Quest Travel Ltd.
1592 Barrington Street
Halifax, NS B3j 1Z6
(902) 555-8747
The Honourable Marc Garneau, Minister of Transport
House of Commons
Ottawa, ON
K1A016
Dear Minister,
I hereby write you this letter as the Administrative Assistant for Quest Travel Ltd. I represent the downtown branch. We are a Maritime-based travel agency that offers a convenient service for customers travelling for both business and pleasure. Our goals are to synchronize each trip to the client's needs to ensure that they get the best possible experience. Travel arrangements we cater for include the booking of flights, bus or train tickets, rental cars, cruises or accommodation. Furthermore, we ensure that all these are in tandem with the customer’s needs.
Quest Travel Ltd. is a member of the Association of Canadian Air Travel Agencies (ACTA). Before the October 2015, federal elections, the Association sent its members a list of grievances it wanted newly elected officials to address. Topping this list was the Canadian Airport fees. Statistics show that these charges are among the highest in the world. Therefore, being a member, we write you this letter requesting a reduction in airport fees (Roy & Michel 1).
There is an urgent need to halt the exorbitant ground rents charged by airports and the increase in airport fees. These extortionary tactics by Ottawa tremendously drive up the cost of air transport. This situation makes consumers opt for U.S airports in pursuit of cheaper flights. The Canadian government is the only government that imposes such charges on airports. On the other hand, others, especially the U.S, offer a substantial subsidy to the airline industry. This strategy aims at encouraging travel by both visitors and citizens.
This situation has for a long time been a hot topic even in the media fraternity. An article in the Financial Post in October 2012 made a shocking but truthful revelation. It claimed that government fees and taxes have for a long time carried been responsible for the non-competitive environment, the Canadian airports operate. Each year, close to 5 million passengers flee Canada to look for cheaper flights in the United States (Deveau 1). The Conference Board of Canada also made the same remarks. Moreover, they even stated that passengers not only move to the U.S for cheaper flights but also go there for purposes of cross-border airfare shopping. They further recommend that changes in Canadian policies have the potential of bringing back around 2 million passengers annually to Canadian airports.
The following lists some of the Aeronautical Fees approved by the Greater Toronto Airports Authority that took effect on November 16, 2015. These are just the arrival and landing fees.
Domestic arrivals (Per seat) - $7.06
Non-Domestic arrivals (Per seat) –$8.82
Landing Fees
Aircraft above 19,000 Kg - $17.19
Fixed wing aircraft 19,000 Kg or less: - $145.00 peak
$82.50 Non-peak
Helicopters (All times) - $25.00
We, therefore, urge your ministry to discuss this matter with other political leaders and chart the way forward in reducing airport fees. The high costs are a hindrance to the growth of Canadian air travel, and if no action gets taken, we will lag behind our competitors, especially the U.S.
Works Cited
Deveau, Scott. "Why Canadian Airports Are So Expensive and Inefficient." Financial Post. N.p., Oct. 2012. Web. 31 Mar. 2016.
Roy, Jacques, and Michel Nadeau. "The Governance of Canadian Airports." IGOPP. N.p., 3 Feb. 2014. Web. 31 Mar. 2016.
