Jersey’s Economic Development Minister has said he “wasn’t surprised” by the Guernsey Transport Licensing Authority’s decision to turn down a bid from Loganair to operate inter-island flights – but warned the decision could mean “lesser connectivity” for islanders.
Deputy Kirsten Morel said he was “disappointed” after two applications from the Scottish carrier – for services between Guernsey and Jersey, as well as Guernsey and Southampton – failed to secure approval from the TLA.
An application to operate an inter-island passenger and cargo service put forward by Aurigny, which is wholly owned by the States of Guernsey, was approved.
Guernsey wants to own its assets, and as a result of that, it takes a very protectionist stance
Economic Development Minister Kirsten Morel
TLA president Deputy John Gollop has stated that both of Loganair’s applications were “carefully considered in line with the requirements of the Air Transport Licensing Law” but that “on this occasion, evidence suggested strong competition on these routes would likely lead to it being unviable for all operators in the longer term”.
Express approached Guernsey’s Competition Regulatory Authority, which declined to comment.
Deputy Morel said the TLA’s decision “shows how Jersey and Guernsey have two different approaches to our travel and connectivity policies”.
“Guernsey wants to own its assets, and as a result of that, it takes a very protectionist stance,” he explained.
“Jersey has an ‘open-skies’ policy when it comes to aviation, and, as a result, we encourage competition.”
Deputy Morel contended that competition led to “innovation”, “better connectivity” and “lower fares”.
“When you own your travel assets, you end up making decisions that are about protecting those assets, rather than decisions which provide you with much better connectivity.”
Loganair would have had an opportunity to appeal against the TLA’s decision, but has decided to withdraw from the process.
However, the airline has said it is “open for dialogue” and “remains ready to bring its experience, scale, resilience, vast network and codeshare relationships to support the community living in and wishing to visit the beautiful island of Guernsey”.
Sarnian Deputy Simon Vermeulen, who previously sat on Guernsey’s Economic Development and the Tourism Management Board, said this was something he said he would “absolutely” be in favour of.
I think the Guernsey population will experience lesser connectivity than they could because of this decision
Economic Development Minister Kirsten Morel
Deputy Morel said: “I hope Guernsey opens up its skies. I think the Guernsey population will experience lesser connectivity than they could because of this decision.”
He added: “Rather than the route not supporting competition, a competitive approach can lead to growth in traveller numbers, as greater opportunities to fly between the islands, along with price competition and service innovation, could attract larger numbers of travellers, particularly in the visitor economy.”