Business
Ontario Considers Support for Airlines to Boost Regional Airports
The Ontario government is contemplating financial assistance for airlines that wish to operate in regional airports, according to Greg Rickford, the Member of Provincial Parliament (MPP) for Kenora-Rainy River. Speaking in Dryden, Rickford highlighted the significant travel patterns of local residents, noting that between 80,000 and 90,000 people annually leave the region to fly out of Winnipeg. This underscores the need for affordable and reliable flight options.
“We want affordability and reliability,” Rickford stated, emphasizing the importance of competitive pricing. He pointed out that the cost of flights from regional airports should not exceed those from larger centers like Thunder Bay.
Potential Financial Support for Airlines
Rickford mentioned that the Ministry of Transportation and his office are exploring ways to assist airlines in implementing a viable cost model for local flights. “We have not ruled out playing a more significant role in helping the cost model get off the ground — no pun intended — for our communities,” he added. This support may be temporary but aims to optimize passenger services in the region.
In a positive development for local air travel, North Star Air is set to resume passenger service from Kenora to Thunder Bay, with flights scheduled to commence on January 15, 2024. This return of service is crucial, as it fulfills a long-standing need expressed by regional officials. Moreover, it positions Kenora Airport to potentially qualify for federal funding through the Airports Capital Assistance Program (ACAP), which is intended to aid local airports and aerodromes requiring capital improvements.
Currently, Dryden and Fort Frances lack scheduled passenger services, excluding them from accessing federal funds for airport enhancements. In response, local authorities have commissioned a study to assess the feasibility and future of air travel in their areas.
Exploring Options for Financial Aid
When asked whether the province would consider direct funding for airports, Rickford indicated that this is one of two options under consideration. The second involves supporting airlines to make regional airports eligible for federal funding. “The Ontario government can play a role in supporting the economic viability of commercial airline services,” he noted.
Discussions with the federal government regarding interim assistance are also on the table, as Rickford mentioned, “It may be that, on an interim basis, we have to sit down with the federal government.” He expressed hope that a resolution could be reached to secure commercial services that would meet the investment requirements for federal qualification.
The Airport Management Council of Ontario has been advocating for a dedicated annual funding stream of $10 million from the provincial government for airport improvements. Shari Gentes, the council’s northwest regional director, confirmed their intention to participate in the province’s 2026 pre-budget consultations to present their case for this funding.
As discussions continue, the future of air travel in Ontario’s regional airports hangs in the balance, with local communities eager for solutions that enhance connectivity and support economic growth.
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