British Airways, Qatar Airways and Iberia

On 22 November 2022, British Airways plc (British Airways), Qatar Airways Group Q.C.S.C. (Qatar Airways) and Iberia Líneas Aéreas de España, S.A. Operadora (Iberia) (together, the Applicants) applied for authorisation to enable them to coordinate air passenger services on routes between Australia and the United Kingdom (UK)/Europe for 5 years.

On 7 May 2020, the ACCC granted authorisation to British Airways and Qatar Airways to coordinate air passenger services on routes between Australia and the UK/Europe (this excluded any routes where Sydney is the origin or destination port, e.g. the Sydney-London route).

British Airways and Qatar Airways, in conjunction with Iberia, now intend to enter into an expanded joint business agreement, which would increase levels of cooperation and geographic coverage, encompassing routes between:

1. (i) The UK and Europe, and (ii) certain destinations in the Middle East, Asia (excluding China, Japan and South Korea), Eastern and Southern Africa and Australasia.
2. (i) the Middle East, Asia (excluding China, Japan and South Korea), Eastern and Southern Africa and Australasia, and (ii) certain destinations in Latin America.

The expanded joint business agreement includes routes where Sydney is the origin or destination port, e.g. the Sydney-London route.

The authorisation sought would allow the Applicants to coordinate all their passenger related services on routes between Australia and UK/Europe, including:

1. codeshare arrangements
2. schedule coordination
3. capacity planning
4. revenue management
5. distribution strategies
6. joint pricing and selling of routes
7. marketing activities
8. passenger handling, service procedures and frequent flyer programs.

On 29 March 2023, the ACCC issued a draft determination proposing to grant authorisation for 5 years. The ACCC also granted interim authorisation to enable the Applicants to commence the proposed conduct while the ACCC considers the substantive application.

On 11 May 2023, the ACCC issued a final determination granting authorisation until 2 June 2028.

Copies of the ACCC’s final determination, draft determination and interim authorisation decision and the application for authorisation are available below.