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Flight planning is a large part of the air traffic operations that are presently being conducted. Airlines strive to achieve the cheapest and most cost effective routes for their flights, resulting in aircraft sometimes flying longer routes in order to avoid expensive airspaces with high unit rates. This issue has been an ongoing obstacle for the Swedish air navigation provider, LFV, as some airlines tend to fly over the Baltic Sea, through the Baltic countries, instead of the shorter route through Swedish airspace. These protracted routes result in extra kilometers being flown yearly,consuming extra fuel, as well as imply a revenue loss to LFV and Sweden. The conclusions of this study is that the airspace dodging behavior generate a revenue loss to LFV, totaling approximately €5 032 354 million per year. Should these flights fly the shortest route between their origin and destination, the before mentioned sum would mean an increase in LFV’s reported revenue from air traffic control services by 2%. Airspace dodging also results in roughly 380 408 superfluous kilometers being flown and 1 874 486 liters of additional fuel being consumed every year.

Flight planning is a large part of the air traffic operations that are presently being conducted. Airlines strive to achieve the cheapest and most cost effective routes for their flights, resulting in aircraft sometimes flying longer routes in order to avoid expensive airspaces with high unit rates. This issue has been an ongoing obstacle for the Swedish air navigation provider, LFV, as some airlines tend to fly over the Baltic Sea, through the Baltic countries, instead of the shorter route through Swedish airspace. These protracted routes result in extra kilometers being flown yearly,consuming extra fuel, as well as imply a revenue loss to LFV and Sweden. The conclusions of this study is that the airspace dodging behavior generate a revenue loss to LFV, totaling approximately €5 032 354 million per year. Should these flights fly the shortest route between their origin and destination, the before mentioned sum would mean an increase in LFV’s reported revenue from air traffic control services by 2%. Airspace dodging also results in roughly 380 408 superfluous kilometers being flown and 1 874 486 liters of additional fuel being consumed every year.

Route charges are fees that airlines pay in order to utilize the Air Navigation Services (ANS) of a European state. The fee is based on three values; the weight of the aircraft, the length of the flight, and the state’s specific unit rate. The unit rate of each state is in turn based on the forecasted costs of providing ANS for that state and the amount of traffic forecasted for the year to come. This makes for different unit rates for different states, which leads to different costs for flying different routes in the European airspace. A state having costs that are increasing faster than the amount of traffic is increasing will lead to a higher unit rate. A higher unit rate may lead to airlines avoiding the state’s airspace due to higher costs, thus accounting for even less traffic and an increase in unit rate. This thesis examines the relationship between unit rate and amount of traffic, and specifically tries to find out how much the unit rate affects the traffic count. This has been done by reading previous papers on the subject, and creating a model to easily present facts found. The result of the thesis suggests that states actually profits more by increasing the unit rate rather than actively trying to reduce it. This contradicts the idea of lowering prices always being a good thing. There is a limit to how much the unit rate can be increases however, at which all traffic will choose to circumnavigate the airspace. Finding a good balance between traffic lost and unit rate increased is suggested as the best way to go.

Route charges are fees that airlines pay in order to utilize the Air Navigation Services (ANS) of a European state. The fee is based on three values; the weight of the aircraft, the length of the flight, and the state’s specific unit rate. The unit rate of each state is in turn based on the forecasted costs of providing ANS for that state and the amount of traffic forecasted for the year to come. This makes for different unit rates for different states, which leads to different costs for flying different routes in the European airspace. A state having costs that are increasing faster than the amount of traffic is increasing will lead to a higher unit rate. A higher unit rate may lead to airlines avoiding the state’s airspace due to higher costs, thus accounting for even less traffic and an increase in unit rate. This thesis examines the relationship between unit rate and amount of traffic, and specifically tries to find out how much the unit rate affects the traffic count. This has been done by reading previous papers on the subject, and creating a model to easily present facts found. The result of the thesis suggests that states actually profits more by increasing the unit rate rather than actively trying to reduce it. This contradicts the idea of lowering prices always being a good thing. There is a limit to how much the unit rate can be increases however, at which all traffic will choose to circumnavigate the airspace. Finding a good balance between traffic lost and unit rate increased is suggested as the best way to go.