Australia’s anti competition regular has given an initial green light for the Qantas-Emirates alliance to continue for another five years.
The Australian Competition and Consumer Commission is proposing to reauthorise the commercial partnership, which was approved in 2013.
ACCC commissioner Roger Featherston said the agency sees no anti-competitive issues for consumers.
"The ACCC considers that the alliance is likely to continue to result in a range of public benefits. Combining the networks of Qantas and Emirates provides customers with access to more flights and destinations under a single airline code and improves connectivity," Featherston said.
Under the alliance Qantas and Emirates will continue to coordinate some areas of business operations including flight scheduling, sales and marketing, and pricing.
The ACCC did however implement a condition for reauthorisation.
It had a concern over the Sydney to Christchurch route on which Qantas-Emirates competes only with a Virgin Australia-Air New Zealand alliance.
The ACCC requires Qantas and Emirates to provide the agency with regular updated data on passenger volumes and fares on the route.
The ACC now awaits any submissions on its proposal and pending that an official decision will be announced later this year.
"The first five years of the partnership has lived up to the promise of serving our customers better, together, and the changes to our network are designed to reinforce this for the next five years," a Qantas statement said.
