Incentives for Early Airborne CPDLC Equipage

The LINK 2000+ programme has been working on the definition of incentives schemes for early airborne equipage since 2005. Various creative schemes were explored with stakeholders, such as reduced route charges for those that equip early. However, it proved impossible to get stakeholders to commit to such schemes even though the principles of the route charge system were modified to accommodate them.
Following an economic analysis by the industry consultation body for the Single European Sky, several short-term projects were recommended for funding to accelerate early ATM benefits and to provide the launch pad for SESAR.

In spring 2009 the TENT Executive Agency (TENT-EA) of the European Commission launched a call for interest under the Emergency Economic Recovery Plan aimed at easing the financial crisis in transport industry sectors. The airspace user associations (IATA/AEA/IACA/ERAA/EBAA) asked EUROCONTROL to make a proposal and obtain a grant from this fund to support the early retrofit of CPDLC for aircraft subject to EC Reg. No. 29/2009. The bid was made in May 2009 and a positive decision was given in December 2009.
EUROCONTROL is acting as the fund holder of the TENT-EA grant and is subject to TENT-EA rules on administering the funds. EUROCONTROL signs contracts with airspace users to equip a given number of aircraft. A number of conditions apply:

  • airspace users receive 20% of the actual cost of equipage;
  • airspace users must show evidence of contracts with
    suppliers before the end of 2010;
  • all aircraft must be equipped before the end of 2012.


The figure illustrates the basis upon which EUROCONTROL signs contracts with airspace users. The EUROCONTROL grant contract is for 20% of the actual cost of equipage whilst the airspace user must show evidence of supply contracts for the total cost.
50% of the grant is paid when EUROCONTROL receives evidence of supply contracts from the airspace user and the rest is paid on receipt of evidence of equipped aircraft.
EUROCONTROL has launched several calls for tender (January 2010, June 2010 and August 2010) to recruit airspace users into the scheme and has so far made contacts with airspace users for more than 700 aircraft.
Whilst 20% of the actual cost is sufficient to attract significant interest from many airspace users to retrofit early, for others it was not possible to make the business case in the short time available; they will not equip until later, bearing in mind that EC Reg. No. 29/2009 requires retrofit by 2015.
Article reprinted from EUROCONTROL’s LINK2000+ Uplink 13.

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