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Calgary Herald
a day ago
- Business
- Calgary Herald
'Apoplectic:' Competition Bureau drops probe into U.S. company's sightseeing dominance in Banff/Jasper
A federal competition regulator's decision to drop its probe into an American company's dominance of the Banff-Jasper sightseeing market appears to be Canada caving to the U.S. amid an ongoing tariff war, says a businessman who pushed for the investigation. Article content The Competition Bureau of Canada last year launched an investigation into Colorado-based VIAD's acquisition of the Jasper SkyTram that was approved by Parks Canada in the summer of 2024. The purchase pushed the company's market share of the sightseeing sector in Banff and Jasper National Parks to more than 90 per cent. Article content Article content Article content In a letter to Adam Waterous, owner of Mt. Norquay ski resort, the bureau said it could find no evidence that the acquisition noticeably exacerbates domination of the privately-operated tourist attraction in Canada's two most-visited national parks. Article content Article content 'Based on the information obtained by the Bureau, it does not appear the acquisition has resulted or is likely to result in a substantial lessening or prevention of competition,' states the April 30 letter. Article content 'Accordingly…I am writing to inform you that the commissioner has discontinued the inquiry.' Article content VIAD through its subsidiary Pursuit operates the Banff Gondola at Sulphur Mountain, Lake Minnewanka Cruise, Columbia Icefield Adventure, Jasper's Maligne Lake Cruise and the Columbia Icefield Skywalk, which comprise the lion's share of that market of paid attractions. Article content It owns Brewster Express bus line and 10 hotels throughout those parks (two are in Banff), while also operating the iconic Prince of Wales Hotel in Waterton Lakes National Park. Article content Article content Since 2011, Parks Canada has approved VIAD's applications for one new sightseeing attraction, an expansion of a tourist venue, eight hotel purchases and one hotel construction, which had boosted the company's share of the market from 50 per cent to 85 per cent, said Waterous. Article content At the same time, Parks Canada has repeatedly turned down Norquay's bid to build a gondola from the Banff townsite to its ski hill, insisting the plan was 'found not to be feasible due to non-conformance with key park policy and legislation.' Article content Waterous said the competition bureau's refusal to address what he calls an obviously unfair and detrimental monopoly is an abdication of its role and smacks of Ottawa seeking to avoid inflaming a trade war instigated by U.S. President Donald Trump. Article content 'Canadians are going to be apoplectic that the federal government is not prepared to challenge an American monopoly in the national parks,' Waterous said Monday, adding the move is akin to Ottawa's decision last month to nix its digital sales tax (DST) at the insistence of the U.S. amid tariff wrangling.


Vancouver Sun
27-06-2025
- Business
- Vancouver Sun
Opinion: Turbulence ahead — the real impact of proposed deregulation of Canada's skies
On June 19, the Competition Bureau of Canada released its final report on airline industry competition: 'Cleared for takeoff: Elevating airline competition.' Its central recommendations? That Canada consider allowing foreign-owned airlines to operate domestic routes and re-evaluate current ownership limits. By proposing to eliminate cabotage restrictions and foreign ownership limits, the bureau's suggestions threaten to unravel the very infrastructure that sustains Canada's aviation sector, with devastating consequences for workers, communities and national sovereignty. As the union representing over 16,000 airport workers across the country, the International Association of Machinists and Aerospace Workers sees these proposals not as policy progress, but as a direct threat to Canadian jobs, an erosion of our national aviation infrastructure and a dangerous precedent for public policy driven by short-term economics instead of long-term, Canadian public interest. A daily roundup of Opinion pieces from the Sun and beyond. By signing up you consent to receive the above newsletter from Postmedia Network Inc. A welcome email is on its way. If you don't see it, please check your junk folder. The next issue of Informed Opinion will soon be in your inbox. Please try again Interested in more newsletters? Browse here. The U.S. strictly prohibits foreign carriers from operating domestic routes, and other regions — like the European Union — only allow such access among member states. Opening our skies unilaterally would offer foreign carriers privileges they don't extend to us. While we recognize that the airline industry needs reform, deregulating access to our domestic market isn't reform. It's a retreat. Canada's aviation sector operates under complex constraints: vast geography, regional routes that are economically and logistically essential but unprofitable, and a regulatory environment already strained by fees and infrastructure gaps. The bureau's proposal to allow foreign carriers to fly domestic routes — also known as cabotage — assumes all competitors arrive equally burdened. They do not. No major nation, including the U.S., offers Canada the same access. Foreign airlines would be invited to pick the most profitable routes without contributing to the rest of the network. That's not competition. It's market cherry-picking, and it undermines the carriers and workers who keep the full system running. For thousands of Canadians, airport jobs are often unionized, come with decent wages, benefits and job security, and offer permanence increasingly rare in the broader labour market. Our members are the backbone of the aviation economy. Foreign