Italy air fare cap in line with EU norms says ministry – English

(ANSA) – ROME, AUG 16 – Italy’s proposed cap on air fares is
in line with European Union norms and is not a breach of
free-market rules as claimed by European airlines who have asked
the European Commission to intervene in the matter, Italy’s
transport ministry said Wednesday.


   
“The measures introduced by the Ministry of Enterprise and Made
in Italy (against the high cost of flights) are fully in line
with European directives on the protection of consumers in the
face of speculative phenomena, or in any case distortions of the
market, such as those reported in recent months by the
controlling authorities for some air routes”, said ministry
sources.


   
They added that “the ministry has all the elements needed to
respond, in a complete manner, to any requests from the European
Commission as is customary through its own offices”.


   
Airlines have asked the European Commission to intervene in
relation to plans by the Italian government to cap air fares on
certain domestic routes, according to an article published by
the Financial Times on Tuesday.


   
In a letter seen by the London newspaper the trade body Airlines
for Europe (A4E) has called on Brussels “to clarify with Italy
that this intervention impacts the free and deregulated air
transport market in Europe”.


   
Last week the government of Premier Giorgia Meloni approved a
decree setting a ceiling on the prices of flights to the Italian
island regions of Sicily and Sardinia.


   
However, A4E argues that this could “set a precedent and lead to
a domino effect”.


   
Limiting fares would “violate” the rights of companies to
‘”compete wherever possible, set prices and define services as
they see fit”, the trade body added.


   
Ryanair CEO Eddie Wilson has already blasted the measure
clamping down on the use of algorithms to set flight prices,
calling for it to be scrapped. (ANSA).