Decision No. 214-A-1988

August 4, 1988

File No. 2-U51-2

Docket No. 88180

102643 Aviation Ltd. carrying on business under the firm name and style of Ursus Aviation (hereinafter the applicant) has applied to the National Transportation Agency for a licence to operate the service set out in the title. The application was received on April 6, 1988.

Notice of the application was posted at the local post office of Norman Wells and copies of the notice were sent to selected air carriers and to others believed to be interested.

Interventions opposing the granting of the application were filed with the Agency by Page Flight Services Ltd. (hereinafter Page) and Nahanni Air Services Ltd. (hereinafter Nahanni). The applicant replied to the interventions.

The pleadings form part of the public files and may be consulted in the Agency's offices by anyone who so desires. In addition, copies will be provided by the Secretary of the Agency on request.

The Agency has considered the application, the material in support thereof and the interventions referred to.

Although Nahanni indicates in its opposing intervention that the proposed service would have a negative effect on the operations of existing licensees serving Norman Wells and that it would lead to a significant decrease and instability in the level of charter service provided to or from this point, Nahanni does not provide any specific evidence to this effect.

The applicant was allowed to provide charter services from Norman Wells to Fort Norman prior to the new Air Transportation Regulations, SOR 88-58. In this context, approval of the application would not represent a significant departure from the situation existing prior to January 1, 1988. Therefore, it is unlikely that the proposed service would substantially alter the provision by other air carriers of air services at Norman Wells.

Page indicates in its opposing intervention that it does not oppose the applicant's proposed service if the Agency gives favourable consideration to Page's application for authority to operate a Class 4 Charter domestic service from a base at Fort Norman to compensate Page for the reduction in its market share at Norman Wells which, it submits, would result from operation of the proposed service. It is noted that Page has not provided any evidence indicating that the proposed service would have a negative impact on the provision of air services at Norman Wells. Moreover, the Agency's consideration of the subject application would not prejudice its consideration of Page's proposal to provide a charter service based at Fort Norman since each application is considered on its own merits.

The Agency observes that no objections to the proposed service were submitted by members of the general public, community representatives or users of air services.

Accordingly, the Agency is satisfied that the issuance of a licence for the proposed service 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 application is hereby approved.

A licence to operate a Class 4 Charter domestic service from a base at Norman Wells, Northwest Territories, will be issued to 102643 Aviation Ltd. carrying on business under the firm name and style of Ursus Aviation upon the applicant establishing to the satisfaction of the Agency that it meets the requirements set out in paragraph 72(2)(a) of the National Transportation Act, 1987, S.C. 1987, c. 34.

To make provision for the level of charter domestic service 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 A.

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 licence subject to the terms and conditions respecting route protection as set out in the attachment.

The licence to be issued pursuant to this Decision shall, in addition to the conditions prescribed by the Air Transportation Regulations, be subject 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 A.