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TAP Prices Must Reflect the Going Rate

In a recent statement concerning financial support for TAP, the President of the Regional Government of Madeira stated that although he agreed with the 1,200 million euro capital injection into the airline, TAP must improve its services to and from Madeira, and that on no account should a blank cheque be issued.

The President said that the prices charged on the Funchal/Lisbon/Funchal route currently exceed €500 and contradict the “territorial cohesion and mobility service” agreed on.  What is needed is a service that does not ‘profit from misery’ but contributes to the economic development of the country and assists the recovery of the tourism sector.

It should, however, be remembered that TAP is a commercial airline. While its charging regime should reflect its role in promoting Madeira as a tourist destination such charges should also be based on what the market will accept in line with other international carriers.  

Samantha Gannon

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