Airlines may be required to publish a detailed breakdown of their prices, in addition to a fully inclusive price, if a new law being considered by Europe’s legislators gets the green light, risking further confusion for passengers as the European Regions Airline Association (ERA) stated.
According to the association, the 60 airline members of ERA have been at the forefront of publishing fully inclusive fares to the public as part of the “Plain Fares” campaign launched by the Association in 2006. As part of the European Commission’s review of the Third Package legislation, lawmakers are now proposing for airlines, and airlines only, to publish a detailed breakdown of their prices, splitting out for example the costs of airport security and fuel surcharges.
Andy Clarke, director air transport policy, says: “This is absurd bureaucracy and will confuse passengers. If you stay at an hotel or buy some items of clothing, you get the final price. Do you want to know what the hotel or shop spends on security or heating? Why do Europe’s lawmakers believe that you have different needs when you fly?”
The European Commission has recently undertaken a much publicised study into pricing on airlines’ websites claiming that current laws require all businesses to use fully inclusive pricing. The new European Directive on unfair consumer practices, which is due to come into effect in December, certainly requires all European businesses, including airlines, to use inclusive prices.
Andy Clarke adds: “It is clear that passengers want to see fully inclusive prices. They are already supported in this by European consumer law. ERA finds it extraordinary that Europe’s legislators are considering yet another law, specific to airlines only, that would require them to publish not only fully inclusive prices but a detailed breakdown of those prices. We seem to be going round in circles!”
Michael Verikios - Thursday, November 15, 2007