17-Oct-2012 4:07 PM

Russia may give international LCCs access to domestic routes

Russia's Governmental Anti-Monopoly Service (FAS) said Russia may give international LCCs access to domestic routes to develop internal competition and reduce fare levels, according to reports by RIA Novosti, Interfax and Moscow Times. “We are very actively discussing the issue of inviting foreign low-cost airlines ... including for domestic transportation....The issue of inviting foreign low-cost airlines here and developing infrastructure for the creation of Russian low-cost air carriage is now being discussed very actively,” FAS head Igor Artemyev said after a meeting on competition and the development of small and medium business. He also said talks were under way about measures to create incentives for the establishment of domestic LCCs. The commission meeting, chaired by First Deputy Prime Minister Igor Shuvalov, agreed urgent measures to develop competition on the domestic airline market and reduce fare levels, Mr Artemyev said. The measures to increase competition on the airline market will also apply to fuel facilities and airport charges, he said. “Today the Transport Ministry, FAS and the Economics Ministry have agreed that all airports transporting over one million passengers a year should have at least two fuel and filling complexes while airports carrying over five million passengers must have three such facilities. This will create competition in the fuel sector,” he said.

Want More News Like This?

CAPA Membership gives you access to all news and analysis on the site, along with access to many areas of our comprehensive databases and toolsets.
Find Out More