Why does EasyJet Not Fly to Cyprus?
That question was posed to Sir Stelios recently at an interview. He responded by saying that unfortunately there are two airports in Cyprus, and the government gave the license to develop both airports to the same company, creating a monopoly, thereby generating a high price for flying.
He did not go on to say that the travel tax that BAA charges per passenger for Heathrow is approximately the same as the one for Larnaca. Nor that the government did not put any controls on the possible price increases during the life of this project by the Operator. Nor that the whole situation puts the Operator in a very advantageous-strong bargaining position when it comes to negotiating with prospective airlines that might want to fly there.
Welcome to Stravaraland Inc. The Last Hub of State (Run-Involved-Started) Monopolies...
He did not go on to say that the travel tax that BAA charges per passenger for Heathrow is approximately the same as the one for Larnaca. Nor that the government did not put any controls on the possible price increases during the life of this project by the Operator. Nor that the whole situation puts the Operator in a very advantageous-strong bargaining position when it comes to negotiating with prospective airlines that might want to fly there.
Welcome to Stravaraland Inc. The Last Hub of State (Run-Involved-Started) Monopolies...
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