| Asset type | Expected life (years) |
|---|---|
| Freehold buildings, including related works services | 20–40 |
| Furniture and fittings | 10–15 |
| Motor vehicles | 4–10 |
| Electronic equipment (including telecommunications equipment | 7–15 |
| General equipment | 7–10 |
| Computer equipment | 3–10 |
| Basic software and, if appropriate, application software | 3–8 |
| Aircraft | 10–20 |
| Leasehold buildings | Lease–long (i.e. over the entire period of lease) |
| Source: EUROCONTROL (2011), Principles for Establishing the Cost-Base for Route Charges and the Calculation of the Unit Rates | |
32 Asset life
32.1 EUROCONTROL recommended values
Table 32.1 presents the accounting period, in years, for a given asset used to derive the amortisation of investment expenditure.
Asset life as used in cost-benefit analyses reflects the expected operating life of the specific equipment concerned, which is also the basis for calculating depreciation costs which are taken into account to determine route charges.
The above data provide indicative parameters for classes of equipment for economic analyses. The actual percentages to be applied in calculating the depreciation of fixed assets must be determined in accordance with the expected operating life and the pertinent International Financial Reporting Standards issued by the International Accounting Standards Board.
32.2 Other possible sources
ICAO (2013), Manual on Air Navigation Services Economics (Doc 9161)[1]
European Commission DG REGIO (2014), Guide to Cost-Benefit Analysis of Investment Projects for Cohesion Policy 2014-2020[2]
European Commission DG REGIO (2022), Economic appraisal vademecum 2021-2027 General principles and sector applications[3]
32.3 Refrences
[1]
ICAO, “Manual on Air Navigation Services Economics (Doc 9161),” 2013 [Online]. Available: https://data.icao.int/icads/Product/View/120
[2]
European Commission DG REGIO, “Guide to Cost-Benefit Analysis of Investment Projects for Cohesion Policy 2014-2020,” 2014 [Online]. Available: https://ec.europa.eu/regional_policy/en/information/publications/guides/2014/guide-to-cost-benefit-analysis-of-investment-projects-for-cohesion-policy-2014-2020
[3]
European Commission DG REGIO, “Economic appraisal vademecum 2021-2027 General principles and sector applications,” 2022 [Online]. Available: https://op.europa.eu/en/publication-detail/-/publication/cf2c28fe-484e-11ed-92ed-01aa75ed71a1/language-en