newstodate.aero
Jan 23, 2009 (newstodate): With a strong focus on building a finely-tuned network of Asian routes, Finnair is among the airlines severely hit by Russia's sustained demands for overflight charges through Siberian airspace.
The overflight charges cost Finnair about 20 mio euro annually, taking a heavy toll on the airline's efforts to cut costs in the current economic downturn.
The agreement between EU and Russia in 2006 called for a full cancellation of overflight charges from 2014, a phased reduction in charges on existing routes, and no charges to be levied on new routes set up from 2007, but even so Finnair has had to pay overflight charges for every new Asian route set up after 2006.
As Russia still refuses to ratify the agreement with the EU Commission the status quo remains, also threatening Russia's admission into the WTO.
The overflight charges cost Finnair about 20 mio euro annually, taking a heavy toll on the airline's efforts to cut costs in the current economic downturn.
The agreement between EU and Russia in 2006 called for a full cancellation of overflight charges from 2014, a phased reduction in charges on existing routes, and no charges to be levied on new routes set up from 2007, but even so Finnair has had to pay overflight charges for every new Asian route set up after 2006.
As Russia still refuses to ratify the agreement with the EU Commission the status quo remains, also threatening Russia's admission into the WTO.