"Transport group bemoans high costs faced by Canadian airline industry"

Tuesday, December 21, 2004

Transport group bemoans high costs faced by Canadian airline industry
Canadian Press


OTTAWA (CP) -- The Air Transport Association says Canada should follow the
lead of Germany, which announced this week that airport landing fees and air
navigation fees will fall in the new year. 

 "Meanwhile in Canada the federal government continues to drive up airport
fees by imposing ever-rising rental charges," Cliff Mackay, president of the
association, which is the main lobby group for Canada's airline industry. 

 Airport rent in Montreal will rise 30 per cent Jan. 1 while landing fees at
Toronto's Pearson International airport will go up by 17 per cent over 2004
rates, the association said. 

 In contrast, the German Transport Ministry announced Monday that airport
landing fees will drop 28 per cent on Jan. 1 and air navigation overflight
fees will fall about 20 per cent, according to ATAC. 

 The association has called on the federal Liberal government to freeze the
rent it charges to local airport authorities at 2004 levels, pending a
cabinet debate on the issue. 

 Transport Minister Jean Lapierre, who was named to the portfolio last
summer by Prime Minister Paul Martin, said last month he would propose
several options to his cabinet colleagues. 

David Collenette, the long-time transport minister in the Chretien
government, had consistently argued that the rising land rents were part of
a long-term agreement reached when Ottawa shifted responsibility to local
non-profit airport authorities.


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