Air Canada exec opposes Ontario aviation tax hike
The CEO of Air Canada has hit out at Ontario lawmakers’ proposal to increase aviation excise fuel taxes, saying the proposed tax hike will hit the Canadian airline industry hard and damage the economy.
"Ontario will continue to lose business to US border airports and other provinces with more progressive perspectives on economic development," said Air Canada CEO Calin Rovinescu.
A Conference Board of Canada study recently said up to 5 million Canadian air travelers annually drive to US border airports to avoid paying the higher departure taxes.
Rovinescu said the proposed tax increase will cost Canadian aviation an extra $100 million.
Ontario already has the highest excise tax on aviation fuel in North America, he said.
The proposal by the Ontario government is to almost triple the rate of excise fuel tax, which will ultimately be passed on to air travelers.
Rovinescu has backed opposition to the budget proposal and believes it is nothing more than a "facile source of revenue to subsidize other government initiatives."
TravelMole Editorial Team
Editor for TravelMole North America and Asia pacific regions. Ray is a highly experienced (15+ years) skilled journalist and editor predominantly in travel, hospitality and lifestyle working with a huge number of major market-leading brands. He has also cover in-depth news, interviews and features in general business, finance, tech and geopolitical issues for a select few major news outlets and publishers.
Vegas’s Billion-Dollar Secrets – What They Don’t Want Tourists to Know
Visit Florida’s New CEO Bryan Griffin Shares His Vision for State Tourism with Graham
Chicago’s Tourism Renaissance: Graham Interviews Kristin Reynolds of Choose Chicago
Graham Talks with Cassandra McCauley of MMGY NextFactor About the Latest Industry Research
Destination International’s Andreas Weissenborn: Research, Advocacy, and Destination Impact
Graham and Don Welsh Discuss the Success of Destinations International’s Annual Conference
Graham and CEO Andre Kiwitz on Ventura Travel’s UK Move and Recruitment for the Role
Brett Laiken and Graham Discuss Florida’s Tourism Momentum and Global Appeal
Graham and Elliot Ferguson on Positioning DC as a Cultural and Inclusive Global Destination
Graham Talks to Fraser Last About His England-to-Ireland Trek for Mental Health Awareness
Kathy Nelson Tells Graham About the Honour of Hosting the World Cup and Kansas City’s Future
Graham McKenzie on Sir Richie Richardson’s Dual Passion for Golf and His Homeland, Antigua
ADS PRO 
Qatar Airways offers flexible payment options for European travellers
Airlines suspend Madagascar services following unrest and army revolt
Digital Travel Reporter of the Mirror totally seduced by HotelPlanner AI Travel Agent
Strike action set to cause travel chaos at Brussels airports
Phocuswright reveals the world's largest travel markets in volume in 2025