Outdated airfield lighting in NZ is more than just a maintenance headache; it’s a silent cost driver that chips away at an airport’s budget, safety reputation, and ability to operate efficiently. Whether it’s increased energy bills, delayed flights, or even CAA non-conformance, the financial hit from ignoring your lighting system can be substantial.
In this article, we’re breaking down 11 under-the-radar costs that could be draining your bottom line. If you’re running a regional or major airport in New Zealand, it’s time to assess whether your lighting setup is helping or hurting your long-term returns.
1. Frequent Runway Incursions Increase Liability
Visibility Issues Trigger Costly Safety Events
Across New Zealand, runway incursions occur five to ten times a month. These events happen when an unauthorised aircraft, vehicle, or person is present on a runway, risking a potential collision.
While causes vary, outdated lighting is a major contributing factor. Dim or inconsistent illumination reduces visibility for pilots and ground crews, increasing the risk of navigational errors.
This problem is compounded during poor weather conditions or late-night operations when good lighting is most crucial.
Financial and Operational Risks:
- Higher insurance claims resulting from preventable incidents.
- Legal exposure from regulatory breaches and safety violations.
- Operational shutdowns during investigations are causing delays and lost revenue.
Upgrading your lighting system to meet modern intensity and colour standards helps reduce these incidents significantly. Better visual cues, stronger illumination, and defined taxiway boundaries reduce pilot uncertainty.
In turn, this improves compliance with CAA runway incursion regulations and maintains your airport’s safety track record.
2. Higher Landing Delays Reduce Flight Throughput
Delays Translate to Lost Revenue
Under weak or inconsistent lighting conditions, pilots may be forced to slow down during final approach or request holding patterns. This results in fewer landings per hour and longer turnaround times for ground crews.
Some pilots may even choose to avoid flying into certain airports after dark altogether, especially if they operate on tight schedules or during low-visibility conditions.
Consequences of Reduced Throughput:
- Landing fee loss for every delayed or cancelled flight.
- Inefficient gate utilisation is limiting terminal usage.
- Fewer cargo and passenger movements, cutting ancillary income.
A runway lighting upgrade improves landing guidance, reduces delays, and increases the volume of safely processed aircraft. As throughput increases, airports can maximise their income during peak hours and regain competitiveness in the eyes of airline partners.
3. Night Closure Periods for Maintenance
Aged Fixtures Interrupt Round-the-Clock Operations
Night-time maintenance used to be a routine part of managing older lighting systems, especially halide setups. These systems degrade faster under constant use and environmental stress, particularly in coastal or rainy areas common in New Zealand. Frequent closures due to lighting faults or bulb replacements not only impact operations but also strain budgets.
Impacts of Night Closure Periods:
- Diverted aircraft incur additional coordination and revenue loss.
- Crew overtime and higher costs for night shift maintenance.
- Reduced night-time capacity, limiting growth of international or charter routes.
Switching to long-life LED solutions reduces the frequency of maintenance tasks. Our systems at Up N Atom are designed for durability, extending operational uptime and allowing airports to serve more flights during critical night hours.
4. Increased Energy Bills from Inefficient Fixtures
Old Systems Burn More Than Electricity
Legacy halide or incandescent lamps are notorious for high energy consumption. For the same lumen output, these outdated systems often use up to three times the power compared to modern LED alternatives. The financial difference this creates each year can be significant for even modestly sized regional airports.
Hidden Energy Cost Factors:
- Electricity bills exceeding NZD 100,000 annually at some locations.
- Extra cooling costs in switchboards due to heat from older systems.
- Increased emissions, affecting sustainability reporting and council agreements.
Upgrading to energy-efficient lighting significantly cuts down on utility costs. With programmable dimming, motion sensors, and smart controls, modern systems can adapt to actual usage needs, saving thousands without sacrificing visibility or safety.
5. Regulatory Compliance Fines
Non-Conformance Brings Financial Penalties
The CAA and ICAO enforce strict lighting regulations that cover everything from illumination levels and spacing to colour coding and fault monitoring. Older lighting systems often struggle to meet these benchmarks, especially as their performance degrades over time.
Regulatory Risks and Expenses:
- Fines or citations for failing audits under Part 139.
- Emergency upgrade requirements which disrupt operations.
- Delays in recertification limit growth or operational expansion.
By proactively aligning lighting systems with CAA expectations, airports can avoid sudden compliance headaches. Our experienced team ensures every installation meets NZ regulations, reducing the chance of failed inspections or grounding of runway assets.
