CASTRIES, St. Lucia - REGIONAL airline LIAT has been criticised by St. Lucia’s Tourism and Civil Aviation Minister Senator Allen Chastanet for potentially fleecing its customers with excessive taxes.
Chastanet, who had strong words for LIAT over the weekend at a press conference, said excess charges on the carrier’s tickets are hindering travel within the region.
He stated that the price structure of LIAT, combined with the closure of Caribbean Star, had led to 50 000 fewer passengers coming to St. Lucia over the past two years. As an example of the excessive charges, he pointed out that one LIAT fare had two separate fuel charges added to it.
“We’re really calling on this region to take on a full examination and we will be coming up with a report in three weeks to determine whether in fact these taxes have been erroneously charged and to make a decision on how we deal with that matter at that point,” Chastanet stated.
He said that LIAT had no reason to overcharge its customers for their fares, given the fact that the carrier has received significant support to stay afloat during the global economic downturn.
“LIAT has benefited from a major cash injection from three countries. The leases on several of the planes have been written off by the Canadian government. They have no debt to carry and they are getting planes cheaper than what they could be getting at any time,” he stated.
Chastanet suggested that LIAT and its partners in the Caribbean must undertake initiatives that would encourage more persons to travel, such as lowering fares, reducing government taxes and lowering the rates for hotel rooms.
“I am not against LIAT,” he said at the press conference. “What I am against is the policy of holding onto something that has proven that it cannot be sustainable.
“When LIAT was under competition it lost money; it refused to change. All the competition has now been eliminated, and here it is many years later, and no one is able to identify one plan as to how LIAT is going to bring down its operating cost,” he added.
St. Lucia News