Canadian Airlines Cheer Push to Lower Security Tax By Robert Melnbardis MONTREAL (Reuters) - Canadian airlines cheered a parliamentary committee's recommendation on Thursday to substantially reduce the C$24 ($15) airport security tax on all round-trip tickets. "The reduction of the air traveler's security tax is of critical importance to this industry," said Joseph Randell, president and chief executive of Air Canada Jazz, Canada's largest regional airline. "The security charge has, without doubt, contributed to the dramatic reduction in short-haul passenger traffic in this country," he said in a statement. On Wednesday, Ottawa's standing committee on transport passed a motion put forward by James Moore, transport critic for the opposition Canadian Alliance party, calling on the government to immediately reduce the tax, which weighs proportionally heaviest against cheaper, short-haul fares. The committee, made up of nine members of the ruling Liberal Party and eight from opposition parties, unanimously adopted the motion. Canada imposed the surcharge following the Sept. 11, 2001, hijacked airliner attacks against the United States. The tax was aimed at paying for improvements in airport security, but Moore said Ottawa has not provided enough information about how the funds are actually being used. Airlines such as Air Canada, the country's dominant carrier and world No. 10, and Calgary-based no-frills carrier WestJet Airlines Ltd. have complained that the security tax is onerous and has contributed to a steep falloff in short-haul flights this year. Moore said the tax has contributed to a 10.2 percent decline in passenger traffic across Canada since the beginning of the year. On some short routes, such as between Saskatoon and Regina, Saskatchewan, traffic has plunged 50 percent, he added. "It's having a devastating impact. It's the highest security tax in the world," he told Reuters. In the House of Commons on Thursday, Deputy Prime Minister John Manley said the tax will be reviewed, but he said the charge would be continued to pay for security expenditures. "We believe in running a balanced budget.... Furthermore there's absolutely no evidence, no evidence, that the fee has reduced air travel," he said. Both Air Canada Jazz and WestJet have been cutting back on short-haul routes, affecting service to smaller communities. The transport committee's decision is not legally binding on the government, but sends a strong message about how both industry and the traveling public are opposed to the tax, Moore said. "We had everybody before the committee -- Air Canada Jazz, WestJet, travel agents -- we couldn't fine one single person who supported the status quo," he said. The owner of Roger's Trinbago Site: Roj (Roger James) *************************************************** escape email mailto:ejames@escape.ca Trinbago site: http://www.tntisland.com CBC Website http://www.tntisland.com/caribbeanbrassconnection/ The Trinbago Site of the Week: (TnT News) http://www.tntmirror.com/ (TnT News) courtesy of Roj Trinbago Website & TnT Web Directory Roj's Trinbago Website: http://www.tntisland.com TnT Web Directory: http://search.co.tt *********************************************************