Gulf carriers get alliance go-ahead

Gulf carriers get alliance go-ahead
By admin

Proposed alliances involving two Middle Eastern carriers serving Australia have today edged closer to realisation, as the competition watchdog granted interim approval.

The Australian Competition and Consumer Commission (ACCC) decided interim authorisation for an alliance between Etihad and Air Berlin and another between Emirates and Flydubai was “unlikely to result in permanent changes to the relevant markets” given the length of time required to implement arrangements.

“Interim authorisation will allow the airlines to begin the planning, marketing and sale of the new services which will reduce implementation delays,” ACCC chairman Rod Sims said.

Sims anticipated the public stood to benefit from the alliances, but stressed the authorisation was in  “no way binding”.

The alliance between Etihad Airways and Air Berlin will see the two airlines undertake joint pricing, scheduling, and marketing of air passenger services between Germany and Australia. That between Emirates and Flydubai will see the carriers coordinate on passenger and cargo services between Australia and Dubai and beyond.

The ACCC has invited submissions from interested parties by May 24, after which it will publish its draft determination on both cases.

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