Particle.news

Israel Moves to Fine El Al NIS 121 Million Over Wartime Fare Hikes

The proposed penalty will go to a regulatory hearing before any final decision.

Overview

  • Israel's Competition Authority said El Al charged excessive and unfair prices during October 2023 to May 2024 and announced its intention to impose the maximum fine allowed by law.
  • Regulators found El Al held monopoly conditions on 38 of 53 routes it flew after most foreign carriers suspended service, with its market share at Ben-Gurion surging to roughly 80% in December 2023.
  • An econometric review reported average ticket prices rose about 16% in the period, with increases by route ranging from 6% to 31%.
  • El Al said it categorically rejects the allegations, will present its case at the hearing, and retains the right to appeal if a fine is finalized.
  • The authority framed freedom of movement as a fundamental right and noted fares did not fall even as some foreign airlines returned, while Haaretz reported the proposed fine equals about 4% of El Al's wartime profits.