Friday , December 15 2017
Home | Tag Archives: Price Regulation

Tag Archives: Price Regulation

Airlines International Representation in Europe calls for better aviation policies

An organization composed of representatives from European leisure airlines has called for strict limits on European Union (EU) aviation infrastructure charges and regulations on organizations that have a grip on monopoly positions in the industry. Airlines International Representation in Europe (AIRE) Director-General Sylviane Lust has expressed to EU Transport Commissioner Violeta Bulc during a meeting that improvements to the aviation policies must be implemented urgently. AIRE, which represents 16 carriers …

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German regulator asks Lufthansa for fare price information after Air Berlin’s collapse

The German cartel office has requested national carrier Lufthansa for information on airfare prices after receiving complaints over skyrocketing rates after the collapse of Air Berlin. Air Berlin stopped operations last month after filing for insolvency back in August. Lufthansa has proposed to take on an estimated 80 planes from its fallen rival, pending the approval from the EU’s competition regulator. “We have asked Lufthansa to provide information on pricing,” …

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IATA urges Philippine government to focus on developing airport infrastructure

The International Air Transport Association (IATA) has urged the Philippine government to train its focus on addressing the more urgent matter of airport infrastructure rather than entertaining proposals to increase aviation taxes in the form of a tourism tax and Green Fee. “Aviation is vital to the Philippines. It supports 1.2 million jobs and US$9.2 billion in GDP…But the social and economic benefits of air transport are at risk if …

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Airfares rising due to taxes, charges and fees, says IATA

In the airline industry, competition is seen as a driving proponent of innovation and cost reduction, offering air travellers the benefit of choice and triggering major efficiency rewards with increasing blending and hybridization of business models. But a recent analysis from the International Air Transport Association (IATA) indicates that effective competition remains limited, with major airports continuing their strong stance. An economics briefing paper entitled “Airport Competition: Myth or Reality” …

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Philippines: Airline groups protest government plans for increased regulation of aviation sector

The Philippine government’s planned moves to increase regulation of the aviation sector were met with criticism from international airline groups. In particular, the International Air Transport Association (IATA) waxed hot over a proposal by the Civil Aeronautics Board (CAB) to cap airfares. “We are against this measure. The prices should be driven by market forces,” said IATA Director General and CEO Alexandre de Juniac. “Putting caps is the best way …

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Indonesia Transport Ministry to raise floor prices for budget airlines

Indonesia’s Transport Ministry has plans to increase floor prices for low-cost carriers in a bid to bolster flight safety. According to Indonesian Transport Minister Budi Karya Sumadi, they would soon make public new regulations on the price hike. “Safety is number one. We must seriously apply it. It has been the time for us to carry out a calculation,” he said, speaking from the Presidential office. Sumadi said that the …

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Industry groups ask EU Commission to enforce airline distribution regulations

Numerous industry groups are calling on the European Commission to strongly enforce airline distribution rules as they argue that the rise in airline consolidation threatens consumer selections with airlines gearing up to push bookings through “biased websites” and away from independent distribution channels which display all flight options. Their calls come alongside the publication of a report proposing that airline mergers, joint ventures and code-share deals have cut competition, and …

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Local airlines in the Philippines rail against airfare regulation plan by Civil Aeronautics Board

The idea of regulating airfares in the Philippines was branded “illogical” as it reduces the competitiveness of local carriers against their foreign counterparts but also might hinder the growth and development of the aviation industry. Sources with knowledge of the situation have shared that lawmakers have asked Civil Aeronautics Board (CAB) to “put a cap” on the maximum and minimum fares of local airlines, after they were “surprised by the …

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IATA urges EU to regulate major European airport monopolies

The International Air Transport Association is pushing the European Union to bolster economic regulation of major European airport monopolies by putting the interests of air travelers first. Ensuring better cost-efficiency at Europe’s airports may result in cheaper airfares, more travel opportunities for passengers and enhanced European competitiveness. In turn, this would back jobs and stimulate the economy. The argument for stronger airport charges regulation is seen in how European passengers …

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Open skies agreement could lower airfares for flights between East African countries

The classification of flights between East African countries as domestic travel is set to help lower the price of air fare and boost the number of passengers, should an agreement between regional aviation regulators be settled. The pending change will see the price of air tickets go down by up to 12% across the region, with domestic flyers charged a service fee of $5, compared to the $50 paid by …

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