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THERE IT IS communicated its concern about the Spanish decision to force airlines to include hand luggage in all their fares.
The International Air Transport Association condemns the decision of the Spanish government to annul the European law, eliminate carry-on baggage fees for passengers in Spain and fine the airlines 179 millions of euros for not doing it. This measure undermines price freedom, fundamental to consumer choice and competition, a principle that has long been defended by the Court of Justice of the European Union.
«This is a terrible decision. Far from protecting consumer interest, It is a slap in the face to travelers who want to choose. Banning all airlines from charging for cabin bags means the cost will automatically be included in all tickets. What's next? Force all hotel guests to pay for breakfast?? Or charge everyone for the cloakroom when they buy a concert ticket? EU law protects price freedom for good reason. And airlines offer a range of service models, from all inclusive to basic transportation. This measure by the Spanish government is illegal and must be stopped., Willie Walsh said., Director General of IATA.
IATA's concern
Consumers want choice and value for money. This law would eliminate both.. A recent independent survey commissioned by THERE IT IS to Savanta* of recent air travelers residing in Spain indicated that the 97% was satisfied with his last trip and confirmed the following preferences:
- 65% you prefer to pay the lowest possible price for your airline ticket and pay extra for any additional services you need.
- 66% agreed that, usually, there is sufficient transparency about the fees charged by airlines for various travel options.
- 78% said air travel is good value for money.
- 74% said they feel well informed about the products/services they buy from airlines.
These findings align with the European Commission's latest Eurobarometer survey, in which the 89% of European travelers said they were well informed about baggage allowances.
The existence of different models, from full service to low cost, It is a response to market demand and no regulation is needed in this area. What's more, Ancillary revenues are key to the business model of low-cost airlines, which has reduced prices and expanded access to air travel for lower income groups.
An illegal step against EU law
This is not the first time Spain attempts regulatory action and similar misguided fines. On 2010, The Spanish government attempted to impose similar fines and restrictions on airlines based on the article 97 of Spanish Law 48/1960, a law enacted when Spain was a fascist dictatorship. This was repealed by the EU Court of Justice on the basis of an EU regulation protecting price freedom. (Article 22 of Regulation No.. ° 1008/2008).
Having failed in his first attempt, This last measure once again tries to subvert price freedom by prioritizing another Spanish Law (Article 47 of the General Law for the Defense of Consumers and Users) in conflict with the principles of price freedom that are unequivocally enshrined in European law.
Carrying cabin suitcases has an associated cost. This is mainly due to increased boarding times, as a result of the time it takes for passengers to accommodate their luggage. Aircraft utilization is a key parameter of airline profitability, especially in short haul operations. Add 10-15 extra minutes on the ground to board each flight quickly reduces the number of flights and planes they can make each day.
«Everyone pays more for fewer options, "It is the worst possible result that a regulation could provide", Walsh said..
What do you think of this measure from Spain??
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