Abear (Brazilian Association of Airlines) says that Provisional Measure 1.089/21, also known as the MP do Voo Simples, helps the airline sector in the post-crisis recovery of the pandemic, but considers that change in baggage charges ” reduces the country’s competitiveness”.
The MP makes the rules of the air sector more flexible and allows the return of free dispatch of luggage of up to 23 kilos on domestic flights and up to 30 kilos on international flights. It was approved yesterday (26) by the Chamber of Deputies. The text is now going to the Senate for analysis.
“The government was right to send an MP that helps the air sector in the post-crisis recovery of the new coronavirus pandemic, but the change in baggage charges goes in the opposite direction of the MP itself, as it reduces the country’s competitiveness”, says the president of Abear, Eduardo Sanovicz.
According to him, the interpretation of tax and customs rules, the sharing of information by intermediation companies in the purchase of tickets, and the inclusion of penalties for undisciplined passengers are measures that benefit the airline industry chain and all its passengers.
Named ‘Simple Flight’, the MP was edited by the government last year to improve the business environment of the aviation sector with the promise of cost reduction, with rate cuts, and increased investments to improve the connection with more remote. The performance of foreign companies in Brazil was also facilitated with the new rules.
Among the MP’s highlights are the reduction of fees and the simplification of procedures for operating aircraft and building infrastructure. Before the MP, there was a table with 345 facts that generated the collection of the Civil Aviation Inspection Fee (TFAC) from companies providing air services. With the new rules, this number was reduced to 25. The triggering events are, for example, the need to issue certificates and renew authorizations to operate.
One of the simplifications promoted involves the certification of imported aircraft. Even with the approval of another country, the process was repeated in Brazil, which could generate millionaire costs for airlines to put more aircraft in space. It will be up to the National Civil Aviation Agency (Anac) to regulate which international agencies the certification will be accepted internally, considering a simplified procedure in Brazil.
Another change that, in the government’s view, will unlock investments in the sector is the waiver of prior authorization for the construction of airfields. In addition, there is a change from the ‘concession’ to ‘authorization’ regime. Today, the rules are much more aligned with the authorization model, which gives companies more freedom and less bureaucracy. But the law still had the term “concession”, which required the renewal of concessions every five years – something that will no longer be necessary.