People wait in line to check in at Pearson International Airport in Toronto on Thursday, May 12, 2022. Canadian travellers are facing increased airport fees after the pandemic grounded revenues and led to accumulating debt for airports across the country. THE CANADIAN PRESS/Nathan Denette
TORONTO – Canadian travellers are facing increased airport fees after the pandemic grounded revenues and led to more debt for airports across the country.
DBRS Morningstar says COVID-19 disrupted the airport sector’s “relatively stable” and resilient business model.
The credit rating agency’s analysis shows that while airlines received significant financial aid during the height of the pandemic, airport authorities only benefited from “modest” support.
That means Canadian airports have added around $3.2 billion in combined debt.
It says operating costs and capital project expenditures are also rising due to inflation.
DBRS points to Toronto Pearson International Airport increasing its airport improvement fee by $5 to $35 for departing passengers and by $4 to $7 for connecting passengers during the pandemic as an example of higher costs to travellers.
This report by The Canadian Press was first published March 6, 2023.
