Three year span for anti-trust immunity
The US House of Representatives has approved a new aviation Bill which will place a three year limit on anti-trust immunity for airline alliance members.
The Federal Aviation Authority Authorization Bill 2009 was approved by the House by 277-136.
The Bill will now go before the US Senate.
The bill has numerous clauses including the one which states that anti-trust immunity given to members of airline alliances should expire every three years.
The clause was proposed by James Oberstar, a Democratic member for Minnesota and chairman of the House transportation and infrastructure committee who believes alliances do not work in the consumer interest.
Mr Oberstar was quoted in March by Reuters as telling the International Aviation Club that alliances "sure work in the corporate interest."
He said he thought the three major alliances, Sky Team, oneworld and Star Alliance whose members include many of the world's major carriers, amounted, in effect, to monopolistic mergers which are unfair to the public.
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| James Oberstar |
"Is that what I voted for when I voted for (US airline) deregulation in 1978? Hell no," he said.
The House approval of the Bill comes as three oneworld members, American Airlines, BA and Iberia are awaiting a decision from the US Department of Transportation on their application for anti-trust immunity.
This is expected later this year.
Members of the two other alliances SkyTeam and Star Alliance have already been given anti-trust immunity to co-operate more closely on transatlantic flights.
Other clauses in the Bill include a requirement by airlines to tell passengers by e-mail or text of any flight changes and a ban on the use of mobile phones during flights.
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Comments
Obviously James Oberstar doesn't Fly Much
Clearly James Oberstar doesn't use airlines very often for if he did it would be obvious what the benefits are. As someone who has flown hundreds of thousands of miles I see numerous benefits in the alliances.
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