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RIA Novosti

Business

Putin blames weak competition for high prices on Russian flights

Prime Minister Vladimir Putin
23:45 29/08/2010

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Airline flights within Russia cost too much because there is little competition on routes so the country's antitrust authorities should take action, Prime Minister Vladimir Putin said on Sunday.

In an interview broadcast on Channel One television, the prime minister was asked why a ticket from Moscow to Kamchatka and back is twice the price of a Moscow-New York round-trip ticket.

"I think that this [the high cost of tickets] is connected with the fact that here, domestically, our main carriers don't have the kind of competition there is on international routes," Putin said.

"There, they are forced to do it and they find it possible to change prices and tariffs. But here, they find a lot of reasons and justifications why it cannot be done," he said.

"Here, I think, the Antimonopoly Service should behave more actively," said the prime minister.

The Federal Antimonopoly Service last year fined several oil companies for keeping the price of jet fuel artificially high, although almost all the charges were dismissed on appeal.

MOSCOW, August 29 (RIA Novosti)

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RIA NovostiPrime Minister Vladimir PutinPutin blames weak competition for high prices on Russian flights

23:45 29/08/2010 Airline flights within Russia cost too much because there is little competition on routes so the country's antitrust authorities should take action, Prime Minister Vladimir Putin said.>>

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  • arnoldvinette@yahoo.comAffordable flights in Russia would boast tourism
    01:14, 30/08/2010
    When ever I travel inside of Russia as a tourist from America, I am always taking the train or the bus. Never do I fly inside Russia.

    The creation of several competing airlines in Russia would lead to more travel, tourism and construction jobs. More people would fly within Russia requiring the building of more airports which would stimulate tourism jobs.

    Airline flights that are too expensive limit travel, tourism and construction jobs.

    That said I love taking the train in Russia and all the dance music that is played while on your journey. The sleeping cars are fun on long trips from Moscow to Yoshkar-Ola, Volgograd or Yektrinburg.

    It would be nice to have a faster alternative to travel to Volgodonsk rather than the 18 hour bus ride from Mosocow.

    Arnold Vinette






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