6. Reduced Airline and Passenger Confidence
Perception Drives Profitability
Lighting isn’t just a technical requirement; it’s a signal to airlines and passengers that your airport takes safety and efficiency seriously. Poor lighting is a red flag for international carriers, especially those flying under contract or with tight schedules.
It also affects passengers’ perception, influencing travel reviews and repeat visits.
How Confidence Impacts Revenue:
- Carriers may drop routes or avoid late flights.
- Tourism boards may redirect charters to better-equipped airports.
- Passenger satisfaction drops, reducing dwell-time spend.
Installing a smart lighting system not only prevents safety incidents but boosts your airport’s public image. Reliable night operations improve airline scheduling, allowing you to attract new routes and maintain strong traffic numbers.
7. Elevated Insurance Premiums
Poor Infrastructure Comes at a Premium
Insurers evaluate risk based on infrastructure condition. If lighting systems are old, lack remote monitoring, or regularly require unscheduled maintenance, that risk is reflected in higher premiums.
Why Premiums Go Up:
- Higher incident likelihood increases baseline insurance costs.
- Wider coverage gaps if system faults contribute to an event.
- Reduced payout limits, especially if negligence is involved.
By demonstrating that lighting systems meet or exceed current standards, airports can renegotiate lower insurance premiums. These savings can often justify the upgrade cost within the first contract cycle.
8. Safety-Related Litigation Costs
One Incident Can Spark Years of Legal Fallout
In the event of an incident, the TAIC investigates all contributing factors, including lighting. If poor visibility or delayed pilot recognition contributed, your airport may be liable for damages. These cases often involve multiple parties, complex legal fees, and reputational damage.
Costs to Consider:
- Legal representation and multi-party litigation expenses.
- Settlements or awards, often in the millions.
- Long-term reputational harm reduces trust in airport leadership.
A properly maintained and certified lighting system helps airports reduce these risks. Investing in safety now is far less costly than dealing with preventable legal battles later.
9. Limited Cargo and Charter Operations
Night Restrictions Kill High-Value Traffic
Freight, private, and emergency flights usually operate after hours. If your lighting system isn’t up to par, these services will bypass your airport in favour of better-equipped alternatives. That results in lost revenue, missed relationships, and underutilised capacity.
What Airports Miss Out On:
- Charter fees, often billed at higher rates.
- Cargo logistics partnerships, including bonded storage or customs handling.
- Medical or military charters, which bring consistent traffic and funding.
Expanding your airport’s capabilities through a runway lighting upgrade brings in new clients and diversifies your income beyond commercial carriers.
10. Higher Maintenance Staff Costs
Labour Costs Rise with Every Burnout
Older lighting systems require constant upkeep. Every lamp change can involve boom lifts, road closures, safety gear, and multiple personnel. The downtime alone causes ripple effects across flight operations and budgeting.
Ongoing Maintenance Expenses:
- Frequent callouts for reactive repairs.
- Increased overtime or contract rates for specialised work.
- Equipment leasing adds recurring costs.
Switching to LEDs with built-in fault diagnostics reduces the need for human intervention. Your maintenance team can focus on higher-value tasks, and you cut overhead without compromising safety.
11. Missed Revenue from Extended Hours
Low Light Equals Lost Opportunities
Many New Zealand airports operate on limited schedules due to lighting constraints. This restricts the ability to run after-dark services such as emergency landings, fire and rescue training, or VIP arrivals. Each missed opportunity is income left on the table.
Revenue Sources Lost to Poor Lighting:
- Late-night flight arrivals, charged at premium landing fees.
- Speciality training bookings, including fire and rescue or defence forces.
- Film production and private events which require off-hours access.
By increasing your night operations capacity, you open the door to flexible scheduling, higher asset utilisation, and greater profitability without building additional infrastructure.
Your Lighting System Might Be Your Biggest Hidden Expense
Every one of these hidden costs adds up. From avoidable maintenance and higher power bills to lost contracts and legal risk, outdated lighting quietly drains airport profitability. When airports across the country are under pressure to deliver both safety and efficiency, the cost of inaction becomes impossible to ignore.
We help airports across New Zealand modernise their systems with certified, low-maintenance, and energy-efficient solutions. Whether you’re preparing for your next CAA audit or simply want to increase throughput, we can design and install a system that meets the demands of your operation.
Get in touch with our team to assess your lighting setup and take control of your operating budget. It’s time to stop losing money and start seeing results.
The first step? Upgrade your airfield lighting in NZ with a system built for performance, safety, and long-term value.