Regulator clears airlines for inter-island code-sharing

FARES on the inter-island route will not be reduced despite Aurigny and Blue Islands making substantial savings with the newly-approved code-sharing agreement, the regulator has said.

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The Channel Islands Competition and Regulatory Authorities yesterday announced that it had agreed to allow Aurigny and Blue Islands to operate a joint Guernsey-Jersey service after the airlines applied for an exemption under the islands’ competition laws.

It said concerns had been raised  about possible increases in fares and it had sought to clarify the airlines’ intentions, given that the proposals would lead to lower operating costs.

‘The parties clarified that at this stage they did not expect to offer lower fares,’ the regulator said in its decision.

‘Instead, they were seeking to mitigate the losses to ensure a sustainable service.

‘They contended that customers’ interests will be served through the maintenance of competition which, they submit, would otherwise disappear in the absence of the code-share agreement.’

The new arrangement, which will run for two years, will see Blue Islands operate its 46-seat ATR-42 on the route.

Aurigny will take a fixed block of seats at a set price and will provide ground support at the airports in both islands.

Comments for: "Regulator clears airlines for inter-island code-sharing"

Jon

I'm really surprised they're not adjusting the fares - it's going to be saving them a lot of cash!

As I said in a previous article, my only concern is the limited number of flights on weekends. In theory this code share should mean Aurigny do not need to purchase any new aircraft, as they could rotate the trislanders more frequently so they all have a similar amount of usage?

Tony Webber

Jon,

I agree with your points.

In my opinion, the costs of inter Island flights need to come down.

This will encourage greater Channel Island co-operation in the business, political, social, sporting and cultural areas.

What concerns me is who is going to monitor this ?

The tax payer representatives in respect of T & R ?

Or are they ( and the Aurigny Board ) too focussed on trying to make money rather than provide the best services to the public ?

What do we want from Aurigny ? An airline which strives to improve off Island connections at a reasonable cost, or a future restricted operation which is focussed on making money. I know which one is better for the Bailiwick.

Regular Visitor

Just hope this doesn't mean Aurigny friendly/warmth of Service doesn't dip down. Is this a back door way in for Blue Islands to muscle in on Aurigny, sincerely hope not !

It might save both money but Aurigny must maintain their own Standards.

becks

I`d like to predict that within three months, around about Easter leading to Summer time, that the fares on this joint venture will rise by AT LEAST 10% and there will be nothing that Joe public will be able to do about it because The States won`t fight it because they want THEIR company to make profits.

If they are allowed to raise these fares then it won`t be far behind that an increase on all other fares will follow very close behind which, of course, will include Blue Island`s fares, all part of the deal I should think.

It`s all so very obvious.