The Competition Bureau has obtained court orders requiring Air Canada and WestJet to provide information for the agency’s air travel market study.
Issued by the Federal Court last month, the rulings require the country’s two largest airlines to produce documents and answer questions about barriers to entry into the sector, performance measures and agreements with airports and other airlines.
The Bureau says this information will allow it to better understand competition in the domestic airline industry. Air Canada and WestJet controlled about three-quarters of that market last year, the watchdog said in court filings.
In July, the Competition Bureau launched a market study on domestic air services amid ongoing concerns about price and quality.
The court orders mark the first time the regulator has leveraged its new information-gathering powers, which took effect in June under federal law, in market research.
The watchdog said the study would focus on the state of competition between carriers, barriers to entry into the sector and obstacles for travelers seeking to make informed choices.
Competition Commissioner Matthew Boswell previously said many Canadians were “frustrated by the cost and quality of services offered to the country,” and that he intended to offer recommendations on how to improve the situation.
About a third of all flights were delayed last year, an improvement over 2022, but a worse situation than in 2019 with a quarter of trips delayed, the commissioner said in court papers.
“This study is not an investigation into specific allegations of wrongdoing. However, if the Bureau finds evidence that a person is violating the law, it will investigate and take appropriate action,” the watchdog said in a statement Thursday.
The number of passenger complaints filed with the Canadian Transportation Agency hit a new high of about 78,000 last month, contributing to wait times of up to two years.