Government to issue call for low-cost travel on specific routes

The government will today be issuing a call to airlines to bring down the cost on specific and underserved routes.

The call, to be made today via the Department of Information's website, opens up the possibility for low-cost airlines to operate to Malta from Luton, Dublin, Pisa and Mulhouse-Basel.

The government announced last April it would be offering support schemes to the tune of Lm1 million to airlines if they operate to specific destinations during the winter months.

The support schemes will be offered to airlines for the period November to March in a bid to attract visitors to Malta during the traditionally tourism-dry months.

The government had also signalled its intention to offer incentives to Lisbon, Turin, Verona and Warsaw.

When contacted, Tourism Minister Francis Zammit Dimech said the fact that these routes were not listed yet did not mean the government was backtracking.

"We are keeping the option of issuing more routes in the future. The routes we are launching now are within or very close to our major source markets."

In line with European Commission guidelines, financial aid will be provided for start-up costs incurred in operating the listed routes and will be provided for a maximum period of five years. The financial aid will be awarded subject to the approval of the whole initiative by the European Commission.

The call for proposals will also be published in Tuesday's edition of the Government Gazette and will be advertised in international airline magazines and websites. The call is open until August 25.

Meetings held last weekend with Ryanair and Easyjet were positive, Dr Zammit Dimech said.

A number of airlines asked for meetings following the Prime Minister's announcement in April. A general overview of the schemes was given and some airlines, including "major" ones, had shown a keen interest to the proposal.

"There are a lot of benefits and not only to tourism. Undoubtedly, our tourism mix needs low-cost carriers because they are a growing force within the industry. We need them but not at the expense of other players. But low-cost carriers will also be beneficial to the wider business community and to Maltese residents," the minister said.

Will these routes provide the necessary numbers the industry is clamouring for?

"If taken up, these routes will give a boost. More so, the routes chosen will not create a heavy displacement from existing business. Our strategy was always aimed at achieving incremental business.

"Most low-cost carriers guarantee a high level of seat load factor all year round, and, therefore, will bring over additional tourism in the winter months," Dr Zammit Dimech said.