Adjustments will generate revenue for the operation of Toronto Pearson, including increasing passenger services and investments in infrastructure and restoration projects that drive a better passenger experience.
September 28, 2022
TORONTO, ONTARIO – The Greater Toronto Airports Authority (GTAA) will increase the aeronautical rates and the airport improvement fee (AIF) on January 1, 2023. These increases are a result of the high inflationary environment and ongoing impacts from COVID-19. The adjustment to the AIF will put Toronto Pearson in line with the current rates charged by other airports across Canada.
Effective January 1, 2023, aeronautical rates for commercial aviation, business aircraft and general aviation aircraft will increase by 4 per cent. The AIF for departing passengers will increase by $5; whereas the fees charged for connecting passengers will increase by $1.
The impacts of the pandemic both on the global air travel industry and on Pearson have been significant, with the airport having added significant debt to its balance sheet to remain operational over the last two years.
The revenue generated will support the operation of Toronto Pearson, including:
- The installation of new inbound baggage carrousels, including the upgrade of 29,000 metres of baggage handling conveyor belts and a new robotic baggage storage and retrieval system in Terminal 3;
- More cleaning and passenger service providers to respond to rising demand for air travel;
- Renovations to airport amenities across both terminals, including a refresh of washrooms and customs clearance areas;
- A major restoration of roofing in Terminal 3;
- Refurbishing escalators and moving walkways while augmenting systems with advanced technologies, such as a pilot of autonomous vehicles;
- Doubling the investment in the annual airport asset restoration program; and
- Increasing staff to for maintenance and administration activities.
“Airport operations have improved significantly since the summer, but Toronto Pearson is still feeling the impact of the COVID-19 pandemic. As a not-for-profit entity, it is incumbent upon us to ensure that we have sufficient revenues to maintain and invest in a world-class facility to provide our valued passengers with an experience that is appropriate for Canada’s largest airport,” says Deborah Flint, President and CEO, GTAA.
This news release contains forward-looking information within the meaning of applicable securities laws. By its nature, forward-looking information requires the GTAA to make assumptions and is subject to inherent risks and uncertainties. These statements reflect GTAA management’s current beliefs and are based on information currently available to GTAA management. There is a risk that predictions, forecasts, conclusions and projections that constitute forward-looking information will not prove to be accurate, that the GTAA’s assumptions may not be correct and that actual results may differ materially from such forward-looking information. Additional detailed information about these assumptions, risks and uncertainties is included in the GTAA’s securities regulatory filings, including its most recent Annual Information Form and Management’s Discussion and Analysis, which can be found on SEDAR at www.sedar.com.
About the Greater Toronto Airports Authority
The Greater Toronto Airports Authority is the operator of Toronto – Lester B. Pearson International Airport, Canada’s largest airport and a vital connector of people, businesses and goods. Toronto Pearson has been named “Best Large Airport in North America serving more than 40 million passengers” for five years in a row by Airports Council International (ACI), the global trade representative of the world’s airports. In recognition of its Healthy Airport program, ACI has also awarded Toronto Pearson the “Best hygiene measures in North America” award for two years running, and Toronto Pearson was the first Canadian airport to receive ACI’s global health accreditation for its response to COVID-19.
For our corporate twitter channel, please visit @PearsonComms. For operational updates and passenger information, please visit @TorontoPearson/@AeroportPearson on Twitter. You can also follow us on Facebook or Instagram.
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