Penticton has the door open to airline subsidies

EdmTrekker · 29-03-2007, 09:31 AM

Penticton has the door open to airline subsidies - and so should Edmonton to Frankfurt, and New York. including YEG to Penticton. We don't want to have to fly through YYC to get their again.

http://www.vernonmorningstar.com/por...d=860118&more=

Vernon Morning Star, Canada - Mar 25, 2007

PENTICTON - Should the city subsidize an airline, possibly WestJet, to restore air service with Calgary?

Economic development officer Wayne Tebbutt raised that possibility when he appeared before city council Monday with an update on so far unsuccessful efforts to attract an airline offering direct flights to and from Calgary.

“It (subsidies) happens in other communities,” he said, claiming Kamloops subsidized Horizon Air during the winter months.

While Tebbutt did not specifically ask the city to subsidize an airline, it is a possibility that the city could discuss down the road.

WestJet — which so far appears to be cool towards establishing regular service between Calgary and Penticton — raised the issue during recent discussions with city officials.

“So the door is certainly open to subsidies and we as a community have not discussed that,” said Tebbutt.

Kamloops city officials did not return calls seeking independent confirmation and Penticton city officials appeared hesitant to discuss the issue.

City administrator Leo den Boer, noting that subsidies would be illegal under the Community Charter, cautioned councillors from commenting on the issue.

Coun. Randy Manuel said he would need more information to form an opinion.

Direct air service to Calgary ceased last summer when QuikAir suspended service one month after it started because the airline had violated Transport Canada guidelines. The company later declared bankruptcy.

When QuikAir said it would offer Alberta-bound flights, city officials including Tebbutt hailed the announcement as a coup for the city.

Tebbutt said during his presentation that QuikAir flights to Calgary and Edmonton proved popular, adding that restoring service with Calgary is a “high priority” for the city. He added that the city is now focusing on attracting what he called a “Tier III” airline. But he conceded this search for a new Alberta-bound carrier has failed so far.

“We have not been successful and we regret that,” said Tebbutt, adding the city faces limited choices within an industry that is extremely busy right now.

“There are not enough carriers to service the industry,” he said.

The city also faces competition from Kelowna International Airport, Tebbutt added.

“Our proximity to the Kelowna airport has always been our downfall,” he said.

IanO · 29-03-2007, 10:00 AM

why should we? We have a high disposable income, searing economy, and demand...

EdmTrekker · 29-03-2007, 12:31 PM

Quote:

Originally Posted by IanO

why should we? We have a high disposable income, searing economy, and demand...

Every major city (Airports) in Europe competes by offering some form of subsidy to airlines as an inducement to attract them for an initial start up period. That is the model in Europe, and increasingly globally. I expressed my view that YEG should provide inducements to attract flights to Amsterdam or Frankfurt. I am certain YYC is doing just that – and you can see from the article even smaller Canadian cities are. We need to be proactive – not put our heads in the sand and hope they will come.

IanO · 29-03-2007, 02:58 PM

Quote:

Originally Posted by EdmTrekker

Quote:

Originally Posted by IanO

why should we? We have a high disposable income, searing economy, and demand...

Every major city (Airports) in Europe competes by offering some form of subsidy to airlines as an inducement to attract them for an initial start up period. That is the model in Europe, and increasingly globally. I expressed my view that YEG should provide inducements to attract flights to Amsterdam or Frankfurt. I am certain YYC is doing just that – and you can see from the article even smaller Canadian cities are. We need to be proactive – not put our heads in the sand and hope they will come.

i have always been on the fence on this one...like DELL for instance, they should have come here anyways, but if other airports are giving incentives, then yes we should play the game too.

in principle, i dont like it though.

EdmTrekker · 29-03-2007, 07:27 PM

Quote:

Originally Posted by IanO

Quote:

Originally Posted by EdmTrekker

Quote:

Originally Posted by IanO

why should we? We have a high disposable income, searing economy, and demand...

