26 June 2008

Should US Airlines be allowed to hold onto Dormant Authority?

The principal of US airline service used to be USE IT OR LOSE IT. Back when there was domestic regulation - this meant that dormant authority had specific rules for use it or lose it abandonment or even failing to take up the authority provided.

Recently the airlines (US Majors) petitioned for a suspension of the current rules so that they can hold onto current route authority and wait out the recession. I believe this is fundamentally wrong.

If a carrier is not able to provide service, delays service or reduces service to a level less than what was bid on their application for international traffic rights then the carrier should be forced to forfeit the service and route authority can go back into a pool for the back up carrier or other carriers to fly the route.

US Airways has announced that it wishes to delay the start of US-China authority. At the same time it has canceled leases on 2 A330s it could have used for the service. So now it is claiming it doesn't have the aircraft to fly the route. OK I am game explain why this is a non-sequetor? United has canceled the DEN-LHR route. - There are many more examples of this. Both airlines are party to the petition to allow dormant authority to rest with the airline until such time as the economic climate improves.

The US airline business needs new blood. Lets stop this feather bedding and coddling of the incumbent and inefficient airlines.



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