No more federal money for airlines until Canadians get refunds, Saint John MP says

Saint John-Rothesay MP Wayne Long says there will be no more federal funding for airlines until Canadians are refunded for cancelled flights.

Air Canada announced Tuesday it will indefinitely suspend all flights out of Saint John Airport and all Toronto flights out of Fredericton International Airport indefinitely, beginning Jan. 11.

Long said the news didn't come as a surprise, given that air travel has dramatically dwindled during the pandemic.

"It certainly was disappointing, not surprising," Long told Information Morning Saint JohnonThursday.

But he noted that help is on the way, and there "is a plan going forward."

Long noted that inthe recent federal economicupdate, Finance Minister Chrystia Freeland said there would be money for regional air carriers and airport infrastructure.

Atlantic Canada Opportunities Agency (ACOA) has set aside money to help keep airport operations running, and Transport Canada is negotiating with airlines to ensure they'll make it through the pandemic.

But "one of the hiccups," Long said, "is that we are not going to spend one dollarof taxpayers' money to support airlines without airlines refunding Canadian consumers" for flights that were cancelled.

Negotiations on this issue are "ongoing now," he said.

Long also noted that he fully expects the suspended services to resume within months.

"Indefinitely doesn't mean permanently," he said.

"I have every expectation that late first quarter, March, April, we'll have air service back and things will be normalized again," Long said.

Critical need for rapid testing at airports

Saint John Region Chamber of Commerce CEO David Dupliseasaid the loss of Air Canada flights in the region will be devastating to the economy and that business owners are worried for their well-being.

He said the Saint John airport generates about $66 million in revenue annually, so the massive hit to the industry this year has impacted the city greatly.

"Part of the value proposition in our region itself is access to other locations and air travel," he said.

Duplisea said Saint John's population, overall growth and tourism will be affected by this loss of service.

"They not only propel regional economic prosperity, but there are these strong connections to our universities, to our high-tech industries, our innovation, our manufacturing, all of those sectors are directly impacted," said Duplisea.

He said it will prevent the region from bringing in new knowledge and experience, as attracting talent won't come easy, if at all.

Duplisea said it's critical that regional airports get access to rapid testing fast, and that vaccines are distributed to ease travelling concerns.

Long said the federal government has already distributed between 1.2 million and 1.5 million rapid tests across the country and it's up to New Brunswick to decide how to use them.