Many Canadians are canceling their trips to the U.S. due to the ongoing trade war and annexation threats, leading to a surge in “Buy Canadian” sentiment. This includes calls from federal leaders for Canadians to vacation within their own country to support local businesses. However, the cost of travel within Canada remains high, with additional fees beyond the base fare adding to the overall price. These fees include charges for baggage, food on the plane, as well as non-optional fees such as the GST or HST, Air Travellers Security Charge, Airport Improvement Fee, and NAV Canada fee.
The initial cost of an airline ticket, known as the base fare, represents the price of the seat itself excluding any additional charges. In addition to the base fare, airlines add on various surcharges, government sales taxes, and specific fees like the Air Travellers Security Charge, which funds security personnel for airport screening. The NAV Canada fee is another cost that covers air traffic control and other services provided by the company, which is not government-funded. Airlines also include surcharges to cover costs such as fuel, navigation charges, and insurance, especially during peak travel times or based on fuel costs.
Additionally, travelers may encounter an airport improvement fee, which airports charge to fund capital projects, maintenance, and expansion. The cost of this fee varies by airport, with some charging departing passengers a set amount. While some argue that certain fees, such as security charges, should be absorbed by the government as they are essential public goods for national security, these costs are ultimately passed on to consumers. Overall, the combination of various fees and charges can significantly increase the total cost of an airfare for Canadians traveling within the country.
As an example, a comparison of flight costs for a traveler departing from Toronto to Halifax shows the breakdown of fees for both Air Canada and Porter Airlines. While the base fares may vary, additional fees such as NAV fees, security charges, airport improvement fees, and taxes contribute to the overall ticket price. With the federal election underway, the issue of airline fees has not yet been addressed by party leaders during their campaign announcements. However, experts suggest that the winning party should consider addressing these fees as Canadians focus on supporting local businesses and “Buying Canadian,” including their travel plans within the country.
Overall, the cost of air travel within Canada includes various fees and charges beyond the base fare, which can significantly impact the total price of a ticket. While some argue that certain fees should be absorbed by the government for national security reasons, these costs are passed on to consumers. As Canadians seek to support local businesses and “Buy Canadian,” understanding the breakdown of fees and charges when booking flights is crucial. Experts advise travelers to be cautious when booking tickets and to carefully consider all additional fees and charges that may be included in the total cost.
