IAPA fears flaw in CRS Code will mean higher fares

Wednesday, 19 Mar, 2008 0

The International Airline Passenger Association is calling on MEPs to ensure that the intentions of the European CRS Code of Conduct are honoured in practice, not just on paper.

IAPA fears the Code of Conduct review will lead to higher fares unless a potential flaw is ironed out.

It says the Code could effectively be rendered impotent by a new interpretation of the term “parent carrier”.

“This term has always been understood to apply to airlines that own a share of a CRS, and the Code has key restrictions on such airlines’ behaviour to prevent them from introducing bias to the CRS display that would favour their own flights,” said an IAPA statement.

“Now IAPA understands that what constitutes a “parent carrier” could be interpreted, for the first time, as excluding the key airlines Lufthansa, Air France and Iberia which, between them, own 46% of Amadeus, the leading CRS in Europe.

“The implications of this are that these airline would no longer be constrained by the restrictions of the Code, and travel agents, consumers and competitive airlines alike would have to rely on those airlines’ good nature and sense of fair play to ensure that CRS flight listings remain neutral and unbiased.”

IAPA fears these airlines could squeeze competitive flights and fares off the crucial first page of results from agents’ CRS displays and some key internet travel sites, allowing them to increase their own fares.

It is urging MEPs to ensure that a level of ownership of 46% is recognised as leading to the potential for influence.

By Bev Fearis



 

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Bev

Editor in chief Bev Fearis has been a travel journalist for 25 years. She started her career at Travel Weekly, where she became deputy news editor, before joining Business Traveller as deputy editor and launching the magazine’s website. She has also written travel features, news and expert comment for the Guardian, Observer, Times, Telegraph, Boundless and other consumer titles and was named one of the top 50 UK travel journalists by the Press Gazette.



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