Melbourne, Au (PRWEB) February 03, 2013
Pan Australian Travel releases a video blog that includes the Australian Competition and Consumer Commission’s tentative approval of the Qantas-Emirates partnership as reported by Australian Business Traveller.com (full report here).
Once the approval is finalised, Qantas and Emirates can partner up to connect flights from Australia to Europe via Dubai. The two airlines would also be able to do joint marketing and share the earning and redemption of frequent flyer points and status. Their customers would also get reciprocal lounge access.
However, instead of the ten year partnership sought by Qantas and Emirates, the ACCC is proposing a five year one.
The ACCC also warned about a potential price disadvantage to consumers who fly from Australia to New Zealand if the deal goes through. It is concerned that the alliance may create collusion where the airlines will limit their growth to raise airfares. For this reason, the ACCC is proposing measures to restrict the airlines from doing this.
The final ACCC decision is expected in March 2013, and if approved, the alliance is expected to commence in April 2013.
“We should have finalization of that shortly, which means we’ll get the full data on the Frequent Flyer program, how it applies to earning points, et cetera,” said Jake Hower, Managing Director of Pan Australian Travel.
If the alliance gets approved, Qantas will adopt Dubai as its new hub in the Middle East. As of March 31, 2013, Qantas’ daily Sydney-London and Melbourne-London flights would stop over in Dubai instead of Singapore.
If travellers are flying to any European city besides London, they would be changing planes and airlines in Dubai. They would catch an Emirates flight to their destination.
“This would be a boon for Quantas Frequent Flyers since Emirates flies to about 30 cities across Europe and the UK, whereas Qantas would make them have two connecting flights to get to Europe. Once the alliance takes off, QFF members would be able to earn points while enjoying their Emirates connecting flight directly to Europe,” said Mr. Hower.