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Coordinated capacity and demand management in a redesigned Air Traffic Management value-chain

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  • Ivanov, Nikola
  • Jovanović, Radosav
  • Fichert, Frank
  • Strauss, Arne
  • Starita, Stefano
  • Babić, Obrad
  • Pavlović, Goran

Abstract

We present a re-designed European Air Traffic Management value-chain, with a new role for the Network Manager, which coordinates capacity and demand management decisions, using economic instruments for both areas. A conceptual and mathematical model supports decision-making in that process, focusing on capacity management decisions taken at the strategic level. Total costs are minimized by jointly managing sector-opening schemes and trajectory assignments. A large-scale case study demonstrates clear trade-offs between the volume of capacity ordered and the scope of necessary demand management actions. In addition, the comparison against a baseline, which resembles the current system, shows that with the proposed concept less capacity is needed to serve the same demand, resulting in lower total cost for Aircraft Operators.

Suggested Citation

  • Ivanov, Nikola & Jovanović, Radosav & Fichert, Frank & Strauss, Arne & Starita, Stefano & Babić, Obrad & Pavlović, Goran, 2019. "Coordinated capacity and demand management in a redesigned Air Traffic Management value-chain," Journal of Air Transport Management, Elsevier, vol. 75(C), pages 139-152.
    • Handle: RePEc:eee:jaitra:v:75:y:2019:i:c:p:139-152
    DOI: 10.1016/j.jairtraman.2018.12.007
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    2. Künnen, Jan-Rasmus & Strauss, Arne K., 2022. "The value of flexible flight-to-route assignments in pre-tactical air traffic management," Transportation Research Part B: Methodological, Elsevier, vol. 160(C), pages 76-96.
    3. Bolić, Tatjana & Castelli, Lorenzo & Corolli, Luca & Scaini, Giovanni, 2021. "Flexibility in strategic flight planning," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 154(C).
    4. Goran Pavlović & Frank Fichert, 2019. "Effects of fragmentation on route charges," Competition and Regulation in Network Industries, , vol. 20(4), pages 290-304, December.
    5. Silvia Zaoli & Giovanni Scaini & Lorenzo Castelli, 2021. "Community Detection for Air Traffic Networks and Its Application in Strategic Flight Planning," Sustainability, MDPI, vol. 13(16), pages 1-16, August.
    6. Luis Delgado & G'erald Gurtner & Tatjana Boli'c & Lorenzo Castelli, 2021. "Estimating economic severity of Air Traffic Flow Management regulations," Papers 2112.11263, arXiv.org.
    7. Zhang, Qiuhan & Le, Meilong & Xu, Yan, 2021. "Collaborative delay management towards demand-capacity balancing within User Driven Prioritisation Process," Journal of Air Transport Management, Elsevier, vol. 91(C).
    8. Künnen, Jan-Rasmus & Strauss, Arne K. & Ivanov, Nikola & Jovanović, Radosav & Fichert, Frank, 2023. "Leveraging demand-capacity balancing to reduce air traffic emissions and improve overall network performance," Transportation Research Part A: Policy and Practice, Elsevier, vol. 174(C).

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