FOR IMMEDIATE RELEASE

Canada’s airlines welcome House of Commons report underscoring the need to address Canadian aviation’s structural cost crisis

Ottawa, ON, November 4, 2025 – Jeff Morrison, President and CEO of the National Airlines Council of Canada (NACC), today issued the following statement in response to the release of the House of Commons Standing Committee on Transport, Infrastructure and Communities’ (TRAN) report, State of Airline Competition in Canada.

“NACC welcomes several of the recommendations contained in the study undertaken by the House of Commons Standing Committee on Transport, Infrastructure and Communities on the competitiveness of the Canadian air travel system,” stated Morrison. “We welcome the Committee’s conclusion that high costs, excessive federal fees, and systemic regulatory and administrative hurdles are amongst the core challenges undermining affordability and competition in Canadian aviation. Several of the Committee’s recommendations echo our long-standing recommendations to the Government of Canada.”

NACC has repeatedly emphasized that the current Canadian aviation system, defined by its high-cost operating environment and excessive regulatory burdens, is stifling necessary growth to reduce air travel costs, improve regional connectivity, and increase competition.

Three Key Recommendations Must Be Implemented Immediately

For many years, NACC has highlighted that the high taxes, charges, and outdated policies embedded in Canada’s system are the primary barriers to greater competition and lower costs. The Committee’s report validates this assertion by including recommendations to the federal government that directly align with NACC’s core priorities:

● Review all federal taxes and fees that impact the aviation sector;

● Reinvest all airport rent into airport infrastructure projects; and

● Conduct a review of regulatory and administrative burdens on airlines in Canada, with a view to streamlining and modernizing the regulatory regime governing airlines.

 

“Our request is simple: we are asking for a business environment that allows airlines to compete and thrive, driving savings to Canadians and enabling connectivity. ” Morrison added. “Canadians deserve an affordable aviation system that promotes a competitive environment. The validation of our priorities by the Committee must now lead to action by the federal government.”

 

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About the National Airlines Council of Canada:

The National Airlines Council of Canada represents Canada’s largest national and international passenger air carriers: Air Canada, Air Transat, Jazz Aviation LP and WestJet. It promotes safe, sustainable, accessible and competitive air travel by advocating for the development of policies,

regulations and legislation to foster a world-class transportation system. In 2024, air transportation contributed an estimated 3.8% of Canada’s GDP, and supported 809,000 jobs in Canada.

 

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