Economic regulation of airports: The case of Brussels Airport Company

• The paper considers the economic regulation of airports, focusing on Brussels Airport Company.
• The foundation of the existing regulatory framework is called into question.
• There are no indications that Brussels Airport Company holds a natural monopoly.
• It is argued that supervision of BAC is necessary, albeit under a revised regulation.

This paper considers the economic regulation of airports, with particular focus on the case of Brussels Airport Company (BAC). The foundation of the existing regulatory framework for BAC is called into question. At no point is BAC able to exert the kind market power normally associated with a ‘natural monopoly’. As a matter of fact, there are no indications whatsoever that the company holds a natural monopoly. It is nonetheless argued that supervision of BAC is necessary, albeit under a revised regulation.