Norilsk airport's fixed-base operator licensed to 2029

Business & Economy April 25, 13:50

The FBO was appointed in March, 2021 under an agreement between the Federal Air Transport Agency, the Krasnoyarsk Region's government, Nordstar Airlines and the city airport

MOSCOW, April 25. /TASS/. The Russian government extended a license for Nordstar Airlines as a fixed-base operator (FBO) in Norilsk in the Krasnoyarsk Region's north until 2029, the government's official statement reads.

The FBO was appointed in March, 2021 under an agreement between the Federal Air Transport Agency (Rosaviatsiya), the Krasnoyarsk Region's government, Nordstar Airlines and the city airport. The agreement's term expires on December 31, 2024. The law on protection of competition bans agreements restricting competition between authorities and businesses, but the Russian government has the right to handle cases where such agreements are acceptable (general exceptions), including to enter agreements on the airport's FBO.

"The general exceptions, approved by the present resolution, are valid until September 1, 2029," the document reads. The regional transport authority told TASS that "the FBO offers to Norilsk Industrial District's residents a solid route network, agreed tariffs, as well as a guaranteed number of seats for passengers at fixed tariffs."

The agreements of 2021 have demonstrated a positive effect, Nordstar's CEO Leonid Mokhov told TASS. "Due to the agreement we have ensured the transport accessibility of the Norilsk Industrial District during the macroeconomic instability on the air transport market in 2020-2022 and up to the present day," he said, stressing over that time the airline had increased the number of routes from the polar airport from 15 to 26 destinations, and the "flat" tariffs have made other air carriers keep prices down. "As for Nordstar Airlines, we guarantee for the agreement's next term high-quality, stable and affordable air services from the Norilsk Industrial District and further development of the route network from the Norilsk Airport," he said.

Earlier, the Federal Antimonopoly Service suggested extending the agreement term, reporting the increased transport accessibility of the Norilsk Industrial District. Tickets are sold at a fixed cost regardless of the season and time, and the air fares are adjusted once a year by the amount not higher than the inflation rate. Air transport provides year-round and non-alternative communication for residents of the Norilsk Industrial District with the regional center and with Russia's other regions.

About the airline

The company was established in 2008 as an upgrade of Taimyr Airlines. In 2016, the company was reorganized to become Nordstar Airlines.

The Norilsk Airport (Alykel) is located 35 km from Norilsk. It was put into operation in 1950. Alykel is the air gate to the Norilsk Industrial District and the Taymyr. The airport's runway and ground infrastructures have been renovated.

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