FAS have criticized the extension of the rights of “Aeroflot” Transaero routes

Moscow. 31 Oct. The Federal Antimonopoly service (FAS) of the Russian Federation are dissatisfied with that the interdepartmental Commission of the Ministry of transport has extended the group of “Aeroflot”, the tolerances on the international routes, “Transaero”, said the head of Department Igor Artemyev to journalists in Moscow.

“Here’s a classic version of the industry guidance. Not wanting absolutely nothing to hear, the Ministry of transport takes and extends, giving into the hands of the biggest companies the most delicious and interesting routes. Well, why not support at least part of routes of the second, third carrier to increase competition?”, – said Artemyev.

“That has taken the largest (player in the market), there are also subsidies, and there are all preferences, and all the rest – pagebites, – continued the head of the FAS. Well, it is the Soviet policy led to the collapse. And in a market economy it’s exactly the fit between the two chairs. And ends that we could lose this market, its structure. So there will soon be one of “Aeroflot” and what are we going to do? Of course, we are dissatisfied.”

As reported, in late October, the Federal air transport Agency, by Executive order extended to “Aeroflot” and its subsidiary “Russia” tolerances on 37 of the 46 routes which went to a group last year from “Transaero”. The decision is valid until March 25 (the last day of the IATA winter season 2016/2017.) “with the possibility of extension subject to the provision of “Aeroflot” and “Russia” guarantees the conscientious use of these tolerances”. The order was signed by voting members of the interdepartmental Commission under the Ministry of transport, which includes, including representatives from the FAS.

“Aeroflot” considers the resulting tolerances “compensation” for the transportation of nearly 2 million passengers “Transaero” (about 17 billion rubles), the employment of its employees (4.5 thousand) and a portion of its aircraft. According to the calculations of “Aeroflot”, the payback period of costs on the export of passengers “Transaero” can be up to six years, depending on economic conditions and, while maintaining the company received routes.