A Winnipeg-based ultra-low-cost airline has been cleared for takeoff by the Canadian Transport Agency.
The NewLeaf Travel Company was grounded after a flashy public launch after questions were raised on whether it required a federal license from the CTA to operate.
In a ruling posted to its website late Tuesday, the CTA said, “The Agency determined that resellers — companies who purchase seats from an air carrier and resell them to the public — will not be required to hold an air licence, so long as they do not hold themselves out to the public as being an air carrier that is operating an air service.”
Kelowna-based Flair Airlines, which operates flights on behalf of NewLeaf, has a CTA operating licence.
“This is an important determination that will help create clarity and predictability for the air industry and travellers,” said Scott Streiner, Chair and CEO of the Canadian Transportation Agency.
“The determination recognizes the evolution of business models, encourages innovation and consumer choice in the market, and ensures continued protection for passengers.”
NewLeaf was to begin air service February 12, but had to refund its customers in late January while it sorted out its dealings with the CTA.
NewLeaf’s initial non-stop destinations include Halifax, Hamilton, Winnipeg, Regina, Saskatoon, Kelowna and Abbotsford. The company’s introductory fares were to range from $89 to $149.
There is no word yet on when NewLeaf will resume taking flight bookings or when its first flight will depart.
