The Italian competition authority has fined an Alitalia-led cartel of national airlines for simultaneously implementing similar fuel surcharges on fares in August 2000, describing it as illegal collusion.

The authority fined Alitalia - the "promoter and co-ordinator of the agreement" - €1.6 million ($1.5 million). Air Europe, Air One, Alpi Eagles, Meridiana and Volare were fined a total of €254,000.

In June 2000 the airlines simultaneously applied the same surcharge of L10,000 ($5.60) on all domestic flights to compensate for a rise in fuel prices. When, in August 2000, Alitalia increased the surcharge to L24,000, Air Europe, Air One, Alpi Eagles and Volare Airlines followed suit.

The authority says the offence was "one of the most serious forms of competition restriction".

Source: Flight International