Parliament, Tuesday, 1 April 2025 - The Portfolio Committee on Transport has welcomed the Department of Transport’s responses to the quality submissions the committee received from all stakeholders including COSATU.
The Chairperson, Mr Donald Selamolela, said the submissions were of good quality and would enhance the quality of the legislation. “We note how the department has responded and now the Bill becomes entirely a committed process. At the end of the day we want the kind of legislation that will improve the conditions of our people,” said Mr Selamolela.
The committee had earlier held a joint meeting with the Portfolio Committee on Trade, Industry and Competitions to receive briefings on anti-competitive behaviour, including over booking and over pricing in the low cost carrier space.
Mr Selamolela said it became clear after the briefing that deregulation of the industry does not benefit poor South Africans a situation we would preferably want the government to review.
The committees noted that although the decision to deregulate was taken with good intentions, but predatory habits have got into the space, and have turned good intended government policy position into an unmitigated chaos where the only thing that matters is accumulation of profit.
“The low-cost carrier industry does not need a bully who just violates the law. Inaction on this matter will not help us resolve anything. Crucially, we ought to be able to answer the question of what makes these low-cost carriers budget airlines. The situation where one got benefits of being a low cost carrier and yet charges at full service cost should be disallowed.”
The committees noted that although the National Consumer Commission (NCC) driven investigations are ongoing into the matters concerned, nothing in law stopped them proposing a full parliamentary inquiry. Legal advice will be sought from within Parliament on the best possible way forward.
Members of the committee implored entities and government to indicate legislative amendments required to make the industry more beneficial to South Africans, and truly low cost.
All entities in aviation appeared before the committees alongside the National Consumer Commission, the Competition Commission, the Department of Trade, Industry and Competition, as well as the Department of Transport. A follow-up meeting will be scheduled with the low-cost carrier airlines.
Mr Selamolela said no player should enter the arena on a low cost model and then abruptly decide they will play in a different league. “Rules are rules,” concluded Mr Selamolela.
ISSUED BY THE PARLIAMENTARY COMMUNICATION SERVICES ON BEHALF OF THE CHAIRPERSON OF THE PORTFOLIO COMMITTEE ON TRANSPORT, MR DONALD SELAMOLELA.
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