OTTAWA — The Competition Bureau has obtained court orders requiring Air Canada and WestJet to hand over information for the watchdog’s market study into airline competition. Granted by the Federal Court last month , the rulings order the country’s two biggest airlines to produce records and answer questions on the state of competition, barriers to entry into the field, performance metrics and agreements with airports and other airlines. The bureau says the information will give it a better understanding of competition in the domestic airline sector.
Air Canada and WestJet commanded roughly three-quarters of that market last year, a bureau director said in court filings. In July, the Competition Bureau launched a market study of domestic airline service amid ongoing concerns around prices and quality. The court orders mark the first time the regulator has taken advantage of its beefed-up information-gathering powers for a market inquiry.
The new powers came into force in June under federal legislation. On top of carrier competitiveness and obstacles to entry, the watchdog said the study would zero in on hurdles to market growth and for travellers looking to make informed choices. Competition commissioner Matthew Boswell said at the time that “many Canadians are frustrated by the cost and quality” of air travel in Canada, and that he aims to put forward recommendations on how to improve it.
About one-third of all flights were delayed last year, an improvement from 202.
