competition law at aviation

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COMPETITION LAW CAHIT KUTAY UYSAL S004992

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Page 1: Competition Law at Aviation

COMPETITION LAW

CAHIT KUTAY UYSALS004992

Page 2: Competition Law at Aviation

OUTLINE

• Introduction• Development of Competition Law• Apply to Competition Law at Turkey• Slot Allotment• Effect of Liberalazation to Turkish Aviation• Conclusion

Page 3: Competition Law at Aviation

INTRODUCTION

What is the competition law?

Competition law is a law that promotes or seeks to maintain market competition by regulating anti-competitive conduct by companies.

Competition law is implemented through public and private enforcement.

Page 4: Competition Law at Aviation

DEVELOPMENT OF COMPETITION LAW

• Competition law born in USA. At late 19. Century, USA legislate competition law.

• EU, effected from this law and decide to create one air transport marketplace.

• At 1987, EU, started to organize and deregulate to strict air transportation rules.

Page 5: Competition Law at Aviation

DEVELOPMENT OF COMPETITION LAW

• 3 main parts of deregulation movements at EU;1. Agreed at 1987. Prices, capacity sharing and getting into air

transportation marketplace became more flexible.2. Agreed at 1990. First movement became more stronger. Capacity

sharing, route and slot allotment, pricing became more flexible.3. Agreed at 1992. There are important changes about operaing

licence, pricing and freedom of entering marketplace.

Page 6: Competition Law at Aviation

APPLY TO COMPETITION LAW AT TURKEY

• At 1996, DGCA Turkey promulgated some rules about aviation in Turkey.

1. When an airline operates one or more flight from Istanbul, Ankara, Izmır, Antalya, Dalaman, Adana or Trabzon, must operate at least one flight from an airport which is located east or southeast region.

2. When an airline operates scheduled flight at summer, must operate same scheduled flight at winter

3. If an airline doesn’t obey that two rules for 2 flight season, DGCA disallow operate domestic flight rights

Page 7: Competition Law at Aviation

APPLY TO COMPETITION LAW AT TURKEY

4. For private sector airlines,i. When Turkish Airlines hasn’t any flight to one destinationii. When Turkish Airlines hasn’t flight to one destination at some

daysiii. When Turkish Airlines remains incapable

Private sector airlines can operate.

Page 8: Competition Law at Aviation

APPLY TO COMPETITION LAW AT TURKEY

• At 2003, DGCA cancelled this decision and private sector airlines have more opportunities to operate domestic flights.

• After this regulation, competition at domestic flights cause to increase at flight numbers and quality, decrease at ticket prices.

Page 9: Competition Law at Aviation

SLOT ALLOTMENT

• Slot; decide specific take-off and landing times for airlines to using airports with maximum efficiency.

• At 1992, Turkey decided to apply slot allotment like EU. For that reason, THY selected for slot coordination authority.

• At 2005, after Turkish Airlines and Atlasjet trouble, DGCA decides to create a new department which is directly associate withTurkish DGCA.

Page 10: Competition Law at Aviation

EFFECTS OF LIBERALAZATION TO TURKISH AVIATION

• Number of airlines increased• Number of aircraft increased• Number of seat available increased• Number of domestic destination increased• Using airports efficiency are increased

Page 11: Competition Law at Aviation

CONCLUSION

Liberalazation at aviation sector causes to developed airlines quality and increased number of flights. Competition at aviation, serves to both airlines and passengers in Turkey and world.