Every major city (Airports) in Europe competes by offering some form of subsidy to airlines as an inducement to attract them for an initial start up period. That is the model in Europe, and increasingly globally. I expressed my view that YEG should provide inducements to attract flights to Amsterdam or Frankfurt. I am certain YYC is doing just that – and you can see from the article even smaller Canadian cities are. We need to be proactive – not put our heads in the sand and hope they will come.

i have always been on the fence on this one...like DELL for instance, they should have come here anyways, but if other airports are giving incentives, then yes we should play the game too.in principle, i dont like it though.

Richard - I am so pleased you are now enlightened. Before you express your next opinion - I trust you will perform the requite research to back it up - emotion just does not cut it.

grish · 29-03-2007, 07:30 PM

Richard?

chupa · 29-03-2007, 07:54 PM

YEG-Penticton was not popular,Quikair often cancelled the flights and YYC-Penticton was in the same boat aswell.I remember the few days it did go it ended up being flown on a 6 seat Navajo and not the 19 seat Jetstream's.The navajo was a subbed airplane from another operator at YEG.Penticton just does not produce enough traffic to be operated daily,maybe a few times a week though....In another bit of news it sounds like Peaceair is in big trouble (financially).

29-03-2007, 09:31 AM	#1
EdmTrekker Addicted to C2E Join Date: Jul 2006 Location: Edmonton, Downtown Core	Penticton has the door open to airline subsidies Penticton has the door open to airline subsidies - and so should Edmonton to Frankfurt, and New York. including YEG to Penticton. We don't want to have to fly through YYC to get their again. http://www.vernonmorningstar.com/por...d=860118&more= Vernon Morning Star, Canada - Mar 25, 2007 PENTICTON - Should the city subsidize an airline, possibly WestJet, to restore air service with Calgary? Economic development officer Wayne Tebbutt raised that possibility when he appeared before city council Monday with an update on so far unsuccessful efforts to attract an airline offering direct flights to and from Calgary. “It (subsidies) happens in other communities,” he said, claiming Kamloops subsidized Horizon Air during the winter months. While Tebbutt did not specifically ask the city to subsidize an airline, it is a possibility that the city could discuss down the road. WestJet — which so far appears to be cool towards establishing regular service between Calgary and Penticton — raised the issue during recent discussions with city officials. “So the door is certainly open to subsidies and we as a community have not discussed that,” said Tebbutt. Kamloops city officials did not return calls seeking independent confirmation and Penticton city officials appeared hesitant to discuss the issue. City administrator Leo den Boer, noting that subsidies would be illegal under the Community Charter, cautioned councillors from commenting on the issue. Coun. Randy Manuel said he would need more information to form an opinion. Direct air service to Calgary ceased last summer when QuikAir suspended service one month after it started because the airline had violated Transport Canada guidelines. The company later declared bankruptcy. When QuikAir said it would offer Alberta-bound flights, city officials including Tebbutt hailed the announcement as a coup for the city. Tebbutt said during his presentation that QuikAir flights to Calgary and Edmonton proved popular, adding that restoring service with Calgary is a “high priority” for the city. He added that the city is now focusing on attracting what he called a “Tier III” airline. But he conceded this search for a new Alberta-bound carrier has failed so far. “We have not been successful and we regret that,” said Tebbutt, adding the city faces limited choices within an industry that is extremely busy right now. “There are not enough carriers to service the industry,” he said. The city also faces competition from Kelowna International Airport, Tebbutt added. “Our proximity to the Kelowna airport has always been our downfall,” he said.

29-03-2007, 10:00 AM	#2
IanO Addicted to C2E Join Date: Feb 2006 Location: Edmonton	why should we? We have a high disposable income, searing economy, and demand... __________________ inspiration or mediocrity www.decl.org Ottawa-Edmonton-Vancouver-Edmonton

29-03-2007, 07:30 PM	#6
grish Addicted to C2E Join Date: Mar 2006	Richard?

29-03-2007, 07:54 PM	#7
chupa Addicted to C2E Join Date: Sep 2006 Location: Century Park.	YEG-Penticton was not popular,Quikair often cancelled the flights and YYC-Penticton was in the same boat aswell.I remember the few days it did go it ended up being flown on a 6 seat Navajo and not the 19 seat Jetstream's.The navajo was a subbed airplane from another operator at YEG.Penticton just does not produce enough traffic to be operated daily,maybe a few times a week though....In another bit of news it sounds like Peaceair is in big trouble (financially).