ICCC declines Air Niguini's Link PNG Take over of PNG Air

 The Papua New Guinea Independent Consumer and Competition Commission (PNGICCC) say it will not give its approval to the proposal by Link PNG to buy 40 percent shares of NASFUND in PNG Air Limited.

ICCC General Manager Brian Ivosa made the announcement today at the ICCC office in Port Moresby.

Mr Ivosa says the decision to decline was made after ICCC viewed that if the acquisition proposal is granted, it will have a negative impact on the domestic airline market.

The immediate negative impacts are the creation of a monopoly in the airline industry

Link PNG will still have an influence in the daily operations and management of PNG Air

ICCC is of the view that this will in turn affect the pricing of airfares, reduction in quality of service and standards.

Mr Ivosa says all parties have been informed of the decision and Link PNG can reapply if they wish to make changes to their proposal.

Statement/FM100/PNGTOday

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