US airlines file DOT complaint alleging excess Bahamas fees

Airlines for America, a trade group representing US carriers, has lodged a complaint with the US Department of Transportation alleging unjustifiable, unreasonably discriminatory, anticompetitive and unreasonable charges have been levied against its member airlines by the Bahamas that violates the Air Transport Agreement (ATA) between the two countries. A4A says the Bahamas is charging "astronomical" fees for air navigation services that far exceed the cost of providing those services. The trade group says that the Bahamas views air navigation charges as a way to exercise their sovereign right over their airspace but A4A says the excessive levies are a breach of its obligations under Article 10 of the US-Bahamas ATA. In addition to the Bahamian government, listed respondents include Bahamas-based Air Ambulance Services Ltd., Azure Aviation (Bahamas), Bahamasair, Cherokee Air, Golden Wings Charter (Bahamas), Inter Island Charters (Bahamas), Island Wings Ltd., KSA Charters Ltd., LeAir Charters Ltd., Performance Air (Bahamas), Southern Air Charter, Trans Island Airways, and Western Air Bahamas. Airlines party to the A4A complaint include American Airlines, Atlas Air, Delta Air Lines, FedEx Express, JetBlue Airways, Southwest Airlines, United Airlines, and United Parcel Service. "After significant engagement with the government of the Bahamas on this issue, the members have not seen or received any details that confirms that Bahamas’s air navigation charges are consistent with their treaty obligations," the complaint reads. "Accordingly, the members resort to requesting that the department exercise its authorities under IATFCPA (International Air Transport Fair Competitive Practices Act of 1974) to remedy the unjustifiable, unreasonably discriminatory, anticompetitive activities of the Government of the Bahamas."<br/>