IATA

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production value. If Canada is serious about aviation as an economic driver, this must change.”

The IATA boss singled out rent that airports in Canada must pay the crown, noting that 38 per cent of the federal government’s revenues from aviation come from those rents.

“The federal government does nothing for its cash,” he said. “Yes, it is the owner of the property, but since airports were given to local authorities in 1992, the government has collected over $2-billion in rent from airports that were only worth $1.5-billion when they were transferred to local authorities.

“And all improvements in facilities since then have been fully funded by users, not the government.”

And he concludes, “It is time that we do something about it. I ask that you join me in calling on Ottawa to eliminate Crown rents and give Canada’s aviation business a fair chance to compete globally.”

IATA represents some 250 airlines comprising 94 per cent of international scheduled air traffic.

US airlines join chorus of boos

MIKE DUNBAR

America’s airlines have added their combined voice to the chorus of disapproval over Canada’s loony airport charges. The Air Transport Association (ATA) last week warned that “irrational rents” at the nation’s four major air gateways are threatening cross-border travel and trade.

Immediately following the federal budget, which failed to address the issue, the ATA released a statement charging that the continued failure of the Canadian government to rationalize airport rents is making destinations here less attractive to US air carriers.

ATA president James May argued, “With Canada’s largest airports ranking among the most expensive in the world for airlines, it becomes extremely difficult from an economic standpoint to justify routes north of the border.”

In fact, the ATA points out that Toronto’s Pearson tops the list of the world’s most costly airports, while YVR, Montreal and Calgary are among the top 20.

May stated, “A rent reduction at Toronto Pear-son is desperately needed. Businesses in Toronto should have easy air access to every major market in the [US]. That is threatened unless the government reduces airport rents.”