WASHINGTON -The U.S. Transportation Department on Friday released proposed new rules to require passenger airlines to refund fees for bags that are significantly delayed and refunds for services like onboard Wi-Fi that do not work.
Rules on the allocation of airport slots have big ramifications for airline competition and market access for low-cost carriers. The department estimates consumers could see $10.7 million to $11.4 million annually in refunded baggage fees and estimates carriers costs at around $4 million.U.S. airlines collected approximately $5.8 billion in baggage fees and $2.8 billion in change and cancelation fees in 2019, up from just $464 million in baggage fees and $915 million in change and cancellation fees in 2007.
The order says the department should evaluate "existing commercial aviation programs, consumer protections" and to consult with the Justice Department "to ensure competition in air transportation and the ability of new entrants to gain access."It also directs considering "measures to support airport development and increased capacity and improve airport congestion management, gate access... and 'slot' administration.