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TIAC Reacts to Federal Transportation 2030 Plan

Factors impeding competitiveness not fully addressed
posted on November 3, 2016

OTTAWA, ON November 3, 2016 - Today the ‎Tourism Industry Association of Canada (TIAC) was disappointed by the government’s vision for the future of Canadian transportation. While the speech included measures to enhance passenger experience and improve the efficiency of airport security screening; a number of key factors impeding Canada’s competitiveness as an international travel destination were not addressed.

“Quality of experience, ease of access and price point determine competitiveness in global tourism. Canada is a world class destination, the added cost of fees, taxes and levies added to air often prices Canada out of contention” said TIAC President and CEO Charlotte Bell. In fact, the World Economic Forum’s Competitiveness Report ranks Canada 138/141 countries in terms of cost of air travel.

The Canadian Transportation Act Review outlined a series of recommendations that would improve Canada's competitiveness, trigger job creation and help businesses grow and prosper by lowering consumer prices, modernization and restructuring airport lease rules.

However, the status quo on excessive taxes and fees affecting air travel prevails. While the government’s proposed changes set the path towards 2030, TIAC and industry stakeholders submit that those measures will further derail Canada’s positioning on air travel competitiveness.

TIAC is hopeful that the Government of Canada will take the opportunity to address these crucial economic factors in the 2017 Federal Budget.