The Independent Consumer and Competition Commission (ICCC) has granted authorization to Air Niugini to enter into a code-share agreement with Air Vanuatu and Solomon Airlines.
The agreement duration is for two years.
In a statement, ICCC Commissioner Paulus Ain said; “while the ICCC recognizes that the free sale arrangement may not promote vigorous competition amongst the parties in terms of airfares and other related in-flight products and services, the ICCC also recognizes that with the code-share, travellers will now have a choice.
“The two carriers will be competing to sell tickets under their respective codes as compared to the situation without the code-share where only one carrier would operate on the route and market the tickets.
“The codeshare arrangement with Air Vanuatu is on a ‘free sale’ basis where Air Vanuatu will be paid a commission fee for the number of tickets it sells for Air Niugini.
“For Solomon Airlines the seat inventory is sold on a free sale arrangement on Air Niugini services through to Nadi (Fiji),” Ain said.
Caption: File picture of welcome party after the inaugural flight of Air Niugini to Port Vila, Vanuatu.