Airlines forced to quote full cost of flights

THE full cost of a flight will have to be shown upfront, inclusive of all taxes and extras known at the time, under a code voted through by the European Parliament yesterday.

Air fares could be also reduced by up to 10% and passengers can cut their carbon footprint thanks to changes to online booking systems.

The parliament yesterday voted for a new code governing the Computerised Reservation Systems (CRS) used by high-street and online travel agents, who account for about 60% of airline bookings.

The European Commission estimates it could cut the average fare by up to 10% through introducing greater competition and transparency on prices.

MEPs voting on the changes agreed that in future people searching for a flight should be able to see the amount of CO2 it will produce. For shorter flights of less than 90 minutes they should be offered the choice of a journey by train — and be able to see the amount by which this will reduce their carbon footprint.

Where the CRS carries information on both rail and air, the best of the rail alternative must be shown on the first page online.

Fine Gael MEP Jim Higgins, a member of the parliament’s Transport Committee, said the changes should ensure travel agents and airlines offer greater price transparency for customers.

“With the adoption of these changes we will see price advertised as the price you pay,” he said.

The code should also cut out collusion between airlines and CRSs when airlines are part owners of the system and use this to promote their own flights.

Timothy Kirkhope, a British Tory MEP who drew up the report for the parliament, said the current CRS system allows airlines that have shared in them to favour their own companies, which distorts competition and drives up prices.

However, the International Airline Passengers Association said this was not the case and airlines like Air France, Lufthansa and Iberia, with over 25% share in CRS, would be able to push their own flights thanks to loose wording in the draft legislation.

The changes will go back to the council, where member states will have their say, and return to the parliament for a second reading.