Flair Airlines said it welcomes a Competition Bureau market study into Canada’s domestic air passenger services, calling the current environment “inhospitable” for low-fare airlines.
The Vancouver-based carrier is calling for airport slot allocations in major hubs like Toronto Pearson, Vancouver, Calgary and Montreal-Trudeau airports, to be managed by a neutral third party, rather than by the airports themselves.
“Competitors have employed various tactics to stifle low-cost competition, and the government’s response has been disappointing,” said Flair in a statement.
“They aim to dominate smaller airlines by sheer force, with the ultimate goal of eliminating competition and raising airfares unchecked, reverting to an aviation duopoly.”
Maciej Wilk, interim CEO and president of Flair Airlines, said the company is also concerned with what he said is the “exorbitant cost” of the aviation ecosystem in Canada.
“Airport fees, navigation charges, and security fees are significantly higher than global norms, disproportionately benefiting full-service, high-fare airlines, like Air Canada and WestJet,” he said.
The company is also asking for consultations with industry players like Nav Canada and airport pricing lists, with oversight and acceptance by the Canadian Transportation Agency. Flair said this is “the norm” in Europe.
“Canadians suffer from a lack of competition, but Flair is determined to fight for the consumer,” said Eric Tanner, Flair’s VP of revenue management and network planning.
“Flair has lowered market airfares by an average of 34 percent and saved Canadians over $700 million. Despite being the underdog, we continue to prevail, as evidenced by our competitors’ attempts to match our low fares. However, for the Canadian consumer to truly benefit in the long term, the federal government must actively support a level playing field.”
