for ATC systems (link to Interoperability).

The analysis determined costs related to system interoperability together with an evaluation of costs undertaken for the future restructuring of airspace organisation, with details on investment and operating costs.

Conflict decrease, sector capacity and traffic load increase were evaluated at a high level with regard to benefits that might be realised for the ANSPs, as final organisation of the airspace is foreseen to be defined within the BLUE MED Definition Phase. Benefits to Airlines affecting Airline operation cost are considered, namely: delay savings, reduced fuel consumption, reduced distance flown, reduced flight time, ANS charge savings.

Benefits to Airlines affecting Airline operation cost are considered, namely: delay savings, reduced fuel consumptions, reduced flown distance, reduced flight time, ANS charge savings.

The economical appraisal of FAB implementation in the Mediterranean area was carried out also through the analysis of different Route Charge Policy scenarios. Different models were examined.

BLUE MED focused on the identification of redistribution policies of route charges, in order not to penalise any participating Partners in the future, which is a fundamental prerequisite to the political acceptance of FAB implementation. Cooperation among the Mediterranean ANSPs allowed a careful analysis of possible Route Charge Policy scenarios, in order to provide a conceptual framework supporting BLUE MED decision making bodies in establishing the route charging policy for BLUE MED airspace, if feasible aiming, and as a final goal, at having one single unit rate in the Mediterranean FAB.

A list of relevant economic studies and reports that are used as guidelines and reference material in BLUE MED can be downloaded here.

The results of the BLUE MED Financial, Legal and Human Resources Analysis are included in a key deliverable (D4) released in March 2008

 




Towards the Definition Phase




The Feasibility Study
(Dec 2006 - Jul 2008)




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