Greyhound Needs Air Licence
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OTTAWA, April 12, 1996
The National Transportation Agency of Canada released a decision today requiring Greyhound Lines of Canada Ltd. (Greyhound) to have a licence to operate its proposed air service in Canada. The decision was made following a complaint filed by WestJet Airlines Ltd. on the propriety of the proposed Greyhound/Kelowna Flightcraft Air Charter Ltd. operations.
In inquiring into this complaint, the Agency asked both Kelowna and Greyhound to submit all documents relating to the proposed operation. The documents were submitted to the Agency on a confidential basis on April 3, 1996.
After careful review of all the material, the Agency concluded that if the "Greyhound Air" service were to commence as proposed by Greyhound/Kelowna, Greyhound would be operating a publicly available domestic air service.
Canada's transportation law as enacted by Parliament, prohibits the operation of a domestic service without a licence. Greyhound does not hold a domestic licence.
The current legislation does not empower the Agency to take action against unlicensed air carriers proposing to operate air services prior to the actual operation of the first flight.
The proposed Canada Transportation Act, now before Parliament, would prohibit the sale and promotion of tickets by an unlicensed air carrier. The current legislation does not contain such a prohibition.
Mark E. Gromoll
After hours (819) 773-1446