Published on Sunday, March 25, 2018

Qantas-Emirates alliance granted extension

The Australian anti-trust regulator has given the green light to a five-year extension of an alliance between Qantas and Emirates.

The Australian Competition and Consumer Commission reauthorisation confirms the draft agreement issued last month and upheld its one condition that it is furnished with full data on Australia-New Zealand routes.

The ACCC ordered the airlines to deliver data on the number of passengers, fare information and route profitability for trans-Tasman services.

This is for the ACCC to set a benchmark for the Sydney to Christchurch route.

This is the only route where the regulator sees a potential negative impact for customers.

"The condition allows us to set a minimum level of capacity on the Sydney to Christchurch route at any time, if needed," ACC commissioner Roger Featherston said.

"The continued coordination by Qantas and Emirates of their air passenger and cargo transport operations will likely lead to a range of public benefits such as improved connectivity and loyalty program benefits."

The ACCC first authorised the Qantas-Emirates alliance in 2013 for a five-year term.

The alliance, which offers immunity from certain anti-competitive practises, allows the airlines to coordinate functions including flight scheduling, pricing and marketing.

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