The Italian government has approved measures aimed at limiting the growth of airfares for flights between the islands and the mainland.
According to Evropeiska Pravda, the decision resulted in a radical step that restricts airlines from raising airfares for flights to the Italian islands of Sicily and Sardinia.
These new measures, reported by Politico, stipulate that airlines cannot increase flight prices by more than 200% of the average cost of travel. However, the definition of the term "average cost" remains unclear.
The reason for this step was the sharp rise in airfares for flights to both Italian islands.
This initiative of the Italian government came the day after the approval of a tax on excess profits of banks, which caused more doubts among international economic analysts about the strategy of the right-wing government of Georgia Meloni.
Airlines have already expressed their dissatisfaction with the move, with Ryanair CEO Eddie Wilson describing it as "illegal."
Wilson said that the decision is "ridiculous, illegal and an interference with the free market under European law" and should be reversed.
A representative of the European Commission said that the Commission is already interacting with the Italian government and is waiting for more information on the details of this measure.
It was noted that the European Commission supports measures that improve the availability of transport at reasonable prices. However, it is believed that maintaining a competitive environment with free price formation is key to achieving affordable fares.
Ryanair operates more than 500 flights a week between the Italian islands and the mainland during the peak summer season.
Eddie Wilson compared the Italian government's decision to the practice of the "Soviet Union in 1927". He believes that such a measure is "illogical" from an economic point of view, as it may encourage the company to reduce its flights in Italy and open new destinations.
e-finance.com.ua