El Al publicly opposed Hungarian low-cost airline Wizz Air establishing a domestic base of operations in Israel, N12 reported on Tuesday, citing a letter sent to the Israeli authorities.
“The plan entails a risk of substantial harm to Israeli airlines in particular and to the State of Israel in general,” the letter signed by El Al CEO Dina Ben Tal Ganancia and the chair of the board said.
“It could lead to negative consequences for national resilience and the safety of the Israeli public on flights from and to Israel."
Another argument that the airline made against Wizz Air was centered around the Israeli carriers; it argued that they “serve as an air bridge between Israel and the nations of the world and play a vital role in maintaining the State of Israel’s resilience.”
“This step adds to other measures that hurt Israeli aviation and creates competitive inequality,” the letter reads. The airline went on to argue that Israeli airlines bear stringent security requirements and high costs, whereas foreign carriers are exempt.
The letter pointed out the security implications that a Wizz domestic base of operations could have on Israel.
“It could be a dangerous precedent that leads to granting similar rights to additional foreign airlines, pushing Israeli carriers out of the local market,” the letter said.
With this in mind, El Al noted how only Israeli carriers remained and guaranteed that there would be flights during wartime.
“While foreign airlines abandoned operations in Israel during times of emergency, Israeli carriers maintained the air bridge to the world,” the letter read.
The report pointed out that a Wizz Air base of operations in Israel would allow the company to land its aircraft at Ben-Gurion, overnight its crews in Israel, and operate more flights at much better departure times.
Wizz Air CEO Jozsef Varadi is expected to visit Israel in the coming month in order to close this deal, N12 reported.
Following the war with Iran and foreign airlines suspending flights to Israel, with Wizz Air following suit, the low-cost airline announced on July 10 that flights to Israel would resume on August 8, one month earlier than they had originally planned.
Wizz had been originally slated to return flights to Israel on September 15.
El Al faces accusations of price gouging after outbreak of war
The Jerusalem Post reported in June that a class action lawsuit was filed against El Al in the Lod District Court, accusing the airline of engaging in price gouging during the national emergency that followed the outbreak of the war on October 7, 2023.
The suit, spearheaded by attorney Ilan Verednikov and represented by Tal Rotman and Adi Zitron from the Perl Cohen law firm, claims that El Al allegedly exploited its monopolistic position to unjustly increase flight prices at the expense of its customers. The suit is for over NIS 2.5 million.
The lawsuit argues that El Al, which, after most foreign airlines ceased operations due to the war, became the dominant carrier on many flight routes, used this monopoly status to raise prices. The suit describes this conduct as both immoral and illegal – El Al allegedly taking advantage of a national tragedy to generate massive profits.
El Al said on Wednesday that the lawsuit had not yet been confirmed as received, and that once the airline’s legal team has the suit, it will submit its response to the court, per regulations.