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ec plans could push up air fares claims IATA

AIRLINES say plans by the European Commission to
provide overbooked passengers with five times the current compensation will
force fares up.

The EC is drafting legislation to award passengers £450
if they have to wait more than two hours for an alternative flight of under
3,500km and £900 for a four-hour wait for trips of more than 3,500km.

The International Air Transport Association, the
carriers’ own regulator, said fares would rise to offset the increase and
branded the levels “excessive”.

IATA assistant director of passenger services Michael
Muller added that the legislation would hit European airlines at a difficult
time.

The European Regions Airlines Association claimed the
plans renege on a November agreement with the EC to suspend moves on
legislation which could put a further burden on airlines and also said more
compensation would mean higher fares.

However, the Air Transport Users’ Council welcomed the
EC proposal.

Chief executive Simon Evans said: “This is more
than we had hoped for and has taken us a bit by surprise. It is a genuine
attempt to improve rights in an important area.

 

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