Emails raise questions about regulator's independence amid COVID-related flight refunds
CBC
Newly revealed correspondence between the federal government and the Canadian Transportation Agency (CTA) at the start of the pandemic is raising renewed questions around the regulator's independence.
Gabor Lukacs, president of advocacy group Air Passenger Rights, said the behind-the-scenes communication between executives, civil servants and the quasi-judicial body shows how officials crossed "some red lines."
"Transport Canada was not just discussing some broad policy questions; they were actively involved with pushing the CTA on Air Transat's behalf," he said.
Unredacted emails show senior officials spoke with the agency's top brass about pressure from airlines to let them avoid passenger refunds for trips cancelled because of COVID-19.
"They will request that we officially let them to (sic) provide vouchers to passengers instead of providing them cash because they literally do not have enough cash to give refunds," Transport Canada director general of air policy Colin Stacey told then-senior agency director Marcia Jones on March 18.
"Have you heard anything about this? Are you available to discuss?"
The transportation agency falls under the purview of Transport Canada, and regular communication between them to keep the minister briefed on relevant matters is an established practice, a spokesman for the department said.
"Such discussions do not impact or hinder in any way CTA's independence or arm's length relationship with Transport Canada. For example, it would not be uncommon for the agency to inform the department of an upcoming announcement or for the department to ask factual questions about announcements to be in a position to inform the minister," Simon Rivet said in an email Tuesday.
The emails show CTA chairman Scott Streiner, Transport Canada deputy minister Michael Keenan and then-transport minister Marc Garneau's chief of staff Marc Roy spoke about an upcoming statement on refunds.
Days later, the CTA posted a "Statement on Vouchers" establishing that airlines could generally issue flight credits or vouchers to customers whose flights had been called off due to the pandemic, instead of reimbursing them.
Section 39 of the CTA's code of conduct states that "members shall not communicate with political actors or officials of other federal departments and agencies ... regarding a matter that is, was, or could be before the agency."
Roy, who no longer works as a federal staffer, declined to comment.
The CTA's statement on March 25, 2020, that vouchers rather than refunds constitute a "reasonable approach" toward out-of-pocket passengers sparked public backlash and thousands of complaints to the transportation agency.
During his tenure atop the department, Garneau repeatedly stressed the regulator's independence. On May 28, he told a special committee on the pandemic that "the Canadian Transportation Agency is a quasi-judicial body that operates at arm's length from Transport Canada" and the federal government as a whole.