operators with no commitment to Canada will just bring lower wages, fewer benefits and more precarious, outsourced labour. This isn't speculation — it's history. We've seen it deteriorate countless Canadian airlines — from Canada 3000 to Jetsgo to Canadian Airlines International — and there's no evidence this time will be different. What makes these recommendations particularly troubling is the lack of labour consultation throughout the bureau's study. Only one labour union was interviewed over the course of a 13-month process, despite the airline sector employing tens of thousands of unionized workers. While the International Association of Machinists and Aerospace Workers provided a detailed written submission to the bureau, we were never interviewed. Without input from the front-line workforce, these policy recommendations lack the perspective needed to understand their full impact. Our airlines operate in one of the most challenging geographies on Earth. They serve small towns, remote communities and Indigenous territories where air travel isn't a luxury — it's a lifeline. Foreign carriers, with no long-term investment in our infrastructure or workforce, will swoop in for the profitable urban corridors — Toronto to Vancouver, Montreal to Calgary — leaving Canadian carriers to shoulder the financial burden of essential, unprofitable routes. Once weakened, Canadian carriers will collapse — and with them, thousands of jobs. If Ottawa opens the door to foreign operators without long-term obligations, what happens when those players exit the market in a downturn? Who ensures continued service to the north? Who remains accountable to Parliament? The answer can't be: 'Whoever's left.' If the goal is a better system, let's fix what's broken. We don't dispute that Canada's aviation system has problems. But they begin with issues that tend to be ignored: airport rent and landing fees, overburdened infrastructure, outdated navigation systems and underinvestment in regional access. Fixing these problems requires political will, not privatizing the problem and hoping it solves itself. Canada has a responsibility to foster competition that serves the Canadian public, not foreign corporations. That means strengthening our airlines, protecting our workers and building an aviation system rooted in resilience, not deregulation. These are national priorities, not global business opportunities to be auctioned off to the highest bidder. The International Association of Machinists and Aerospace Workers urges the Canadian government to reject the competition bureau's recommendations on cabotage and foreign ownership. These proposals may promise cheaper fares, but they will come at the cost of sovereignty, safety and economic stability. Our skies aren't for sale. And the people who keep them running shouldn't pay the price. David Chartrand is the Canadian general vice-president of the International Association of Machinists and Aerospace Workers, which represents over 50,000 members in Canada. He has been involved in the labour movement for more than 35 years.


Global News
05-05-2025
- Business
- Global News
‘We stand by our pricing': Canada's Wonderland responds to hidden fee allegations
The Competition Bureau of Canada has launched legal action against Canada's Wonderland, accusing the theme park of using misleading pricing tactics to hide processing fees during online purchases. In a filing submitted to the Competition Tribunal, the bureau alleges that Wonderland has engaged in 'drip pricing', a practice where a product is advertised at one price, but additional mandatory fees are added later in the checkout process. The bureau says these fees range from $0.99 to $9.99 and are not disclosed up front and mislead consumers. 'Canadians should always be able to trust the initial advertised price,' said Matthew Boswel, commissioner of competition. 'Misleading tactics like drip pricing only serve to deceive and harm consumers.' Get breaking National news For news impacting Canada and around the world, sign up for breaking news alerts delivered directly to you when they happen. Sign up for breaking National newsletter Sign Up By providing your email address, you have read and agree to Global News' Terms and Conditions and Privacy Policy The bureau is asking the tribunal to order Wonderland to stop the practice, issue restitution to affected customers, and pay a financial penalty. Story continues below advertisement But Wonderland is pushing back hard, calling the bureau's claims 'unfounded' and defending its pricing structure as transparent and consumer friendly. 'Our guests are at the heart of everything we do,' said Jigar Patel, spokesperson for the park, in a statement. 'We are committed to providing them with exceptional experiences, clear information and meaningful choice.' The park argues that it does not engage in drip pricing, and that all applicable fees are disclosed clearly at the beginning of the purchasing process. 'From the outset, our guests receive disclosure of any applicable fees. We ensure customers understand exactly what they are purchasing.' Wonderland also added that the bureau's approach, which would require static, all-inclusive pricing, could hurt consumers by limiting flexibility and increasing base ticket prices. 'The bureau's demands to prohibit processing fees — including variable fees — undermine consumer choice and flexibility,' the statement reads. Based in Vaughan, Ont., just north of Toronto, Canada's Wonderland is the country's largest amusement park and a top summer destination. It's owned by Six Flags, which operates parks across North America. Despite the legal action, Canada's Wonderland says it will continue to stand by its guests and its policies. 'We'd like to thank our guests for their continued trust and support as we continue to advocate for your interests and defend our practices.'