COMESA Investigates Airlines Over COVID-19 Refund Issues
COMESA's Competition Commission is investigating airlines operating in its 21 member states for alleged failure to refund passengers for flights cancelled during the COVID-19 pandemic. This investigation has significant implications for African travel agents, particularly those specializing in East and Southern Africa.
The investigation focuses on complaints from passengers who were denied refunds or offered inadequate compensation for flights cancelled during 2020 and 2021. The COMESA Competition Commission (CCC) is examining whether airlines employed ambiguous terms and conditions or engaged in misleading practices to avoid fulfilling their refund obligations. Kenya Airways, Ethiopian Airlines, EgyptAir, TunisAir, RwandAir, Malawi Airlines, Zambia Airways, and Uganda Airlines are among the carriers under scrutiny.
The CCC has invited affected passengers to submit evidence, signaling a serious commitment to consumer protection. The investigation's outcome could set important precedents for passenger rights and airline accountability in the region. For travel agents, this development underscores the importance of understanding airline policies and advocating for their clients' interests.
A detailed analysis of 5,000 complaints reveals that Ethiopian Airlines received the highest volume of complaints, followed by Kenya Airways and EgyptAir. The overall resolution rate across all airlines was a mere 4.3%, with Malawi Airlines having the lowest rate at 2.5%. The total refund amount at stake across all complaints is estimated at \$2.05 million USD, highlighting the significant financial impact on passengers.
The majority of complaints (69.3%) originated from passengers traveling within their home country, suggesting that even domestic travelers faced challenges in obtaining refunds. Ethiopia recorded the highest number of complaints by country, followed by Kenya and Egypt. The peak of complaints occurred in 2021, reflecting the widespread disruption to air travel during that period.
The investigation's findings could lead to penalties for non-compliant airlines, potentially including substantial fines. More importantly, the CCC aims to strengthen consumer protection frameworks and ensure greater transparency in airline refund policies. This could result in clearer terms and conditions, more efficient refund processes, and improved recourse for passengers in the future.
For African travel agents, this investigation highlights several key considerations. Staying informed about the CCC's progress and findings is crucial for providing accurate advice to clients. Understanding the nuances of airline refund policies and advocating for passenger rights will become increasingly important. The investigation also emphasizes the need for travel agents to partner with airlines that prioritize customer service and demonstrate a commitment to fair practices.
The CCC's focus on consumer protection could lead to positive changes in the African travel landscape. Improved transparency and accountability among airlines will benefit both passengers and travel agents. By actively monitoring these developments and advocating for their clients, travel agents can play a vital role in shaping a more passenger-centric travel industry in Africa.