Imagine running an airline where your competitor has the power to prohibit you from operating to particular destinations even if you have already invested money to establish services to that destination.
This is the problem Viva Macau faces because Air Macau has a monopoly concession to Macau's international air traffic rights which effectively means Air Macau - rather than the Macau Government - decides how the territory's air traffic rights will be distributed.
Air Macau CEO, David Fei, disclosed this crucial nugget of information earlier this month when he was interviewed by the Macau Daily Times newspaper.
He reportedly confirmed to the newspaper: "Viva Macau is not restricted as to where it can fly as long as Air Macau approves it."
Viva Macau then pounced on this disclosure by writing an open letter to the newspaper attacking Air Macau by claiming Air Macau is hoarding traffic rights, failing to generate traffic to Macau and, as a consequence, is failing to act in the in the interests of Macau.
It says Air Macau has rejected the majority of applications made by Viva Macau for new points to fly to.
And it cites, as an example, the fact Viva Macau last year launched services to Phuket in Thailand but then had to suspend the service because Air Macau objected.
I feel sorry for the Viva Macau employees in Phuket who would have lost their jobs as a consequence of this spat between Viva Macau and Air Macau.
Hopefully, common sense will prevail and the two carriers will work to complement each other's network rather than going at each other's throats.
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