Israeli airlines lobby for assistance amidst $155m refund burden

In a recent meeting of the Knesset’s Economic Committee, the dire financial situation of Israeli airlines came to the forefront, with revelations that approximately $155m has been refunded to customers due to canceled flights during the ongoing conflict. This information was disclosed by the committee on Monday, shedding light on the impact of the war and the need for a delay in the enforcement of the Tibi Law. The Tibi Law, officially known as the Aviation Services Law, mandates compensation for flight cancellations. However, the current situation has prompted discussions about the necessity of amending the law, considering the exceptional circumstances of the ongoing conflict. Committee chairman MK David Bitan urged the ministries of finance and transportation to devise a comprehensive assistance plan for the struggling aviation industry within the next two weeks. The committee meeting aimed to address the exclusion of the aviation sector from general compensation arrangements, sparking concerns about the financial viability of Israeli airlines. El Al’s Vice President of Commerce and International Affairs, Shlomi Zafrani, highlighted the airline’s pivotal role in maintaining airport operations during the conflict. “If El Al had not existed, the airport would have almost closed down, we fly almost 80% of those passing through the airport,” he said.<br/>
Jerusalem Post
https://www.jpost.com/business-and-innovation/all-news/article-776653
12/5/23