Australia waives rules for Emirates-Flydubai non-compete affiliation

COMPETITION regulators in Australia have authorised an affiliation agreement between Emirates and low-cost airline Flydubai, enabling the two to coordinate air cargo services between Australia and Dubai.

The Australian Competition and Consumer Commission (ACCC) said it had authorised the agreement between the airlines, which provides immunity from court action for conduct that might otherwise be illegal under the Competition and Consumer Act, reported Australia's Supply Chain Review.

"The ACCC considers that the affiliation agreement will result in public benefits by enabling Emirates and Flydubai to offer improved products and services to customers," ACCC chairman Rod Sims said. The regulators may grant an authorisation when it is satisfied that the public benefit from the conduct outweighs any public detriment.

Under the agreement the airlines will also coordinate passenger services between Australia and Dubai.