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Azores Leaders Call for Investigation into €500 Airfares

Azores Leaders Call for Investigation into €500 Airfares

The Chamber of Commerce and Industry of Ponta Delgada (CCIPD) has formally requested the Portuguese Competition Authority (AdC) to investigate airfare pricing between mainland Portugal and the Azores, citing round-trip tickets that frequently exceed 500 euros.

Lack of Affordable Fares and Market Dominance

The business association, which represents the islands of São Miguel and Santa Maria, reports that its ongoing monitoring of the aviation sector reveals a troubling trend: the lowest fare classes for both Azores Airlines and TAP Air Portugal are rarely available, even when travelers attempt to book months in advance. Searches conducted for August 2027—nearly a year away—already show prices hovering around the 500-euro mark.

CCIPD President Gualter Couto noted that the market has seen a “concentration of supply at significantly higher fare levels” following Ryanair’s exit from certain routes. While the association stopped short of accusing the airlines of collusion, it warned that the existing code-share agreement between TAP and Azores Airlines, combined with reduced competition, warrants a deep-dive investigation.

Sky-High Costs Compared to Longer Routes

The chamber highlighted startling discrepancies in how Azores Airlines prices its routes. A four-hour flight between Ponta Delgada and Praia, Cape Verde, can be found for approximately 218 euros. In contrast, a two-hour flight between Lisbon and Ponta Delgada often costs more than double that amount.

The CCIPD also drew a sharp comparison to the Lisbon-Funchal route in Madeira. Because that route enjoys more robust competition among various carriers, prices to Ponta Delgada are often twice as high as those to Funchal, despite similar distances.

A Threat to the Island Economy

The business chamber argues that these high costs do more than just strain the pockets of residents who need to travel; they actively undermine the archipelago’s tourism competitiveness. The association is calling for “effective scrutiny” of how public operators manage capacity and pricing on routes that are vital to the island region’s infrastructure.

In its statement, the CCIPD emphasized that it is “essential” to restore competitive conditions. “Advance purchasing should allow consumers to access more competitive fares,” the organization stated, arguing that the current unavailability of advertised lower-tier tickets suggests a failure in the market’s current structure.

This request follows a May 2026 warning from the Competition Authority itself, which noted that a closer relationship between the two main operators could reduce competitive pressure and lead to higher prices for consumers.

Image: Pexels – Rafael Rodrigues

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