The Senate would do well to forget the bill sent by the House establishing mandatory free checked baggage up to 23 kilos on national and international flights. If Congress approves this barbarism, the immediate consequence will be an increase in ticket prices for everyone, as the president of the National Civil Aviation Agency (Anac), Tiago Faierstein, told GLOBO. Despite the fiery speeches in favor of the consumer, compulsory free payments are only an illusion.
- Aviation: Requiring free checked baggage will increase the price of plane tickets, says Anac president
Last year, companies operating in Brazil earned 1.1 billion reais from baggage fees, according to accounting statements published by Anac. The value represents only 1.7% of revenue – the majority (86%) comes from ticket sales. Even so, the House-approved plan would open a billion-dollar hole that could be filled another way. “Companies offer multiple fare classes, including carry-on only, checked baggage, or assigned seats,” Faierstein said. “Once the project is approved, they will only propose one, the most expensive of all.”
In the distant past, when flying was a service available only to an elite, the ticket price included transportation, seat selection, meals, drinks and checked baggage. With the popularization of low-cost airlines over the past three decades, the sector has been transformed. The British company Flybe was one of the first to charge for the volume shipped in 2006. By establishing this tax, it was able to reduce the price of the ticket. With the financial crisis in the United States, the end of free services has become the norm.
- Project: Airlines association says free baggage will make it difficult for Brazilians to get plane tickets
In Brazil, the current rules were adopted in 2016 by an Anac resolution. The carriage of checked baggage is now considered an additional, paid service. On board the plane, each passenger now has the right to carry at least 10 kilos free of charge within the limits defined by the companies. Academic studies confirm that ticket prices would be much higher today if the old rules applied. This is the experience that MEPs want to subject Brazilian passengers to.
It is true that the prices charged for all types of services irritate the public. Last year, the U.S. Senate summoned executives from the nation’s largest airlines to a public hearing. At the time, the Frontier Airlines representative said that more than 70% of customers were not checking their bags. Others pointed to providing more fare options for travelers. In the case of checked baggage, the issue is undeniable: with the impossibility of a price capable of regulating supply and demand, the impact on the consumer will be inevitable. Instead of legislating air market rules, members of Congress should leave the decision to the relevant technical authorities. They are at Anac, whose president has described in a simple and precise manner the meaning of the change.
About The Author
