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Fears for cheap flights from Scotland

 
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Andy
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PostPosted: Sun Feb 22, 2004 4:33 pm    Post subject: Fears for cheap flights from Scotland Reply with quote



http://scotlandonsunday.scotsman.com/scotland.cfm?id=209432004

MURDO MACLEOD POLITICAL CORRESPONDENT


MSPs are set to launch an investigation into whether a controversial
Brussels ruling on cheap flights will hurt the Scottish consumer.

The Scottish parliament's European committee is worried that Scots
looking for cheap flights abroad will be hurt by the decision, which
banned the publicly owned Charleroi Airport, near Brussels, from
offering Ryanair special deals on landing charges.

It believes the ruling, which also insisted that Ryanair repay £2.8m
to the airport operator, might lead to cuts in the number of Ryanair
flights between Glasgow Prestwick Airport and Brussels.

They also fear it will prevent publicly owned airports, such as
Inverness, from luring discount operators with special deals.

Ryanair, which flies from three Scottish airports - Prestwick,
Edinburgh and Aberdeen - is appealing against the judgment.

A paper to be debated by the European committee recommends that MSPs
should take evidence from the Scottish Executive, airlines, airports,
consumers and business to ensure consumers are not affected.South of
Scotland Conservative MSP Phil Gallie said: "The judgment certainly
goes against the interests of the Ayrshire economy if it is to be
applied across the board in Europe."

In recent years, no-frills airlines have boomed by offering fares for
as little as £10. A common approach is to persuade airport operators
to lower their charges and promise to bring in so many new passengers
the airport will more than make up the money through cafes, shops and
charges for car parking.

But, earlier this month, the European Commission ruled that the
special deal between Charleroi and Ryanair constituted state aid which
could distort competition and unfairly tilt the balance towards the
airline.

The cut-price Irish carrier and the European Parliament have both
warned that the ruling could force up prices and that the Charleroi
area, which has benefited from Ryanair's presence, could lose out if
the airline now decides to cut operations from the region.
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