Canadian airlines slam fuel tax hike

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By TESTCustomwebLP TESTCustomwebLP September 18, 2014 21:52

Canadian airlines slam fuel tax hike

Airlines in Canada have joined forces in condemning the Canadian government’s recent 148% increase in tax on aviation fuel.

Canadian carrier Sunwing has said it will operate two of its flights out of Buffalo specifically to avoid the increased costs.

Sunwing president Mark Williams said, once it is fully implemented, the tax hike will cost the company $3 million a year.

“It’s a big deal when we’re a large contributor to the economy in Canada and in Ontario,” Williams said.

“When the government views an industry as a cash cow rather than a commercial asset, it leads to various decisions such as the recent one to offer two flights out of Buffalo,” Williams added.

Air Canada spokesman Peter Fitzpatrick said the higher tax will cost the flag carrier $48 million when fully implemented.

“At the same time, it will drive even more Canadians to U.S. border airports, taking with them money that could instead revive the Ontario economy and create jobs at home. The airline industry is moving to global hubs and Toronto is well placed to excel in that regard,” Fitzpatrick said.

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By TESTCustomwebLP TESTCustomwebLP September 18, 2014 21:52