EU To Investigate Airport Aid For Wizz Air

July 31, 2015

EU regulators will investigate whether low-cost airline Wizz Air benefited unfairly from marketing fees and low charges at two Romanian airports following complaints.

The European Commission said it was concerned about the legality of London-listed Wizz Air's deals with Cluj-Napoca Airport, Romania's second largest, between 2007 and 2010. The carrier, it said, was paid for providing advertising to the Cluj region, and other deals on ground handling.

"The terms of the agreements may give Wizz Air an undue economic advantage vis-à-vis its competitors, because the conditions are too favourable, and no private operator would have accepted to grant similar conditions to the airline in similar circumstances," it said.

The EU investigation will also look into subsidies granted by local authorities to the airport between 2010 and 2014.

Another separate probe will focus on the legality of Targu Mures Airport's unusually low airport charges, where Wizz Air is the main operator.

Romanian authorities could be ordered to recover the money from Wizz Air and other airlines if found guilty of breaking EU rules.

(Reuters)