Decision No. 122-A-1996
February 29, 1996
APPLICATIONS by G-C Air-Nord Inc./G-C Air-North Inc. for licences pursuant to subsection 72(2) of the National Transportation Act, 1987, R.S.C., 1985, c. 28 (3rd Supp.) to operate Class 4 Charter domestic services using fixed wing aircraft in Group C, from bases at Inukjuak, Kuujjuarapik, Salluit, Kuujjuaq, Kangiqsualujjuaq, Kangirsuk, Povungnituk, Ivujivik and Kangiqsujuaq, Quebec.
File Nos. M4205/G141-4-2
M4205/G141-4-3
M4205/G141-4-4
M4205/G141-4-5
M4205/G141-4-6
M4205/G141-4-7
M4205/G141-4-8
M4205/G141-4-9
M4205/G141-4-18
Docket Nos. 950411
950412
950413
950414
950415
950416
950417
950418
950427
G-C Air-Nord Inc./G-C Air-North Inc. (hereinafter the applicant) has applied to the National Transportation Agency for licences to operate the services set out in the title. The applications were received on March 15, 1995 and were complete and ready for processing on March 20, 1995.
Notice of the applications was posted at the post offices of Inukjuak, Kuujjuarapik, Salluit, Kuujjuaq, Kangiqsualujjuaq, Kangirsuk, Povungnituk, Ivujivik and Kangiqsujuaq. In addition, selected air carriers and others who may have an interest in the proceedings were notified of the applications. Interventions opposing the granting of the applications were filed with the Agency by Air Inuit (1985) Ltd./Air Inuit (1985) Ltée, the Corporation of the Northern Village of Kangiqsualujjuaq and the Corporation of the Northern Village of Kuujjuaq. The applicant replied to the interventions of Air Inuit (1985) Ltd./Air Inuit (1985) Ltée and the Corporation of the Northern Village of Kangiqsualujjuaq only.
By letter dated July 12, 1995, the Agency advised the applicant of its determination pursuant to paragraph 72(2)(b) of the National Transportation Act, 1987 (hereinafter the NTA, 1987) that the issuance of licences for the proposed services would not lead to a significant decrease or instability in the level of domestic service provided between points or to or from any point in the designated area. The reasons for the determination of the Agency are set out below.
The pleadings form part of the public files and may be consulted in the offices of the Agency by anyone who so desires. In addition, copies will be provided by the Secretary of the Agency on request.
The Agency has considered the applications, the material in support thereof and the interventions referred to.
The determination of the Agency pursuant to paragraph 72(2)(b) of the NTA, 1987 is based on the material filed and the situation which existed on the date of issuance of the letter which communicated the decision of the Agency.
In their opposing interventions, the interveners indicate that the markets that the applicant proposes to serve are barely large enough to support the existing air carrier and that the licensing of another carrier could lead to the demise of the existing air carrier and to a significant decrease or instability in the level of domestic service provided between points or to or from points in the designated area. The Agency is however of the view that the interveners do not present specific evidence to substantiate that the operation of the proposed service would have a significant adverse effect on the overall level of domestic service provided to, from or within the designated area.
Accordingly, the Agency is satisfied that the issuance of licences for the proposed services would not lead to a significant decrease or instability in the level of domestic service provided between points or to or from any point in the designated area.
The applicant was also requested by Agency letter dated July 12, 1995 to complete its applications within one year from the date of the letter, by establishing to the satisfaction of the Agency that it has the qualifications necessary for the issuance of licences as stated in paragraph 72(2)(a) of the NTA, 1987.
The applicant has now filed the material necessary to complete its applications. The Agency has reviewed the material filed and is satisfied that the applicant meets the requirements set out in paragraph 72(2)(a) of the NTA, 1987.
Accordingly, licences to operate Class 4 Charter domestic services from bases at Inukjuak, Kuujjuarapik, Salluit, Kuujjuaq, Kangiqsualujjuaq, Kangirsuk, Povungnituk, Ivujivik and Kangiqsujuaq, Quebec will be issued to G-C Air-Nord Inc./G-C Air-North Inc.
To make provision for the level of charter domestic services to be consistent with demand anticipated by the applicant and in accordance with the applicant's indicated intentions, the Agency finds it in the public interest to authorize the Licensee to use fixed wing aircraft in Group C.
Moreover, to preserve the integrity of the Class 1 Scheduled domestic services and the Class 2 Regular Specific Point domestic services in the designated area, the Agency deems it in the public interest to make the licences subject to the terms and conditions respecting route protection as set out in the attachment.
The licences will be subject to the terms and conditions prescribed by the Air Transportation Regulations, SOR/88-58, to the condition respecting route protection contained in the attachment, which is hereby made a part of this Decision, and to the following condition:
The Licensee is authorized to use fixed wing aircraft in Group C.
- Date modified: